Genomic Health, Inc. (GHDX) saw its loss narrow to $2.82 million, or $0.08 a share for the quarter ended Sep. 30, 2016. In the previous year period, the company reported a loss of $11.84 million, or $0.36 a share.
Revenue during the quarter grew 11.83 percent to $82.26 million from $73.55 million in the previous year period. Gross margin for the quarter expanded 277 basis points over the previous year period to 84.12 percent. Operating margin for the quarter stood at negative 3.67 percent as compared to a negative 7.39 percent for the previous year period.
Operating loss for the quarter was $3.02 million, compared with an operating loss of $5.44 million in the previous year period.
"In 2016 we have delivered three consecutive quarters of double-digit revenue growth, with 15 percent revenue growth and 12 percent test growth year-to-date, in line with our guidance provided in February," said Kim Popovits, chairman of the board, chief executive officer and president of Genomic Health. "We believe these results demonstrate the strength of our business, including the importance of continuing to generate clinical data that differentiate our Oncotype IQ™ portfolio of products. Specifically, in invasive breast cancer, Oncotype DX remains the only genomic test proven to predict chemotherapy benefit and, with our latest clinical validation study in prostate cancer announced today, we now provide the only test to predict all major short- and long-term outcomes."
Working capital increases marginally
Genomic Health, Inc. has recorded an increase in the working capital over the last year. It stood at $100.40 million as at Sep. 30, 2016, up 1.95 percent or $1.92 million from $98.48 million on Sep. 30, 2015. Current ratio was at 3.28 as on Sep. 30, 2016, up from 3.26 on Sep. 30, 2015.
Days sales outstanding went down to 37 days for the quarter compared with 42 days for the same period last year.
At the same time, days payable outstanding went up to 40 days for the quarter from 39 for the same period last year.
Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: editor@irisindia.net
