RGEN - Repligen Signals Gene Therapy Strength With 2019 Earnings Report
When is achieving year-over-year growth of 39% for both revenue and operating income not enough? When guidance for the next year disappoints, apparently.
Repligen (NASDAQ: RGEN) delivered a solid fourth-quarter and full-year 2019 earnings report yesterday. A combination of new product launches, continued contributions from past acquisitions, and growing demand for bioprocess products drove significant increases in nearly every financial metric. The company also reported that gene therapy customers were responsible for 15% of total revenue in 2019 and remain one of the best sources of growth.
Despite the progress, investors appear to have been disappointed by full-year 2020 guidance for revenue growth of 14% to 18%. That's much lower than the most recent annual period. Considering Repligen is one of the more closely watched growth stocks on the market, it's not surprising that shares took a tumble on the relatively weak guidance. But it might be just a matter of perspective.