NEW YORK – Interpace Biosciences reported before the open of the market Tuesday that its second quarter revenues fell 14 percent year over year.
For the three months ended June 30, the Parsippany, New Jersey-based cancer diagnostics firm reported revenues of $5.4 million, down from $6.3 million in the year-ago quarter and missing the consensus Wall Street estimate of $5.9 million.
"I am proud during [the COVID-19 pandemic] that we managed our costs effectively, continued to service customers and physicians, improved reimbursements, produced solid clinical results and grew our pharma services backlog while protecting our employees and seeking to operate as effectively and efficiently as possible," Jack Stover, president and CEO of Interpace, said in a statement.
The firm noted that its Q2 pharma services entered into about $9 million of new agreements, which it believes has established the opportunity for future revenues. The firm had previously acquired Cancer Genetics' biopharma service business in Q3 2019 as part of its plans to expand into the biopharma sector.
Interpace had delayed filing of its second quarter 10-Q due to an investigation regarding an employee claim of inappropriate billing practices, which was originally announced in August. However, Stover said in a statement that the external audit committee investigation found all claims to be unsubstantiated.
The firm posted a net loss of $5.5 million, or $1.36 per share, for the quarter, compared to a net loss of $5.2 million, or $1.37 per share, in the year-ago period. On an adjusted basis, the firm's net loss for the quarter was $1.34, beating the consensus Wall Street estimate for a loss of $1.48 per share.
Interpace's R&D spending fell 15 percent year over year to $550,000, from $647,000 in Q2 2019, while its sales, marketing, general, and administrative costs remained the same at $5.7 million.
The company finished the quarter with $15.1 million in cash and cash equivalents.
Interpace is projecting third quarter revenue of between $7.5 million and $7.8 million.
In Wednesday morning trading on the Nasdaq, shares of Interpace were down about 6 percent at $3.73.