Back to top

Image: Bigstock

Pacific Biosciences (PACB) Beats on Q2 Earnings & Revenues

Read MoreHide Full Article

Pacific Biosciences of California, Inc. (PACB - Free Report) incurred second-quarter 2019 adjusted loss of 16 cents per share, narrower than the Zacks Consensus Estimate of a loss of 18 cents. The company had incurred a loss of 17 cents in the year-ago quarter.
 
Revenues totaled $24.6 million, which beat the Zacks Consensus Estimate of $22 million and improved 14.1% from the year-ago quarter’s tally.
 
Segmental Analysis
 
Product Revenue: At this segment, revenues amounted to $21.3 million, up 15% from the prior-year quarter’s tally.
 
Service and Other Revenue: At this segment, revenues came in at $3.4 million, up 9% year over year.

Margin Analysis
 
Gross profit in the second quarter of 2019 was $9.6 million, up 8.5% on a year-over-year basis. Gross margin was 39% of total revenues, contracting 210 bps from the year-ago quarter.
 
Research and Development expenses fell 4.8% to $14.9 million in the quarter. Further, sales, general and administrative expenses increased 27.7% to $19.1 million.
 
Operating expenses totaled $33.9 million, up 11.1% year over year.
 
About the Illumina & Pacific Biosciences Merger

Illumina (ILMN) has confirmed its merger with Pacific Biosciences. Per management, the total value of the deal is approximately $1.2 billion. The agreement is expected to close by mid-2019.

For the three months ended June 30, 2019, the company realized around $3.8 million in operating expenses associated with the merger.

Zacks Rank

Pacific Biosciences carries a Zacks Rank #3 (Hold).

Earnings of MedTech Majors at a Glance

Some better-ranked stocks which reported solid results this earning season are Stryker Corporation (SYK - Free Report) , Baxter International Inc. (BAX - Free Report) and Intuitive Surgical, Inc. (ISRG - Free Report) , each carrying a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

Stryker delivered second-quarter 2019 adjusted earnings per share of $1.98, beating the Zacks Consensus Estimate by 2.6%. Revenues of $3.65 billion surpassed the Zacks Consensus Estimate by 1.4%.

Baxter delivered second-quarter 2019 adjusted earnings of 89 cents per share, which surpassed the Zacks Consensus Estimate of 81 cents by 9.9%. Revenues of $2.84 billion outpaced the Zacks Consensus Estimate of $2.79 billion by 1.9%.

Intuitive Surgical reported second-quarter 2019 adjusted earnings per share of $3.25, which beat the Zacks Consensus Estimate of $2.85. Revenues were $1.1 billion, outpacing the Zacks Consensus Estimate of $1.03 billion.

Wall Street’s Next Amazon

Zacks EVP Kevin Matras believes this familiar stock has only just begun its climb to become one of the greatest investments of all time. It’s a once-in-a-generation opportunity to invest in pure genius.

Click for details >>

Published in