Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended: December 31, 2023 OR ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from __________ to _________ Commission File Number 000-25434 AZENTA, INC. (Exact name of registrant as specified in its charter) Delaware 04 ...

Company Overview - Azenta Inc is a leading global provider of life sciences solutions, enabling faster breakthroughs and therapies to market [2] - The company offers a full suite of cold-chain sample management solutions and multiomics services across drug development, clinical research, and advanced cell therapies [2] - Azenta serves top pharmaceutical, biotech, academic, and healthcare institutions worldwide [2] - The company operates globally with headquarters in Burlington, MA and operations in North America, Europe, and Asia [2] - Azenta's portfolio includes industry-leading brands such as GENEWIZ, FluidX, Ziath, 4titude, Limfinity, Freezer Pro, Barkey, and B Medical Systems [2] Investor Relations - Azenta will host an Investor Day on March 14, 2024 in New York City [1] - The event will feature presentations from the executive leadership team outlining the company's strategy and vision [1] - A live webcast of the Investor Day will be available on Azenta's website from 9:00 AM to 12:00 PM ET [1] - A replay of the audio webcast will be accessible on the website after the event concludes [1] Contact Information - Sara Silverman serves as Head of Investor Relations & Corporate Communications [3] - Sherry Dinsmore is another key contact for investor relations [3]

