NEW YORK (GenomeWeb) – MDxHealth today reported today that its total revenues for the first nine months of 2018 dropped 21 percent, as gains in product and service revenue was offset by lower royalty and patent income.
For the nine months ended Sept. 30th, the firm's total revenues declined to $24 million from $30.5 million in the same period the year before. Its product and service revenues were $23.4 million, Â up 29 percent from $18.2 million for the first nine months of 2017. However, its royalties and patent income were $567,000 versus $12.3 million for the first nine months of 2017, the result of the sale of certain patents to Exact Sciences last year.
MDxHealth noted that it had product revenues of $22.1 million, an increase of 26 percent from $17.6 million a year earlier. The firm's ConfirmMDx for Prostate Cancer test contributed $20.4 million to product and service revenue, while revenue for the SelectMDx for Prostate Cancer contributed $1.7 million, up 43 percent from $1.2 million the year before.
Total global patient test volume for the first nine months rose 20 percent to 27,911 from 23,393.
The company noted that signed 10 new payor contracts during Q3 — seven for ConfirmMDx and three for SelectDx — totaling 104 contracts.
However, MDxHealth's net loss rose to $22.8 million, or $.38 per share, from $7.4 million, or $.15 per share, a year earlier. Its operating expenses increased $37.7 million for the period compared to $30.5 million.
The firm finished the first nine months of the year with $32.7 million in cash and cash equivalents.
"Our efforts to expand the use of SelectMDx in active surveillance and primary care settings are on track, significantly enlarging the overall potential market for the product," MDxHealth CEO Jan Groen said in a statement.
Looking ahead, the firm expects a "significant" increase in the SelectMDx test volume in the US after "completion and planned publication of one of our large clinical validation studies in Q1 2019."
MDxHealth also noted that it remains on track to increase growth in product and services revenue, although "more challenging visibility in the latter part of the year makes it harder to predict whether the rate of growth will exceed that of the previous year."