Luminex Corporation Pre-Release of 3rd Quarter 2020 Revenue

Rhea-AI Summary

Luminex Corporation (Nasdaq: LMNX) reported approximately $106 million in revenues for Q3 2020, marking a 35% increase from Q3 2019. Key highlights include a nearly 100% rise in Molecular Diagnostics revenue to $60 million, while Licensed Technologies Group revenue fell 10% to $35 million. Flow Cytometry revenue increased 13% to $10 million. CEO Nachum Shamir noted strong demand for COVID-19-related products, with ongoing manufacturing expansions expected to ease supply constraints. The complete financial results will be discussed on November 2, 2020.

Positive

• Q3 2020 revenues reached approximately $106 million, up 35% year-over-year.
• Molecular Diagnostics revenue nearly doubled to $60 million, indicating strong growth.
• Expansion of ARIES® manufacturing expected to address supply backlog for COVID-19 products.

Negative

• Licensed Technologies Group revenue declined by 10% to $35 million.
• Some ongoing headwinds in Clinical Tools and Life Science business despite signs of recovery.

AUSTIN, Texas, Oct. 7, 2020 /PRNewswire/ -- Luminex Corporation (Nasdaq: LMNX) today announced 3^rd quarter 2020 revenues of approximately $106 million, up approximately 35% over the 3^rd quarter of 2019. Highlights include:

• Molecular Diagnostics revenue of approximately $60 million, up almost 100% vs. Q3 2019
• Licensed Technologies Group revenue of approximately $35 million, down 10% vs. Q3 2019
• Flow Cytometry revenue of approximately $10 million, up 13% vs. Q3 2019

"We successfully executed on our revised plan and finished the quarter with revenue of approximately $106 million from our strong and diversified business," said Nachum "Homi" Shamir, Chairman, President, and CEO of Luminex. "We continue to experience tailwinds in our MDx business as we help combat the COVID-19 pandemic, with orders for our ARIES^®-based, COVID-19-related products continuing to outstrip our ability to supply. We have completed our planned expansion activities on our NxTAG^® line and the expansion of our ARIES^® manufacturing line should be completed during the 4^th quarter, and will help us to address the backlog and continued strong demand for our COVID-19-related PCR products. Our Clinical Tools and Life Science business is beginning to see recovery from pandemic lows, but we are still experiencing some headwinds. We are also looking forward to several near-term product launches that will further solidify our extensive portfolio."

The full financial results for the quarter, and any changes to 2020 guidance and/or provision thereof, will be discussed on our third quarter earnings call, currently scheduled for November 2, 2020.

ABOUT LUMINEX CORPORATION

At Luminex, our mission is to empower labs to obtain reliable, timely, and actionable answers, ultimately advancing health. We offer a wide range of solutions applicable in diverse markets including clinical diagnostics, pharmaceutical drug discovery, biomedical research, genomic and proteomic research, biodefense research, and food safety. We accelerate reliable answers while simplifying complexity and deliver certainty with a seamless experience. To learn more about Luminex, please visit us at luminexcorp.com.

