SAN DIEGO - QuidelOrtho Corporation (NASDAQ:QDEL), a provider of diagnostic solutions, has appointed Jonathan Siegrist, PhD, as Executive Vice President of Research and Development (R&D) and Chief Technology Officer (CTO), effective Monday. Siegrist, with over 15 years in the field, brings extensive experience in molecular diagnostics and biomedical engineering to his new role at QuidelOrtho.
Siegrist's career includes a tenure as CTO and Head of Assay R&D at Cepheid and co-founding a diagnostics manufacturing company. Holding a PhD and Master of Science from the University of California, Irvine, and a Bachelor of Science in Electrical Engineering from the University of California, Los Angeles, Siegrist has held successful leadership roles within R&D across various disciplines.
As EVP and CTO, Siegrist will report to Brian Blaser, President and CEO of QuidelOrtho, and will lead the company's R&D strategy, focusing on expanding its product menu and advancing its platforms. His appointment is expected to bolster the company's position in immunoassay and molecular testing, as well as its award-winning clinical lab and transfusion medicine solutions. Werner Kroll, Senior Vice President, R&D, will assist in the leadership transition until his retirement in March 2025.
Blaser expressed confidence in Siegrist's ability to navigate the company through its current opportunities and lead to future successes, citing his innovative approach and deep industry knowledge.
QuidelOrtho, known for its in vitro diagnostics, aims to transform data into actionable insights across various healthcare settings, from home to hospital. The company prides itself on its expertise in immunoassay, molecular testing, clinical chemistry, and transfusion medicine, striving to provide fast, accurate, and reliable diagnostics.
This announcement is based on a press release statement from QuidelOrtho Corporation.
In other recent news, QuidelOrtho Corporation reported notable second quarter revenue of $637 million, surpassing the consensus estimate of $614 million. The diagnostics company also reported an adjusted EBITDA of $90 million. Analyst firm Craig-Hallum upgraded Quidel (NASDAQ:QDEL) shares from Hold to Buy, raising the price target to $57.00 based on the company's untapped earnings potential. In contrast, Citi revised its financial outlook on QuidelOrtho, reducing its price target from $48 to $44, while maintaining a Neutral rating on the stock.
QuidelOrtho also received FDA approval for its VITROS syphilis assay, a significant development given the rising syphilis cases in the U.S. The company is implementing cost-saving measures expected to save approximately $100 million, with the savings projected to be split mostly between selling, general, and administrative expenses and gross profit.
In terms of future plans, QuidelOrtho is preparing for the launch of the Savanna instrument and expansion of diagnostic panels, which are expected to contribute to revenue growth. The company remains optimistic about its long-term financial health, targeting an adjusted EBITDA margin in the mid to high 20% range within the next 2-3 years. These recent developments reflect QuidelOrtho's ongoing efforts to support healthcare providers with advanced diagnostic tools and maintain financial stability.
InvestingPro Insights
As QuidelOrtho Corporation (NASDAQ:QDEL) welcomes Jonathan Siegrist to its leadership team, investors may be keen to understand the company's financial position and market performance. According to InvestingPro data, QuidelOrtho's market capitalization stands at $2.84 billion, reflecting its significant presence in the diagnostic solutions industry.
Despite the company's strategic move to strengthen its R&D capabilities, QuidelOrtho faces some financial challenges. An InvestingPro Tip indicates that the company is not profitable over the last twelve months, with a negative P/E ratio of -9.84. This aligns with the company's focus on innovation and development, which often requires substantial investment before yielding returns.
However, it's not all gloomy for QuidelOrtho. Another InvestingPro Tip suggests that net income is expected to grow this year, and analysts predict the company will be profitable this year. This positive outlook could be attributed to the potential impact of new leadership and R&D initiatives on future product developments and market expansion.
The company's revenue for the last twelve months as of Q2 2023 was $2.83 billion, with a gross profit margin of 47.89%. These figures provide context to the scale of operations that Siegrist will be overseeing in his new role as EVP of R&D and CTO.
Investors looking for a more comprehensive analysis can find 7 additional InvestingPro Tips for QuidelOrtho, offering deeper insights into the company's financial health and market position.
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