NEW YORK (GenomeWeb News) – Tripos said today that second-quarter revenues declined 33 percent despite a 23 percent revenue growth in its discovery informatics businesses.
Shares in the company were down 10 percent, or $.20, at $1.75 in mid-afternoon trading today on the news.
Receipts for the second quarter dropped to $8.9 million from $13 million in the same quarter last year.
In segment results, revenue for discovery informatics products and support rose 6 percent, to $6.2 million and revenue for the discovery informatics services almost tripled to $1.7 million. However, revenue for discovery research products and services declined 86 percent to $961,000, Tripos said.
The growth in discovery informatics was attributed to progress on the Benchware SMART-IDEA services project with Wyeth Pharmaceuticals along with software licenses and strong business in the Pacific Rim, the company said.
Tripos said it is “rebuilding the project pipeline” in its discovery research segment since its contract with Pfizer ended in 2005. Tripos said its goal is to return to positive cash flow in the second half of the fiscal year.
The company spent about $2.6 million on R&D in the second quarter, up 32 percent from $2 million in the comparable period last year.
Tripos slipped to a net loss of $1.4 million for the second quarter compared to a profit of $811,000 in Q2 2005.
As of June 30, Tripos had approximately $2.9 million in cash and cash equivalents.