Recent Quotes View Full List My Watchlist Create Watchlist Indicators DJI Nasdaq Composite SPX Gold Crude Oil EL&P Market Index Markets Stocks ETFs Tools Overview News Currencies International Treasuries Quanterix Releases Operating Results for Third Quarter 2023 By: Quanterix Corporation via Business Wire November 06, 2023 at 17:56 PM EST Quanterix Corporation (NASDAQ: QTRX), a company fueling scientific discovery through ultrasensitive biomarker detection, today announced financial results for the three months ended September 30, 2023. Third Quarter Financial Highlights Revenue was $31.3 million, an 18% increase from $26.6 million for the corresponding prior year period. GAAP gross margin was 56.8% as compared to 41.1% for the corresponding prior year period. Non-GAAP gross margin was 48.6% as compared to 34.9% for the corresponding prior year period. Net loss was $7.8 million as compared to $35.1 million for the corresponding prior year period. Net cash use was approximately $1.9 million. Cash, cash equivalents, marketable securities, and restricted cash were $330.4 million as of September 30, 2023, as compared to $332.2 million as of June 30, 2023. “We’re on track to achieve the six-quarter transformation plan we laid out by year end,” said Masoud Toloue, President and Chief Executive Officer of Quanterix. “This will not only yield highly scaled production lines but serve as the foundation for an accelerated innovation rate going into next year. Last month’s launch of our LucentAD p-Tau 217 blood-based test puts us in a leading position to address broad-based, non-invasive patient testing for Alzheimer’s disease. We expect a faster release pace of pioneering, high sensitivity Simoa products going into 2024.” Operational and Business Highlights In October, the Company launched LucentAD p-Tau 217, a new blood-based biomarker laboratory developed test (LDT) using well-validated Johnson & Johnson Innovative Medicine (Janssen) antibodies to assist in the evaluation of patients suspected of having or developing Alzheimer’s disease. p-Tau 217 is the only blood-based biomarker recognized in the new draft NIA-AA Revised Criteria for Diagnosis and Staging of Alzheimer's Disease capable of meeting a stringent 90% accuracy criterion necessary to diagnose Alzheimer’s. In data presented by Eli Lilly at the CTAD conference, the Simoa® platform was used for analytical validation and initial clinical evaluation of Eli Lilly’s plasma p-Tau 217 immunoassay for a new blood-based diagnostic for Alzheimer’s disease. The study of over 1,000 patients from TRAILBLAZER-ALZ 2 demonstrated high positive and negative agreement to amyloid PET, with an AUC of 0.92 and the assay could prove to be a useful diagnostic test to identify the presence or absence of amyloid pathology. Full Year Business Outlook Management has increased full-year revenue expectations to be in the range of $118 to $120 million versus the prior range of $110 to $116 million. GAAP gross margin percentage is expected to be in the high 50’s, and non-GAAP gross margin percentage is expected to be approximately 50%. Both measures increased from prior guidance of low 50’s and high 40’s, respectively. The Company now anticipates 2023 cash usage in the range of $20 to $25 million, compared to prior guidance of $30 to $35 million. For additional information on the non-GAAP financial measures included in this press release, please see “Use of Non-GAAP Financial Measures” and “Reconciliation of GAAP to Non-GAAP Financial Measures” below. Conference Call In conjunction with this announcement, the Company will host a conference call on November 7, 2023 at 8:30 a.m. E.T. Click here to pre-register for the conference call and obtain your dial-in number and passcode. Interested investors can also listen to the live webcast from the Event Details page in the Investors section of the Quanterix website at http://www.quanterix.com. An archived webcast replay will be available on the Company’s website for one year. Financial Highlights Quanterix Corporation Consolidated Statements of Operations (Unaudited and in thousands, except per share data) Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Revenues: Product revenue $ 19,660 $ 17,693 $ 58,639 $ 53,134 Service revenue 10,938 8,370 30,069 25,728 Collaboration and license revenue 237 301 1,234 479 Grant revenue 499 282 877 357 Total revenues 31,334 26,646 90,819 79,698 Costs of goods sold and services: Cost of product revenue 8,342 10,511 22,611 31,178 Cost of service and other revenue 5,209 5,191 14,361 14,306 Total costs of goods sold and services 13,551 15,702 36,972 45,484 Gross profit 17,783 10,944 53,847 34,214 Operating expenses: Research and development 7,200 6,631 17,866 20,290 Selling, general, and administrative 23,595 19,966 66,069 72,723 Other lease costs 758 609 2,696 609 Impairment and restructuring — 20,341 (33) 20,341 Total operating expenses 31,553 47,547 86,598 113,963 Loss from operations (13,770) (36,603) (32,751) (79,749) Interest income, net 4,185 1,712 11,520 2,316 Other income (expense), net 2,030 (101) 1,884 (676) Loss before income taxes (7,555) (34,992) (19,347) (78,109) Income tax expense (203) (72) (578) (10) Net loss $ (7,758) $ (35,064) $ (19,925) $ (78,119) Net loss per common share, basic and diluted $ (0.21) $ (0.95) $ (0.53) $ (2.12) Weighted-average common shares outstanding, basic and diluted 37,657 37,005 37,494 36,927 Quanterix Corporation Consolidated Balance Sheets (Unaudited and in thousands) September 30, 2023 December 31, 2022 ASSETS Current assets: Cash and cash equivalents $ 201,261 $ 338,740 Marketable securities 126,449 — Accounts receivable 24,083 19,017 Inventory 19,945 16,786 Prepaid expenses and other current assets 9,273 6,860 Total current assets 381,011 381,403 Restricted cash 2,647 2,597 Property and equipment, net 17,517 20,162 Intangible assets, net 6,003 7,516 Operating lease right-of-use assets 19,860 21,223 Other non-current assets 2,004 1,298 Total assets $ 429,042 $ 434,199 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 4,786 $ 3,836 Accrued compensation and benefits 9,775 10,658 Accrued expenses and other current liabilities 6,672 5,133 Deferred revenue 9,827 8,644 Operating lease liabilities 4,093 2,687 Total current liabilities 35,153 30,958 Deferred revenue, net of current portion 1,126 1,415 Operating lease liabilities, net of current portion 38,306 41,417 Other non-current liabilities 1,105 1,469 Total liabilities 75,690 75,259 Total stockholders’ equity 353,352 358,940 Total liabilities and stockholders’ equity $ 429,042 $ 434,199 Quanterix Corporation Consolidated Statements of Cash Flows (Unaudited and in thousands) Nine Months Ended September 30, 2023 2022 Cash flows from operating activities: Net loss $ (19,925) $ (78,119) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation and amortization expense 4,788 4,186 Credit losses on accounts receivable 311 102 Foreign currency losses 359 167 Unrealized losses on marketable securities (241) — Amortization of (discount) premium on marketable securities (1,249) — Operating lease right-of-use asset amortization 1,518 1,099 Stock-based compensation expense 12,438 11,779 Impairment — 16,915 Deferred income taxes 242 (134) Loss on disposal of fixed assets 46 6 Changes in assets and liabilities: Accounts receivable (5,615) 5,045 Inventory (2,966) 3,919 Prepaid expenses and other current assets (2,829) (262) Other non-current assets (716) (859) Accounts payable 948 (7,085) Accrued compensation and benefits, accrued expenses, and other current liabilities 876 (3,021) Deferred revenue 894 3,108 Operating lease liabilities (1,690) (1,156) Other non-current liabilities (107) 128 Net cash used in operating activities (12,918) (44,182) Cash flows from investing activities: Purchases of marketable securities (125,200) — Purchases of property and equipment (1,572) (10,131) Proceeds from RADx grant on assets purchased — 520 Net cash used in investing activities (126,772) (9,611) Cash flows from financing activities: Proceeds from common stock issued under stock plans 2,632 1,597 Payments for employee taxes withheld on stock-based compensation awards (142) — Net cash provided by financing activities 2,490 1,597 Net decrease in cash, cash equivalents, and restricted cash (137,200) (52,196) Effect of exchange rate changes on cash, cash equivalents, and restricted cash (229) (507) Cash, cash equivalents, and restricted cash at beginning of period 341,337 399,042 Cash, cash equivalents, and restricted cash at end of period $ 203,908 $ 346,339 Use of Non-GAAP Financial Measures To supplement our financial statements presented on a U.S. GAAP basis, we present non-GAAP gross profit, non-GAAP gross margin, non-GAAP total operating expenses, and non-GAAP loss from operations, which are calculated by including shipping and handling costs for product sales within cost of goods sold instead of within selling, general, and administrative expenses. Management uses these non-GAAP measures to evaluate our operating performance in a manner that allows for meaningful period-to-period comparison and analysis of trends in our business and our competitors. Management believes that presentation of these non-GAAP measures provides useful information to investors in assessing our operating performance within our industry and in order to allow comparability to the presentation of other companies in our industry where shipping and handling costs are included in cost of goods sold for products. Management also uses these non-GAAP measures as a factor in assessing our progress against our restructuring plan. The non-GAAP financial information presented here should be considered in conjunction with, and not as a substitute for, the financial information presented in accordance with U.S. GAAP. Set forth below is a reconciliation of non-GAAP gross profit, non-GAAP gross margin, non-GAAP total operating expenses, and non-GAAP loss from operations to their most directly comparable GAAP financial measures. Reconciliation of GAAP to Non-GAAP Financial Measures Quanterix Corporation Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures (Unaudited and in thousands, except percentages) Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 GAAP gross profit $ 17,783 $ 10,944 $ 53,847 $ 34,214 Shipping and handling costs (1) (2,553) (1,639) (6,004) (5,288) Non-GAAP gross profit $ 15,230 $ 9,305 $ 47,843 $ 28,926 GAAP revenue $ 31,334 $ 26,646 $ 90,819 $ 79,698 GAAP gross margin (gross profit as % of revenue) 56.8% 41.1% 59.3% 42.9% Non-GAAP gross margin (non-GAAP gross profit as % of revenue) 48.6% 34.9% 52.7% 36.3% GAAP total