Affymetrix, Inc., (NASDAQ:AFFX) today reported its operating
results for the first quarter of 2011. Total revenue for the
quarter was $73.7 million, as compared to total revenue of $80.2
million in the first quarter of 2010.
The Company reported a slight profit in the first quarter of
2011. This compares to net loss of $9.6 million, or $0.14 per
diluted share, in the same period of 2010.
For the first quarter of 2011, product revenue was $67.5
million, which consisted of consumable revenue of $62.9 million and
instrument revenue of $4.6 million. Service revenue was $4.5
million, and royalties and other revenue was $1.7 million. This
compares to first quarter 2010 product revenue of $73.4 million,
which consisted of consumable revenue of $66.2 million and
instrument revenue of $7.2 million. Service revenue was $4.5
million, and royalties and other revenue was $2.3 million.
For the first quarter of 2011, cost of product sales was $23.9
million compared to $28.5 million in the same period of 2010. Cost
of services and other was $3.2 million compared to $4.6 million in
the same period of 2010.
Product gross margin was 65%, as compared to 61% in the same
period of 2010.
For the first quarter of 2011, operating expenses were $43.5
million as compared to operating expenses of $49.9 million in the
same period of 2010, a reduction of 13%.
“A key goal for 2011 is to generate at least 25% of our revenue
from new markets including cytogenetics and cancer. We grew this
segment to 22% of revenue through the first quarter,” said Kevin M.
King, president & CEO. “We continue to make progress in our
efforts to return to sustained profitability, with operating
expenses down by 13% and gross margins improving 4 percentage
points, generating a slight profit on $74 million of quarterly
revenue.”
During the First Quarter, the
Company:
- Launched the GeneChip® miRNA 2.0 Array.
This enhanced microRNA tool enables the research community's
pursuit of personalized medicine by accelerating the identification
of biomarkers and gene expression signatures associated with
disease. The miRNA 2.0 Array combines the most comprehensive miRNA
view with the highest level of sensitivity available.
- Introduced the Affymetrix SNP 6 Core
Reagent Kit, a comprehensive workflow solution that provides
pre-mixed and validated reagents for nearly every step in the SNP
6.0 assay. This convenient kit eliminates the need for mixing
buffers, reduces the need to order from multiple vendors, and
enables easier inventory management with a single kit. Comprised of
validated reagents available from Affymetrix and leading reagent
suppliers, the SNP 6 Core Reagent Kit performs to Affymetrix
specifications with genomic DNA from blood, saliva, and cell lines,
as well as whole-genome-amplified DNA.
- Announced OncoScan™ FFPE Express 2.0, a
second-generation platform that offers enhanced coverage of tumor
suppressors and oncogenes. Designed in collaboration with leading
cancer researchers representing the Stand Up To Cancer (SU2C)
initiative, OncoScan FFPE Express 2.0 overcomes the challenge of
analyzing DNA from formalin-fixed, paraffin-embedded (FFPE) tissues
to extract important retrospective clinical data from archived
samples. This innovative assay goes beyond limitations of standard
array comparative genomic hybridization methods to yield copy
number, allelic ratio, and somatic mutation data from only 75
nanograms of input DNA, the lowest sample requirement available. In
addition, it provides the highest quality data, as demonstrated by
greater than 92 percent pass rates across thousands of the most
degraded and challenging FFPE samples.
- Expanded its Axiom™ product line with
the Genome-Wide CHB 1 Array, the first commercial product to
maximize genetic coverage of common alleles in Han Chinese
populations. The CHB 1 array is a powerful tool for characterizing
the genetic basis of disease and studying disease associations in
Han Chinese populations. To design the array, researchers at the
Bio-X Center of Shanghai Jiao Tong University and Beijing's Fuwai
Hospital took advantage of more than 10 million validated markers
in the Axiom Genomic Database, including content drawn from the
1000 Genomes Project and the International HapMap Project.
Affymetrix' management team will host a conference call on April
27, 2011 at 2:00 p.m. PT to review its operating results for the
first quarter of 2011. A live webcast can be accessed by visiting
the Investor Relations section of the Company’s website at
www.affymetrix.com. In addition, investors and other interested
parties can listen by dialing domestic: (877) 407-8291,
international: (201) 689-8345.
A replay of this call will be available from 5:00 p.m. PT on
April 27, 2011 until 8:00 p.m. PT on May 4, 2011 at the following
numbers: domestic: (877) 660-6853, international: (201) 612-7415.
The passcode for both replays is 370998. An archived webcast of the
conference call will be available under the Investor Relations
section of the Company's website.
About Affymetrix
Affymetrix technology is used by the world's top pharmaceutical,
diagnostic, and biotechnology companies, as well as leading
academic, government, and nonprofit research institutes. More than
2,100 systems have been shipped around the world and over 23,000
peer-reviewed papers have been published using the technology.
