Sequenom Says Q3 Revenue Grows 43 Percent as LossNarrows; Firm Ups '06 Guidance
Sequenom’s third-quarter revenues increased 43 percent as R&D spending rose 16 percent and losses decreased by 16 percent, the company announced last week.
Total receipts for the three months ended Sept. 30 increased to $6.5 million from $4.6 million year over year.
R&D spending increased to $3 million from $2.6 million year over year.
The company’s losses declined to $5.3 million from $6.3 million in the year-ago period.
Sequenom said it had around $29.6 million in cash, cash equivalents, short-term investments, and restricted cash as of Sept. 30.
The company said it is increasing its 2006 financial guidance to $27 million from $24 million, which would be a 39-percent improvement over 2005.
Despite the positive results, shares in Sequenom were down 6.5 percent, or $.23, at $3.30 in mid-afternoon trading on the day of the annoucement.
DSM Venturing Invests €2 Million Equity In IntegraGen; DSM Personalized Nutrition Group, IntegraGen R&D Partners
Genetic test developer IntegraGen announced this week DSM Venturing has invested €2 million in the company. Simultaneously, IntegraGen has entered into a collaborative R&D partnership with DSM Personalized Nutrition Group to develop molecular diagnostic products for personalized health care.
Under the agreement, IntegraGen will receive upfront fees, license fees and funding for research and development. Additionally, IntegraGen may receive royalties upon commercialization. Both companies will retain intellectual property rights to the portfolio developed under the collaboration in their respective focus areas, which is diagnostics and medicines for IntegraGen and nutrition for DSM.
“The DSM collaboration enhances our position in the personalized medicine market, promising to further expand our patent portfolio and commercialized products in the areas of obesity and metabolic disorders,” IntegraGen CEO Jan Mous said in a release.
In turn, DSM stands to benefit from IntegraGen’s access to targeted patient populations through its proprietary gene identification platform, Genome HIP.
Ciphergen Reports 34 Percent Decline in Q3 Revenues, Narrowed Loss
Ciphergen’s third-quarter revenues decreased 34 percent as R&D spending fell 6 percent and losses decreased 6 percent, the company said this week.
Total receipts for the three months ended Sept. 30 decreased to $4.7 million from $7.1 million year over year. Ciphergen said most of that revenue came from sales of its ProteinChip arrays, SELDI instruments, and its biomarker development services.
R&D spending decreased to $2.9 million from $3.1 million year over year.
The company said losses declined to $7 million from $7.5 million in the year-ago period.
Ciphergen said it had around $15 million in cash and cash equivalents as of Sept. 30.
The company said that the third quarter was likely the last full quarter of revenue from its life science research business, which it is selling to Bio-Rad in a deal that was originally expected to close last week. Ciphergen did not provide an update on the timing of the sale.
Ciphergen said it does not anticipate having “significant revenue” following the sale until its diagnostic tests are commercialized. The company said its ovarian cancer diagnostic test will finish clinical trials and will await FDA review in the second half of 2007.
Until then, the company said it expects “significantly reduced” operating expenses in the fourth quarter due to its reduction in staff to 50 people.
Ciphergen said it has “sufficient” cash for the $4 million to $5 million it expects to spend quarterly over the coming year.
Clinical Data Announces New Alliances and License Agreements
Clinical Data said this week it will provide Quintiles services related to the evaluation of drug induced QT prolongation.
Clinical Data’s service division, Cogenics, will perform the pharmacogenomics analyses at its New Haven, Conn., laboratories. Quintiles and Clinical Data, as part of the agreement, may also collaborate on drug-induced QT prolongation studies for “potential development of new products and services.”
A separate agreement with Mayo Foundation for Medical Education and Research grants Clinical Data a license “under a variety of patents and patent applications” to provide testing for UGT1A1, a gene involved in the metabolism of Pfizer’s colorectal cancer drug Camptosar.
In turn, Clinical Data has “exclusively licensed to Mayo Clinic certain of its own UGT1A1-related patent rights,” the company announced Oct. 31. The agreement has significant regulatory implications, since FDA recently revised Camptosar’s label to recommend patients reduced dosing if they test homozygous for the *28 variant of UGT1A1. Third Wave already markets an UGT1A1 test [PGx Reporter 06-16-05].