Affymetrix, reported its operating results for the first quarter of 2011. Total revenue for the quarter was $73.7 million, as compared to total revenue of $80.2 million in the first quarter of 2010. The Company reported a slight profit in the first quarter of 2011. This compares to net loss of $9.6 million, or $0.14 per diluted share, in the same period of 2010.
For the first quarter of 2011, product revenue was $67.5 million, which consisted of consumable revenue of $62.9 million and instrument revenue of $4.6 million. Service revenue was $4.5 million, and royalties and other revenue was $1.7 million. This compares to first quarter 2010 product revenue of $73.4 million, which consisted of consumable revenue of $66.2 million and instrument revenue of $7.2 million. Service revenue was $4.5 million, and royalties and other revenue was $2.3 million.
For the first quarter of 2011, cost of product sales was $23.9 million compared to $28.5 million in the same period of 2010. Cost of services and other was $3.2 million compared to $4.6 million in the same period of 2010.
Product gross margin was 65%, as compared to 61% in the same period of 2010.
For the first quarter of 2011, operating expenses were $43.5 million as compared to operating expenses of $49.9 million in the same period of 2010, a reduction of 13%.
"A key goal for 2011 is to generate at least 25% of our revenue from new markets including cytogenetics and cancer. We grew this segment to 22% of revenue through the first quarter," said Kevin M. King, president & CEO. "We continue to make progress in our efforts to return to sustained profitability, with operating expenses down by 13% and gross margins improving 4 percentage points, generating a slight profit on $74 million of quarterly revenue."
Source: Affymetrix, Inc.