Summary of Akoya Biosciences (AKYA) Update / Briefing Company and Industry - **Company**: Akoya Biosciences (AKYA) - **Industry**: Spatial Biology and Drug Discovery Core Points and Arguments 1. **Webinar Series**: The webinar is part of the "Spatial Insights Driving Drug Discovery" series, focusing on the impact of spatial biology on therapeutic developments and precision medicine [1][2] 2. **AI-Powered Research**: Dr. Jo Young presented research on AI-powered profiling of immune cell distribution to predict cancer recurrence risk, emphasizing the importance of spatial awareness in understanding biological systems [2][3] 3. **Technological Advancements**: The discussion highlighted the evolution of traditional histological techniques (H&E staining) towards a new version termed "H&E 2.0," integrating AI and big data for improved diagnostic capabilities [6][7] 4. **Spatial Technology**: The presentation covered the use of spatial technology in RNA and protein analysis, showcasing the group's extensive experience and contributions to the field [8][9] 5. **AI Integration**: The integration of AI in pathology allows for enhanced analysis of single-cell data, improving the accuracy of cancer diagnostics and treatment predictions [10][11] 6. **Clinical Trial Challenges**: Over 90% of clinical trials fail, costing approximately $9 billion annually. The application of AI could streamline patient recruitment and improve trial success rates [18][19] 7. **Biomarker Testing**: The discussion emphasized the inefficiencies in current biomarker testing for clinical trials, proposing that AI could optimize patient selection and reduce unnecessary tests [20][21] 8. **Liver Cancer Recurrence**: The research identified key immune cell subtypes that correlate with liver cancer recurrence, with a recurrence rate as high as 70% [29][30] 9. **AI Strategy**: A structured approach to applying AI in data analysis is crucial, focusing on measurable outcomes and validation through various technologies [70][72] 10. **Future Directions**: The company is working on advanced scoring systems and cloud-based automation for image quantification to facilitate clinical translation of their findings [78][79] Other Important Content 1. **Research Validation**: The study validated findings through multiple technologies, ensuring that AI-driven discoveries are not coincidental but biologically relevant [74][75] 2. **Global Health Initiatives**: The company is involved in global health projects, applying their technologies in rural and remote areas, particularly in Africa and Southeast Asia [62][63] 3. **Call for Collaboration**: The speaker encouraged early-career scientists to engage sincerely and transparently in their research endeavors, emphasizing the importance of perseverance in academia [80][84] 4. **Upcoming Events**: The company announced an upcoming event in Singapore related to immunotherapy, inviting participation from interested parties [65] This summary encapsulates the key points discussed during the Akoya Biosciences update, highlighting the company's focus on spatial biology, AI integration, and the implications for cancer research and clinical trials.

Core Viewpoint - The proposed sale of Akoya Biosciences, Inc. to Quanterix Corporation is under investigation to assess whether the transaction adequately values Akoya and the process leading to this valuation [1]. Group 1: Transaction Details - Under the terms of the proposed transaction, Akoya shareholders will receive 0.318 shares of Quanterix for each share of Akoya they own [1]. Group 2: Legal Investigation - Kahn Swick & Foti, LLC is investigating the proposed sale to determine if the consideration is adequate or if it undervalues Akoya [1]. - The firm is inviting shareholders who believe the transaction undervalues the company to discuss their legal rights regarding the proposed sale [2].

