Luminex Corporation Reports Second Quarter 2005 Results

Luminex Corporation Reports Second Quarter 2005 Results 


AUSTIN, Texas, July 27  /PRNewswire-FirstCall/ -- Luminex Corporation
(NASDAQ:LMNX) today announced its financial results for the second quarter
ended June 30, 2005.

Revenue for the second quarter of 2005 was $10.7 million, an increase of 16.0%
from $9.2 million in the second quarter of 2004.  Net loss for the second
quarter of 2005 was $0.4 million or ($0.01) per share, compared with a net loss
of $1.1 million or ($0.04) per share in the second quarter of 2004.

Revenue for the second quarter of 2005 consisted of $4.4 million from the sale
of 164 Luminex Systems, $3.9 million from the sale of consumables, $1.2 million
of royalties, and $1.1 million of other revenue.  Other revenue includes
training revenue, shipping revenue, extended service contract sales,
miscellaneous part sales, amortized license fees, and other special project
revenue.

At June 30, 2005, the Company had $36.7 million in cash, cash equivalents,
short-term and long-term investments as compared with $36.1 million at December
31, 2004.  The Company maintains its investments in highly liquid securities. 
Working capital totaled $37.2 million at June 30, 2005 as compared with $40.8
million at December 31, 2004.

"We are pleased with our results and overall progress in the second quarter,"
said Patrick J. Balthrop, Chief Executive Officer of Luminex.  "In conjunction
with our partners, we successfully penetrated our target markets, resulting in
record sales for the company.  Our strong levels of gross profit during the
quarter also enabled increased investment in R&D, innovation and infrastructure
as we position the company for the future.  We look forward to continuing the
execution of our strategic plan through 2005 and beyond."

Luminex will host a conference call to discuss the results for the second
quarter of 2005 and other matters at 5:00 p.m. Eastern Daylight Time on
Wednesday, July 27, 2005.  The call will be available via live webcast at
http://www.luminexcorp.com/ .  Simply log on to the web at the address above
and access the Investor Relations link.  A replay will be available on the
Company's website.

Luminex Corporation develops, manufactures and markets proprietary biological
testing technologies with applications throughout the life sciences industry. 
The Company's xMAP(R) system is an open-architecture, multi-analyte technology
platform that delivers fast, accurate and cost-effective bioassay results to
markets as diverse as pharmaceutical drug discovery, clinical diagnostics and
biomedical research, including the genomics and proteomics research markets. 
The Company's xMAP technology is sold worldwide and is in use in leading
research laboratories as well as major pharmaceutical, diagnostic and
biotechnology companies.  Further information on Luminex Corporation or xMAP
can be obtained on the Internet at http://www.luminexcorp.com/ .

Statements made in this release that express Luminex's or management's
intentions, plans, beliefs, expectations or predictions of future events are
forward-looking statements.  The words "believe," "expect," "intend,"
"estimate," "anticipate," "will," "could," "should" and similar expressions are
intended to further identify such forward-looking statements for purposes of the
Private Securities Litigation Reform Act of 1995.  It is important to note that
the Company's actual results or performance could differ materially from those
anticipated or projected in such forward-looking statements. Factors that could
cause Luminex's actual results or performance to differ materially include risks
and uncertainties relating to, among others, market demand and acceptance of
Luminex's products, the Company's dependence on strategic partners for
development, commercialization and distribution of products, fluctuations in
quarterly results due to a lengthy and unpredictable sales cycle, Luminex's
ability to scale manufacturing operations, potential shortages of components,
competition, the timing of regulatory approvals and any modification of the
Company's operating plan in response to its ongoing evaluation of its business,
as well as the risks discussed under the heading "Risk Factors" in Luminex's
Annual Report on Form 10-K for the year ended December 31, 2004, as filed with
the Securities and Exchange Commission.  The forward-looking statements
contained herein represent the judgment of Luminex as of the date of this press
release, and Luminex expressly disclaims any intent, obligation or undertaking
to release publicly any updates or revisions to any forward-looking statements
to reflect any change in Luminex's expectations with regard thereto or any
change in events, conditions or circumstances on which any such statements are
based.

