Cepheid last week reported a 28 percent spike in first-quarter revenues driven primarily by strong sales in its clinical diagnostics business, including record sequential growth in clinical reagent sales.

Despite the sales growth, Cepheid reported a net loss of $5.5 million for the quarter, compared to a profit of $527,000 in the first quarter of 2011 — a result that company officials chalked up to "unanticipated challenges" associated with a manufacturing scale-up.

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