- The base business grew 5.4% lead by molecular diagnostics, surgical and international franchises.Restructuring completed.
- The newly acquired Cynosure business grew by 5.7%; blood screening business of $38.4M was divested.
- GAAP Revenues were $715.4M with diluted EPS of $1.84.
- Molecular Diagnostics revenues were $142.1M an increase of 12.6%.
- GYN Surgical revenues were $101.1 an increase of 11.2%.
- Gross margin was 54.3% on a GAAP basis.
Foundation Medicine, Inc (FMI) Announced Earnings Yesterday
- Clinical Test volume grew 55% YoY with Revenues of $26.3M but revenue declined from $30.4M.
- A collaboration agreement with Bristol MyersSquibb was announced in immuno-oncology.
- Revenue Outlook for 2017 has not changed at $135-145M.
- Net loss was $1.31 share and the Company has about $99M in cash.
The FMI stock closed down 5.44% to $34.15. We added FMI stock to the Rayno Diagnostic and Tools Portfolio on July 5, 2016 at a price of $20.5. Roche (RHHBY) owns a major equity position. The stock can be quite volatile with a 2017 range of $19.55 to $35. The short position is 24.5% of float.