Biocept Inc (NASDAQ: BIOC) saw revenue jump by double-digits in the first three months of 2020 as it closed its first quarter with cash and cash equivalents of $21.5 million.
In a statement Wednesday, the San Diego-based company that develops liquid biopsy tests for commercial use clocked $1.4 million in revenue, nearly all of it from testing revenue. That’s a 41% year-over-year increase.
Biocept has developed a patented liquid biopsy technology called Target Selector that detects and isolates cancer biomarkers such as circulating tumor cells (CTCs) and cell-free circulating tumor DNA (ctDNA). It offers the tests to doctors, hospitals, clinics and researchers, with a focus on lung, breast, gastric, colorectal and prostate cancers as well as melanoma.
The company also is developing a coronavirus (COVID-19) diagnostic test, creating another potential revenue stream.
"Revenue for the first quarter was $1.4 million, representing a 41% increase over the prior-year period driven by a 27% increase in revenue per commercial accession," said CEO Michael Nall.
"We increased revenues even with the headwinds of the COVID-19 pandemic, which we estimate led to an approximate 15-25% decline in commercial volume from current customers and also impacted opportunities for us to gain new customers with the closing of many physician offices and labs."
Nall added: "Importantly, we believe we are well-positioned to weather the pandemic, which is impacting testing volume industrywide, and for a return to growth as shelter-in-place restrictions are lifted and physician offices and labs reopen."
He said the company expects that when it is safe for patients diagnosed with cancer to continue to seek treatment, its commercial volume will return to a more normal level.
“We are particularly pleased with our strengthened balance sheet, having raised approximately $36.3 million in net proceeds since the beginning of December 2019,” Nall said.
"While we believe that based on historical and planned cash usage, our current funding is expected to support operations through most of 2021; however, with the uncertainty introduced by the impact of COVID-19 on revenue and collections, our cash runway may be shorter."
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