operating expenses $ 31,553 $ 47,547 $ 86,598 $ 113,963 Shipping and handling costs (1) (2,553) (1,639) (6,004) (5,288) Non-GAAP total operating expenses $ 29,000 $ 45,908 $ 80,594 $ 108,675 GAAP loss from operations $ (13,770) $ (36,603) $ (32,751) $ (79,749) Non-GAAP loss from operations $ (13,770) $ (36,603) $ (32,751) $ (79,749) (1) Shipping and handling costs, which include freight and other activities costs associated with product shipments, are captured within operating expenses in our consolidated statements of operations. During the three months ended September 30, 2023 and 2022, we incurred $2.6 million and $1.6 million, respectively, of shipping and handling costs recorded within operating expenses. During the nine months ended September 30, 2023 and 2022, we incurred $6.0 million and $5.3 million, respectively, of shipping and handling costs within operating expenses. About Quanterix From discovery to diagnostics, Quanterix’s ultrasensitive biomarker detection is driving breakthroughs only made possible through its unparalleled sensitivity and flexibility. The Company’s Simoa technology has delivered the gold standard for earlier biomarker detection in blood, serum or plasma, with the ability to quantify proteins that are far lower than the Level of Quantification (LoQ) of conventional analog methods. Its industry-leading precision instruments, digital immunoassay technology and CLIA-certified Accelerator laboratory have supported research that advances disease understanding and management in neurology, oncology, immunology, cardiology and infectious disease. Quanterix has been a trusted partner of the scientific community for nearly two decades, powering research published in more than 2,200 peer-reviewed journals. Find additional information about the Billerica, Massachusetts-based company at https://www.quanterix.com or follow us on Twitter and LinkedIn. Forward-Looking Statements Quanterix’s current financial results, as discussed in this press release, are preliminary and unaudited, and subject to adjustment. This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "expect," "plan," "anticipate," "estimate," "intend" and similar expressions (as well as other words or expressions referencing future events, conditions or circumstances) are intended to identify forward-looking statements. These forward-looking statements include, but are not limited to, statements about Quanterix’s financial performance, including statements under the header “Full Year Business Outlook” set forth above, and are subject to a number of risks, uncertainties and assumptions. Forward-looking statements in this press release are based on Quanterix’s expectations and assumptions as of the date of this press release. Each of these forward-looking statements involves risks and uncertainties. Factors that may cause Quanterix’s actual results to differ from those expressed or implied in the forward-looking statements in this press release include, but are not limited to, those described in the section titled “Part I, Item 1A, “Risk Factors” in Quanterix’ Annual Report on Form 10-K for the year ended December 31, 2022, as filed with the U.S. Securities and Exchange Commission on March 6, 2023. Except as required by law, Quanterix assumes no obligation to update any forward-looking statements contained herein to reflect any change in expectations, even as new information becomes available. View source version on businesswire.com: https://www.businesswire.com/news/home/20231106312259/en/Contacts Media: PAN Communications Maya Nimnicht 510-334-6273 quanterix@pancomm.com Investor Relations: Ed Joyce (610) 306-9917 ir@quanterix.com Data & News supplied by www.cloudquote.io Stock quotes supplied by Barchart Quotes delayed at least 20 minutes. 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Quanterix Releases Operating Results for Third Quarter 2023 By: Quanterix Corporation via Business Wire November 06, 2023 at 17:56 PM EST Quanterix Corporation (NASDAQ: QTRX), a company fueling scientific discovery through ultrasensitive biomarker detection, today announced financial results for the three months ended September 30, 2023. Third Quarter Financial Highlights Revenue was $31.3 million, an 18% increase from $26.6 million for the corresponding prior year period. GAAP gross margin was 56.8% as compared to 41.1% for the corresponding prior year period. Non-GAAP gross margin was 48.6% as compared to 34.9% for the corresponding prior year period. Net loss was $7.8 million as compared to $35.1 million for the corresponding prior year period. Net cash use was approximately $1.9 million. Cash, cash equivalents, marketable securities, and restricted cash were $330.4 million as of September 30, 2023, as compared to $332.2 million as of June 30, 2023. “We’re on track to achieve the six-quarter transformation plan we laid out by year end,” said Masoud Toloue, President and Chief Executive Officer of Quanterix. “This will not only yield highly scaled production lines but serve as the foundation for an accelerated innovation rate going into next year. Last month’s launch of our LucentAD p-Tau 217 blood-based test puts us in a leading position to address broad-based, non-invasive patient testing for Alzheimer’s disease. We expect a faster release pace of pioneering, high sensitivity