NeoGenomics (NEO) Tops Q4 EPS by 1c, Revenues Beat; Offers FY19 Revenue Guidance
NeoGenomics (NASDAQ: NEO) reported Q4 EPS of $0.06, $0.01 better than the analyst estimate of $0.05. Revenue for the quarter came in at $76.5 million versus the consensus estimate of $71.43 million.
- Consolidated revenue increased 24.5% to $76.5 million
- Consolidated revenue increased 17.0% to $71.8 million, excluding Genoptix
- Clinical Services revenue increased 23.3% to $65.9 million
- Pharma Services revenue increased 32.6% to $10.6 million
- Gross profit increased 38.7% to $37.1 million
- Gross margin increased approximately 500 basis points to 48.5%
Douglas M. VanOort, the Company’s Chairman and CEO, commented, “Fourth quarter results were excellent, and a strong finish to a great year for our company. We reported record revenue and EBITDA for the quarter, with high-teens organic revenue growth for the second consecutive quarter and continuing improvements in profitability and cash flow.
Both the Clinical and Pharma Services divisions performed well in Quarter 4. Clinical division growth of 23% was driven by strong organic revenue growth and fueled by the acquisition of Genoptix which was completed on December 10th. Key fundamental measures of test volume, revenue-per-test and cost-per-test all improved. Pharma Services division revenue grew by 33% and the backlog of signed contracts is at record levels.
We are also excited about our opportunities in the near and long-term. The integration of Genoptix is well underway, and we are more convinced than ever of the benefits of this combination. We continue to sign a number of big contracts with oncology practices, hospitals, payors, group purchasing organizations, and leading pharma and biotech companies, and our pipelines remain robust. The opportunities for future growth are strong, and we believe that NeoGenomics is in better competitive and financial position than ever before.”
GUIDANCE:
NeoGenomics sees FY2019 revenue of $379-395 million, versus the consensus of $385.69 million.
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