Pacific Biosciences of California announces layoffs of 130 employeesPacific Biosciences partners with Cycle ComputingPacific Biosciences, Cycle Computing partner for DNA analysis in the cloud Follow this company .Inc. laid off 130 employees, more than a quarter of its workforce, the company said Tuesday.
The Menlo Park developer of gene sequencing equipment (NASDAQ: PACB) said in a filing with the Securities and Exchange Commission the move was “in consideration of uncertainties associated with the economic environment” and designed to conserve cash.
“The company’s current infrastructure was staffed to support a faster adoption rate for its products,” the company said in its SEC filing, adding that it also expected the layoffs to improve service, continue product improvements and conserve cash.
The layoffs will largely occur this month, the company said.
PacBio expects to end the third quarter with about $190 million, after a $5.2 million charge in the third quarter to account for the layoffs.
PacBio shipped its first commercial DNA sequencing system in April.
The company last month reported a net loss of $57.3 million, or $1.08 per share, on revenue of $10.9 million in the first six months of the year. During the same period last year — before a $200 million IPO in October 2010 — it lost $63 million, or $99.58 per share, on revenue of less than $1.2 million.
PacBio is in a young but highly competitive space, facing off against Illumina Inc. .Illumina Inc. Latest from The Business Journals Helicos co-founder resigns from boardHelicos seeks to revive through David v Goliath lawsuitBatten disease parents aim at screening Follow this company .(NASDAQ: ILMN), Mountain View-based Complete Genomics Inc .Complete Genomics Inc Latest from The Business Journals CEO: Inova gene contract a 'game changer'Inova eyes venture with California companyLessons learned by Complete Genomics’ Cliff Reid while building an industry leader Follow this company .. (NASDAQ: GNOM) and South San Francisco’s Ion Torrent, which Life Technologies Corp. .Life Technologies Corp. Latest from The Business Journals Helicos co-founder resigns from boardHelicos seeks to revive through David v Goliath lawsuitFox Chase Cancer Center, Life Tech ink tumor deal Follow this company .(NASDAQ: LIFE) bought last October for $375 million in cash and stock.
Those companies are developing faster sequencing machines as the price of the technology drops, allowing researchers and molecular diagnostics companies to work more quickly for a lower cost. At the same time, institutional researchers’ budgets are under strain as government budgets are slashed.