   Contact:  Harriss T. Currie
             Vice President, Finance
             Chief Financial Officer
             512.219.8020
             



                           LUMINEX CORPORATION
                  CONDENSED CONSOLIDATED BALANCE SHEETS
                              (in thousands)

                                                 June 30,       December 31,
                                                   2005              2004
                                                ----------       ----------
                                                (unaudited)
                                  ASSETS
  Current assets:
    Cash and cash equivalents                     $19,538           $19,238
    Short-term investments                          8,943            12,891
    Accounts receivable, net                        5,890             5,864
    Inventory, net                                  7,376             7,650
    Other                                             825               841
                                                ----------       ----------
    Total current assets                           42,572            46,484

  Property and equipment, net                       1,945             1,383
  Long-term investments                             8,180             3,991
  Other assets                                      1,233             1,317
                                                ----------       ----------
  Total assets                                    $53,930           $53,175
                                                ==========       ==========

                   LIABILITIES AND STOCKHOLDERS' EQUITY
  Current liabilities:
    Accounts payable and accrued
     liabilities                                   $3,544            $4,344
    Deferred revenue                                1,849             1,317
                                                ----------       ----------
    Total current liabilities                       5,393             5,661
  Deferred revenue                                  3,506             2,968
                                                ----------       ----------
  Total liabilities                                 8,899             8,629
                                                ----------       ----------
  Stockholders' equity:
    Common stock                                       31                31
    Additional paid in capital                    134,523           131,833
    Deferred compensation                          (4,967)           (3,335)
    Accumulated other comprehensive
     income (loss)                                      1               (88)
    Accumulated deficit                           (84,557)          (83,895)
                                                ----------       ----------
  Total stockholders' equity                       45,031            44,546
                                                ----------       ----------
  Total liabilities and stockholders'
   equity                                         $53,930           $53,175
                                                ==========       ==========



                           LUMINEX CORPORATION
             CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
                 (in thousands, except per share amounts)

                                   Three Months Ended     Six Months Ended
                                        June 30,              June 30,
                                  --------------------  --------------------
                                     2005       2004       2005       2004
                                  ---------  ---------  ---------  ---------
                                       (unaudited)          (unaudited)

  Revenue                          $10,652     $9,171    $19,972    $18,466

  Cost of revenue                    4,294      5,790      8,772     11,076
                                  ---------  ---------  ---------  ---------
     Gross profit                    6,358      3,381     11,200      7,390

  Operating expenses:

     Research and development        1,488        987      2,505      1,945

     Selling, general and
      administrative                 5,150      3,611      9,489      6,908
                                  ---------  ---------  ---------  ---------
     Total operating expenses        6,638      4,598     11,994      8,853
                                  ---------  ---------  ---------  ---------
  Loss from operations                (280)    (1,217)      (794)    (1,463)

     Other income, net                 246         94        462        203

     Settlement of litigation         (322)       ---       (322)       ---

     Income taxes                       (7)        (3)        (7)        (9)
                                  ---------  ---------  ---------  ---------
  Net loss                           $(363)   $(1,126)     $(661)   $(1,269)
                                  =========  =========  =========  =========
  Net loss per share, basic
   and diluted                      $(0.01)    $(0.04)    $(0.02)    $(0.04)
                                  =========  =========  =========  =========
  Shares used in computing net
   loss per share, basic
   and diluted                      30,947     30,682     30,911     30,562


DATASOURCE: Luminex Corporation



CONTACT:  Harriss T. Currie, Vice President, Finance, Chief Financial

Officer of Luminex Corporation, [phone], or  



Web site:  http://www.luminexcorp.com/ 

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