NEW YORK – Fulgent Genetics said Friday that its core third quarter revenues, which excludes COVID-19-related testing and sequencing, grew 9 percent year over year with strong contributions from the firm's laboratory services business fueling growth.
For the three months ended Sept. 30, Fulgent reported revenues of $71.7 million compared to $84.7 million and in line with analysts' average estimate.
All three areas of the company's laboratory services business grew sequentially in Q3, Fulgent CEO and Chairperson of the Board Ming Hsieh noted in a statement.
"We are pleased with our financial performance in the third quarter and our trajectory for the remainder of 2024, as we continue to grow core revenue and improve operations," CFO Paul Kim added in the statement.
Last week, the company said it was awarded a five-year contract worth up to $99 million from the US Department of Veterans Affairs to provide hereditary cancer, pharmacogenetic, and other genetic testing to veterans.
Fulgent's Q3 R&D spending grew 18 percent to $11.8 million from $10.0 million a year ago, while its SG&A costs rose 9 percent to $30.1 million from $27.7 million.
The company's Q3 net loss swelled to $14.6 million, or $.48 per share, from a net loss of $13.1 million, or $.44 per share, a year ago. On an adjusted basis, the company reported earnings per share of $.31 compared to analysts' consensus estimate for a loss per share of $.15. The non-GAAP earnings for Q3 2024 includes a $1.1 million tax effect gain versus a nearly $11.7 million tax effect loss for the comparable quarter in 2023.
Fulgent finished the quarter with $58.0 million in cash and cash equivalents and $757.3 million in marketable securities investments.
The company reiterated full-year core revenue guidance of approximately $280 million. It also said it expects an improvement in full-year loss per share to $1.70 from a previous expectation of $1.95, and adjusted EPS of $.33 compared to a previous expectation of a loss per share of $.30.