Enzo Biochem (ENZ) - Get Enzo Biochem, Inc. Report shares jumped Tuesday after the biosciences and diagnostics company reported a 62% surge in revenue for its fiscal 2021 second quarter, ended Jan. 31, as the COVID pandemic continued to drive demand for Enzo's testing equipment.
Revenue registered $31.5 million, up from $19.4 million last year. Enzo posted a profit of $2.3 million, or 5 cents a share, swinging from a year-ago loss of $7.7 million, or 16 cents a share.
The stock recently traded at $3.76, up 27.0%
“Our open system approach allows for the highest levels of flexibility and adaptability in the post COVID-19 environment,” Barry Weiner, Enzo’s president, said in a statement. "Our GENFLEX platform enables laboratories to use third-party or their own reagents on this open platform with ease and flexibility."
Weiner added that "Through this platform, we can provide substantially lower costs for molecular testing and address reimbursement pressure in one of the fastest growing segments of the clinical testing market. We remain committed to our growth strategy and expect that the higher margins achieved by the vertically integrated model of COVID-19 testing can be extended to a range of other molecular tests.”
The company also announced that founder Elazar Rabbani is stepping down as CEO, but will remain as a director and transition to a scientific role with the company once a successor is chosen.
In addition, Enzo has retained Cain Brothers, a healthcare investment banking firm, to identify strategic and commercial opportunities.
In other pharmaceutical news Tuesday, Moderna MRNA said it has begun dosing participants in a trial of its COVID-19 vaccine in children ages 6 months to under 12 years old.