Revenue and Growth - Revenue for the fiscal year ended September 30, 2023, was $665.1 million, a 20% increase compared to $555.5 million in 2022, primarily driven by a 53% growth in the Life Sciences Products segment due to acquisitions [162]. - Total revenue for the fiscal year ended September 30, 2023, was $665.1 million, a 19.7% increase from $555.5 million in 2022 [192]. - Life Sciences Products segment revenue increased by 53% year-over-year to $305.2 million, primarily due to acquisitions, while excluding acquisitions, there was a 9% decline in revenue [194]. - Life Sciences Services segment revenue grew by 1% year-over-year to $359.9 million, driven by growth in the SRS business, offset by a decline in Genomics Services [195]. - Revenue related to COVID-19 for the fiscal year 2023 was approximately $7.7 million, down from $22 million in 2022, reflecting decreased demand for COVID-19 related products [195]. - Revenue generated outside the United States was $310.0 million, representing 47% of total revenue for fiscal year 2023, up from 36% in 2022 [196]. - The company anticipates continued revenue growth from both internally developed products and potential future acquisitions [195]. Profitability and Loss - Gross profit for fiscal year 2023 was $263.1 million, resulting in a gross margin of 39.6%, down from 46.0% in the prior year, attributed to higher costs from the acquisition of B Medical [164]. - Operating loss for fiscal year 2023 was $73.1 million, compared to a loss of $24.7 million in 2022, driven by reduced gross margin and increased operating expenses [164]. - The company reported a loss from continuing operations of $12.9 million for fiscal year 2023, compared to a loss of $11.3 million in 2022 [164]. - Operating loss for Life Sciences Products segment was $30.3 million in fiscal year 2023, compared to an operating income of $11.0 million in the prior fiscal year, indicating a significant decline [200]. - Operating loss for Life Sciences Services segment was $14.7 million in fiscal year 2023, compared to an operating income of $10.8 million in the previous year, reflecting a significant downturn [202]. - The net loss from discontinued operations for fiscal year 2023 was $1.4 million, compared to a net income of $2.1 billion in fiscal year 2022 [218]. - The company reported a basic net loss per share of $(0.22) for the year ended September 30, 2023, compared to earnings per share of $28.48 in 2022 [266]. - Net income for the year 2023 was a loss of $14,257 thousand, compared to a net income of $2,132,859 thousand in September 2022 [272]. Expenses - Selling, general and administrative expenses rose by $64.8 million in fiscal year 2023, largely due to the acquisitions of B Medical and Barkey [164]. - Research and development expenses increased by $6.4 million, while selling, general, and administrative expenses rose by $64.8 million, largely due to the addition of B Medical [199]. - Research and development expenses increased to $33,956,000 in 2023 from $27,542,000 in 2022, highlighting a focus on innovation [266]. - The company recorded an adjustment to the fair value of contingent consideration related to B Medical amounting to $18.5 million, which partially offset increased expenses [199]. Cash Flow and Liquidity - Cash and cash equivalents as of September 30, 2023, were $678.9 million, with total cash, cash equivalents, and marketable securities amounting to $1.134 billion [223]. - Net cash provided by operating activities was $17.5 million for fiscal year 2023, a significant improvement from a net cash outflow of $466.0 million in fiscal year 2022 [225]. - Cash provided by investing activities was $431.4 million in fiscal year 2023, primarily from $1.1 billion in sales and maturities of marketable securities [229]. - Cash outflows for financing activities totaled $844.1 million in fiscal year 2023, mainly due to share repurchase authorization [231]. - As of September 30, 2023, the company had no outstanding debt on its balance sheet [233]. - The company has not paid any dividends since the sale of the semiconductor automation business on February 1, 2022, and had previously paid a quarterly dividend of $0.10 per share totaling $7.5 million in December 2021 [234]. - The Board of Directors approved a new share repurchase authorization of up to $1.5 billion, with $662.0 million remaining available for additional repurchases as of September 30, 2023 [235]. - In the fiscal year ending September 30, 2023, the company repurchased 17.5 million shares of common stock for $838.5 million [235]. Assets and Investments - Total current assets decreased to $1,418,956,000 from $2,459,346,000 year-over-year, indicating a reduction in liquidity [263]. - Total stockholders' equity decreased to $2,534,500,000 from $3,363,386,000, reflecting the impact of the net loss on shareholder value [264]. - As of September 30, 2023, total stockholders' equity was $2,534.5 million, a decrease from $3,363.4 million in the previous year [275]. - The company had non-cancelable commitments of $73.5 million as of September 30, 2023, including $51.3 million for inventory and $22.2 million for IT-related commitments [237]. - The company’s retained earnings as of September 30, 2023, were $1,641.0 million, reflecting a decrease from the previous year [275]. Acquisitions and Business Changes - The company completed the acquisition of B Medical Systems on October 3, 2022, enhancing its cold-chain capabilities for temperature-sensitive samples [157]. - The acquisition of B Medical Systems S.á r.l. was completed for a purchase price of $432.2 million, with $100.6 million of completed technology recorded as an intangible asset [256]. - The company changed its name from "Brooks Automation, Inc." to "Azenta, Inc." following the sale of its semiconductor automation business for $2.9 billion on February 1, 2022 [160]. Market and Customer Insights - The Company's ten largest customers accounted for approximately 30% of consolidated revenue for the fiscal year ended September 30, 2023 [296]. - One customer from the Life Science Products segment accounted for more than 10% of consolidated revenue in fiscal year 2023, shipping to end users in approximately 50 countries [296]. - The Company regularly monitors creditworthiness and believes it has adequately provided for potential credit losses [296]. Financial Reporting and Accounting - The company records income taxes using the asset and liability method, recognizing deferred tax assets and liabilities for future tax differences [343]. - Basic income or loss per share is determined by dividing net income by the weighted average common shares outstanding during the period [346]. - The company adopted ASU 2022-06, extending relief related to reference rate reform through December 31, 2024, with no significant accounting impact on consolidated financial statements [347].

Azenta, Inc. (NASDAQ:AZTA) Q4 2023 Earnings Conference Call November 13, 2023 4:30 PM ET Company Participants Sara Silverman - Head of IR Steve Schwartz - President and CEO Herman Cueto - CFO Conference Call Participants David Saxon - Needham Jacob Johnson - Stephens Andrew Cooper - Raymond James Paul Knight - KeyBanc Vijay Kumar - Evercore ISI Yuan Zhi - B. Riley Operator Thank you, and welcome to the Azenta Q4 2023 Financial Results. During the presentation, all participants will be in a listen-only mode. ...

Conference Call Third Quarter Fiscal 2023 Financial Results ...

