MaxCyte Reports First
Quarter 2024 Financial Results and Updates 2024 Guidance
ROCKVILLE, MD, May 8, 2024 -
MaxCyte, Inc., (NASDAQ: MXCT; LSE: MXCT), a leading,
cell-engineering focused company providing enabling platform
technologies to advance the discovery, development, and
commercialization of next-generation cell therapeutics and
innovative bioprocessing applications, today announced its first
quarter ended March 31, 2024 financial results and updated its 2024
guidance.
First Quarter Highlights
·
Total revenue of $11.3 million in the first
quarter of 2024, an increase of 32% over the first quarter of
2023.
·
Core business revenue of $8.2 million in the first
quarter of 2024, an increase of 5% over the first quarter of
2023.
·
Strategic Platform License (SPL) Program-related revenue was $3.2 million for the first
quarter of 2024, an increase of 292% over the first quarter of
2023.
·
Four SPL clients signed year-to-date. Be Biopharma
signed in April, and Wugen, Imugene, and Lion TCR signed in
January. The total number of SPL partners now stands at 27.
·
Total cash, cash equivalents and investments were
$202.5 million as of March 31, 2024.
"We are pleased with our first
quarter results across the business, which included strong SPL
Program-related revenue and 5% year-over-year core revenue growth
driven by commercial execution and growth in sales to cell therapy
customers," said Maher Masoud, President and CEO of
MaxCyte.
"MaxCyte has gained momentum since
the beginning of the year, with four newly signed SPLs year to
date, including the most recent addition of Be Biopharma. We remain
excited by demand for our platform and the progress that we
continue to see our clients make as they progress through the
clinic. We work each day to help drive the cell therapy industry
forward by providing our customers with our differentiated
electroporation platform and best-in-class scientific and technical
support for their programs."
The following tables provide details
regarding the sources of our revenue for the periods
presented.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
|
|
March 31,
(Unaudited)
|
|
|
|
|
|
|
2024
|
|
2023
|
|
%
|
|
|
|
(in thousands, except
percentages)
|
|
|
|
|
|
|
|
|
|
|
Cell therapy
|
$
|
6,415
|
|
$
|
5,975
|
|
7%
|
|
|
|
Drug discovery
|
|
1,773
|
|
|
1,797
|
|
(1%)
|
|
|
|
Program-related
|
|
3,154
|
|
|
804
|
|
292%
|
|
|
|
Total revenue
|
$
|
11,342
|
|
$
|
8,576
|
|
32%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
|
|
March 31,
(Unaudited)
|
|
|
|
|
|
2024
|
|
2023
|
|
%
|
|
|
(in thousands, except
percentages)
|
|
|
|
|
|
|
|
|
|
Instrument
|
$
|
1,928
|
|
$
|
2,189
|
|
(12%)
|
|
|
PAs
|
|
3,432
|
|
|
2,600
|
|
32%
|
|
|
Lease
|
|
2,604
|
|
|
2,809
|
|
(7%)
|
|
|
Other
|
|
224
|
|
|
174
|
|
29%
|
|
|
Total Core Revenue
|
$
|
8,188
|
|
$
|
7,772
|
|
5%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
In addition to revenue, management
regularly reviews key business metrics to evaluate our business,
measure performance, identify trends affecting our business,
formulate financial projections and make strategic decisions. As of
the dates presented, these key metrics were as follows:
|
|
|
Three Months Ended March
31,
|
|
|
|
2024
|
2023
|
|
Installed base of instruments (sold
or leased)
|
|
708
|
633
|
|
Core Revenue Generated by SPL Clients
as a % of Core Revenue
|
|
53%
|
52%
|
First Quarter 2024 Financial Results
Total revenue for the first quarter
of 2024 was $11.3 million,
compared to $8.6 million in the first quarter of 2023, representing
growth of 32%.
Core business revenue
(sales and leases of instrument and disposables to
cell therapy and drug discovery customers, excluding SPL
Program-related revenue) for the first quarter of 2024 was $8.2 million, compared to $7.8 million in the first
quarter of 2023, representing an increase of 5%.
