Skip to main content
Premium Trial:

Request an Annual Quote

Bio-Rad Q3 Revenues Jump 6 Percent

NEW YORK (GenomeWeb) — Bio-Rad reported after the close of the market on Tuesday a 5 percent increase in third quarter revenues including a 6 percent spike in sales for its Life Science segment.

For the three months ended Sept. 30, Hercules, Calif.-based Bio-Rad reported revenues of $530.6 million compared to $505.1 million in the year-ago period, and beating the consensus analysts' estimate of $525.4 million.

On a currency-neutral basis, Bio-Rad's Q3 revenues increased just over 4 percent year over year.

Bio-Rad's Life Science segment recorded net sales of $172.8 million, a 6 percent year-over-year increase driven primarily by sales of the company's Droplet Digital PCR, cell biology, and protein separations products. On a currency-neutral basis, Life Science segment sales increased a little under 6 percent year over year.

Bio-Rad noted that its Life Science segment sales were particularly strong in Europe and North America.

Meantime, Bio-Rad's Clinical Diagnostics segment sales increased 5 percent to $354.7 million in Q3. On a currency-neutral basis, Clinical Diagnostics sales increased 4 percent.

Bio-Rad spent $52.8 million on R&D in Q3, essentially flat compared to the same quarter last year. Meantime, the company's SG&A expenses were nearly flat at $202.6 million.

During a conference call following the release of the company's earnings, Executive Vice President and CFO Christine Tsingos noted that SG&A expenses for the quarter also included a $9.6 million accrual in connection with the final settlement of the company's previously disclosed US Foreign Corrupt Practices Act investigation.

Earlier this week Bio-Rad announced the resolution of this investigation by the US Department of Justice and the Securities and Exchange Commission. Bio-Rad has agreed to pay $55 million to settle the SEC's charges and the parallel action by the DOJ.

Also included in Q3 SG&A expenses, Tsingos noted, was $3.5 million of favorable impact due to a reduction in the valuation of the purchase consideration for GnuBio, which Bio-Rad announced it had acquired in April and later disclosed an acquisition price of up to $110 million. In addition, quarterly SG&A included $2.1 million for amortization of intangibles related to prior acquisitions, Tsingos said.

Meantime, Bio-Rad's R&D quarterly comparison reflected a decline in spending associated with the completion and launch of new products in the life science space, which were offset by approximately $3 million of incremental spend for the development of a new diagnostic sequencing platform based on the GnuBio technology, Tsingos said.

Bio-Rad reported net income of $11.5 million, or $.39 per share, compared to a net loss of $7.1 million, or $.25 per share, during the same period last year. On average, analysts had expected EPS of $.86. However, net income included an incremental accrual of $12.1 million for the final settlement of the previously disclosed investigation in connection with the US Foreign Corrupt Practices Act, compared to an accrual of $20 million recorded in the year-ago quarter. Tsingos noted during the call that excluding this accrual, the company would have expected EPS of $.73.

Bio-Rad finished the quarter with $424.6 million in cash and cash equivalents and $278 million in short-term investments.

Regarding full-year 2014 guidance, Tsingos said during the call that the company anticipates full-year, currency-neutral sales growth of around 2.5 percent, in line with guidance set by the company at the beginning of the year.

"However, it is important to point out that given the significant strengthening of the US dollar, we wouldn't be surprised to see sales growth for the year fall below the 2 percent level on a reported basis," she said.

The Scan

Purnell Choppin Dies

Purnell Choppin, a virologist who led the Howard Hughes Medical Institute, has died at 91, according to the Washington Post.

Effectiveness May Decline, Data From Israel Suggests

The New York Times reports that new Israeli data suggests a decline in Pfizer-BioNTech SARS-CoV-2 vaccine effectiveness against Delta variant infection, though protection against severe disease remains high.

To See Future Risk

Slate looks into the use of polygenic risk scores in embryo screening.

PLOS Papers on Methicillin-Resistant Staphylococcus, Bone Marrow Smear Sequencing, More

In PLOS this week: genomic analysis of methicillin-resistant Staphylococcus pseudintermedius, archived bone marrow sequencing, and more.