NEW YORK (GenomeWeb) – Cancer Genetics today announced a 24 percent jump in its third quarter revenues on strong performance in its biopharma services business.
For the three-month period ended Sept. 30, the Rutherford, New Jersey-based cancer diagnostics firm reported revenues of $4 million compared with $3.2 million in the same period last year, matching analysts' consensus estimate. Biopharma services revenues increased 35 percent to $2.6 million from $1.9 million, offsetting a $100,000 decline in clinical services revenue to $1.1 million.
Company highlights during the quarter included signing coverage deals with Illinois Blue Cross Blue Shield, as well as provider agreements with Blue Cross Blue Shield (BCBS) of North Carolina, BCBS Nebraska, and WellMark.
"There is continued high demand for our unique, proprietary portfolio of genomic tests and panels in the marketplace, and our focused M&A strategy has delivered three transformative acquisitions over the past two years," Cancer Genetics President and CEO Panna Sharma said in a statement.
Last month, Cancer Genetics closed its $14 million purchase of Response Genetics. In 2014, it acquired Gentris and Bioserve for $6.25 million and $1.9 million, respectively.
Cancer Genetics' net loss in the third quarter rose to $5.2 million, or $.56 a share, from $4.8 million, or $.51 a share, in the year-ago quarter, missing Wall Street's estimate of a loss per share of $.49.
Third quarter R&D costs climbed to $1.8 million from $1.4 million, while SG&A expenses increased to $4.7 million from $4.2 million in Q3 2014.
At the end of the quarter, Cancer Genetics had cash and cash equivalents totaling $19.9 million. Earlier this month, the company said that it anticipates grossing $12 million in a public offering of stock that it launched last week.
In early Tuesday morning trading on the Nasdaq, shares of Cancer Genetics were up 1 percent at $3.87.