Cell therapy revenue for the first
quarter of 2024 was $6.4 million, compared to $6.0 million in the
first quarter of 2023, representing an increase of 7%. Drug
discovery revenue for the first quarter of 2024 was $1.8 million,
compared to $1.8 million in the first quarter of 2023.
SPL Program-related revenue was $3.2
million in the first quarter of 2024, as compared to $0.8 million
in the first quarter of 2023.
Gross profit for the first quarter
of 2024 was $9.9 million (88% gross margin), compared to $7.6
million (88% gross margin) in the first quarter of 2023.
Operating expenses for the first
quarter of 2024 were $22.2 million, compared to operating expenses
of $20.8 million in the first quarter of 2023.
First quarter 2024 net loss was $9.5
million compared to net loss of $10.9 million for the same period
in 2023. EBITDA, a non-GAAP measure, was a loss of $11.2 million
for the first quarter of 2024, compared to a loss of $12.2 million
for the first quarter of 2023; stock-based compensation expense was
$3.0 million in the first quarter of 2024 compared to $3.3 million
in the first quarter of 2023.
2024 Revenue Guidance
MaxCyte affirms 2024 revenue
guidance for core business revenue and is increasing SPL
Program-related revenue guidance.
MaxCyte continues to expect full
year 2024 core business revenue to be flat to 5% growth compared to
2023. SPL Program-related revenue is now expected to be
approximately $5 million. Our outlook for the full year does not
include SPL Program-related revenue from Vertex/CRISPR's
CASGEVYTM.
MaxCyte expects to end 2024 with at
least $175 million in total cash, cash equivalents and investments.
Webcast and Conference Call Details
MaxCyte will host a conference call
today, May 7, 2024, at 4:30 p.m. Eastern Time. Investors interested in listening to the conference call are
required to
register online. A live and archived
webcast of the event will be available on the "Events" section of
the MaxCyte website at https://investors.maxcyte.com/.
About
MaxCyte
At MaxCyte, we pursue cell
engineering excellence to maximize the potential of cells to
improve patients' lives. We have spent more than 20 years honing
our expertise by building best-in-class platforms, perfecting the
art of the transfection workflow, and venturing beyond today's
processes to innovate tomorrow's solutions. Our ExPERT™ platform,
which is based on our Flow Electroporation® technology, has been
designed to support the rapidly expanding cell therapy market and
can be utilized across the continuum of the high-growth cell
therapy sector, from discovery and development through
commercialization of next-generation, cell-based medicines. The
ExPERT family of products includes: four instruments, the ATx™,
STx™, GTx™ and VLx™; a portfolio of proprietary related processing
assemblies or disposables; and software protocols, all supported by
a robust worldwide intellectual property portfolio. By providing
our partners with the right technology, as well as scientific,
technical and regulatory support, we aim to guide them on their
journey to transform human health. Learn more at
maxcyte.com and follow us
on Twitter and LinkedIn.
Non-GAAP Financial Measures
This press release contains EBITDA,
which is a non-GAAP measure defined as earnings before interest
income and expense, taxes, depreciation and amortization.
MaxCyte believes that EBITDA provides useful information to
management and investors relating to its results of operations. The
company's management uses this non-GAAP measure to compare the
company's performance to that of prior periods for trend analyses,
and for budgeting and planning purposes. The company believes that
the use of EBITDA provides an additional tool for investors to use
in evaluating ongoing operating results and trends and in comparing
the company's financial measures with other companies, many of
which present similar non-GAAP financial measures to investors, and
that it allows for greater transparency with respect to key metrics
used by management in its financial and operational
decision-making.