Simoa products going into 2024.” Operational and Business Highlights In October, the Company launched LucentAD p-Tau 217, a new blood-based biomarker laboratory developed test (LDT) using well-validated Johnson & Johnson Innovative Medicine (Janssen) antibodies to assist in the evaluation of patients suspected of having or developing Alzheimer’s disease. p-Tau 217 is the only blood-based biomarker recognized in the new draft NIA-AA Revised Criteria for Diagnosis and Staging of Alzheimer's Disease capable of meeting a stringent 90% accuracy criterion necessary to diagnose Alzheimer’s. In data presented by Eli Lilly at the CTAD conference, the Simoa® platform was used for analytical validation and initial clinical evaluation of Eli Lilly’s plasma p-Tau 217 immunoassay for a new blood-based diagnostic for Alzheimer’s disease. The study of over 1,000 patients from TRAILBLAZER-ALZ 2 demonstrated high positive and negative agreement to amyloid PET, with an AUC of 0.92 and the assay could prove to be a useful diagnostic test to identify the presence or absence of amyloid pathology. Full Year Business Outlook Management has increased full-year revenue expectations to be in the range of $118 to $120 million versus the prior range of $110 to $116 million. GAAP gross margin percentage is expected to be in the high 50’s, and non-GAAP gross margin percentage is expected to be approximately 50%. Both measures increased from prior guidance of low 50’s and high 40’s, respectively. The Company now anticipates 2023 cash usage in the range of $20 to $25 million, compared to prior guidance of $30 to $35 million. For additional information on the non-GAAP financial measures included in this press release, please see “Use of Non-GAAP Financial Measures” and “Reconciliation of GAAP to Non-GAAP Financial Measures” below. Conference Call In conjunction with this announcement, the Company will host a conference call on November 7, 2023 at 8:30 a.m. E.T. Click here to pre-register for the conference call and obtain your dial-in number and passcode. Interested investors can also listen to the live webcast from the Event Details page in the Investors section of the Quanterix website at http://www.quanterix.com. An archived webcast replay will be available on the Company’s website for one year. Financial Highlights Quanterix Corporation Consolidated Statements of Operations (Unaudited and in thousands, except per share data) Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Revenues: Product revenue $ 19,660 $ 17,693 $ 58,639 $ 53,134 Service revenue 10,938 8,370 30,069 25,728 Collaboration and license revenue 237 301 1,234 479 Grant revenue 499 282 877 357 Total revenues 31,334 26,646 90,819 79,698 Costs of goods sold and services: Cost of product revenue 8,342 10,511 22,611 31,178 Cost of service and other revenue 5,209 5,191 14,361 14,306 Total costs of goods sold and services 13,551 15,702 36,972 45,484 Gross profit 17,783 10,944 53,847 34,214 Operating expenses: Research and development 7,200 6,631 17,866 20,290 Selling, general, and administrative 23,595 19,966 66,069 72,723 Other lease costs 758 609 2,696 609 Impairment and restructuring — 20,341 (33) 20,341 Total operating expenses 31,553 47,547 86,598 113,963 Loss from operations (13,770) (36,603) (32,751) (79,749) Interest income, net 4,185 1,712 11,520 2,316 Other income (expense), net 2,030 (101) 1,884 (676) Loss before income taxes (7,555) (34,992) (19,347) (78,109) Income tax expense (203) (72) (578) (10) Net loss $ (7,758) $ (35,064) $ (19,925) $ (78,119) Net loss per common share, basic and diluted $ (0.21) $ (0.95) $ (0.53) $ (2.12) Weighted-average common shares outstanding, basic and diluted 37,657 37,005 37,494 36,927 Quanterix Corporation Consolidated Balance Sheets (Unaudited and in thousands) September 30, 2023 December 31, 2022 ASSETS Current assets: Cash and cash equivalents $ 201,261 $ 338,740 Marketable securities 126,449 — Accounts receivable 24,083 19,017 Inventory 19,945 16,786 Prepaid expenses and other current assets 9,273 6,860 Total current assets 381,011 381,403 Restricted cash 2,647 2,597 Property and equipment, net 17,517 20,162 Intangible assets, net 6,003 7,516 Operating lease right-of-use assets 19,860 21,223 Other non-current assets 2,004 1,298 Total assets $ 429,042 $ 434,199 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 4,786 $ 3,836 Accrued compensation and benefits 9,775 10,658 Accrued expenses and other current liabilities 6,672 5,133 Deferred revenue 9,827 8,644 Operating lease liabilities 4,093 2,687 Total current liabilities 35,153 30,958 Deferred revenue, net of current portion 1,126 1,415 Operating lease liabilities, net of current portion 38,306 41,417 Other non-current liabilities 1,105 1,469 Total liabilities 75,690 75,259 Total stockholders’ equity 353,352 358,940 Total liabilities and stockholders’ equity $ 429,042 $ 434,199 Quanterix Corporation Consolidated Statements of Cash Flows (Unaudited and in thousands) Nine Months Ended September 30, 2023 2022 Cash flows from operating activities: Net loss $ (19,925) $ (78,119) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation and amortization expense 4,788 4,186 Credit losses on accounts receivable 311 102 Foreign currency losses 359 167 Unrealized losses on marketable securities (241) — Amortization of (discount) premium on marketable securities (1,249) — Operating lease right-of-use asset amortization 1,518 1,099 Stock-based compensation expense 12,438 11,779 Impairment — 16,915 Deferred income taxes 242 (134) Loss on disposal of fixed assets 46 6 Changes in assets and liabilities: Accounts receivable (5,615) 5,045 Inventory (2,966) 3,919 Prepaid expenses and other current assets (2,829) (262) Other non-current assets (716) (859) Accounts payable 948 (7,085) Accrued compensation and benefits, accrued expenses, and other current liabilities 876 (3,021) Deferred revenue 894 3,108 Operating lease liabilities (1,690) (1,156) Other non-current liabilities (107) 128 Net cash used in operating activities (12,918) (44,182) Cash flows from investing activities: Purchases of marketable securities (125,200) — Purchases of property and equipment (1,572) (10,131) Proceeds from RADx grant on assets purchased — 520 Net cash used in investing activities (126,772) (9,611) Cash flows from financing activities: Proceeds from common stock issued under stock plans 2,632 1,597 Payments for employee taxes withheld on stock-based compensation awards (142) — Net cash provided by financing activities 2,490 1,597 Net decrease in cash, cash equivalents, and restricted cash (137,200) (52,196) Effect of exchange rate changes on cash, cash equivalents, and restricted cash (229) (507) Cash, cash equivalents, and restricted cash at beginning of period 341,337 399,042 Cash, cash equivalents, and restricted cash at end of period $ 203,908 $ 346,339 Use of Non-GAAP Financial Measures To supplement our financial statements presented on a U.S. GAAP basis, we present non-GAAP gross profit, non-GAAP gross margin, non-GAAP total operating expenses, and non-GAAP loss from operations, which are calculated by including shipping and handling costs for product sales within cost of goods sold instead of within selling, general, and administrative expenses. Management uses these non-GAAP measures to evaluate our operating performance in a manner that allows for meaningful period-to-period comparison and analysis of trends in our business and our competitors. Management believes that presentation of these non-GAAP measures provides useful information to investors in assessing our operating performance within our industry and in order to allow comparability to the presentation of other companies in our industry where shipping and handling costs are included in cost of goods sold for products. Management also uses these non-GAAP measures as a factor in assessing our progress against our restructuring plan. The non-GAAP financial information presented here should be considered in conjunction with, and not as a substitute for, the financial information presented in accordance with U.S. GAAP. Set forth below is a reconciliation of non-GAAP gross profit, non-GAAP gross margin, non-GAAP total operating expenses, and non-GAAP loss from operations to their most directly comparable GAAP financial measures. Reconciliation of GAAP to Non-GAAP Financial Measures Quanterix Corporation Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures (Unaudited and in thousands, except percentages) Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 GAAP gross profit $ 17,783 $ 10,944 $ 53,847 $ 34,214 Shipping and handling costs (1) (2,553) (1,639) (6,004) (5,288) Non-GAAP gross profit $ 15,230 $ 9,305 $ 47,843 $ 28,926 GAAP revenue $ 31,334 $ 26,646 $ 90,819 $ 79,698 GAAP gross margin (gross profit as % of revenue) 56.8% 41.1% 59.3% 42.9% Non-GAAP gross margin (non-GAAP gross profit as % of revenue) 48.6% 34.9% 52.7% 36.3% GAAP total operating expenses $ 31,553 $ 47,547 $ 86,598 $ 113,963 Shipping and handling costs (1) (2,553) (1,639) (6,004) (5,288) Non-GAAP total operating expenses $ 29,000 $ 45,908 $ 80,594 $ 108,675 GAAP loss from operations $ (13,770) $ (36,603) $ (32,751) $ (79,749) Non-GAAP loss from operations $ (13,770) $ (36,603) $ (32,751) $ (79,749) (1) Shipping and handling costs, which include freight and other activities costs associated with product shipments, are captured within operating expenses in our consolidated statements of operations. During the three months ended September 30, 2023 and 2022, we incurred $2.6 million and $1.6 million, respectively, of shipping and handling costs recorded within operating expenses. During the nine months ended September 30, 2023 and 2022, we incurred $6.0 million and $5.3 million, respectively, of shipping and handling costs within operating expenses. About Quanterix From discovery to diagnostics, Quanterix’s ultrasensitive biomarker detection is driving breakthroughs only made possible through its unparalleled sensitivity and flexibility. The Company’s Simoa technology has delivered the gold standard for earlier biomarker detection in blood, serum or plasma, with the ability to quantify proteins that are far lower than the Level of Quantification (LoQ) of conventional analog methods. Its industry-leading precision instruments, digital immunoassay technology and CLIA-certified Accelerator laboratory have supported research that advances disease understanding and management in neurology, oncology, immunology, cardiology and infectious disease. Quanterix has been a trusted partner of the scientific community for nearly two decades, powering research published