NEW YORK, Nov. 13 – Beleaguered bioinformatics company Genomica suffered a six percent drop in third quarter revenues after two undisclosed customers decided not to renew their contracts.
The Boulder-based company, which last month announced that it would slash 100 out of 150 jobs, said late Monday evening that revenues for the third quarter totaled $385,000, down from $409,000 in the year ago period.
"We are continuing to explore strategic alternatives currently available to us," Teresa Ayers, Genomica CEO, said in a statement. "As a result of the restructuring announced in early October, the company is operating near cash flow breakeven. We will make further announcements as to the direction of the company as developments warrant."
At the time of the restructuring announcement, Genomica said that the effort stemmed from a determination that the company could not realize its original goals of delivering novel software tools to the genomics market. As a result, the company decided to focus on combining its genetic analysis software with hardware.
During the quarter, operating expenses, excluding non-cash compensation charges, totaled $5.5 million, up from $3.6 million during the same period in 2000. Genomica said these expenses are expected to fall as a result of the restructuring plan.
The company posted a pro forma net loss, which excludes non-cash compensation charges, of $4.2 million, or 18 cents a share, compared with $3.0 million, or 20 cents a share in the year ago period. The number of shares has also been weighted to reflect the assumed conversion of preferred stock to common stock following its initial public offering in September of last year.
Genomica said that all charges related to the restructuring would be posted in the fourth quarter.
The company currently has $113 million in cash, cash equivalents, long-term investments, and interest receivable, after raising $122 million last year in one of the largest initial public offerings the genomics sector has seen.