Management does not consider EBITDA
in isolation or as an alternative to financial measures determined
in accordance with GAAP. The principal limitation of EBITDA is that
it excludes significant expenses that are required by GAAP to be
recorded in the company's financial statements. In order to
compensate for these limitations, management presents EBITDA
together with GAAP results. Non-GAAP measures should be considered
in addition to results prepared in accordance with GAAP, but should
not be considered a substitute for, or superior to, GAAP
results. A reconciliation table of net loss, the most
comparable GAAP financial measure, to EBITDA is included at the end
of this release. MaxCyte urges investors to review the
reconciliation and not to rely on any single financial measure to
evaluate the company's business.
Forward-Looking Statements
This press release contains
"forward-looking statements" within the meaning of the "safe
harbor" provisions of the Private Securities Litigation Reform Act
of 1995. These statements about us and our industry involve
substantial known and unknown risks, uncertainties, and
assumptions, including those described in Item 1A under the heading
"Risk Factors" and elsewhere in our report on Form 10-K, that may
cause our actual results, performance or achievements to be
materially different from any future results, performance or
achievements expressed or implied by the forward-looking
statements. All statements other than statements of
historical facts contained in this press release, including
statements regarding our future results of operations or financial
condition, business strategy and plans and objectives of management
for future operations, are forward-looking statements.
Forward-looking statements include, but are not limited to,
statements about the Company's projected full-year total revenue,
core revenue, and SPL program revenue and statements about possible
or future results of operations or financial position. In some
cases, you can identify forward-looking statements because they
contain words such as "may," "might," "will," "could," "would,"
"should," "expect," "plan," "anticipate," "intend," "believe,"
"expect," "estimate," "seek," "predict," "future," "project,"
"potential," "continue," "contemplate," "target," the negative of
these words and similar words or expressions. These
statements are inherently uncertain, and investors are cautioned
not to unduly rely on these statements. The forward-looking
statements contained in this press release, include, without
limitation, statements concerning the following: our expected
future growth and success of our business model; the size and
growth potential of the markets for our products, and our ability
to serve those markets, increase our market share, and achieve and
maintain industry leadership; our ability to expand our customer
base and enter into additional SPL partnerships; our expectation
that our partners will have access to capital markets to develop
and commercialize their cell therapy programs; our financial
performance and capital requirements; and the amount and adequacy
of our cash resources.
These and other risks and
uncertainties are described in greater detail in Item 1A , entitled
"Risk Factors," in our Annual Report on Form 10-K for the year
ended December 31, 2023, filed with the Securities and Exchange
Commission on or about March 12, 2024, as well as in discussions of
potential risks, uncertainties, and other important factors in the
other filings that we make with the Securities and Exchange
Commission from time to time. These documents are available through
the Investor Menu, Financials section, under "SEC Filings" on the
Investors page of our website at http://investors.maxcyte.com.
Any forward-looking statements in this press release are based on
our current beliefs and opinions on the relevant subject based on
information available to us as of the date of such press release,
and you should not rely on forward-looking statements as
predictions of future events. We undertake no obligation to update
any forward-looking statements made in this press release to
reflect events or circumstances after the date of this press
release or to reflect new information or the occurrence of
unanticipated events, except as required by law.
MaxCyte Contacts:
US IR Adviser
Gilmartin Group
David Deuchler,
CFA
+1 415-937-5400
ir@maxcyte.com
US Media
Relations
Spectrum Seismic
Collaborative
Valerie Enes
+1 408-497-8568
venes@spectrumscience.com
Nominated Adviser and Joint
Corporate Broker
Panmure Gordon
Emma Earl / Freddy
Crossley
Corporate Broking
Rupert Dearden
+44 (0)20 7886
2500
UK IR Adviser
ICR Consilium
Mary-Jane Elliott
Chris Welsh
+44 (0)203 709 5700
maxcyte@consilium-comms.com
MaxCyte, Inc.
