Akers Biosciences (AKER): What to Expect in Q2 Earnings?

Zacks

Akers Biosciences Inc AKER is expected to report second-quarter 2015 earnings results on Aug 11. The company had posted lackluster first-quarter results, wherein loss of 26 cents per share widened from a loss of 14 cents per share incurred in the year-ago quarter, because of declining revenues.

In the first quarter, sales of Particle ImmunoFiltration Assay (PIFA Heparin/PF4), the company’s flagship rapid test, increased 17% to $0.3 million. Nonetheless, revenues tanked 57% on a year-over-year basis to $0.5 million, primarily attributed to lack of orders from the company’s global distributor – ChubeWorkx Guernsey Limited.

Factors at Play

Akers expects to keep incurring losses in the near term owing to higher operating expenses from product development and clinical and regulatory activities. However, the company’s efforts to ramp up sales of PIFA Heparin/PF4 in the U.S. and overseas through new distribution partnerships are encouraging.

Akers’ newly expanded sales and marketing team is expected to improve visibility of the heparin allergy test in the U.S. Alongside, the company is looking to help its distribution partners boost sales internationally for different tests, particularly in China.

Akers is also striving to establish sales channels for its Wellness products intended for the health and wellness sector, particularly designed for weight loss and anti-aging.

Akers recently launched breath tests – BreathScan OxiCheck and KetoChek – which gained significant traction within a very short span of time. The devices, launched along with the Bluetooth-enabled reading device BreathScan Lync, syncs with a mobile app.

Meanwhile, Akers has entered into collaboration with software developer FirstApp to build user-friendly mobile app for Apple’s AAPL iOS as well as Google’s Android. These apps, once available, will further improve Akers’ penetrative capabilities going forward.

Other Expected Releases

Apart from Akers, there are other players from the same space that are yet to come up with their second-quarter releases. Among these, Trevena TRVN and Ardelyx ARDX are slated to report on Aug 11 and Aug 12, respectively. Both these stocks carry a Zacks Rank #2 (Buy).

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