USE OF FORWARD-LOOKING STATEMENTS
Statements made in this release that express Luminex's or management's intentions, plans, beliefs, expectations, or predictions of future events are forward-looking statements. Forward-looking statements in this release include statements regarding expected revenue and cost savings and projected 2020 performance, including revenue guidance. The words  "expect," "anticipate," "will," "could," "should" and similar expressions are intended to further identify such forward-looking statements for purposes of the Private Securities Litigation Reform Act of 1995. It is important to note that the Company's actual results or performance could differ materially from those anticipated or projected in such forward-looking statements. Factors that could cause Luminex's actual results or performance to differ materially include risks and uncertainties relating to, among others, negative effects from the worldwide COVID-19 pandemic (including but not limited to the general economic downturn related to such pandemic, travel restrictions related thereto, business closures that may affect our supply chain or our ability to install instruments, and delays in FDA clearances related to adjustments in the agency's approval priorities in response to the pandemic), concentration of Luminex's revenue in a limited number of direct customers and strategic partners, some of which may be experiencing decreased demand for their products utilizing or incorporating Luminex's technology, budget or finance constraints in the current economic environment, or periodic variability in their purchasing patterns  or practices as a result of internal resource planning challenges; market demand and acceptance of Luminex's products and technology, including ARIES^®, MultiCode^®, xMAP^®, xMAP^® INTELLIFLEX, VERIGENE^®, VERIGENE^® II, Guava^®, Muse^®, Amnis^® and NxTAG^® products; Luminex's ability to scale manufacturing operations and manage operating expenses, gross margins and inventory levels; Luminex's ability to obtain and enforce intellectual property protections on Luminex's products and technologies; the impact on Luminex's growth and future results of operations with respect to the loss of the LabCorp women's health business; Luminex's ability to successfully launch new products in a timely manner; dependence on strategic partners for development, commercialization and distribution of products; risks and uncertainties associated with implementing Luminex's acquisition strategy, Luminex's challenge to identify acquisition targets, including Luminex's ability to obtain financing on acceptable terms; Luminex's ability to integrate acquired companies or selected assets into Luminex's consolidated business operations, and the ability to fully realize the benefits of Luminex's acquisitions; the timing of and process for regulatory approvals; competition and competitive technologies utilized by Luminex's competitors; fluctuations in quarterly results due to a lengthy and unpredictable sales cycle; fluctuations in bulk purchases of consumables; fluctuations in product mix, and the seasonal nature of some of Luminex's assay products; Luminex's ability to comply with applicable laws, regulations, policies and procedures; the impact of the ongoing uncertainty in global finance markets and changes in governmental and governmental agency funding, including effects on the capital spending policies of Luminex's partners and end users and their ability to finance purchases of Luminex's products; changes in principal members of Luminex's management staff; potential shortages, or increases in costs, of components or other disruptions to Luminex's manufacturing operations; Luminex's increasing dependency on information technology to improve the effectiveness of Luminex's operations and to monitor financial accuracy and efficiency; the implementation, including any modification, of Luminex's strategic operating plans;  the uncertainty regarding the outcome or expense of any litigation brought against or initiated by Luminex; risks relating to Luminex's foreign operations, including fluctuations in exchange rates, tariffs, customs and other barriers to importing/exporting materials and products in a cost effective and timely manner; difficulties in accounts receivable collections; Luminex's ability to monitor and comply with foreign and international laws and treaties; and Luminex's ability to comply with changes in international taxation policies; budget or finance constraints in the current economic environment, or periodic variability in their purchasing patterns or practices as a result of material resource planning challenges; reliance on third party distributors for distribution of specific Luminex-developed and manufactured assay products, as well as the risks discussed under the heading "Risk Factors" in Luminex's Reports on Forms 10-K and 10-Q, as filed with the Securities and Exchange Commission. The forward-looking statements, including the financial guidance and 2020 outlook, contained herein represent the judgment of Luminex as of the date of this press release, and Luminex expressly disclaims any intent, obligation or undertaking to release publicly any updates or revisions to any forward-looking statements to reflect any change in Luminex's expectations with regard thereto or any change in events, conditions or circumstances on which any such statements are based.

Investor Contact:
Harriss Currie
Sr. Vice President of Finance and CFO
hcurrie@luminexcorp.com
512-219-8020

Investor Relations Contact:
Carla Stanaford
cstanaford@luminexcorp.com
937-469-2120

Media Contact:
Michele Parisi
Bioscribe
mparisi@bioscribe.com
925-864-5028

 

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SOURCE Luminex Corporation

FAQ

What were Luminex's Q3 2020 revenues?

Luminex reported approximately $106 million in revenues for Q3 2020, a 35% increase compared to Q3 2019.

How much did Molecular Diagnostics revenue grow in Q3 2020?

Molecular Diagnostics revenue grew almost 100% to approximately $60 million in Q3 2020.

When will Luminex discuss its full financial results for Q3 2020?

Luminex will discuss its complete financial results on a conference call scheduled for November 2, 2020.

What challenges did Luminex face in Q3 2020?

Luminex experienced a 10% decline in Licensed Technologies Group revenue and ongoing headwinds in its Clinical Tools and Life Science business.