in more than 2,200 peer-reviewed journals. Find additional information about the Billerica, Massachusetts-based company at https://www.quanterix.com or follow us on Twitter and LinkedIn. Forward-Looking Statements Quanterix’s current financial results, as discussed in this press release, are preliminary and unaudited, and subject to adjustment. This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "expect," "plan," "anticipate," "estimate," "intend" and similar expressions (as well as other words or expressions referencing future events, conditions or circumstances) are intended to identify forward-looking statements. These forward-looking statements include, but are not limited to, statements about Quanterix’s financial performance, including statements under the header “Full Year Business Outlook” set forth above, and are subject to a number of risks, uncertainties and assumptions. Forward-looking statements in this press release are based on Quanterix’s expectations and assumptions as of the date of this press release. Each of these forward-looking statements involves risks and uncertainties. Factors that may cause Quanterix’s actual results to differ from those expressed or implied in the forward-looking statements in this press release include, but are not limited to, those described in the section titled “Part I, Item 1A, “Risk Factors” in Quanterix’ Annual Report on Form 10-K for the year ended December 31, 2022, as filed with the U.S. Securities and Exchange Commission on March 6, 2023. Except as required by law, Quanterix assumes no obligation to update any forward-looking statements contained herein to reflect any change in expectations, even as new information becomes available. View source version on businesswire.com: https://www.businesswire.com/news/home/20231106312259/en/Contacts Media: PAN Communications Maya Nimnicht 510-334-6273 quanterix@pancomm.com Investor Relations: Ed Joyce (610) 306-9917 ir@quanterix.com
Quanterix Corporation (NASDAQ: QTRX), a company fueling scientific discovery through ultrasensitive biomarker detection, today announced financial results for the three months ended September 30, 2023. Third Quarter Financial Highlights Revenue was $31.3 million, an 18% increase from $26.6 million for the corresponding prior year period. GAAP gross margin was 56.8% as compared to 41.1% for the corresponding prior year period. Non-GAAP gross margin was 48.6% as compared to 34.9% for the corresponding prior year period. Net loss was $7.8 million as compared to $35.1 million for the corresponding prior year period. Net cash use was approximately $1.9 million. Cash, cash equivalents, marketable securities, and restricted cash were $330.4 million as of September 30, 2023, as compared to $332.2 million as of June 30, 2023. “We’re on track to achieve the six-quarter transformation plan we laid out by year end,” said Masoud Toloue, President and Chief Executive Officer of Quanterix. “This will not only yield highly scaled production lines but serve as the foundation for an accelerated innovation rate going into next year. Last month’s launch of our LucentAD p-Tau 217 blood-based test puts us in a leading position to address broad-based, non-invasive patient testing for Alzheimer’s disease. We expect a faster release pace of pioneering, high sensitivity Simoa products going into 2024.” Operational and Business Highlights In October, the Company launched LucentAD p-Tau 217, a new blood-based biomarker laboratory developed test (LDT) using well-validated Johnson & Johnson Innovative Medicine (Janssen) antibodies to assist in the evaluation of patients suspected of having or developing Alzheimer’s disease. p-Tau 217 is the only blood-based biomarker recognized in the new draft NIA-AA Revised Criteria for Diagnosis and Staging of Alzheimer's Disease capable of meeting a stringent 90% accuracy criterion necessary to diagnose Alzheimer’s. In data presented by Eli Lilly at the CTAD conference, the Simoa® platform was used for analytical validation and initial clinical evaluation of Eli Lilly’s plasma p-Tau 217 immunoassay for a new blood-based diagnostic for Alzheimer’s disease. The study of over 1,000 patients from TRAILBLAZER-ALZ 2 demonstrated high positive and negative agreement to amyloid PET, with an AUC of 0.92 and the assay could prove to be a useful diagnostic test to identify the presence or absence of amyloid pathology. Full Year Business Outlook Management has increased full-year revenue expectations to be in the range of $118 to $120 million versus the prior range of $110 to $116 million. GAAP gross margin percentage is expected to be in the high 50’s, and non-GAAP gross margin percentage is expected to be approximately 50%. Both measures increased from prior guidance of low 50’s and high 40’s, respectively. The Company now anticipates 2023 cash usage in the range of $20 to $25 million, compared to prior guidance of $30 to $35 million. For additional information on the non-GAAP financial measures included in this press release, please see “Use of Non-GAAP Financial Measures” and “Reconciliation of GAAP to Non-GAAP Financial Measures” below. Conference Call In conjunction with this announcement, the Company will host a conference call on November 7, 2023 at 8:30 a.m. E.T. Click here to pre-register for the conference