SAN DIEGO (dpa-AFX) - Illumina Inc. (ILMN), Monday posted a loss for the first quarter from a profit a year ago, hurt largely by a hefty litigation payment. Nevertheless, adjusted earnings for the period improved driven mainly by a 21 percent revenue growth. Shares of the company rose six percent in extended trading after both earnings and revenues for the period trumped analysts' estimates.
San Diego, California-based Illumina posted a loss of $22.6 million or $0.18 per share for the first quarter, compared to a profit of $26.2 million or $0.20 per share last year.
During the quarter, Illumina recorded $106.9 million in payment related to Syntrix Biosystems Inc. litigation. On March 14, Illumina said a federal jury found that Illumina's BeadChip array product infringed Syntrix Biosystems's patent and ordered to pay about $96 million in damages.
Nevertheless, Illumina said it continues to believe that Syntrix claims are without merit and plans to file post-trial motions asking the court to vacate the jury's finding and to rule that the BeadChip does not infringe Syntrix patent.
Excluding special items, adjusted earnings for the quarter improved to $0.46 per share from $0.36 per share a year ago. Analysts polled by Thomson Reuters estimated earnings of $0.39 per share for the quarter. Analysts' estimates typically exclude special items.
Revenues for the quarter grew 21 percent to $331.0 million from $272.8 million a year ago. Analysts estimated revenues of $310.73 million for the quarter.
Gross margin for the quarter was 66.3 percent compared to 66.4 percent last year.
Chief Executive Jay Flatley said, 'Our business demonstrated strong growth across the entire portfolio, which resulted in record revenue, and we made significant progress on furthering our reproductive health strategy with the closing of the Verinata acquisition. We are now focused on continuing to deliver on our 2013 strategic initiatives for strong long-term growth.'
ILMN closed Monday's trading at $55.12, down $0.97 or 1.73%, on the Nasdaq. The stock, however, gained $4.00 or 7.26% in after hours.
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