Financial Data and Key Metrics Changes - Total revenue for Q3 2023 was $166 million, representing a 25% increase year-over-year and a 2% increase on an organic basis [22][24] - Non-GAAP earnings per share was $0.13, with adjusted EBITDA margin at 7.8% [23][26] - Operating expenses increased by $20 million year-over-year, primarily due to acquisitions and investments in sales and R&D [25][26] Business Line Data and Key Metrics Changes - Services segment revenue was $91 million, up 7% year-over-year, with organic growth of 8% [28] - Genomics business grew by 8% year-over-year, driven by strong performance in next-generation sequencing and gene synthesis [11][29] - Product segment revenue was $75 million, up 57% year-over-year, but organic growth declined by 9% due to softness in consumables [27] Market Data and Key Metrics Changes - The company reported strong growth in China, with Q3 growth close to 20% [42][67] - The sample repository solutions business grew 6% year-over-year, led by double-digit growth in storage [13][28] - The C&I business experienced a decline of 24% year-over-year, impacting overall performance [50] Company Strategy and Development Direction - The company is focused on aligning sales with customer decision-makers and enhancing operational efficiency through a new reporting structure [9][10] - A significant share repurchase program is underway, with over $672 million spent year-to-date [30][20] - The company is evaluating potential acquisition targets as part of its growth strategy [20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in returning to sustainable growth patterns, particularly in the synthesis business [12][21] - The company anticipates a revenue growth range of 17% to 20% for the full fiscal year [34] - Management noted ongoing softness in the C&I business but remains optimistic about the overall portfolio's performance [45][50] Other Important Information - The company launched several new multi-omics services, enhancing its offerings in the genomics space [12][14] - A new bio repository location is set to open in Greater Boston, expanding the company's sample storage capacity [13] - The company reported positive free cash flow for the first time as a standalone life sciences company [10] Q&A Session Summary Question: Synergies between combined segments and cross-selling opportunities - Management highlighted the natural alignment of sample management and automated stores, enhancing customer asset management capabilities [38][39] Question: Trends in China - Management reported strong growth in China, with Q3 growth around 20% and continued momentum into Q4 [42][67] Question: C&I portfolio recovery and destocking impacts - Management indicated ongoing destocking but noted a healthy C&I business, with expectations for recovery in the future [45][46] Question: Genomics business performance and market share - Management confirmed strong growth in genomics, with NGS up 13% and gene synthesis up 9%, while Sanger remained flat [56][57] Question: Impact of recent events in China on operations - Management stated that recent floods in China have not impacted operations or demand, maintaining a positive outlook [67] Question: Base business outlook for Q4 - Management expects the base business to be up about $1 million quarter-to-quarter, with specific guidance on B Medical orders [62][64]

