NEW YORK (GenomeWeb News) - Transgenomic today said third-quarter revenues decreased 26 percent as R&D spending rose 15 percent and income turned swung to a loss.
Total receipts for the three months ended Sept. 30 decreased to $4.9 million from $6.7 million year over year.
"We were very disappointed in our sales," CEO and President Craig Tuttle said. The company added that it has hired Thomas Weisel Partners to help it figure out how to “maximize shareholder value” in the short- and long-term.
"The typical market slowdown during summer in Europe was larger this year for our WAVE system than in years past and coincided with an unusual shortfall in system sales in Asia," he added.
R&D spending increased to $586,000 from $510,000 year over year.
The company said it racked up $1.7 million in net losses in the quarter from a profit of $111,000 in the year-ago period.
Transgenomic said it had around $7.3 million in cash and cash equivalents as of Sept. 30.
Tuttle said he expects a better fourth quarter, partly because some sales came in too late in the third quarter to make the third-quarter report, and because of new products, including an application for standard sequencing platforms.
Tuttle also said he hopes that future revenue will come from intellectual property for cancer-linked mutations that he said the company recently discovered.