Very Important Read!!!
Will Canine Recaf have Big sales?
Will the Recaf Rapid test have Big Sales?
Does Abbott and Inverness know what caliber of test they are dealing with?
A quote from a very well known poster "The presentation by Abbott at the ISOBM does show that that RECAF works but it does not in any way indicate there will be a market for the test. If you have a product but no market, you might as well not have the product.
Please read in the following about BRCA that does not even tell one if they have cancer. It is only a genetic test that says you may get cancer sometime in your life. IMO we already all know that one may get cancer. Why would you need a test to tell you this?
Most importantly though is this next read. In one quarter alone the company who sells this test had sales of $326,000,000. Yes you read it correctly. This is 326 million in sales in ONE QUARTER ALONE!!! Sales were up over last years quarter by 47%.
Now...Knowing this test is selling $326,000,000 in one quarter for results that tell you if you may get cancer some time in your life, What do you think sales are going to be for RECAF that will tell you if you do or don't have cancer?
Do not let the naysayers sway you that no sales will materialize. This is pure nonsense. I still can not believe this company is making a killing on a test that says one may get cancer at some point in ones life. I could answer that question all day long. The answer is Yes.
"Results of Operations
Years ended June 30, 2009 and 2008
Molecular diagnostic revenue is comprised primarily of sales of our molecular diagnostic products. Molecular diagnostic revenue for the fiscal year ended June 30, 2009 was $326.5 million compared to $222.9 million for the prior fiscal year, an increase of 47%. Sales of BRACAnalysis account for most of our molecular diagnostic revenues. This 47% increase in molecular diagnostic revenue is primarily attributable to increased testing volume. Increased sales, marketing, and education efforts resulted in wider acceptance of our products by the medical community and patients and increased testing volumes for the fiscal year ended June 30, 2009. We are currently in the process of expanding our sales force, executing a public awareness marketing campaign, and increasing our market penetration in the U.S. Ob/Gyn market. Through these and other efforts we are attempting to broaden utilization of our products with current physician customers and increase the number of new physician customers prescribing our products. We believe these efforts will allow us to continue to grow molecular diagnostic revenue in future periods; however, the markets in which we operate are experiencing unprecedented economic turmoil resulting in loss of jobs, loss of employer sponsored insurance coverage, and reduced doctor visits. We believe that there has been some dampening effect on our revenue growth in the fourth quarter of fiscal 2009 due to these difficult economic times. In addition, because BRACAnalysis and most of our molecular diagnostic products are only utilized once per patient, we will need to sell our services through physicians to new patients or develop new molecular diagnostic products in order to continue to generate revenue. Therefore, there can be no assurance that molecular diagnostic revenue will continue to increase at historical rates.
Molecular diagnostic cost of revenue is comprised primarily of salaries and related personnel costs, laboratory supplies, royalty payments, equipment costs and facilities expense. Molecular diagnostic cost of revenue for the fiscal year ended June 30, 2009 was $43.3 million compared to $32.3 million for the prior fiscal year. This increase of 34% in molecular diagnostic cost of revenue is primarily due to the 47% increase in molecular diagnostic revenues for the fiscal year ended June 30, 2009 compared to the prior fiscal year. Our gross profit margin was 87% for the fiscal year ended June 30, 2009 compared to 85% for the prior fiscal year. This increase in gross profit margins is primarily attributable to technology improvements and efficiency gains in the operation of our molecular diagnostic laboratory. There can be no assurance that molecular diagnostic gross profit margins will continue to increase and we expect that our gross profit margins will fluctuate from quarter to quarter based on the introduction of new products as well as new technologies and operating systems in our molecular diagnostic laboratory. "