Revenue Performance - Revenue for the three months ended June 30, 2023, increased by 25% to $165.9 million compared to $132.7 million for the same period in 2022, driven by a 57% increase in the Life Sciences Products segment[205]. - Revenue for the nine months ended June 30, 2023, increased by 18% to $492.7 million compared to $417.9 million for the same period in 2022, primarily driven by a 48% increase in the Life Sciences Products segment[206]. - Revenue generated outside the United States for the three months ended June 30, 2023, was $76.1 million, representing 46% of total revenue, up from $44.8 million or 34% in the prior year[214]. - Life Sciences Products segment revenue for the nine months ended June 30, 2023, increased by 48% to $223.1 million, while Life Sciences Services segment revenue increased by only 1% to $269.6 million[215][219]. - COVID-19 related revenue for the nine months ended June 30, 2023, was $6.0 million, a significant decrease from $21.0 million in the same period of 2022[218]. - Life Sciences Products revenue for the three months ended June 30, 2023, was $26,524 thousand, a 68.6% increase from $15,746 thousand in the same period of 2022[243]. - Life Sciences Services revenue for the three months ended June 30, 2023, was $41,204 thousand, up 18.4% from $34,677 thousand in the same period of 2022[243]. Gross Margin and Operating Income - Gross margin for the three months ended June 30, 2023, was 41.0%, down from 44.9% in the same period of the prior year, primarily due to higher costs and amortization related to the acquisition of B Medical[205]. - Gross margin for the nine months ended June 30, 2023, was 39.6%, down from 47.2% in the same period of the prior year, primarily due to higher costs and an unfavorable mix in the Life Sciences Products segment[206]. - Total adjusted operating income for the nine months ended June 30, 2023, was a loss of $14.4 million, compared to an adjusted operating income of $26.9 million in the prior year[222]. - Adjusted operating margin for Life Sciences Products decreased by 2.8 percentage points for the three months ended June 30, 2023, compared to the prior year[225]. - Life Sciences Products segment adjusted operating income decreased by $17.0 million, with an adjusted operating margin decline of 10.2 percentage points for the nine months ended June 30, 2023, compared to the prior fiscal year[228]. - Life Sciences Services segment adjusted operating income decreased by $24.2 million, with an adjusted operating margin decline of 9.0 percentage points for the nine months ended June 30, 2023, compared to the prior fiscal year[229]. Operating Expenses and Losses - Operating loss for the three months ended June 30, 2023, was $15.8 million, compared to a loss of $5.1 million for the same period in 2022, mainly due to reduced gross margin and increased operating expenses[205]. - Operating expenses for the nine months ended June 30, 2023, increased by $44.0 million compared to the same period in 2022, with selling, general, and administrative expenses accounting for a significant portion of this increase[206]. - The company recorded a net loss of $1.9 million from discontinued operations for the nine months ended June 30, 2023, compared to a net income of $2.2 billion for the same period in 2022[206]. - Operating loss for the three months ended June 30, 2023, was $15.8 million, compared to an operating loss of $5.1 million in the prior year, attributed to higher operating expenses of $19.2 million[224]. Acquisitions and Investments - The company acquired B Medical Systems and Ziath Ltd. to enhance its product offerings and cold chain capabilities, supporting its growth strategy in the life sciences sector[198]. - Selling, general, and administrative expenses increased by $54.6 million for the nine months ended June 30, 2023, largely due to the acquisitions of B Medical and Barkey[227]. - B Medical was acquired in October 2022, representing 2% of total assets and 17% of total revenues for the nine months ended June 30, 2023[274]. Cash Flow and Financial Position - Net cash used in operating activities for the nine months ended June 30, 2023, was $22.4 million, a significant decrease from $475.7 million in the same period of 2022[262]. - Cash and cash equivalents as of June 30, 2023, totaled $733.4 million, an increase from $658.3 million as of September 30, 2022[261]. - Net cash provided by investing activities for the nine months ended June 30, 2023, was $328.9 million, compared to $1,840.1 million in the same period of 2022[262]. - The company has authorized a new share repurchase program of up to $1.5 billion, replacing the previous $50 million program[263]. - As of June 30, 2023, the company repurchased 4.0 million shares for $172.1 million under the new arrangements, with $828.0 million remaining available for additional repurchases[263][264]. - An additional 2.0 million shares were repurchased for $91.6 million subsequent to June 30, 2023[264]. Tax and Legal Matters - The effective tax benefit for the nine months ended June 30, 2023, was $9.1 million, primarily driven by pre-tax losses and a deferred tax benefit from a tax incentive in China[252]. - The company is subject to various legal proceedings but believes none will have a material adverse effect on its consolidated financial condition or results of operations[277]. Foreign Currency and Commitments - Approximately 24% of total sales during the nine months ended June 30, 2023, were in currencies other than the U.S. dollar, primarily from foreign subsidiaries[271]. - The company incurred foreign currency gains (losses) of $(0.1 million) during the nine months ended June 30, 2023, compared to $1.9 million in the same period of 2022[272]. - The company had non-cancellable commitments of $70.8 million as of June 30, 2023, primarily for inventory and IT-related commitments[267].

Azenta, Inc. (NASDAQ:AZTA) Q2 2023 Earnings Conference Call May 9, 2023 4:30 PM ET Company Participants Sara Silverman - Head, IR & Corporate Communications Stephen Schwartz - CEO, President & Director Lindon Robertson - EVP & CFO Conference Call Participants Paul Knight - KeyBanc Capital Markets Vijay Kumar - Evercore ISI David Saxon - Needham & Company Jacob Johnson - Stephens Inc. Yuan Zhi - B. Riley Securities Operator Greetings, and welcome to the Azenta Q2 2023 Financial Results. [Operator Instruction ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended: March 31, 2023 OR ☐ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from __________ to _________ Commission File Number 000-25434 AZENTA, INC. (Exact name of registrant as specified in its charter) Delaware 04-30 ...

Azenta Life Sciences Barclays Global Healthcare Conference March 15, 2023 Safe Harbor Statement "Safe Harbor" Statement under the U.S. Private Securities Litigation Reform Act of 1995; certain matters in this presentation, including forecasts of future demand and future Company performance, are forward-looking statements that are subject to risks and uncertainties that could cause actual results to materially differ, either better or worse, from those projected. Further discussions of risk factors are avail ...