Company Overview - Azenta, Inc. is a leading provider of life sciences solutions globally, facilitating the faster market introduction of impactful breakthroughs and therapies [2] - The company offers a comprehensive suite of reliable cold-chain sample management solutions and multiomics services, catering to drug development, clinical research, and advanced cell therapies [2] - Azenta operates under several industry-leading brands, including GENEWIZ, FluidX, Ziath, 4titude, Limfinity, Freezer Pro, and Barkey [2] Upcoming Events - Lawrence Y. Lin, Executive Vice President and Chief Financial Officer of Azenta, will participate in the Virtual KeyBanc Capital Markets Healthcare Forum on March 19, 2025, with a presentation starting at 10:30 am ET [1] - The live webcast of the event will be accessible through the Azenta investor relations website, and a replay will be available after the event [1] Global Presence - Azenta is headquartered in Burlington, Massachusetts, with operational reach across North America, Europe, and Asia [3]

Company Overview - Azenta, Inc. (AZTA) is currently experiencing significant activity in the options market, particularly with the Dec. 19, 2025 $22.5 Call option showing high implied volatility, indicating potential for a major price movement [1] - The company is ranked 2 (Buy) in the Medical Info Systems industry, which is in the top 22% of the Zacks Industry Rank [3] Analyst Insights - Over the past 60 days, one analyst has raised earnings estimates for the current quarter, increasing the Zacks Consensus Estimate from 8 cents per share to 9 cents [3] - The high implied volatility in options trading suggests that traders are anticipating a significant price movement for Azenta shares, which could indicate an upcoming event that may lead to a rally or sell-off [2][4] Trading Strategy - Options traders often seek out options with high implied volatility to sell premium, a strategy that captures decay and benefits if the underlying stock does not move as much as expected by expiration [4]

Revenue and Profitability - Revenue for the three months ended December 31, 2024, was $147.5 million, a 4% increase from $141.7 million in the same period of 2023[142] - Gross profit for the same period was $68.7 million, resulting in a gross margin of 47%, up from 44% year-over-year[143] - The Multiomics segment revenue increased by 5.7% to $66.3 million, driven by growth in Next Generation Sequencing and Gene Synthesis services[150] - The Sample Management Solutions segment revenue rose by 2.8% to $81.2 million, supported by growth in Sample Repository Services and Core Products[149] - Total revenue for the company increased to $147.5 million in Q4 2024, up from $141.7 million in Q4 2023, reflecting a growth of 4.9%[157] - Adjusted gross profit for the company was $70.2 million in Q4 2024, compared to $63.6 million in Q4 2023, reflecting an increase driven by operational efficiencies[158] Operating Performance - Operating loss for the three months ended December 31, 2024, was $11.4 million, an improvement from a loss of $16.2 million in the same period of 2023[142] - Loss from continuing operations was $9.4 million for the three months ended December 31, 2024, compared to a loss of $7.2 million in the prior year[143] - Sample Management Solutions segment reported operating income of $1.6 million for Q4 2024, compared to an operating loss of $1.5 million in Q4 2023, with an operating margin increase of 380 basis points to 1.9%[155] - Multiomics segment operating loss improved to $3.4 million in Q4 2024 from a loss of $4.3 million in Q4 2023, with an operating margin increase of 175 basis points to (5.1)%[156] - Adjusted operating income for Sample Management Solutions was $2.3 million in Q4 2024, compared to an adjusted operating loss of $0.6 million in Q4 2023, with an adjusted operating margin of 2.9%[155] - The Multiomics segment's adjusted operating loss was $2.5 million in Q4 2024, an improvement from an adjusted operating loss of $3.3 million in Q4 2023, with an adjusted operating margin of (3.8)%[156] Expenses and Costs - Research and development expenses decreased to $6.4 million from $7.3 million year-over-year[142] - Total operating expenses increased to $80.0 million from $78.0 million, primarily due to higher selling, general, and administrative expenses[142] - Selling, general and administrative expenses rose to $73.2 million in Q4 2024, an increase of $3.3 million compared to $69.9 million in Q4 2023, primarily due to higher stock-based compensation[161] - Gross margin for Sample Management Solutions improved to 46.9% in Q4 2024, an increase of 482 basis points from 42.1% in Q4 2023[158] - Restructuring charges decreased to $0.4 million in Q4 2024, down from $0.8 million in Q4 2023, due to reduced activity in cost-saving initiatives[162] Cash Flow and Financial Position - Cash and cash equivalents, restricted cash, and marketable securities totaled $503.4 million as of December 31, 2024, with stockholders' equity at $1.7 billion[169] - Net cash provided by operating activities was $30.6 million for the three months ended December 31, 2024, significantly up from $13.8 million in 2023, aided by increased revenue and a tax refund[171] - The company had no outstanding debt as of December 31, 2024[172] - Non-cancellable commitments amounted to $50.1 million as of December 31, 2024, including $36.0 million for inventory purchases[173] International Revenue and Currency Impact - Revenue generated outside the United States was $54.0 million, accounting for 37% of total revenue, compared to $51.6 million or 36% in the prior year[152] - Sales in currencies other than the U.S. dollar represented approximately 37% of total sales for the three months ended December 31, 2024, compared to 27% in 2023[176] Other Income and Taxation - Interest income decreased to $4.3 million for the three months ended December 31, 2024, down from $10.0 million for the same period in 2023, due to reduced investments in marketable securities[163] - Other income increased to $1.2 million for the three months ended December 31, 2024, compared to $0.5 million for the same period in 2023, primarily from foreign exchange gains[164] - Income tax expense was $3.6 million for the three months ended December 31, 2024, up from $1.4 million in the same period in 2023, driven by profits in foreign jurisdictions[165][166] Discontinued Operations - Revenue from discontinued operations was $17.6 million for the three months ended December 31, 2024, compared to $12.6 million in 2023, with a loss of $3.9 million in 2024 versus $8.5 million in 2023[167] Strategic Initiatives - The company is pursuing a sale of its B Medical Systems business to focus on core segments and drive revenue growth[136] Interest Rate Sensitivity - A hypothetical 100 basis point change in interest rates would result in a $1.3 million change in interest income for the three months ended December 31, 2024[175]