Summary of the Webinar on Tertiary Lymphoid Structures in Cancer Immunotherapy Company and Industry - **Company**: Sequoia Biosciences - **Industry**: Cancer Immunotherapy and Spatial Biology Core Insights and Arguments 1. **Immunotherapy Efficacy**: Only 30% of cancer patients benefit from immune checkpoint inhibition, indicating a need for better predictive biomarkers to select suitable patients [4][5][6] 2. **Tertiary Lymphoid Structures (TLS)**: The presence of TLS is a major predictor of response to immunotherapy, particularly in sarcoma, renal cancer, and melanoma [5][21] 3. **Sarcoma Treatment Challenges**: Sarcoma, a rare and heterogeneous cancer, has limited treatment options, with standard chemotherapy showing a response rate of less than 10% [7][8] 4. **Clinical Trial Findings**: A clinical trial showed a response rate of only 2% in sarcoma patients without biomarker selection, highlighting the importance of identifying effective biomarkers [10][19] 5. **TLS as a Biomarker**: The presence of TLS in tumors correlates with better outcomes and response rates to immunotherapy, with a significant increase in response rate from 2% to 30% when selecting patients based on TLS status [19][21] 6. **Universal Predictive Value of TLS**: TLS status was found to be a powerful predictor of outcomes across various cancer types, not limited to sarcoma [21][23] 7. **Mechanisms of Resistance**: High levels of T regulatory cells (Tregs) in TLS positive tumors are associated with poor outcomes, while plasma cell infiltration correlates with better outcomes [24][25][26] 8. **Future Directions**: Ongoing research aims to understand the determinants of resistance to immunotherapy in TLS positive tumors and explore new immunotherapy targets [28][29] Other Important Content 1. **Guidelines for TLS Assessment**: Recent guidelines have been published for pathologists to assess TLS status in tumors, emphasizing the importance of standardized approaches [30][39] 2. **Artificial Intelligence in TLS Assessment**: There are emerging technologies using AI and digital pathology to evaluate TLS status, which could streamline the assessment process [39] 3. **Clinical Trials and Research Programs**: The CONDOR program aims to analyze genomic features of sarcomas in relation to TLS status, which may provide further insights into tumor biology and treatment responses [37] 4. **Impact of Tumor Microenvironment**: The tumor microenvironment plays a crucial role in the formation of TLS and the overall immune response, with ongoing studies investigating its components [28][36] This summary encapsulates the key points discussed in the webinar, focusing on the significance of TLS in cancer immunotherapy and the ongoing research efforts to enhance treatment efficacy.

Revenue Performance - Total revenue for Q1 2025 was $16,639,000, a decrease of 9.3% compared to $18,350,000 in Q1 2024[17]. - Product revenue was $12,032,000, slightly down from $12,140,000 in the same period last year[17]. - Service and other revenue decreased by 25.8% to $4,607,000 from $6,210,000 year-over-year[17]. - Revenue for the three months ended March 31, 2025, was $16,639,000, a decrease of 9.3% from $18,350,000 in the same period of 2024[145]. - North America accounted for 61% of total revenue in Q1 2025, up from 55% in Q1 2024, indicating a stronger market presence[146]. Profitability and Losses - Net loss for Q1 2025 was $15,652,000, compared to a net loss of $23,484,000 in Q1 2024, representing a 33.5% improvement[17]. - For the three months ended March 31, 2025, Akoya Biosciences reported a net loss of $15,652,000, an improvement from a net loss of $23,484,000 in the same period of 2024, representing a 33% reduction in losses[23]. - The net loss for the three months ended March 31, 2025, was $15,652,000, significantly improved from a net loss of $23,484,000 in 2024, representing a 33.5% reduction[145]. Cash Flow and Liquidity - Cash and cash equivalents increased to $20,357,000 from $11,779,000, indicating improved liquidity[14]. - The company used $7,214,000 in cash from operations during the three months ended March 31, 2025, compared to $20,824,000 in the same period of 2024, indicating a significant decrease in cash used[23]. - Cash, cash equivalents, and marketable securities totaled $27,544,000 as of March 31, 2025, with an accumulated deficit of $301,088,000[32]. Operating Expenses - Total operating expenses decreased to $23,283,000 from $29,964,000, a reduction of 22.4%[17]. - Operating expenses for compensation and benefits decreased to $9,833,000 from $15,013,000, a decline of 34.1%[145]. - Total lease costs for the three months ended March 31, 2025, were $665,000, down from $982,000 in the same period of 2024, reflecting cost-saving measures[155]. Assets and Liabilities - Total assets decreased to $112,649,000 from $125,005,000, reflecting a reduction in marketable securities[14]. - Current liabilities surged to $108,082,000 from $29,444,000, primarily due to the current portion of long-term debt[14]. - Stockholders' equity showed a deficit of $5,889,000 as of March 31, 2025, compared to a positive equity of $7,595,000 at the end of 2024[14]. - Total debt, net as of March 31, 2025, was $76,487,000, slightly up from $76,182,000 as of December 31, 2024[123]. Strategic Initiatives - Akoya is in the process of a merger with Quanterix Corporation, with the merger agreement stipulating an exchange ratio of 0.1461 shares of Quanterix common stock for each share of Akoya common stock[35][36]. - The merger agreement includes a cash consideration of $0.38 per share, totaling up to $20,000,000 in cash to be paid by Quanterix[37][38]. - The company completed a follow-on public offering in June 2023, which is part of its strategy to raise additional capital[32]. Accounting and Financial Reporting - The Company follows ASC 606 for revenue recognition, ensuring revenue is recognized when control of goods or services is transferred to customers[52][53]. - The Company recorded contract assets of $1,831 as of March 31, 2025, compared to $4,023 and $1,276 for December 31, 2024, and December 31, 2023, respectively[72]. - As of March 31, 2025, the Company recorded contract liabilities of $10,740, which includes $6,518 in deferred revenue and $1,440 in accrued expenses[73]. Research and Development - Research and development expenses with Argonaut Manufacturing Services Inc. were approximately $127,000 in Q1 2025, compared to $1,673,000 in Q1 2024, showing a significant decrease[148]. Stock and Compensation - The company recorded stock-based compensation expenses totaling $2,246,000 for the three months ended March 31, 2025, down from $2,566,000 in the same period of 2024[133]. - The company granted 93,092 restricted stock units (RSUs) during the three months ended March 31, 2025, with a weighted average fair value of $2.14 per share, compared to 1,025,951 RSUs at a weighted average fair value of $5.34 per share in 2024[132].

