The current ascent of OncoCyte Corporation (NASDAQ: OCX) has attracted attention, with a notable 13.32% increase to $3.40 observed during the latest pre-market trading session. This uptick in OCX stock value coincides with the unveiling of its financial performance.
OncoCyte (OCX) disclosed its financial outcomes for the fiscal year concluding on December 31, 2023. Total revenue reached $1.5 million, reflecting a robust 57% surge compared to the preceding year, primarily fueled by heightened revenue from Pharma Services.
Operating losses amounted to $25.1 million, demonstrating a 40% escalation compared to the previous fiscal year. The 2023 operating deficit encompassed a non-cash profit of $5.8 million arising from the alteration in fair value of contingent considerations, contrasting with a $31.0 million profit in 2022.
Throughout 2023, OncoCyte achieved noteworthy advancements in expense management and the advancement of its transplant monitoring intellectual property. The company secured reimbursement for VitaGraft Kidney, produced initial batches of GraftAssure RUO, and conducted a rigorous partnering process culminating in the announcement of a collaboration with Bio-Rad.
OncoCyte has forged a partnership with Bio-Rad for the commercialization of its research-exclusive GraftAssure assay, leveraging Droplet Digital PCR (ddPCR) technology. The anticipated launch of the new product is slated for Q2 2024, initially targeting a select cohort of academic transplant centers in the US and EU before expanding to broader markets in the latter half of the year.
Under the terms of the agreement, Bio-Rad and OncoCyte will jointly market the assay within the US and Germany, with OncoCyte assuming the lead in commercial operations. Beyond these territories, Bio-Rad has secured exclusive global distribution and commercialization rights.
Both entities have pledged collaborative endeavors towards the development of a regulated product aimed at facilitating extensive distribution and clinical adoption in the United States and beyond.
Additionally, Bio-Rad has been granted an option for in vitro diagnostic (IVD) commercial rights upon FDA clearance, contingent upon meeting specified benchmarks. The exercise of this option would entail a subsequent equity investment in OncoCyte.