Unaudited Condensed
Consolidated Balance Sheets
(in thousands, except share
and per share amounts)
|
|
|
March 31,
2024
|
|
December 31,
2023
|
|
Assets
|
|
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
22,249
|
|
$
|
46,506
|
|
Short-term investments, at amortized
cost
|
|
|
135,264
|
|
|
121,782
|
|
Accounts receivable, net
|
|
|
5,991
|
|
|
5,778
|
|
Inventory
|
|
|
11,960
|
|
|
12,229
|
|
Prepaid expenses and other current
assets
|
|
|
3,210
|
|
|
3,899
|
|
Total current assets
|
|
|
178,674
|
|
|
190,194
|
|
|
|
|
|
|
|
|
|
Investments, non-current, at
amortized cost
|
|
|
45,031
|
|
|
42,938
|
|
Property and equipment,
net
|
|
|
22,805
|
|
|
23,513
|
|
Right-of-use asset - operating
leases
|
|
|
11,125
|
|
|
11,241
|
|
Other assets
|
|
|
295
|
|
|
388
|
|
Total assets
|
|
$
|
257,930
|
|
$
|
268,274
|
|
|
|
|
|
|
|
|
|
Liabilities and stockholders' equity
|
|
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
|
|
Accounts payable
|
|
$
|
1,674
|
|
$
|
743
|
|
Accrued expenses and other
|
|
|
6,502
|
|
|
11,269
|
|
Operating lease liability,
current
|
|
|
825
|
|
|
774
|
|
Deferred revenue, current
portion
|
|
|
4,476
|
|
|
5,069
|
|
Total current liabilities
|
|
|
13,477
|
|
|
17,855
|
|
|
|
|
|
|
|
|
|
Operating lease liability, net of
current portion
|
|
|
17,815
|
|
|
17,969
|
|
Other liabilities
|
|
|
279
|
|
|
283
|
|
Total liabilities
|
|
|
31,571
|
|
|
36,107
|
|
|
|
|
|
|
|
|
|
Commitments and contingencies
|
|
|
|
|
|
|
|
Stockholders' equity
|
|
|
|
|
|
|
|
Preferred stock, $0.01 par value;
5,000,000 shares authorized and no shares issued and outstanding at
March 31, 2024 and December 31, 2023
|
|
|
-
|
|
|
-
|
|
Common stock, $0.01 par value;
400,000,000 shares authorized, 104,405,111 and 103,961,670 shares
issued and outstanding at March 31, 2024, and December 31, 2023,
respectively
|
|
|
1,044
|
|
|
1,040
|
|
Additional paid-in capital
|
|
|
410,639
|
|
|
406,925
|
|
Accumulated deficit
|
|
|
(185,324)
|
|
|
(175,798)
|
|
Total stockholders' equity
|
|
|
226,359
|
|
|
232,167
|
|
Total liabilities and stockholders' equity
|
|
$
|
257,930
|
|
$
|
268,274
|
MaxCyte, Inc.
Unaudited Condensed
Consolidated Statements of Operations
(in thousands, except share
and per share amounts)
|
|
|
For the Three Months Ended
March 31,
|
|
|
|
2024
|
|
2023
|
|
Revenue
|
|
$
|
11,342
|
|
$
|
8,576
|
|
Cost of goods sold
|
|
|
1,403
|
|
|
1,000
|
|
Gross profit
|
|
|
9,939
|
|
|
7,576
|
|
|
|
|
|
|
|
|
|
Operating expenses:
|
|
|
|
|
|
|
|
Research and development
|
|
|
6,678
|
|
|
6,047
|
|
Sales and marketing
|
|
|
7,365
|
|
|
6,296
|
|
General and administrative
|
|
|
7,103
|
|
|
7,499
|
|
Depreciation and
amortization
|
|
|
1,068
|
|
|
912
|
|
Total operating expenses
|
|
|
22,214
|
|
|
20,754
|
|
Operating loss
|
|
|
(12,275)
|
|
|
(13,178)
|
|
|
|
|
|
|
|
|
|
Other income:
|
|
|
|
|
|
|
|
Interest income
|
|
|
2,749
|
|
|
2,296
|
|
Total other income
|
|
|
2,749
|
|
|
2,296
|
|
Net
loss
|
|
$
|
(9,526)
|
|
$
|
(10,882)
|
|
Basic and diluted net loss per share
|
|
$
|
(0.09)
|
|
$
|
(0.11)
|
|
Weighted average shares outstanding,
basic and diluted
|
|
|
104,089,758
|
|
|
102,846,036
|
MaxCyte, Inc.