Core Viewpoint - Akoya Biosciences reported a quarterly loss of $0.32 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.29, marking an earnings surprise of -10.34% [1] - The company has struggled with revenue, posting $16.64 million for the quarter, missing the consensus estimate by 16.32% and down from $18.35 million a year ago [2] Financial Performance - Over the last four quarters, Akoya has only surpassed consensus EPS estimates once [2] - The company has not beaten consensus revenue estimates in the last four quarters [2] - Akoya shares have declined approximately 52% year-to-date, compared to a -3.8% decline in the S&P 500 [3] Future Outlook - The company's earnings outlook is critical for investors, with current consensus EPS estimates at -$0.22 for the upcoming quarter and -$0.76 for the current fiscal year [7] - The estimate revisions trend for Akoya is currently unfavorable, resulting in a Zacks Rank 4 (Sell), indicating expected underperformance in the near future [6] - The Medical - Biomedical and Genetics industry, to which Akoya belongs, is ranked in the top 34% of Zacks industries, suggesting potential for better performance compared to lower-ranked industries [8] Industry Context - Precision BioSciences, another company in the same industry, is expected to report a quarterly loss of $0.43 per share, reflecting a year-over-year change of -22.9% [9] - Precision BioSciences' anticipated revenues are projected to be $10 million, down 43.1% from the previous year [10]

Financial Performance - Revenue for the first quarter of 2025 was $16.6 million, a decrease of 9.8% compared to $18.4 million in the prior year period[5] - Gross margin improved to 59.3% in the first quarter of 2025, up from 45.7% in the prior year period[5] - Operating expenses decreased by 22.3% to $23.3 million in the first quarter of 2025, compared to $30.0 million in the prior year period[5] - Operating loss was $13.4 million for the first quarter of 2025, an improvement of 37.9% from $21.6 million in the prior year period[5] - Net cash used in operating activities decreased to $7.2 million in the first quarter of 2025, down from $20.8 million in the prior year period[5] - Cash, cash equivalents, and marketable securities totaled $27.5 million as of March 31, 2025[5] Business Growth - The installed base at the end of the quarter was 1,359 instruments, a year-over-year increase of 12.0%[9] - Total publications citing Akoya's technology reached 1,891, a year-over-year increase of 44.7% compared to 1,307 in the prior year period[9] Strategic Initiatives - Akoya announced the selection of PhenoCycler-Fusion for a landmark Cancer Grand Challenges-funded study aimed at addressing cancer inequities[5] - Akoya will not be providing forward-looking guidance due to the pending acquisition by Quanterix Corporation[6]

