Gen-Probe Reports Q4, 2009 Results
Posted: February 19, 2010
Gen-Probe Inc. reported financial results for the fourth quarter of 2009, with record product sales and total revenues driving non-GAAP earnings per share (EPS) of $0.52 and GAAP EPS of $0.48.
In the fourth quarter of 2009, clinical diagnostics sales growth was driven by transplant diagnostics and influenza products, and the APTIMA Combo 2 assay for detecting Chlamydia and gonorrhea. Compared to the prior year period, clinical diagnostics sales also benefited from the weaker US dollar, which added an estimated $0.8 million, or 1%, to growth.
In blood screening, fourth quarter sales growth was driven mainly by higher sales of TIGRIS instruments to Novartis, which generally are a precursor to future assay sales. Compared to the prior year period, blood screening sales also benefited from the weaker US dollar, which added an estimated $1.2 million, or 2%, to growth.
Sales of research products and services in the fourth quarter of 2009 were $4.4 million. These sales, resulting from the Tepnel acquisition, were not included in Gen-Probe's prior year results.
For the full year 2009, clinical diagnostics sales were negatively affected by the stronger U.S. dollar, which reduced growth by an estimated $2.9 million, or 1%, compared to the prior year. In blood screening, full year 2009 sales also were negatively affected by the stronger U.S. dollar, which reduced growth by an estimated $6.1 million, or 3%, compared to the prior year.
Collaborative research revenues in the fourth quarter of 2009 were $2.0 million, compared to $2.1 million in the prior year period. For the full year 2009, collaborative research revenues were $7.9 million, compared to $20.6 million in the prior year. As discussed, this decrease resulted primarily from the $10.0 million milestone earned from Novartis in 2008 based on the full FDA approval of the PROCLEIX ULTRIO assay on the TIGRIS system.
Royalty and license revenues for the fourth quarter of 2009 were $1.4 million, compared to $1.3 million in the prior year period. For the full year 2009, royalty and license revenues were $6.6 million, compared to $22.9 million in the prior year. As discussed, this decrease resulted primarily from $16.4 million of revenue that was recorded in 2008 associated with the settlement of patent infringement litigation against Bayer.