Sequenom (SQNM), a life sciences company committed to enabling healthier lives through the development of innovative products and services, swung to a net profit for the quarter ended Dec. 31, 2014. The company has made a net profit of $18.31 million, or $ 0.14 a share in the quarter, against a net loss of $18.88 million, or $0.16 a share in the last year period.

Revenue during the quarter grew 12.58 percent to $36.79 million from $32.68 million in the previous year period. Gross margin for the quarter expanded 2137 basis points over the previous year period to 52.99 percent. Operating margin for the quarter period stood at positive 54.32 percent as compared to a negative 58.72 percent for the previous year period.

Operating income for the quarter was $19.98 million, compared with an operating loss of $19.19 million in the previous year period.

“2014 was a pivotal year for Sequenom. In addition to growing the business and improving profitability, we completed multiple strategic transactions including the divestiture of the Sequenom Bioscience business unit, the buyout of the patent rights from Isis Innovation, as well as the settlement and pooled patents agreements with Illumina,” said Bill Welch, chief executive officer of Sequenom, Inc.

Operating cash flow remains negative
Sequenom has spent $28.09 million cash to meet operating activities during the year as against cash outgo of $88.10 million in the last year.

Cash flow from investing activities was $32.88 million for the year, up 9.55 percent or $2.87 million, when compared with the last year.

The company has spent $5.71 million cash to carry out financing activities during the year as against cash outgo of $6.10 million in the last year period. It has made net debt repayment of $7.54 million. It has raised net of $1.83 million by selling common stocks.

Cash and cash equivalents stood at $63.31 million as on Dec. 31, 2014, up 2.79 percent or $1.72 million from $61.59 million on Dec. 31, 2013.

Working capital increases sharply
Sequenom has recorded an increase in the working capital over the last year. It stood at $65.69 million as at Dec. 31, 2014, up 26.58 percent or $13.79 million from $51.89 million on Dec. 31, 2013. Current ratio was at 2.17 as on Dec. 31, 2014, up from 2.05 on Dec. 31, 2013.

Debt comes down significantly
Sequenom has recorded a decline in total debt over the last one year. It stood at $4.14 million as on Dec. 31, 2014, down 45.78 percent or $3.50 million from $7.64 million on Dec. 31, 2013. Total debt was 2.57 percent of total assets as on Dec. 31, 2014, compared with 5.28 percent on Dec. 31, 2013. Debt to equity ratio was at 0.13 as on Dec. 31, 2014, up from 0.16 as on Dec. 31, 2013. Interest coverage ratio improved to 10.15 for the quarter from 9.37 for the same period last year.