Genetic Technologies Announces Financial Results for Quarter Ended March 31,
MELBOURNE, AUSTRALIA -- (Marketwired) -- 04/30/13 -- Genetic
Technologies Limited (ASX: GTG) (NASDAQ: GENE)
-- Record BREVAGen(TM) samples received in March quarter, up 10%
-- Total BREVAGen(TM) sales revenue increased by 31% sequentially
-- Reimbursement contracts with top U.S. PPOs continue to progress
Genetic Technologies Limited (ASX: GTG) (NASDAQ: GENE) today announced
its financial results for the quarter ended March 31, 2013.
Total cash receipts from customers during the period were $1.25
million, with year-to-date cash collection totalling $6.5 million.
Continued strength in domestic revenues in the quarter demonstrate
further growth and expansion of BREVAGen(TM), Genetic Technologies'
flagship non-familial breast cancer risk assessment test.
Of particular note during the period, the Company saw record samples
received from BREVAGen(TM). The Company reported 403 samples received
in the quarter, growing 10% sequentially, and demonstrating
increasing traction in the market. Further, total sales revenue for
the test increased 31% sequentially, benefitting from positive
changes affecting the reimbursement of the test.
"We are thrilled to see the uptick in both samples received and sales
revenue for BREVAGen(TM) in the quarter," said Alison Mew, Chief
Executive Officer of Genetic Technologies. "The record strength in
the quarter is illustrative both of the continued traction
BREVAGen(TM) is generating in the U.S. marketplace, as well as the
favorable effect of the new reimbursement guidelines with regard to
our fully adjudicated claims."
On January 1, 2013, the American Medical Association revised the code
stack claim process for reimbursement, requiring tests without a
specific CPT code to be claimed via an "unlisted or miscellaneous
code." Since January 1, as part of this transition, the list price
for BREVAGen(TM) was increased to enable the Company to receive
payment for aspects of the test that were not previously available
under the prior code stack process. Early signs for fully adjudicated
claims under this new mandate, with average insurance payments
received from closed cases, including a
ll write-offs and denials for
non-coverage, increased over 40%, despite the fact that the
proportion of denials has risen.
Credentialing contracts have been executed with four leading U.S.
PPOs: Prime Health Services, National Preferred Provider
Network/PlanCare America/Ohio Preferred Provider Network LLC
(NPPN/OPPN), Galaxy Health Network, and Fortified Provider Network.
The Company is actively pursuing further agreements with three other
PPOs in order to extend access to an increased number of covered
During the quarter under review, the Company filed further law suits
against Natera Inc., HistoGenetics LLC, and General Genetics
Corporation, and discussions with these entities are now being
pursued. The Company's US attorneys, Sheridan Ross PC, are also
preparing additional suits, to be filed when appropriate.
On 29 April and 30 April 2013, respectively, the Company announced
that it had executed agreements with PreventionGenetics LLC and
Genetics & IVF Institute Inc. The execution of these agreements
demonstrates the ongoing activity of the Company's out-licensing
The BREVAGen(TM) breast cancer risk
stratification test is a novel genetic test panel that examines a
patient's DNA to detect the absence or presence of certain common
genetic variations (SNPs) associated with an increased risk for
developing breast cancer. The test is designed to help physicians
assess aggregate breast cancer risk from these genetic markers, plus
factors from a standard clinical assessment based on a patient's
family and personal history, thus giving a clearer picture of an
individual woman's risk of developing breast cancer. The BREVAGen(TM)
test may be especially useful for women predisposed to hormone
dependant breast cancer, including those who have undergone breast
biopsies, as the test will provide information that can help
physicians recommend alternative courses of action, such as more
vigilant, targeted surveillance or preventive therapy, on a
personalized patient-by-patient basis.
About Genetic Technologies Limited
Genetic Technologies was an early
pioneer in recognizing important new applications for "non-coding"
DNA (Deoxyribonucleic Acid). The Company has since been granted
patents in 24 countries around the world, securing intellectual
property rights for particular uses of non-coding DNA in genetic
analysis and gene mapping across all genes in all species. Its
business strategy is the global commercialization of its patents
through an active out-licensing program and the global expansion of
its oncology and cancer management diagnostics portfolio. Genetic
Technologies is an ASX and NASDAQ listed company with operations in
the USA and Australia. For more information, please visit
Safe Harbor Statement
Any statements in this press release that
relate to the Company's expectations are forward-looking statements,
within the meaning of the Private Securities Litigation Reform Act.
The Private Securities Litigation Reform Act of 1995 (PSLRA)
implemented several significant substantive changes affecting certain
cases brought under the federal securities laws, including changes
related to pleading, discovery, liability, class representation and
awards fees and of 1995. Since this information may involve risks and
uncertainties and are subject to change at any time, the Company's
actual results may differ materially from expected results.
Additional risks associated with Genetic Technologies' business can
be found in its periodic filings with the SEC.
FOR FURTHER INFORMATION PLEASE CONTACT
Ms. Alison J. Mew
Chief Executive Officer
Genetic Technologies Limited
Phone: +61 3 8412 7000
Laura Forman (USA)
Blueprint Life Science Group
+1 (415) 375 3340, Ext. 103
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