Unaudited Condensed
Consolidated Statements of Cash Flows
(in
thousands)
|
|
|
Three months ended March
31,
|
|
|
|
2024
|
|
2023
|
|
Cash
flows from operating activities:
|
|
|
|
|
|
|
|
Net loss
|
|
$
|
(9,526)
|
|
$
|
(10,882)
|
|
|
|
|
|
|
|
|
|
Adjustments to reconcile net loss to
net cash used in operating activities:
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
1,111
|
|
|
962
|
|
Non-cash lease expense
|
|
|
116
|
|
|
96
|
|
Net book value of consigned equipment
sold
|
|
|
11
|
|
|
17
|
|
Stock-based compensation
|
|
|
3,015
|
|
|
3,277
|
|
Recoveries of bad debt
|
|
|
130
|
|
|
-
|
|
Amortization of discounts on
investments
|
|
|
(1,983)
|
|
|
(1,730)
|
|
|
|
|
|
|
|
|
|
Changes in operating assets and
liabilities:
|
|
|
|
|
|
|
|
Accounts receivable
|
|
|
(343)
|
|
|
3,399
|
|
Accounts receivable - TIA*
|
|
|
-
|
|
|
916
|
|
Inventory
|
|
|
169
|
|
|
(1,706)
|
|
Prepaid expense and other current
assets
|
|
|
689
|
|
|
509
|
|
Other assets
|
|
|
33
|
|
|
410
|
|
Accounts payable, accrued expenses
and other
|
|
|
(3,286)
|
|
|
1,227
|
|
Operating lease liability
|
|
|
(103)
|
|
|
157
|
|
Deferred revenue
|
|
|
(593)
|
|
|
(963)
|
|
Other liabilities
|
|
|
(4)
|
|
|
(13)
|
|
Net cash used in operating
activities
|
|
|
(10,564)
|
|
|
(4,324)
|
|
|
|
|
|
|
|
|
|
Cash
flows from investing activities:
|
|
|
|
|
|
|
|
Purchases of investments
|
|
|
(48,042)
|
|
|
(57,814)
|
|
Maturities of investments
|
|
|
34,450
|
|
|
89,000
|
|
Purchases of property and
equipment
|
|
|
(804)
|
|
|
(1,558)
|
|
Proceeds from sale of
equipment
|
|
|
-
|
|
|
9
|
|
Net cash (used in) provided by
investing activities
|
|
|
(14,396)
|
|
|
29,637
|
|
|
|
|
|
|
|
|
|
Cash
flows from financing activities:
|
|
|
|
|
|
|
|
Proceeds from exercise of stock
options
|
|
|
703
|
|
|
1,456
|
|
Net cash provided by financing
activities
|
|
|
703
|
|
|
1,456
|
|
Net (decrease) increase in cash and
cash equivalents
|
|
|
(24,257)
|
|
|
26,769
|
|
Cash and cash equivalents, beginning
of period
|
|
|
46,506
|
|
|
11,064
|
|
Cash and cash equivalents, end of
period
|
|
$
|
22,249
|
|
$
|
37,833
|
*Tenant improvement allowance
("TIA")
Reconciliation of GAAP Net
Loss to Non-GAAP EBITDA
(in
thousands)
(Unaudited)
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
March
31,
|
|
|
|
2024
|
|
2023
|
|
|
(in thousands)
|
|
|
|
|
|
|
|
Net loss
|
$
|
(9,526)
|
|
$
|
(10,882)
|
|
|
Depreciation and amortization
expense
|
|
1,111
|
|
|
962
|
|
|
Interest income
|
|
(2,749)
|
|
|
(2,296)
|
|
|
Income taxes
|
|
-
|
|
|
-
|
|
|
EBITDA
|
$
|
(11,164)
|
|
$
|
(12,216)
|
|