Selected Quarterly Financial Data (Unaudited)

12 Months Ended

Dec. 31, 2011

Selected Quarterly Financial Data (Unaudited)

Selected Quarterly Financial Data (Unaudited)

Note 13.    Selected Quarterly Financial Data (Unaudited)

        The following table contains selected unaudited consolidated statements of operations information for each of the fiscal quarters in 2011 and 2010. The Company believes that the following information reflects all adjustments, consisting of only normal recurring adjustments, necessary for a fair presentation of the information for the periods presented. The operating results for any quarter are not necessarily indicative of results for any future period.

Quarter Ended	March 31			June 30		September 30		December 31
	(In thousands, except per share data)
2011:
Total revenues	$	49,810		$	50,846	$	52,058	$	53,397
Product revenues		49,458			50,493		51,661		53,155
Cost of product revenues		9,059			8,226		9,195		7,352
Net income (loss)		(286	)		2,348		3,225		2,559
Basic net income (loss) per common share	$	(0.01	)	$	0.08	$	0.11	$	0.09
Diluted net income (loss) per common share	$	(0.01	)	$	0.08	$	0.10	$	0.08
2010:
Total revenues	$	41,229		$	43,439	$	46,317	$	47,116
Product revenues		40,266			42,514		45,773		46,317
Cost of product revenues		8,966			8,107		8,853		8,707
Net income (loss)		(1,932	)		865		3,670		1,685
Basic net income (loss) per common share	$	(0.07	)	$	0.03	$	0.13	$	0.06
Diluted net income (loss) per common share	$	(0.07	)	$	0.03	$	0.12	$	0.06

        The quarterly increases in product revenues during 2011 and 2010 were primarily attributable to increased adoption of the Oncotype DX breast and colon cancer tests by physicians and increased reimbursement for this test by third-party payors. The decrease in cost of product revenues during the quarter ended December 31, 2011 was primarily due to a reduction in license fees resulting from the execution of an amendment to a license agreement that reduced net license fees paid on PRC-based product revenues recorded after July 1, 2011. The decrease in cost of product revenues during 2010 reflected cost efficiencies and the discontinuance of payments under an existing license fee agreement due to the abandonment of a patent by the licensor.

        Per share amounts for the quarters and full year have been calculated separately. Accordingly, quarterly amounts may not add up to the annual amount because of differences in the weighted-average common shares outstanding during each period, due primarily to the effect of the Company's issuing shares of its common stock during the year.

        For the quarters ended March 31, 2011 and 2010, basic and diluted net income (loss) per common share are identical as common equivalent shares are excluded from the calculation because their effect is anti-dilutive.