NEW YORK, July 15 - Transgenomic today announced that its second quarter revenues would fall short year-over-year.
The Omaha, Neb., company estimated its total sales to be $8.4 million for the second quarter, compared to $9.4 million for the second quarter of 2002.
Transgenomic also said that it expected its operating expenses to be $7.1 million for the quarter, including restructuring charges of $475,000, compared to $8.9 million in the second quarter of 2002.
The company attributed its flagging sales to weakness in its nucleic acid business unit, which manufactures synthetic oligonucleotides and other components of nucleic acids for genetic diagnostics and therapeutics purposes. Transgenomic said sales were over 15 percent higher than in the second quarter of 2002 in its Biosystems unit, which sells its Wave instrument for detecting mutations in nucleic acids.
"We continue to suffer from a lack of revenue visibility in our nucleic acid business, as some of our pharmaceutical and biopharmaceutical customers deal with details of timing and logistics," Collin D'Silva, CEO, said in a statement. " We are confident that the planned launch of several product line extensions will help to solidify biosystems business unit revenues, and we remain optimistic about improvement in our nucleic acids business."
Transgenomic plans to announce second quarter results on Tuesday, August 5.