NEW YORK (GenomeWeb) — German molecular diagnostics firm Epigenomics today posted a 7 percent increase in its first quarter revenues, driven by higher product sales that offset a decline in licensing revenue.
For the three-month period ended March 31, Epigenomics' revenues increased to €331,000 ($370,600) from €309,000 in the year-ago quarter. Sales of products — which include the company's flagship Epi proColon blood-based colorectal cancer screening test — nearly tripled to €322,000 from €108,000. Licensing revenue, however, dropped 96 percent to €9,000 from €201,000 due to the company's termination of a Chinese licensing agreement for its Septin9 biomarker and Epi proColon with BioChain.
Epigenomics' Q1 net loss fell to €3.0 million, or €.08 per share, from €3.2 million, or €.13 per share, in the year-ago period.
R&D spending was essentially unchanged in the quarter at €1.6 million as higher expenses for R&D projects were matched by lower expenses for intellectual property rights. Meanwhile, SG&A costs climbed 33 percent to €2.4 million from €1.8 million amid higher marketing expenses including sales commissions now paid to Epi proColon US commercialization partner Polymedco.
At the end of the first quarter, Epigenomics had cash, cash equivalents, and marketable securities totaling €12.9 million.
Looking ahead, Epigenomics said that it continues to expect full-year 2019 revenues in the range of €3.0 million to €6.0 million.
Earlier this month, the Centers for Medicare & Medicaid Services (CMS) accepted the Epigenomics' application for a National Coverage Determination review of Epi proColon, which CEO Greg Hamilton said in a statement is "a major step to receive a positive coverage decision in 2019."