NEW YORK (GenomeWeb) – HTG Molecular Diagnostics reported after the close of the market on Thursday a 27 percent year-over-year increase in its third quarter revenues, largely driven by collaborative development services.
For the three-month period ended Sept. 30, HTG posted revenues of $4.7 million versus $3.7 million in the same period the year before. It missed the consensus Wall Street estimate of $5.1 million.
Revenues from products and product-related services — which include the sales of instruments and consumables, as well as use of HTG's EdgeSeq gene expression profiling technology — fell 19 percent in Q3 2018 to $1.3 million from $1.6 million in Q3 2017. Revenues from collaborative development services grew 62 percent to $3.4 million versus $2.1 million in the year-ago quarter.
On a conference call with investors, HTG CEO TJ Johnson said that the firm's "companion diagnostic development team, in the last year, has achieved customer acceptance of three multiplex gene expression assays, two of which are currently being used in clinical trials predicitve of drug and drug response."
HTG's Q3 net loss narrowed to $4.8 million, or $.17 per share, from $5.4 million, or $.46 per share, a year ago, beating analysts' consensus loss per share estimate of $.18.
HTG's R&D spending in the quarter inched up about 3 percent to $3.6 million from $3.5 million. SG&A costs, meanwhile, jumped 9 percent to $4.7 million from $4.3 million the year before.
At the end of September, HTG had $33.8 million in cash, cash equivalents, and short-term, available-for-sale securities investments.
Looking ahead, the Tucson, Arizona-based next-generation sequencing-based molecular profiling firm said it expects its full-year 2018 revenues to be in the range of $21 million to $25 million.
Johnson said that the firm plans to launch a "new immune profiling RUO panel early next year, as we are already geting requests from customers to do some work for them in that area."
Subsequent to the end of the third quarter, HTG appointed Maureen Cronin as the firm’s chief scientific officer and VP.