Affymetrix (AFFX) Q2 2011 Earnings Call July 27, 2011 5:00 pm ET Executives Frank Witney - Chief Executive Officer, President and Director Doug Farrell - Vice President of Investor Relations Timothy Barabe - Chief Financial Officer, Principal Accounting Officer and Executive Vice President Analysts William Quirk - Piper Jaffray Companies Bryan Brokmeier - Maxim Group LLC Zarak Khurshid - Wedbush Securities Inc. Dane Leone - Macquarie Research Ross Muken - Deutsche Bank AG Nandita Koshal - Barclays Capital Quintin Lai - Robert W. Baird & Co. Incorporated Daniel Leonard - Leerink Swann LLC Ramesh Donthamsetty - JP Morgan Chase & Co Daniel Arias - UBS Investment Bank Doug Schenkel - Cowen and Company, LLC Sung Ji Nam - Gleacher & Company, Inc. Isaac Ro - Goldman Sachs Group Inc. David Ferreiro - Oppenheimer & Co. Inc. Presentation Question-and-Answer Session Dane Leone - Macquarie Research
OperatorOur next question comes from Zarak Khurshid from Wedbush Securities. Zarak Khurshid - Wedbush Securities Inc. Zarak Khurshid at Wedbush. First on the cytogenetics side. Was there weakness in cytogenetics in addition to the overall DNA business? Frank Witney The DNA business was most hit. We were hit the most hard on GWAS and we just launched our Targeted Genotyping fairly recently, so that was really where the hit was the hardest. We saw, even with our current products inside of genetics, we saw some modest growth in that area. Zarak Khurshid - Wedbush Securities Inc. Okay. And then I was curious if you could just characterize the funding environment, the challenges that you're facing there, any feedback from customers as far as how things have changed over the last quarter. Frank Witney I'm not sure, maybe it's that high resolution over the last quarter. But clearly, for example, in the expression area, NGS is drawing a lot of funding. There's a lot of systems being placed and a lot of experiments are being done by NGS. That is a reality for us. I would say, other than that, I don't -- we didn't observe any macro trends other than the competition for dollars is pretty high right now on the expression side. Operator Our next question comes from Bryan Brokmeier from Maxim Group. Bryan Brokmeier - Maxim Group LLC I guess first, you just mentioned modest growth in cytogenetics. Any particular products where they are growing? Or is that a little bit too much detail that you want to get into within cytogenetics? Frank Witney Well, I would just say the current products that we have that have -- the SNP 6.0, for example, that is used in cytogenetics, grew in that application and was challenged in the genotyping application.
Bryan Brokmeier - Maxim Group LLCActually it's the couple of Ag-Bio products, have you been able to penetrate that market at all and do you anticipate any new arrays in the near term? Frank Witney Well, we've introduced 2 products in Ag in the last quarter or 2, I guess, and it's still early days. We anticipate -- we think are good products and we're going to put some marketing muscle behind those, but it's still early days. Read the rest of this transcript for free on seekingalpha.com