NEW YORK (GenomeWeb) – Fluidigm reported after the close of the market today that its fourth quarter revenues increased 11 percent year over year, driven by gains in its mass cytometry business.
The South San Francisco-based life sciences research tools firm generated total revenues of $27.7 million for the three-month period ended Dec. 31, 2017, compared to revenues of $25.1 million for the fourth quarter of 2016. Its instrument revenue increased 6 percent to $11.3 million from $10.7 million, while its consumables sales were up 14 percent to $11.7 million from $10.3 million. Fluidigm said that revenue gains for high-throughput genomics and mass cytometry products were offset by declines in sales of single-cell genomics instruments and consumables.
The firm's service revenue increased 15 percent year over year to $4.7 million from $4.1 million.
Fluidigm said that its mass cytometry products revenue jumped 26 percent year over year to $10.8 million from $8.6 million, while sales for its genomics products were down slightly to $12.3 million from $12.4 million.
The firm posted a net loss of $10.5 million, or $.27 per share, compared to a net loss of $17.7 million, or $.61 per share, for Q4 2016. On a non-GAAP basis, its loss per share was $.08 versus $.32 for Q4 2016.
Fluidigm's R&D spending for the quarter dropped to $7.2 million from $8.8 million, while its SG&A expenses fell 30 percent to $15.9 million from $22.8 million.
For full-year 2017, Fluidigm reported a 2 percent decline in revenues from $104.4 million to $101.9 million. Its instrument revenue declined 9 percent to $42.5 million from $46.8 million, and its consumables revenue 1 percent fell to $41.9 million from $42.2 million. The firm's service revenue increased 14 percent to $17.3 million from $15.2 million.
A 38 percent gain in mass cytometry product sales to $39.6 million for the year was offset by a 26 percent decline in genomics product revenue to $44.8 million.
On a conference call following the release of the results, Fluidigm President and CEO Chris Linthwaite called 2017 a "transformative" year for the firm and highlighted the October launch of its Hyperion Imaging System, which allows researchers to add sample spatial and structural data to the multiplexed molecular analyses enabled by the company's mass cytometry systems.
"We've built a foundation for taking Fluidigm's technologies in mass cytometry and microfluidic genomics to larger markets, more users, and expanded applications," he said, adding that the company's year-over-year revenue growth in mass cytometry indicates "these business strategies are succeeding."
Over the last year, Fluidigm has moved to transition from its traditional focus on single-cell genomics to an emphasis on its mass cytometry and high-throughput genomics businesses.
Linthwaite noted that Europe and Asia-Pacific were particularly strong performers for the company in 2017, with revenues in those geographies up 10 percent and 8 percent, respectively. US revenues, in contrast, were down 13 percent for the year, which Linthwaite attributed to "the particularly high turnover we experienced in the US commercial team" and to "a leadership issue" in "multiple [US] sales territories."
While mass cytometry is, Linthwaite said, "far and away [the company's] fastest growing business," the company's high-throughput genomics business posted revenue growth in Q4, with sales up in all geographies. This was canceled out by a decline in its single-cell genomics business, making for an essentially flat quarter for Fluidigm's genomics segment.
According to Fluidigm CFO Vikram Jog, the company's active installed base of instruments fell to 1,310 at the end of 2017 from 1,340 at the end of 2016, which, he said, "primarily represents a lower active installed base of C1 and related BioMark instruments used in single-cell applications, offset by higher installed bases of mass cytometry and Juno instruments."
Looking forward, Linthwaite said he believes the company's mass cytometry technologies are "increasingly aligned with exciting new directions in cancer and immunology research," citing cancer immunotherapy as a particularly promising area for the company.
He set a goal of placing mass cytometry instruments in at least five National Cancer Institute-designated cancer centers in 2018, noting that the company currently has instruments in "29 of the 69 NCI-designated cancer centers or their associated translational research institutions in the United States."
Fluidigm's net loss for the year was $60.5 million, or $1.84 per share, versus a loss of $76.0 million, or $2.62 per share, for FY 2016. On a non-GAAP basis, its 2016 loss per share was $.91 compared to $1.43.
The firm's R&D spending for the year fell to $30.8 million from $38.4 million, while its SG&A expenses were 79.5 million compared to $93.2 million in 2016.
Fluidigm finished the year with $58.1 million in cash and cash equivalents, and $5.1 million in short-term investments.
The company expects its first quarter 2018 revenues to be between $24 million and $27 million.
In Friday morning trading on Nasdaq, Fluidigm shares were up 9 percent to $6.29.