Skip to main content
Premium Trial:

Request an Annual Quote

Affy's Q2 Revenues Fall 6 Percent but Beat Estimates; Shares Soar

NEW YORK (GenomeWeb News) – Affymetrix reported after the close of the market Wednesday that its second-quarter revenues declined 6 percent year-over-year while a loss in the year-ago period swung to a $7.3 million profit.

Affy posted total second-quarter revenue of $81.6 million, compared to $86.9 million in the comparable period of 2008. The company reported a negative currency impact of $3 million.

Its results handily beat analysts' consensus estimate of $77.1 million. In early Thursday trade on the Nasdaq, Affy's shares soared 24 percent to $7.28.

Product revenue for the quarter fell 10 percent to $67.2 million from $75 million in the second quarter of 2008. Arrays and reagents brought in $62.2 million and instruments $5 million in the current quarter.

Service revenue increased more than 8 percent to $12.2 million from $9 million in the prior-year period, while royalties and other revenue fell to $2.2 million from $2.9 million.

The company said it shipped 27 systems in the quarter, bringing its cumulative systems shipped to 1,866.

Affy reported net income of $7.3 million, or $.11 per diluted share, compared to a net loss of $3.6 million, or $.05 per share, in the year-ago period. The current quarter included a pretax restructuring charge of $200,000 and a $17.4 million gain on its repurchase of $69.1 million worth of convertible notes. The prior-year quarter included a pretax restructuring charge of $900,000.

Excluding the gain, Affy's EPS loss would have been $.07, which beat analysts' consensus estiate of $.19.

R&D spending rose to $20.4 million from $19.6 million while sales, general, and administrative costs increased to $31.7 million from $29.6 million in the second quarter of 2008.

As of June 30, Affy held $73.3 million in cash and cash equivalents.

The Scan

More Boosters for US

Following US Food and Drug Administration authorization, the Centers for Disease Control and Prevention has endorsed booster doses of the Moderna and Johnson & Johnson SARS-CoV-2 vaccines, the Washington Post writes.

From a Pig

A genetically modified pig kidney was transplanted into a human without triggering an immune response, Reuters reports.

For Privacy's Sake

Wired reports that more US states are passing genetic privacy laws.

Science Paper on How Poaching Drove Evolution in African Elephants

In Science this week: poaching has led to the rapid evolution of tuskless African elephants.