call and obtain your dial-in number and passcode. Interested investors can also listen to the live webcast from the Event Details page in the Investors section of the Quanterix website at http://www.quanterix.com. An archived webcast replay will be available on the Company’s website for one year. Financial Highlights Quanterix Corporation Consolidated Statements of Operations (Unaudited and in thousands, except per share data) Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 Revenues: Product revenue $ 19,660 $ 17,693 $ 58,639 $ 53,134 Service revenue 10,938 8,370 30,069 25,728 Collaboration and license revenue 237 301 1,234 479 Grant revenue 499 282 877 357 Total revenues 31,334 26,646 90,819 79,698 Costs of goods sold and services: Cost of product revenue 8,342 10,511 22,611 31,178 Cost of service and other revenue 5,209 5,191 14,361 14,306 Total costs of goods sold and services 13,551 15,702 36,972 45,484 Gross profit 17,783 10,944 53,847 34,214 Operating expenses: Research and development 7,200 6,631 17,866 20,290 Selling, general, and administrative 23,595 19,966 66,069 72,723 Other lease costs 758 609 2,696 609 Impairment and restructuring — 20,341 (33) 20,341 Total operating expenses 31,553 47,547 86,598 113,963 Loss from operations (13,770) (36,603) (32,751) (79,749) Interest income, net 4,185 1,712 11,520 2,316 Other income (expense), net 2,030 (101) 1,884 (676) Loss before income taxes (7,555) (34,992) (19,347) (78,109) Income tax expense (203) (72) (578) (10) Net loss $ (7,758) $ (35,064) $ (19,925) $ (78,119) Net loss per common share, basic and diluted $ (0.21) $ (0.95) $ (0.53) $ (2.12) Weighted-average common shares outstanding, basic and diluted 37,657 37,005 37,494 36,927 Quanterix Corporation Consolidated Balance Sheets (Unaudited and in thousands) September 30, 2023 December 31, 2022 ASSETS Current assets: Cash and cash equivalents $ 201,261 $ 338,740 Marketable securities 126,449 — Accounts receivable 24,083 19,017 Inventory 19,945 16,786 Prepaid expenses and other current assets 9,273 6,860 Total current assets 381,011 381,403 Restricted cash 2,647 2,597 Property and equipment, net 17,517 20,162 Intangible assets, net 6,003 7,516 Operating lease right-of-use assets 19,860 21,223 Other non-current assets 2,004 1,298 Total assets $ 429,042 $ 434,199 LIABILITIES AND STOCKHOLDERS' EQUITY Current liabilities: Accounts payable $ 4,786 $ 3,836 Accrued compensation and benefits 9,775 10,658 Accrued expenses and other current liabilities 6,672 5,133 Deferred revenue 9,827 8,644 Operating lease liabilities 4,093 2,687 Total current liabilities 35,153 30,958 Deferred revenue, net of current portion 1,126 1,415 Operating lease liabilities, net of current portion 38,306 41,417 Other non-current liabilities 1,105 1,469 Total liabilities 75,690 75,259 Total stockholders’ equity 353,352 358,940 Total liabilities and stockholders’ equity $ 429,042 $ 434,199 Quanterix Corporation Consolidated Statements of Cash Flows (Unaudited and in thousands) Nine Months Ended September 30, 2023 2022 Cash flows from operating activities: Net loss $ (19,925) $ (78,119) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation and amortization expense 4,788 4,186 Credit losses on accounts receivable 311 102 Foreign currency losses 359 167 Unrealized losses on marketable securities (241) — Amortization of (discount) premium on marketable securities (1,249) — Operating lease right-of-use asset amortization 1,518 1,099 Stock-based compensation expense 12,438 11,779 Impairment — 16,915 Deferred income taxes 242 (134) Loss on disposal of fixed assets 46 6 Changes in assets and liabilities: Accounts receivable (5,615) 5,045 Inventory (2,966) 3,919 Prepaid expenses and other current assets (2,829) (262) Other non-current assets (716) (859) Accounts payable 948 (7,085) Accrued compensation and benefits, accrued expenses, and other current liabilities 876 (3,021) Deferred revenue 894 3,108 Operating lease liabilities (1,690) (1,156) Other non-current liabilities (107) 128 Net cash used in operating activities (12,918) (44,182) Cash flows from investing activities: Purchases of marketable securities (125,200) — Purchases of property and equipment (1,572) (10,131) Proceeds from RADx grant on assets purchased — 520 Net cash used in investing activities (126,772) (9,611) Cash flows from financing activities: Proceeds from common stock issued under stock plans 2,632 1,597 Payments for employee taxes withheld on stock-based compensation awards (142) — Net cash provided by financing activities 2,490 1,597 Net decrease in cash, cash equivalents, and restricted cash (137,200) (52,196) Effect of exchange rate changes on cash, cash equivalents, and restricted cash (229) (507) Cash, cash equivalents, and restricted cash at beginning of period 341,337 399,042 Cash, cash equivalents, and restricted cash at end of period $ 203,908 $ 346,339 Use of Non-GAAP Financial Measures To supplement our financial statements presented on a U.S. GAAP basis, we present non-GAAP gross profit, non-GAAP gross margin, non-GAAP total operating expenses, and non-GAAP loss from operations, which are calculated by including shipping and handling costs for product sales within cost of goods sold instead of within selling, general, and administrative expenses. Management uses these non-GAAP measures to