NEW YORK – Fulgent Genetics reported Friday morning that its first quarter revenues decreased approximately 3 percent year over year while core revenues grew 1 percent, due in part to growth in its lab services business.
For the three months ended March 31, the El Monte, California-based company recorded overall revenues of $64.5 million compared to $66.2 million in the year-ago period, slightly below the Wall Street estimate of $65.4 million for Q1.
Core revenues, which exclude revenues from COVID-19 testing products and services, grew to $63.2 million, compared to $62.7 million a year ago.
"We are off to a good start in 2024 and are pleased with the momentum we see in precision diagnostics, currently the largest growth driver in our laboratory services business," said Ming Hsieh, Fulgent's CEO and chair of the board of directors, in a statement.
Formerly referred to as the clinical diagnostic business, Fulgent's lab services business includes technical laboratory services and professional interpretation of laboratory results. With the Fulgent Pharma therapeutic development business the firm acquired in 2022 — reuniting the two parts of Fulgent Therapeutics that were split in 2016 — Fulgent aims to transform from a genomic diagnostics business into a fully integrated precision medicine company.
Fulgent reported a Q1 net loss of $13.5 million, or $.45 per share, compared to a net loss of $15.3 million, or $.52 per share, a year ago. Adjusted loss per share was $.01, much less than the Wall Street estimate of a $.32 loss per share.
Fulgent's Q1 R&D spending grew 16 percent year over year to $11.4 million from $9.8 million, while its SG&A expenses declined 4 percent to $30.5 million from $31.9 million.
The firm reiterated its full-year guidance for core revenue of approximately $280 million, a net loss of $2.25 per share, and an adjusted net loss of $1.05 per share.
The company finished the quarter with $54.7 million in cash and cash equivalents and $791.5 million in marketable securities.
In Friday morning trading on the Nasdaq, shares of Fulgent Genetics were down about 1 percent at $21.04.