Biocept sees 3Q revenue rocket four-fold, driven by coronavirus RT-PCR testing

Biocept Inc (NASDAQ:BIOC) (FRA:B003) posted third-quarter results after the market closed Thursday, that saw its revenue jump four-fold year-over-year, driven by the molecular diagnostics company’s astute decision to offer coronavirus (COVID-19) RT-PCR testing.  For the period ended September 30, 2020, the San Diego-based company reported revenue of $6.6 million, compared to $1.5 million in the third quarter of 2019.   “Revenues for the 3Q included $6.4 million in commercial test revenue, which includes $5.7 million attributable to RT-PCR COVID-19 testing, $47,000 in development services test revenue and $154,000 in revenue for distributed products, Target Selector RUO kits, CEE-Sure blood collection tubes and payments from Aegea Bioscience for services related to the development of a COVID-19 assay,” said the company.    READ: Biocept wins Hong Kong patent for the enhanced detection of rare cells, including cancer cells During the third quarter, Biocept accessioned 52,993 samples, compared with 1,429 total samples in the same period in 2019.  “I am very proud of our hard-working team who have rallied to support public health efforts with our COVID-19 testing, while continuing to provide excellent service for our core oncology clients and the patients under their care," said Biocept CEO Michael Nall. "Offering COVID-19 testing services was the right thing to do, and we fully expect this testing to be an important part of our business until the pandemic subsides," he added. The Biocept boss noted that oncology still remained the firm’s long-term focus and the company continued executing on priorities to build its business for a post-pandemic future. During the quarter, Biocept experienced an anticipated recovery in its oncology testing volume due to its new strategy in neuro-oncology. “Our Target Selector CSF assays are proving to be more sensitive than conventional cytology alone in detecting lung and breast cancer that has metastasized to the brain or central nervous system," said Nall.  "These CSF assays have value as a diagnostic tool in helping to determine whether a patient's cancer has metastasized to the cerebrospinal fluid and in profiling biomarkers to help physicians with treatment selection. We are implementing new clinical programs focused on neuro-oncology testing, which we view as a significant growth opportunity." The company’s R&D expenses for the third quarter totaled $1.1 million, compared to $1.2 million for the same period in 2019. The decrease was due to a reduction in lab costs. General and admin expenses for the quarter totaled $3 million, compared to $1.7 million for the third quarter of 2019, with the increase due to legal and investor relations expenses, as well as headcount additions to handle COVID-19 related activities. Sales and marketing expenses stayed flat at $1.4 million. The company’s net loss for the third quarter was $4.9 million, or $0.43 per share, compared to a net loss of $5.7 million, or $2.47 per share in the same period a year earlier. Revenue for the first nine months of 2020 totaled $9 million, compared to $3.7 million for the first nine months of 2019. The net loss was $19.7 million, or $1.48 per share. Contact the author Uttara Choudhury at uttara@proactiveinvestors.com Follow her on Twitter: @UttaraProactive