evaluate our operating performance in a manner that allows for meaningful period-to-period comparison and analysis of trends in our business and our competitors. Management believes that presentation of these non-GAAP measures provides useful information to investors in assessing our operating performance within our industry and in order to allow comparability to the presentation of other companies in our industry where shipping and handling costs are included in cost of goods sold for products. Management also uses these non-GAAP measures as a factor in assessing our progress against our restructuring plan. The non-GAAP financial information presented here should be considered in conjunction with, and not as a substitute for, the financial information presented in accordance with U.S. GAAP. Set forth below is a reconciliation of non-GAAP gross profit, non-GAAP gross margin, non-GAAP total operating expenses, and non-GAAP loss from operations to their most directly comparable GAAP financial measures. Reconciliation of GAAP to Non-GAAP Financial Measures Quanterix Corporation Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures (Unaudited and in thousands, except percentages) Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 2023 2022 GAAP gross profit $ 17,783 $ 10,944 $ 53,847 $ 34,214 Shipping and handling costs (1) (2,553) (1,639) (6,004) (5,288) Non-GAAP gross profit $ 15,230 $ 9,305 $ 47,843 $ 28,926 GAAP revenue $ 31,334 $ 26,646 $ 90,819 $ 79,698 GAAP gross margin (gross profit as % of revenue) 56.8% 41.1% 59.3% 42.9% Non-GAAP gross margin (non-GAAP gross profit as % of revenue) 48.6% 34.9% 52.7% 36.3% GAAP total operating expenses $ 31,553 $ 47,547 $ 86,598 $ 113,963 Shipping and handling costs (1) (2,553) (1,639) (6,004) (5,288) Non-GAAP total operating expenses $ 29,000 $ 45,908 $ 80,594 $ 108,675 GAAP loss from operations $ (13,770) $ (36,603) $ (32,751) $ (79,749) Non-GAAP loss from operations $ (13,770) $ (36,603) $ (32,751) $ (79,749) (1) Shipping and handling costs, which include freight and other activities costs associated with product shipments, are captured within operating expenses in our consolidated statements of operations. During the three months ended September 30, 2023 and 2022, we incurred $2.6 million and $1.6 million, respectively, of shipping and handling costs recorded within operating expenses. During the nine months ended September 30, 2023 and 2022, we incurred $6.0 million and $5.3 million, respectively, of shipping and handling costs within operating expenses. About Quanterix From discovery to diagnostics, Quanterix’s ultrasensitive biomarker detection is driving breakthroughs only made possible through its unparalleled sensitivity and flexibility. The Company’s Simoa technology has delivered the gold standard for earlier biomarker detection in blood, serum or plasma, with the ability to quantify proteins that are far lower than the Level of Quantification (LoQ) of conventional analog methods. Its industry-leading precision instruments, digital immunoassay technology and CLIA-certified Accelerator laboratory have supported research that advances disease understanding and management in neurology, oncology, immunology, cardiology and infectious disease. Quanterix has been a trusted partner of the scientific community for nearly two decades, powering research published in more than 2,200 peer-reviewed journals. Find additional information about the Billerica, Massachusetts-based company at https://www.quanterix.com or follow us on Twitter and LinkedIn. Forward-Looking Statements Quanterix’s current financial results, as discussed in this press release, are preliminary and unaudited, and subject to adjustment. This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as "may," "will," "expect," "plan," "anticipate," "estimate," "intend" and similar expressions (as well as other words or expressions referencing future events, conditions or circumstances) are intended to identify forward-looking statements. These forward-looking statements include, but are not limited to, statements about Quanterix’s financial performance, including statements under the header “Full Year Business Outlook” set forth above, and are subject to a number of risks, uncertainties and assumptions. Forward-looking statements in this press release are based on Quanterix’s expectations and assumptions as of the date of this press release. Each of these forward-looking statements involves risks and uncertainties. Factors that may cause Quanterix’s actual results to differ from those expressed or implied in the forward-looking statements in this press release include, but are not limited to, those described in the section titled “Part I, Item 1A, “Risk Factors” in Quanterix’ Annual Report on Form 10-K for the year ended December 31, 2022, as filed with the U.S. Securities and Exchange Commission on March 6, 2023. Except as required by law, Quanterix assumes no obligation to update any forward-looking statements contained herein to reflect any change in expectations, even as new information becomes available. View source version on businesswire.com: https://www.businesswire.com/news/home/20231106312259/en/
Media: PAN Communications Maya Nimnicht 510-334-6273 quanterix@pancomm.com Investor Relations: Ed Joyce (610) 306-9917 ir@quanterix.com
