REDWOOD CITY, Calif., Jan. 7 /PRNewswire-FirstCall/ -- Genomic Health, Inc. (Nasdaq: GHDX) today announced that it expects to meet its 2009 annual revenue guidance. Preliminary total revenue for the year ended December 31, 2009 is expected to be $149.5 million, compared with $110.6 million in 2008, representing an increase of 35 percent. Additionally, the company delivered approximately 49,030 Oncotype DX tests in 2009, an increase of 24 percent compared to 2008. The Company anticipates reporting revenue for the fourth quarter of approximately $39.5 million, compared to $31.2 million in the fourth quarter of 2008, an increase of 26 percent. Preliminary fourth quarter total revenue was affected by a delay in the receipt of payments, which the Company estimates to be approximately $2.5 million, from Anthem Insurance Companies and the Blue Card program administered by Blue Shield of California. Genomic Health expects these payments to be received in early 2010, at which time they will be recognized as revenue.
As previously announced, Genomic Health and Anthem established a contract on August 1, 2009. The contract has required implementation steps, which have affected the timing of payments since the contract became effective. Anthem has confirmed with Genomic Health its commitment to the contract terms. In addition, there was a temporary interruption in payments from Blue Card due to documentation requirements, which has recently been resolved.
These statements about estimated results are preliminary, as Genomic Health's fourth-quarter and fiscal year-end books are not yet closed. The Company will announce its actual results for the quarter in early February and will announce annual 2010 guidance at that time.
About Genomic Health
Genomic Health, Inc. (NASDAQ: GHDX) is a life science company focused on the development and commercialization of genomic-based clinical laboratory services for cancer that allow physicians and patients to make individualized treatment decisions. In 2004, Genomic Health launched the Oncotype DX® breast cancer test, which has been shown to predict the likelihood of chemotherapy benefit as well as recurrence in early-stage breast cancer. In addition to the widely adopted Oncotype DX breast cancer test, Genomic Health is preparing to launch its Oncotype DX colon cancer test in the first quarter of 2010. The company was founded in 2000 and is located in Redwood City, California. For more information, please visit www.genomichealth.com.
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements relating to the Company's expectation of meeting annual guidance, anticipated full year 2009 and fourth quarter 2009 revenue, estimates as to the amount of payments that were delayed and the timing of receipt of those payments and its planned launch of a colon cancer test. Forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially, and preliminary results should not be considered as an indication of future performance. These risks and uncertainties include, but are not limited to: adjustments in the company's accounts as the result of closing the company's books and the audit of the company's financial statements; risks associated with the receipt of delayed payments and the company's ability to recover those payments; risks and uncertainties associated with the introduction of the new colon cancer test, including regulation of our tests by FDA and unanticipated costs or delays in development and commercialization efforts; and the other risks set forth in the Company's filings with the Securities and Exchange Commission, including the risks set forth in the Company's Quarterly Report on Form 10-Q for the quarter ended September 30, 2009. These forward-looking statements speak only as of the date hereof. Genomic Health disclaims any obligation to update these forward-looking statements.
NOTE: The Genomic Health logo, Oncotype, Oncotype DX and Recurrence Score are trademarks or registered trademarks of Genomic Health, Inc. All other trademarks and service marks are the property of their respective owners.
SOURCE Genomic Health