Fulgent Reports Third Quarter 2023 Financial Results

On November 3, 2023 Fulgent Genetics, Inc. (NASDAQ: FLGT) ("Fulgent" or the "Company"), a technology-based company with a well-established clinical diagnostic business and a therapeutic development business, reported financial results for its third quarter ended September 30, 2023 (Press release, Fulgent Genetics, NOV 3, 2023, View Source [SID1234636938]).

Schedule your 30 min Free 1stOncology Demo!
Discover why more than 1,500 members use 1stOncology™ to excel in:

Early/Late Stage Pipeline Development - Target Scouting - Clinical Biomarkers - Indication Selection & Expansion - BD&L Contacts - Conference Reports - Combinatorial Drug Settings - Companion Diagnostics - Drug Repositioning - First-in-class Analysis - Competitive Analysis - Deals & Licensing

                  Schedule Your 30 min Free Demo!

Third Quarter 2023 Results:

Total Revenue of $85 million
Core Revenue1 grew 17% year-over-year to $66 million
GAAP loss of $13.1 million, or $0.44 per share
Non-GAAP loss of $11.7 million, or $0.39 per share
Adjusted EBITDA of $18.1 million
Generated cash flow from operations of $10.2 million
Cash, cash equivalents, and investments in marketable securities of $851 million as of September 30, 2023
Note:

1) Core Revenue excludes revenue from COVID-19 testing products and services including COVID-19 NGS testing revenue.

Non-GAAP income (loss), non-GAAP income (loss) per share, and adjusted EBITDA income (loss) are described below under "Note Regarding Non-GAAP Financial Measures" and are reconciled to the most directly comparable GAAP financial measure, GAAP income (loss), in the accompanying tables.

Commenting on the results, Ming Hsieh, Chairman of the Board and Chief Executive Officer, said, "We continue to see good momentum in our core business, with particular strength in precision diagnostics. I am pleased with the trajectory of the business and our ability to use our resources efficiently as we continue to grow our core revenue. At the same time, we are advancing our therapeutics development business, Fulgent Pharma, with ongoing clinical data of our lead drug candidate, FID-007, being presented tomorrow at the Society for Immunotherapy of Cancer (SITC) (Free SITC Whitepaper) annual meeting in San Diego. We believe these data continue to support our program, and we are excited to initiate Phase 2 studies of FID-007 in head and neck cancer in the first quarter of 2024."

Paul Kim, Chief Financial Officer, added, "We are pleased with our performance as we near the end of 2023, with momentum in the business and a strong financial profile. Even as we continue to invest in our business and repurchase shares, we are maintaining an enviable cash position with which to execute our strategy in 2024 and beyond."

Outlook

For the full year 2023, Fulgent expects:

Core Revenue of approximately $260 million
GAAP loss of approximately $2.15 per share
Non-GAAP loss of $0.95 per share
Cash, cash equivalents, and investments in marketable securities of approximately $830 million as of December 31, 2023*
*Cash expenditures may be higher or lower than currently estimated due to a variety of facts and circumstances, including as a result of the Company’s ongoing stock repurchase program or other expenditures outside of ordinary course.

Conference Call Information

Fulgent will host a conference call for the investment community today at 8:30 AM ET (5:30 AM PT) to discuss its third quarter 2023 results. The call may be accessed through a live audio webcast on the Investor Relations section of the Company’s website, View Source An audio replay will be available at the same location.