Conference Call 1 Fiscal First Quarter 2025 Financial Results Februar y 5, 2025 1 © 2025 Azenta, Inc. • All rights reserved Safe Harbor Statement This presentation contains certain non-GAAP measures which are provided to assist in an understanding of the Azenta business and its operational performance. These measures should always be considered in conjunction with the appropriate GAAP measure. Reconciliations of all non-GAAP amounts to the relevant "Safe Harbor" Statement under the U.S. Private Securities L ...

Financial Data and Key Metrics Changes - First quarter revenue was $148 million, representing a 4% year-over-year growth on both reported and organic basis [44][45] - Non-GAAP EPS for the quarter was $0.08, with adjusted EBITDA margin at 9%, reflecting a 400 basis points expansion year-over-year [45][46] - Free cash flow was $22 million for the quarter, with $530 million in cash, cash equivalents, and marketable securities at quarter-end [46][54] Business Line Data and Key Metrics Changes - Sample Management Solutions (SMS) revenue was $81 million, up 3% year-over-year, driven by growth in Sample Repository Solutions and Core Products [49] - Multiomics segment delivered revenue of $66 million, with a growth of 6% year-over-year, supported by strong performance in Next Generation Sequencing (NGS) and Gene Synthesis [51][52] Market Data and Key Metrics Changes - In China, organic revenue growth was 7%, outperforming the market despite macro challenges [52] - NGS grew 11% year-over-year, indicating stabilization in pricing and volume growth [51][122] Company Strategy and Development Direction - The company is focused on portfolio optimization, operational excellence, and value-enhancing capital allocation [20][22] - The Value Creation Committee has been established to oversee strategic initiatives and capital allocation decisions [35][112] - The company aims to maintain a disciplined approach to capital allocation, prioritizing growth initiatives and operational improvements over share buybacks [111][112] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism about gradual market recovery, reiterating full-year 2025 guidance of organic revenue growth between 3% to 5% and adjusted EBITDA margin expansion of 300 basis points [19][55] - The management highlighted the importance of continuous improvement and simplification in operations to drive long-term value creation [22][24] Other Important Information - The results of B Medical Systems are now treated as discontinued operations, and the sale process is underway [4][17] - The company is implementing a new business system and operating model to enhance operational efficiency and performance [23][24] Q&A Session Summary Question: Size and timing of the U.K. Biocentre BioArc opportunity - Management confirmed that the BioArc Ultra project was included in guidance and is expected to be operational early in 2026 [60][62] Question: Impact of Illumina being added to the unreliable entity list in China - Management indicated low risk to NGS business in China, as most operations are partnered with BGI, allowing for flexibility in platform usage [64][66] Question: Guidance for Multiomics and potential deceleration - Management acknowledged that guidance reflects a cautious outlook, with NGS experiencing strong growth but potential challenges in Sanger Sequencing [70][72] Question: Status of B Medical sale process - Management stated that the sale process is still in initial stages, with a focus on maximizing value [82][83] Question: Exposure to tariffs in China, Mexico, and Canada - Management assessed that the impact of tariffs is immaterial, with minimal risk from operations in Mexico and Canada [89][90] Question: Guidance for Sample Management Solutions - Management noted that timing issues affected SMS performance, but a robust pipeline and backlog are in place for future growth [92][93] Question: Gross margin sustainability and operating margin ramp - Management expressed confidence in gross margin trajectory, with expectations for continued improvement [98] Question: Academic and government exposure and NIH impact - Management confirmed that recent delays in government-funded projects are expected to resume once funding decisions are made [102][103] Question: Cell and gene therapy market performance - Management reported strong progress in the auto cryo business related to cell and gene therapy, with significant growth observed [106] Question: Share buyback program and M&A strategy - Management clarified that share buybacks are a lower priority compared to growth initiatives and M&A opportunities, with a focus on demonstrating operational credibility first [111][112][114]

