Genetic Technologies Ltd. (NASDAQ: GENE) is a promising Australian biotech player that has made remarkable strides in the realm of genetic testing and risk identification. The potential this domain has to offer the wider healthcare sector is enormous. Recent developments have put this already winning player in the market spotlight.
Generic Technologies Announces Groundbreaking Partnership
This week the stock for Genetic Technologies Ltd. (GENE) saw a sizeable jump from $0.83 to over $1 following positive news from the company. The company officially stated that it will be entering into a strategic alliance with Qiagen NV (QGEN), and together would build a Center of Excellency within Australia. Qiagen is a giant Dutch-based bio-molecular company that could bring tremendous value to GENE. Synergistic benefits aside, Genetic Technologies could gain substantial market exposure moving forward, while also benefitting over the long term through innovation within the partnership. Moreover, GENE also stands to see significant value addition through automation, in which QGEN holds operational expertise in.
GENE Remains Strong on the Financial Front
In addition to the recent stellar developments announced by GENE, its performance on the financial domain remains just as impressive. It recently announced the results for its December quarter, denoting its sixth consecutive quarter of annual growth against the prior year. Its receipts from customers grew by 32% in 12 months, amounting to $2.4 million. A core driver of this excellent top-line performance relates to its improvement in the supply chain aspect of the business. In particular, the new distribution channels running in the United States have fundamentally strengthened GENE’s sales to American customers.
Conclusion
GENE seems to have quite a bright future, with positive news coming from all sides. Its financial prowess continues to flex muscles, while the company announces major partnerships with top global players, which are sure to bring value to its prospects. Shareholders can remain content with this winning pick.
