Myriad Genetics Reports Fiscal Third-Quarter 2015 Financial Results

• Total Revenue of $180.0 Million
• Adjusted Diluted EPS of $0.40 and Diluted EPS of $0.29
• myRisk™ Hereditary Cancer Panel Ended Third Quarter at 58 Percent Conversion
• Myriad Acquires MVZ Clinic to Facilitate Reimbursement in Germany
• Company Provides Fiscal Fourth-Quarter 2015 Financial Guidance

SALT LAKE CITY, May 5, 2015 (GLOBE NEWSWIRE) -- Myriad Genetics, Inc. (Nasdaq:MYGN) today announced financial results for its fiscal third-quarter and nine months ended March 31, 2015, provided an update on recent business highlights and provided fiscal fourth-quarter and revised fiscal year 2015 financial guidance.

“I am pleased with our financial results for the third quarter particularly in light of the severe weather conditions across the northeast during January and February,” said Peter D. Meldrum, president and chief executive officer of Myriad. “More importantly, we believe we are positioned to see sequential growth in both revenues and earnings in the fourth quarter and are making excellent progress toward diversifying our portfolio and growing revenues.”

Fiscal Third-Quarter 2015 Financial Highlights

• Total revenue for the fiscal third quarter was $180.0 million compared to $182.9 million in the same period of the prior year, a decrease of 1.6 percent. Fiscal third-quarter 2015 revenue was detrimentally impacted by approximately $4 million due to severe weather conditions in the northeast throughout the months of January and February. The following tables display Myriad’s product revenue by market segment and product:

• myRisk Hereditary Cancer revenue increased to $81.6 million in the third quarter of fiscal 2015 from $14.5 million in the third quarter of the prior year, and the Company exited the quarter with 58 percent of incoming hereditary cancer samples ordered as myRisk testing.
• Adjusted operating income was $46.2 million in the third quarter which excludes certain non-cash amortization charges, one-time executive transition costs and one-time expenses tied to discontinued operations. Adjusted operating income declined 33 percent year-over-year primarily due to dilution associated with the Crescendo acquisition, lower gross margins associated with the transition costs of myRisk testing and product launch expenses for Prolaris^®, myPath^® Melanoma and myPlan^® Lung Cancer tests. GAAP operating income was $35.7 million, compared to $55.3 million in the same period of the previous year.
• Third-quarter adjusted net income was $29.3 million compared to $46.2 million in the same period of the previous year and adjusted diluted earnings per share were $0.40 compared to $0.60 in the same period of the prior year. GAAP net income was $21.5 million compared to $36.8 million in the same period of the previous year, and GAAP diluted earnings per share were $0.29, compared to $0.48 in the same period of the prior year.
• During the quarter, the Company repurchased approximately 1.8 million shares, or $62 million, of common stock under its share repurchase program. In February 2015 the Company’s board authorized the company to repurchase an additional $200 million of its common stock, almost all of which was remaining as of the end of the third quarter. Fiscal third-quarter diluted weighted average shares outstanding were 73.9 million compared to 76.4 million in the same period last year.

Business Highlights

• Myriad acquired a licensed German MVZ (Medizinisches Versorgungszentrum) clinic near Munich, Germany during the fiscal third quarter which the Company believes will facilitate penetration into the German molecular diagnostic market. The MVZ will allow Myriad to directly negotiate reimbursement with government and private insurance providers in the German market and collaborate with hospitals and physician groups. Myriad believes the acquisition will be slightly accretive to earnings per share for the foreseeable future.
• Myriad received a final local coverage determination (LCD) from Palmetto and a draft local coverage determination from Noridian covering its Prolaris test for low and very low risk patients with prostate cancer. The formal comment period on the draft LCD expired on April 30, 2015, and Myriad is awaiting a final Medicare reimbursement decision on Prolaris.
• During the third quarter, Myriad signed an expanded agreement with BioMarin Pharmaceutical. Under the expanded collaboration, BioMarin has agreed to use Myriad’s myChoice™ HRD companion diagnostic test to prospectively identify patients with metastatic breast, ovarian and potentially other tumor types that may be sensitive to BioMarin’s PARP inhibitor, talazoparib.
• The Company announced the expansion of its companion diagnostic collaboration with AstraZeneca. Under the terms of the expanded agreement, Myriad’s BRACAnalysis CDx™ test will be used to prospectively identify patients with metastatic pancreatic cancer that may respond to treatment with AstraZeneca’s PARP inhibitor, Lynparza™ (olaparib).
• Data from Myriad’s first pivotal clinical validation on myPath Melanoma testing was published in the Journal of Cutaneous Pathology, which demonstrated that the myPath™ Melanoma test is highly effective at differentiating benign skin moles from malignant melanoma with greater than 90 percent accuracy.
• Myriad presented its third clinical utility study on myPath Melanoma testing at the American Academy of Dermatology annual meeting. The study followed patients for 6 to12 months after their diagnosis and in 214 patients who received a benign myPath Melanoma score there was no evidence of recurrent disease.

Fiscal Fourth Quarter and Fiscal Year 2015 Financial Guidance

The Company is projecting total revenues for the fiscal fourth quarter ending June 30, 2015 of $187 to $189 million and adjusted diluted earnings per share of $0.40 to $0.42 (GAAP diluted EPS of $0.28 to $0.30). Based on this financial guidance and third quarter financial results, the Company is revising its fiscal year 2015 financial guidance and now expects total revenues of $720 to $722 million and adjusted diluted earnings per share of $1.44 to $1.46 (GAAP diluted EPS of $1.09 to $1.11). The primary reasons for this guidance revision are related to the impact of severe weather on our fiscal third-quarter revenue, a delay in Medicare reimbursement for Prolaris until the first quarter of fiscal year 2016, and a delay in international reimbursement. These projections are forward-looking statements and are subject to the risks summarized in the safe harbor statement at the end of this press release. The Company will provide further details on its business outlook during the conference call it is holding today to discuss its fiscal third quarter 2015 financial results.

Conference Call and Webcast

A conference call will be held today, Tuesday, May 5, 2015, at 4:30 p.m. Eastern Time to discuss Myriad’s financial results for the fiscal third quarter of 2015, business developments and financial guidance. The dial-in number for domestic callers is (800) 732-8470. International callers may dial (212) 231-2910. All callers will be asked to reference reservation number 21766620. An archived replay of the call will be available for seven days by dialing (800) 633-8284 and entering the reservation number above. The conference call also will be available through a live Webcast at www.myriad.com.

About Myriad Genetics

Myriad Genetics is a leading molecular diagnostic company dedicated to making a difference in patients’ lives through the discovery and commercialization of transformative tests to assess a person’s risk of developing disease, guide treatment decisions and assess risk of disease progression and recurrence. Myriad is focused on strategic directives to grow existing markets, diversify through the introduction of new products, including companion diagnostics, as well as to expand internationally. For more information on how Myriad is making a difference, please visit the Company’s website: www.myriad.com.

Myriad, the Myriad logo, BART, BRACAnalysis, Colaris, Colaris AP, myPath, myRisk, myRisk Hereditary Cancer, myChoice, myPlan, BRACAnalysis CDx, Tumor BRACAnalysis CDx, myChoice HRD, Vectra and Prolaris are trademarks or registered trademarks of Myriad Genetics, Inc. or its wholly owned subsidiaries in the United States and foreign countries. MYGN-F, MYGN-G

For full article, please click here.

Help employers find you! Check out all the jobs and post your resume.