Business Strategy - Azenta, Inc. is pursuing the sale of its B Medical Systems segment to simplify its portfolio and focus on core businesses, aiming to drive revenue growth and profitability[2] - The company aims to enhance shareholder value through strategic evaluations and operational improvements[2] Financial Performance - Total revenue for the twelve months ended September 30, 2023, was $551,950,000, with product revenue at $176,100,000 and service revenue at $375,850,000[9] - Revenue from continuing operations for the twelve months ended September 30, 2023, was $551,950,000[16] - The company reported a net loss of $164,170,000 for the twelve months ended September 30, 2024, which includes a loss from discontinued operations of $140,531,000[9] - GAAP net loss from continuing operations for the twelve months ended September 30, 2023, was $(7,660,000)[14] - The company reported a GAAP net loss of $(164,170,000) for the twelve months ended September 30, 2024[14] Adjusted Financial Metrics - Adjusted operating income from continuing operations was $4,181,000 for the twelve months ended September 30, 2024, after accounting for various adjustments[12] - Adjusted EBITDA for the twelve months ended September 30, 2023, was $22,235,000, with an adjusted EBITDA margin of 4%[16] - Adjusted EBITDA for the six months ended June 30, 2024, was $29,155,000, with an adjusted EBITDA margin of 10%[16] - The company’s adjusted earnings before interest, taxes, depreciation, and amortization for the twelve months ended September 30, 2024, was $46,889,000[16] Losses and Charges - Operating loss from continuing operations for the twelve months ended September 30, 2024, was $50,561,000[12] - The company has incurred restructuring charges of $6,766,000 for the twelve months ended September 30, 2024[12] - Restructuring charges amounted to $4,577,000 for the twelve months ended September 30, 2023[14] - The company incurred stock-based compensation expenses of $8,830,000 for the twelve months ended September 30, 2023[14] - The company reported a loss from discontinued operations of $(6,596,000) for the three months ended September 30, 2023[14] Assets and Cash Flow - Total current assets amount to $832,807,000, with cash and cash equivalents at $280,030,000 and accounts receivable at $156,273,000 as of September 30, 2024[7] - Cash and cash equivalents decreased from $280,030,000 to $151,162,000 in short-term marketable securities as of September 30, 2024[7] - Interest income, net for the twelve months ended September 30, 2023, was $(43,541,000)[14] Discontinued Operations - As of November 12, 2024, the B Medical Systems segment qualifies as a discontinued operation under U.S. GAAP[3]

