Affy to Restate Financials Back to 1997 After Uncovering 'Certain Lapses' in Option Grants
Affymetrix last week said it will restate its financial results as far back as 1997 after an internal review into its stock-option granting practices turned up “certain documentation lapses.”
The company said the restatements will increase its previously reported net losses from 1997 to 2002, reduce its previously reported net income for 2003, and increase its previously reported net income in 2005.
“The review identified certain documentation lapses but did not find any pattern or practice of inappropriately identifying grant dates with hindsight in order to provide ‘discounted’ or ‘in-the-money’ grants,” Affy said in a statement. The company granted the options between 1997 and 1999.
Financial information in its Form 10-Q for the three months ended March 31 and its Form 10-K for the full year ended Dec. 31, 2005, “should no longer be relied upon,” Affymetrix said.
Affymetrix said it expects to file restated financial reports with the US Securities and Exchange Commission during the current quarter. It also has delayed filing second-quarter results.
Genizon, Genome Quebec First to Join Illumina's Service Provider Program
Illumina said last week that Genizon Biosciences and Genome Quebec have been certified to offer genetic analysis services to researchers using its technologies.
The Canadian duo are the first members of Illumina's new CSPro Program, a service provider program that it said offers partners co-marketing benefits and a certification process.
According to Illumina, the CSPro program is modular and its members must be certified to offer certain assays: Genome Quebec is certified to offer its GoldenGate Genotyping assay, and Genizon BioSciences is certified to run GoldenGate assays and offer Illumina's Infinium whole-genome genotyping assay, which uses its HumanHap550 SNP chip.
Further financial details of the new program were not discussed.
Van Andel Licenses Glycosylation Technology to GenTel
The Van Andel Research Institute has granted GenTel Biosciences the right to commercialize microarray technology for measuring variations in the glycosylation of proteins, according to GenTel and VARI.
The technology uses antibody microarrays to profile changes in glycosylation of proteins captured on the surface of a chip and "could lead to the discovery of disease-specific alterations in protein glycosylation as well as new diagnostic biomarkers," according to Brian Haab, who heads the Haab lab at VARI and sits on GenTel’s scientific advisory board.
GenTel said it plans to use the technology in combination with its Pandeia protein labeling and fluorescent detection system to label serum proteins and probe cancer biomarker-specific antibody arrays to measure both the protein abundance and the degree of protein glycosylation.
Financial details were not disclosed.
Genomatix Licenses Microarray Software to Technical University Munich
Genomatix Software said this week that the Center of Nutrigenomics of the Technical University Munich has signed a multi-year license agreement for its Genomatix Microarray Analysis Pipeline.
The center includes facilities for DNA-microarrays, proteomics, and metabolite profiling, and is studying the interaction of dietary constituents with the genome at the levels of the transcriptome, the proteome, and the metabolome in model organisms.
Financial terms of the agreement were not disclosed.
Gene Logic Grants FDA Access to Data and Software for PGx Evaluation
Gene Logic last week said it will give the US Food and Drug Administration access to certain of its genomics data and software to help the agency evaluate voluntary genomics data submissions.
As part of the deal, the FDA will get access to a collection of toxicogenomic and rat classical toxicology data from Gene Logic’s ToxExpress system; gene expression data from normal human tissue samples from its BioExpress system; its Genesis Enterprise System 3.0 software for data management and analysis; and the GX Connect 3.0 software for uploading third-party data into the Genesis Enterprise System.
The FDA’s VGDS program, outlined in its March 2005 Pharmacogenomics Guidance Document, is aimed at encouraging drug makers to voluntarily submit genomics data to help edify the FDA about the kinds of technologies and methodologies these companies use in pharmacogenomics research.
Nanogen's Q2 Loss Widens 45 Percent As Product Sales Swell 273 Percent
Nanogen said last week that second-quarter revenues more than doubled as a result of products gained from its acquisitions, but losses widened 45 percent in integration costs.
Receipts for the second quarter more than doubled to $6.3 million from $3.1 million in the same quarter last year.
In segment results, revenue from product sales surged 273 percent to $4 million, license fees increased 12 percent to $1.8 million, and revenue from contracts and grants rose 11 percent to $481,000, Nanogen said.
The products gained from acquiring Spectral Diagnostic’s cardiac test business and Amplimedical drove the increase in product revenue, Nanogen said.
The company spent about $6.6 million on R&D in the second quarter, up 27 percent from $5.2 million in the comparable period last year.
Nanogen also said net loss increased 45 percent to $14 million from $9.7 million in Q2 2005.
The company recorded $1.3 million in non-cash share-based compensation expenses and $2.9 million in integration expenses for Jurilab, Amplimedical, and Spectral this quarter, which resulted in the higher loss for the quarter. These expenses were not included last year.
As of June 30, Nanogen had approximately $18.6 million in cash, cash equivalents, and short-term investments.
Agilent Reports 15-Percent Spike in Q3 Bio-Analytical Revenues
Agilent Technologies this week reported a 15-percent increase in third-quarter revenues for its Bio-Analytical Measurement business as deliveries of new products accelerated, the company said.
For the third fiscal quarter ended July 31, Agilent reported $391 million in revenues for the Bio-Analytical business, a 15-percent spike from $341 million in the same quarter last year. The company said it recorded $387 million in orders in Q3, an 11-percent increase from $348 million one year ago.
Agilent said that Life Sciences orders increased 13 percent, while Chemical Analysis orders jumped 10 percent over the year-ago period. The company said that “robust” growth in Asia and Europe was balanced by single-digit growth in the Americas due to ongoing weakness from traditional large pharmaceutical companies.
Agilent Technologies’ total revenues for Q3 increased 17 percent to $1.45 billion from $1.24 billion in the same quarter last year. The company’s net income rose 118 percent to $227 million from $104 million a year ago.
Agilent spent $186 million on R&D in Q3 2006, compared with $183 million in the third quarter of 2005.
As of July 31, Agilent said it had $2.3 billion in cash and cash equivalents on hand.
US DoD Pays ABI $24.5M to Develop Pathogen-Detection Test
The US Department of Defense has awarded Applied Biosystems a $24.5 million contract to develop a prototype system that can identify infectious diseases for epidemiological and biosecurity purposes.
ABI said the company has already presented “key components” of the prototype to the United States Air Force, which will validate it.
According to ABI, the system will use a multiplex assay to identify emerging pathogens. Early prototypes can already ID 10 pathogens simultaneously on a test array, the firm said.
The company added that, once completed, the system could be used in other applications in biosecurity, forensics, animal testing, and food quality testing — applied markets that ABI hopes will fatten its top line over the next two years.
A spokesperson for ABI declined to reveal further details about the prototype system at this time due to “competitive considerations.”