Affymetrix is headquartered in Santa Clara, California, and has
manufacturing facilities in Cleveland, Ohio, and Singapore. The
Company has more than 900 employees worldwide and maintains sales
and distribution operations across Europe, Asia and Latin America.
For more information about Affymetrix, please visit the Company's
website.
All statements in this press release that are not historical are
"forward-looking statements" within the meaning of Section 21E of
the Securities Exchange Act as amended, including statements
regarding Affymetrix' "expectations," "beliefs," "hopes,"
"intentions," "strategies" or the like. Such statements are subject
to risks and uncertainties that could cause actual results to
differ materially for Affymetrix from those projected, including,
but not limited to: risk relating to the Company’s ability to
successfully commercialize new products, risk relating to past and
future acquisitions, including the ability of the Company to
successfully integrate such acquisitions into its existing
business; risks of the Company's ability to achieve and sustain
higher levels of revenue, higher gross margins and reduced
operating expenses; uncertainties relating to technological
approaches, risks associated with manufacturing and product
development; personnel retention; uncertainties relating to cost
and pricing of Affymetrix products; dependence on collaborative
partners; uncertainties relating to sole-source suppliers;
uncertainties relating to FDA and other regulatory approvals;
competition; risks relating to intellectual property of others and
the uncertainties of patent protection and litigation. These and
other risk factors are discussed in Affymetrix' Annual Report on
Form 10-K for the year ended December 31, 2010, and other SEC
reports. Affymetrix expressly disclaims any obligation or
undertaking to release publicly any updates or revisions to any
forward-looking statements contained herein to reflect any change
in Affymetrix' expectations with regard thereto or any change in
events, conditions or circumstances on which any such statements
are based.
PLEASE NOTE:
Affymetrix, the Affymetrix logo, GeneChip, and all other
trademarks are the property of Affymetrix, Inc.
AFFYMETRIX, INC.
CONDENSED CONSOLIDATED BALANCE
SHEETS
(IN THOUSANDS)
(UNAUDITED)
March 31, December 31, 2011
2010 ASSETS: (Note 1) Current assets: Cash and cash
equivalents $29,629 $35,484 Restricted cash—short-term portion 305
287 Available-for-sale securities—short-term portion 52,129 67,223
Accounts receivable, net 51,674 52,281 Inventories 49,068 49,373
Deferred tax assets—short-term portion 1,002 1,071 Prepaid expenses
and other current assets 6,935 9,422 Total current assets 190,742
215,141 Available-for-sale securities—long-term portion 161,755
134,190 Property and equipment, net 51,415 54,177 Acquired
technology rights, net 35,723 38,858 Deferred tax assets—long-term
portion 4,942 4,894 Other long-term assets 12,046 13,525 Total
assets $456,623 $460,785
LIABILITIES AND STOCKHOLDERS’
EQUITY: Current liabilities: Accounts payable and accrued
liabilities $38,293 $44,259 Deferred revenue—short-term portion
10,367 10,950 Total current liabilities 48,660 55,209 Deferred
revenue—long-term portion 4,428 4,601 Other long-term liabilities
11,641 11,748 Convertible notes 95,472 95,472 Stockholders’ equity:
Common stock 705 706 Additional paid-in capital 744,574 742,206
Accumulated other comprehensive income 1,637 1,376 Accumulated
deficit (450,494) (450,533) Total stockholders’ equity 296,422
293,755 Total liabilities and stockholders’ equity $456,623
$460,785
_____________
Note 1: The condensed consolidated
balance sheet at December 31, 2010 has been derived from the
audited consolidated financial statements at that date included in
the Company’s Annual Report on Form 10-K for the fiscal year
ended December 31, 2010.
AFFYMETRIX, INC.
CONDENSED CONSOLIDATED STATEMENTS OF
OPERATIONS
(IN THOUSANDS, EXCEPT PER SHARE
AMOUNTS)
(UNAUDITED)
Three Months
Ended
March 31,
2011
2010
REVENUE: Product sales $67,463 $73,443 Services 4,508 4,463
Royalties and other revenue 1,753 2,281 Total revenue 73,724 80,187
COSTS AND EXPENSES: Cost of product sales 23,899 28,459 Cost
of services and other 3,200 4,589 Research and development 16,268
18,479 Selling, general and administrative 27,212 31,379 Total
costs and expenses 70,579 82,906 Income (loss) from operations
3,145 (2,719) Interest income and other, net (1,894) (3,598)
Interest expense 938 2,432 Income (loss) before income taxes 313
(8,749) Income tax provision 274 871 Net income (loss) $39 $(9,620)
Basic net income (loss) per common share $0.00 $(0.14)
Diluted net income (loss) per common share $0.00 $(0.14)
Shares used in computing basic net income (loss) per common share
70,648 67,889 Shares used in computing diluted net income (loss)
per common share 71,267 67,889
Affymetrix (NASDAQ:AFFX)
Historical Stock Chart
From Jul 2024 to Aug 2024
Affymetrix (NASDAQ:AFFX)
Historical Stock Chart
From Aug 2023 to Aug 2024