Core Insights - Azenta, Inc. reported financial results for the first quarter ended December 31, 2024, showing a revenue increase of 4% year-over-year to $148 million, driven by growth in Sample Management Solutions and Multiomics services [1][7][33] - The company experienced an operating loss of $11 million, with a diluted EPS from continuing operations of ($0.21), compared to ($0.13) in the same quarter last year [7][24] - Management expressed confidence in the company's market positioning and ongoing transformation initiatives, highlighting strong free cash flow and positive demand trends [3][14] Financial Performance - Revenue from continuing operations was $148 million, up 4% year-over-year, with organic growth also at 4% [7][33] - Sample Management Solutions revenue was $81 million, a 3% increase year-over-year, while Multiomics revenue reached $66 million, up 6% year-over-year [7][33] - Adjusted EBITDA for continuing operations was $13 million, with an adjusted EBITDA margin of 9.0%, reflecting a 400 basis point improvement year-over-year [14][7] Earnings Summary - Total diluted EPS was ($0.29), slightly down from ($0.28) a year ago, with a non-GAAP diluted EPS of $0.08, unchanged from the previous year [7][14][24] - Operating expenses increased by 3% year-over-year to $80 million, primarily due to higher selling, general, and administrative expenses [7][14] - The company ended the quarter with cash, cash equivalents, and marketable securities totaling $530 million, including $27 million from discontinued operations [14][19] Guidance and Outlook - Azenta reiterated its revenue guidance for fiscal year 2025, expecting total organic revenue growth in the range of 3% to 5% relative to fiscal 2024 [14][19] - The company anticipates an adjusted EBITDA margin expansion of approximately 300 basis points compared to fiscal 2024 [14][19]

Core Insights - Azenta, Inc. has elected Dipal Doshi, CEO of Entrada Therapeutics, to its Board of Directors during the Annual Meeting of Stockholders [1] - Mr. Doshi is recognized for his significant experience in the biotechnology and pharmaceutical industries, making him a valuable addition to the Board [2] - Mr. Doshi expressed enthusiasm about joining Azenta, highlighting the company's strong market leadership and commitment to growth and innovation [3] Company Overview - Azenta, Inc. is a leading provider of life sciences solutions, facilitating faster market access for breakthroughs and therapies [5] - The company offers a comprehensive suite of cold-chain sample management solutions and multiomics services, catering to drug development, clinical research, and advanced cell therapies [5] - Azenta operates globally with a presence in North America, Europe, and Asia, and is headquartered in Burlington, MA [6] Leadership Background - Dipal Doshi has extensive experience in the biotechnology and pharmaceutical sectors, having held critical roles in business development, corporate strategy, and finance [3] - Prior to his role at Entrada Therapeutics, Mr. Doshi served as Chief Business Officer at Amicus Therapeutics and has experience in investment banking with Merrill Lynch [4] - He holds an MBA from The Wharton School and a BA from Rutgers University, and is involved with other organizations in the life sciences sector [4]

Company Overview - Azenta, Inc. (Nasdaq: AZTA) is a leading provider of life sciences solutions globally, facilitating faster market access for impactful breakthroughs and therapies [3] - The company offers a comprehensive range of reliable cold-chain sample management solutions and multiomics services, focusing on drug development, clinical research, and advanced cell therapies [3] - Azenta operates under several industry-leading brands, including GENEWIZ, FluidX, Ziath, 4titude, Limfinity, Freezer Pro, and Barkey [3] Financial Announcement - Azenta will announce its fiscal first quarter 2025 earnings on February 5, 2025, before the market opens, covering the period that ended on December 31, 2024 [1] - A conference call and live webcast to discuss the financial results will take place on the same day at 8:30 a.m. Eastern Time, accessible via the Azenta website [2] - A replay of the conference call will be available starting at 8:30 a.m. ET on February 6, 2025 [2] Operational Footprint - Azenta is headquartered in Burlington, MA, with operational presence in North America, Europe, and Asia [4]

Core Insights - Azenta, Inc. has been selected as the technology provider by UK Biocentre to expand large-scale sample storage for significant international sample collections [1] - The new BioArc Ultra system will enhance UK Biocentre's capacity to store biological samples, increasing from over 35 million to an additional 16 million samples [2] - The BioArc Ultra features a high-density, fully automated -80°C storage system with a picking capability of up to 9 million picks per year [2] Company Overview - Azenta, Inc. is a leading provider of life sciences solutions, offering cold-chain sample management and multiomics services to pharmaceutical, biotech, academic, and healthcare institutions globally [6] - The company operates under various brands, including GENEWIZ, FluidX, and others, and is headquartered in Burlington, MA, with operations in North America, Europe, and Asia [7] Industry Context - UK Biocentre specializes in managing and processing biological samples, supporting large-scale biomedical research and clinical studies [8] - The BioArc Ultra system aligns with UK Biocentre's mission to reduce environmental impact while enhancing sample storage innovation [5] - The system contributes to sustainability goals through an eco-friendly refrigeration system with zero Ozone Depletion Potential and zero Global Warming Potential [3]