NEW YORK (GenomeWeb News) – Monogram Biosciences reported after the close of the market on Wednesday that its first-quarter revenues fell 4 percent on lower product revenue and its net loss surged on a convertible debt valuation adjustment.
The South San Francisco, Calif.-based pharmacogenomics test maker brought in total revenues of $14.2 million for the three-month period ended March 31, compared to revenues of $14.8 million for the first quarter of 2008. Its product revenue fell to $13.6 million from $14 million, and its contract revenue slipped to $605,000 from $820,000.
Monogram posted a net loss of $11.4 million, or $.50 per share, compared to a net loss of $1.7 million, or $.08 per share, for the first quarter of 2008. The most recent quarter included a $5.4 million charge related to a convertible debt valuation adjustment, compared to a gain of $4.7 million for such an adjustment for the first quarter of 2008.
The firm's R&D expenses decreased around 2 percent to $5.9 million from $6 million, and its SG&A spending decreased around 16 percent to $7.5 million from $8.9 million.
Monogram finished the quarter with $13.7 million in cash and cash equivalents.
William Young, CEO of Monogram, said in a statement that the firm will focus on three sources of revenue growth in 2009 including increased sales of its Trofile assay, which helps physicians determine whether a CCR5 antagonist like Pfizer's maraviroc (Selzentry) may be a good therapeutic option. He expects the other growth drivers to be the firm's HERmark test for assessing breast cancer patients' HER2 status, and its VeraTag assays for drug development programs focused on markers in the EGFR/HER family.