Axon posts loss as revenue slumps

Former share market favorite Axon Instruments has posted after-tax losses of $8.8 million on falling revenues for the half year to June 30.

The drug discovery instrumentation and software company reported a revenue slump for the period of 28 per cent to $24.26 million compared with same period last year.

The loss is a dramatic turnaround from the $1.8 million profit racked up by Axon in the previous corresponding period.

To reduce costs, Axon has sold off its microelectrode guidance systems business and relocated premises, according to chief executive officer Alan Finkel.

He attributed the company's poor performance to a slowing in the microarray genomics market plus the generally subdued business environment.

Axon had cash on hand of $59.2 million as of June 30 compared with $63.7 million six months earlier.

When it listed on the ASX in March 2000, enthusiastic buyers lifted Axon's valuation by 730 per cent on its first day of trading.