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NanoString Preannounces Sharp Revenue Growth for Q4, Full-year 2014

NEW YORK (GenomeWeb) – NanoString Technologies preannounced its fourth quarter and full-year 2014 revenues after the close of the market on Thursday.

For the fourth quarter, the Seattle-based firm said that revenues are anticipated to be in the range of $15 million to $16 million, which would represent an increase of 48 percent to 58 percent year over year from $10.1 million in revenues during Q4 2013. The consensus analyst estimate for revenues in the quarter is $15 million.

The firm added that it received a $1 million incremental milestone payment from Celgene during the quarter, bringing the total cash payments from their collaboration, announced in June, to $11.8 million in 2014. NanoString is developing a companion diagnostic for Celgene's diffuse large B-cell lymphoma therapeutic Revlimid (lenalidomide).

For full-year 2014, the firm anticipates revenues of between $47 million and $48 million, which would represent a 50 percent to 53 percent increase over revenues of $31.4 million recorded in 2013. NanoString had previously guided to revenues of between $46 million and $48 million. The consensus analyst expectation is for $46.9 million in revenues.

NanoString said it had cash, cash equivalents, and short-term investments of about $72 million, and an installed base of 264 nCounter Analysis Systems as of Dec. 31, 2014.

NanoString CEO Brad Gray said in a statement that the firm posted record revenues for the fourth quarter "and robust year-over-year growth … Our nCounter technology has emerged as a leading platform for tumor profiling, with broad and growing acceptance in both research and clinical markets."

He added that NanoString intends to "dramatically expand our accessible market in 2015 with the introduction of our next-generation system and proteomics applications. Furthermore, by efficiently executing under our Celgene collaboration, we have demonstrated a distinctive capability to support rapid development of complex companion diagnostics, opening the door to more collaboration opportunities with additional biopharmaceutical companies in the future."

NanoString has targeted companion diagnostics as a major growth driver.