Core Viewpoint - Akoya Biosciences, Inc. reported a focus on operational discipline and innovation in Q1 2025, despite macroeconomic challenges and NIH funding uncertainties, while preparing for a merger with Quanterix Corporation to enhance precision medicine opportunities [2]. Financial Results - Revenue for Q1 2025 was $16.6 million, a decrease of 9.8% from $18.4 million in the same period last year [7]. - Gross margin improved to 59.3% in Q1 2025, compared to 45.7% in the prior year [7]. - Operating expenses decreased by 22.3% to $23.3 million in Q1 2025 from $30.0 million in the prior year [7]. - Operating loss was $13.4 million, an improvement of 37.9% from a loss of $21.6 million in the prior year [7]. - Net cash used in operating activities decreased to $7.2 million from $20.8 million in the prior year [7]. - As of March 31, 2025, the company had $27.5 million in cash, cash equivalents, and marketable securities [7]. Business Highlights - Akoya's installed base grew to 1,359 instruments, a year-over-year increase of 12.0% [7]. - The total number of publications citing Akoya's technology reached 1,891, a 44.7% increase from 1,307 in the prior year [7]. - Akoya announced partnerships for significant cancer studies, including the selection of PhenoCycler-Fusion for a Cancer Grand Challenges-funded study and collaboration with the Singapore Translational Cancer Consortium [7]. - At the AACR Annual Meeting, Akoya launched the largest commercially available single-cell spatial proteomics atlas and expanded its Advanced Biopharma Solutions portfolio [7].

Core Viewpoint - Wall Street anticipates a year-over-year increase in earnings for Akoya Biosciences, driven by higher revenues, but actual results compared to estimates will significantly influence stock price movements [1][2]. Financial Expectations - Akoya is expected to report a quarterly loss of $0.29 per share, reflecting a year-over-year change of +17.1% [3]. - Revenues are projected to be $19.88 million, which is an increase of 8.3% from the same quarter last year [3]. Estimate Revisions - The consensus EPS estimate for Akoya has remained unchanged over the last 30 days, indicating stability in analyst expectations [4]. - The Most Accurate Estimate for Akoya is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +20.69%, suggesting a more optimistic outlook from analysts [10]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that a positive Earnings ESP reading is a strong predictor of an earnings beat, especially when combined with a favorable Zacks Rank [8]. - However, Akoya currently holds a Zacks Rank of 4, which complicates the prediction of an earnings beat despite the positive Earnings ESP [11]. Historical Performance - In the last reported quarter, Akoya was expected to post a loss of $0.15 per share but actually reported a loss of $0.17, resulting in a surprise of -13.33% [12]. - Over the past four quarters, Akoya has only beaten consensus EPS estimates once [13]. Industry Comparison - Illumina, another player in the biomedical and genetics industry, is expected to report earnings of $0.96 per share, showing a year-over-year change of +966.7%, with revenues projected at $1.04 billion, down 3.5% from the previous year [17]. - Illumina's consensus EPS estimate has been revised 0.6% lower in the last 30 days, but a higher Most Accurate Estimate has resulted in an Earnings ESP of 0.18%, indicating a likelihood of beating the consensus EPS estimate [18].

Core Insights - Akoya Biosciences' PhenoCycler-Fusion platform will be utilized for a groundbreaking Biobank and Data Repository aimed at Cancer Equity Research, funded by the Cancer Grand Challenges initiative [1][4] - The SAMBAI team will analyze cancer outcomes in 40,000 individuals of African descent, focusing on breast, pancreatic, and prostate cancers, which have higher rates of aggressive tumor grades in this population [3][5] - The project is set to receive up to $25 million in funding from Cancer Grand Challenges to support its extensive research efforts [4] Company Overview - Akoya Biosciences is recognized as The Spatial Biology Company®, specializing in spatial phenotyping to enhance understanding of biology and human health [9] - The company provides a range of single-cell imaging solutions, including PhenoCode™ Panels and various PhenoCycler and PhenoImager instruments, catering to diverse research needs [9]

Core Viewpoint - Akoya Biosciences reported a quarterly loss of $0.17 per share, which was worse than the Zacks Consensus Estimate of a loss of $0.15, indicating a surprise of -13.33% [1] - The company has struggled with revenue, posting $21.34 million for the quarter, missing the consensus estimate by 1.05% and down from $26.49 million a year ago [2] Financial Performance - The company has only surpassed consensus EPS estimates once in the last four quarters [2] - Akoya shares have declined approximately 34.5% year-to-date, compared to a 4.1% decline in the S&P 500 [3] Future Outlook - The company's earnings outlook is uncertain, with current consensus EPS estimates of -$0.21 for the next quarter and -$0.64 for the current fiscal year [7] - The estimate revisions trend for Akoya is currently unfavorable, resulting in a Zacks Rank 4 (Sell), suggesting expected underperformance in the near future [6] Industry Context - The Medical - Biomedical and Genetics industry, to which Akoya belongs, is currently in the top 30% of Zacks industries, indicating a favorable industry outlook [8] - Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions, which could impact Akoya's stock performance [5]