NEW YORK – NantHealth said Thursday after the close of the market that its fourth quarter revenues ticked up less than 1 percent year over year.
CFO Bob Petrou said in November that the company expected to see about $18 million in sales for the fourth quarter.
For the three months ended Dec. 31, 2020, the firm had slightly more than $18.6 million in total revenues compared to slightly less than $18.6 million a year ago.
In Q4 2020, NantHealth had total software-related revenues of $18.6 million, up 1 percent from $18.4 million in Q4 2019, including software as a service-related revenues of $18.2 million, down from $18.4 million a year ago.
The firm reported $378,000 in revenues from maintenance and $24,000 from professional services as a result of its July 22 acquisition of the OpenNMS Group, an open-source network management company, for about $6.1 million. NantHealth reported no revenues from either business in the year-earlier period.
In a conference call Thursday, COO Ron Louks said OpenMRS offers "cross-marketing" opportunities for the firm, including outside healthcare. He said that NantHealth in Q4 deployed the platform to an unspecified Fortune 500 energy company.
Louks also noted that NantHealth presented "significant treatment insights" at the 2020 San Antonio Breast Cancer Symposium related to trastuzumab biosimilars for treating HER2-positive breast cancer, thanks to its Eviti clinical decision support technology. This payor-facing technology is intended to identify opportunities for "high-value care," according to the company.
Revenue from sequencing and molecular analysis slipped to $39,000, a 74 percent decline from $152,000 in the year-earlier period.
NantHealth has previously said that it expects soft sequencing revenues until it receives a positive coverage determination from the US Centers for Medicare and Medicare Services for its Omics Core technology, a whole-exome tumor-normal in vitro diagnostic platform that measures overall tumor mutational burden in cancer tissue and reports somatic mutations in 468 cancer-relevant genes.
OmicsCore gained US Food and Drug Administration clearance in November 2019. In May 2020, NantHealth received a limited positive coverage determination notice from the MolDx program for Omics Core.
The El Segundo, California-based firm saw its net loss in the quarter grow to $20.1 million, or $.18 per share, from a net loss of $11.7 million, or $.11 per share in Q4 2019.
SG&A costs in the quarter fell by 8 percent to $11.7 million from $12.8 million in the previous year. NantHealth's R&D expenditures increased by 41 percent year over year to $4.8 million from $3.4 million.
The company ended the year with $22.8 million in cash and cash equivalents.
For the full year, total revenues slipped 5 percent to $73.2 million from $77.4 million in 2019.
NantHealth trimmed its net loss in 2020 to $56.3 million, or $.51 per share, from a net loss of $62.8 million, or $.57 per share, in 2020.
Full-year SG&A expenses fell 13 percent to $48.5 million from $55.6 million, while R&D outlay increased 24 percent to $17.3 million from $13.9 million.
Shortly after market opening Friday, NantHealth stock was at $4.08, 4 percent higher than the previous close of $3.92.