GENOMIC HEALTH INC

CIK:0001131324|SEC Filings

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018	Sep. 30, 2019	Sep. 30, 2018
Revenues:
Total revenues	$ 114,355,000	$ 101,258,000	$ 337,264,000	$ 289,502,000
Operating expenses:
Cost of product revenues	18,709,000	15,518,000	53,391,000	48,635,000
Research and development	16,457,000	15,433,000	46,828,000	47,552,000
Selling and marketing	39,910,000	40,051,000	129,898,000	122,143,000
General and administrative	20,233,000	18,498,000	61,064,000	56,702,000
Total operating expenses	95,309,000	89,500,000	291,181,000	275,032,000
Income from operations	19,046,000	11,758,000	46,083,000	14,470,000
Interest income	1,389,000	676,000	3,874,000	1,492,000
Unrealized (loss) gain on equity securities	(1,239,000)	127,000	(1,091,000)	1,538,000
Other (expense) income, net	(296,000)	39,000	(373,000)	101,000
Income before income taxes	18,900,000	12,600,000	48,493,000	17,601,000
Income tax expense	206,000	375,000	813,000	834,000
Net income	$ 18,694,000	$ 12,225,000	$ 47,680,000	$ 16,767,000
Basic net income per share (in dollars per share)	$ 0.50	$ 0.34	$ 1.29	$ 0.47
Diluted net income per share (in dollars per share)	$ 0.48	$ 0.32	$ 1.23	$ 0.45
Shares used in computing basic net income per share (in shares)	37,411	35,925	37,088	35,558
Shares used in computing diluted net income per share (in shares)	38,958	38,026	38,746	37,044
Product
Revenues:
Total revenues	$ 114,355,000	$ 101,258,000	$ 337,252,000	$ 289,502,000
Contract
Revenues:
Total revenues			$ 12,000

Condensed Consolidated Statements of Cash Flows - USD ($)	9 Months Ended
	Sep. 30, 2019	Sep. 30, 2018
Operating activities
Net income	$ 47,680,000	$ 16,767,000
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	9,874,000	9,348,000
Employee stock-based compensation	19,270,000	15,742,000
Write-off of previously capitalized software costs		2,347,000
Impairment of long-lived assets	4,000,000.0	2,095,000
Loss on disposal of property and equipment	747,000	23,000
Outside director restricted stock awarded in lieu of fees	175,000	150,000
Gain on sale of corporate debt securities	(13,000)
Unrealized net (gain) loss on revaluation of equity investments	1,091,000	(1,538,000)
Write-off of convertible promissory note		1,329,000
Changes in assets and liabilities:
Accounts receivable	(4,344,000)	(6,269,000)
Prepaid expenses and other assets	1,446,000	1,168,000
Accounts payable	(2,460,000)	5,919,000
Accrued compensation and employee benefits	(2,523,000)	4,179,000
Accrued expenses and other liabilities	(3,944,000)	726,000
Deferred revenues	(121,000)
Net cash provided by operating activities	66,878,000	51,986,000
Investing activities
Purchases of property and equipment	(15,995,000)	(6,953,000)
Purchases of marketable securities	(224,906,000)	(116,529,000)
Maturities of marketable securities	149,224,000	86,925,000
Proceeds from sales of corporate debt securities	23,305,000
Other investments		(2,500,000)
Net cash used in investing activities	(68,372,000)	(39,057,000)
Financing activities
Proceeds from issuance of common stock under stock plans	24,128,000	15,989,000
Withholding taxes related to restricted stock units net share settlement	(12,169,000)	(5,109,000)
Payments on finance lease liabilities	(155,000)
Net cash provided by financing activities	11,804,000	10,880,000
Net increase in cash, cash equivalents and restricted cash	10,310,000	23,809,000
Cash, cash equivalents and restricted cash at the beginning of period	61,917,000	45,708,000
Cash, cash equivalents and restricted cash at the end of period	72,227,000	69,517,000
Non-cash investing and financing activities
Accrued purchases of property and equipment	2,072,000	900,000
Change in fair value of investments	$ (1,091,000)	$ 209,000

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2019	Dec. 31, 2018
Current assets:
Cash and cash equivalents	$ 71,961	$ 61,645
Short-term marketable securities	203,474	148,149
Accounts receivable	55,875	51,531
Prepaid expenses and other current assets	13,726	13,511
Total current assets	345,036	274,836
Property and equipment, net	46,491	39,532
Operating lease right-of-use assets	50,082
Long-term marketable securities		4,066
Other assets	18,802	15,938
Total assets	460,411	334,372
Current liabilities:
Accounts payable	6,431	8,849
Accrued compensation and employee benefits	31,934	34,457
Accrued expenses and other current liabilities	14,743	15,870
Current portion of operating lease liabilities	4,530
Other current liabilities	262	600
Total current liabilities	57,900	59,776
Operating lease liabilities	50,786
Other liabilities	2,352	4,436
Commitments and contingencies
Stockholders' equity:
Common stock	3	3
Additional paid-in capital	538,083	506,679
Accumulated other comprehensive income (loss)	42	(87)
Accumulated deficit	(188,755)	(206,325)
Treasury stock, at cost		(30,110)
Total stockholders' equity	349,373	270,160
Total liabilities and stockholders' equity	$ 460,411	$ 334,372