NEW YORK (GenomeWeb) – T2 Biosystems announced after the close of the market Tuesday that its net loss increased for the second quarter as the firm continued the rollout of its Candida test.
For the three-month period ended June 30, T2 reported revenues of $564,000, which it said were generated solely through research and development deals, including one with Canon US Life Sciences earlier this year to develop a test for Lyme disease detection. Analysts had, on average, expected revenues of $547,000.
T2 noted that since the end of the first quarter it has inked contracts for adoption of its T2 Candida and T2Dx instrument with eight new hospitals in the US. It said that it now has a total of 10 contracted accounts.
The Candida panel and the T2Dx instrument were cleared by the US Food and Drug Administration in September 2014. The panel detects Candida albicans, Candida tropicalis, Candida parapsilosis, Candida glabrata, and Candida krusei.
The firm's net loss for the second quarter rose to $11 million, or $.54 a share, from $9.2 million, or $6.35 a share, the year before, topping Wall Street's expectations by $.03 a share. The loss per share in the most recent quarter was impacted by an increase in the number of T2's outstanding shares to 20.3 million from 1.5 million following its August 2014 initial public offering.
Research and development spending in the quarter rose by about $2 million to $6.7 million. During a conference call, T2 CFO Marc Jones said the increase was in part associated with work on additional applications for the company's T2MR magnetic resonance detection technology.
Meanwhile, T2's selling, general, and administrative costs climbed to $4.4 million from $2.4 million, reflecting the ongoing expansion of the firm's marketing programs, growth of its US commercial infrastructure, and an uptick in share-based compensation charges, as well as the added costs of doing business as a public company, Jones said.
At the end of the second quarter, T2 had cash and cash equivalents totaling $53.3 million.
In Wednesday morning trade on the Nasdaq, shares of T2 were up 5 percent at $15.07.