Company Participation - BIO-key International, Inc. will participate in the Aegis Capital Corp. 2025 Virtual Conference on May 22, 2025, and the Maxim Virtual Tech Conference on June 4, 2025 [1][2] Conference Details - The Aegis Capital presentation is scheduled for May 22, 2025, from 11:30 to 11:55 a.m. ET, with a webcast link provided [2] - The Maxim conference will feature a fireside chat with Maxim Analyst Jack Vander Aarde on June 4, 2025, at 11:00 a.m. ET, requiring M-Vest membership for access [2] Company Overview - BIO-key is a provider of biometric-centric, multi-factor identity and access management (IAM) software, securing access for over 40 million users [4] - The company offers various authentication options, including phoneless, tokenless, and passwordless biometric solutions, through its PortalGuard IAM solution [4]

Core Viewpoint - BIO-key International, Inc. reported a sequential revenue increase of approximately 10% in Q1'25, but a year-over-year revenue decline of 25% due to a significant contract from a financial services customer in Q1'24 that did not recur at the same level in Q1'25 [2][9] Financial Performance - Total revenues decreased to $1,607,159 in Q1'25 from $2,181,203 in Q1'24, primarily due to the impact of a $1.2 million contract in Q1'24 [9] - License fee revenue fell to $1,098,758 in Q1'25 from $1,950,434 in Q1'24, reflecting the variance from the long-term financial services customer and the transition from third-party products to BIO-key products in EMEA [9] - Service revenues increased to $272,598 in Q1'25 from $213,122 in Q1'24, with a 37% increase in recurring maintenance and support revenue [10] - Hardware sales surged to $235,803 in Q1'25 from $17,647 in Q1'24, driven by increased purchases of fingerprint biometric scanners [11] - Gross profit decreased to $1,327,661 in Q1'25 from $1,881,560 in Q1'24, with gross margins of 82.6% compared to 86.3% in the previous year [11] Cost Management - Operating expenses were reduced by $422,195 to $1,968,299 in Q1'25 from $2,390,494 in Q1'24, with SG&A expenses decreasing by 23% [12] - The company achieved a cash position of $3.1 million as of March 31, 2025, reflecting proceeds from warrant exercises [3][14] Market Position and Strategy - The company is experiencing growing traction for its identity-bound biometric solutions in defense/security and financial services, emphasizing the need for high-security authentication [3][4] - BIO-key has established a solid presence in the state, local, and educational (SLED) markets, serving over 100 institutions with over 4 million end users [5] - A strategic partnership with California's Education Technology Joint Powers Authority was executed, making PortalGuard an approved solution for 195 K-12 schools, which will comply with California's Phone-Free Schools Act [6] Future Outlook - The company is optimistic about growth in EMEA markets, expecting to return to growth and enhanced margins over the remainder of 2025 [7][8] - There is an increasing interest in passwordless, phoneless, and tokenless IAM solutions, positioning the company well for improved financial performance in 2025 [8]

Core Insights - Bio-Techne Corporation reported strong financial results for the third quarter ending March 31, 2025, with a net sales increase of 4% to $316.2 million and organic revenue growth of 6% compared to the prior year [6][8][23] - The company achieved an adjusted operating margin of 34.9%, up 190 basis points from the previous year, driven by profitability initiatives and volume leverage [4][9][30] - GAAP earnings per share (EPS) decreased to $0.14 from $0.31 in the same quarter last year, while adjusted EPS increased to $0.56 from $0.48 [7][9][28] Financial Performance - Net sales for the third quarter were $316.2 million, a 4% increase year-over-year, with organic revenue growth of 6% [6][8] - GAAP operating income decreased by 42% to $38.7 million, resulting in a GAAP operating margin of 12.2%, down from 22.1% in the prior year [7][30] - Adjusted operating income rose 11% to $110.3 million, with an adjusted operating margin of 34.9% compared to 33.0% in the prior year [9][30] Segment Performance - The Protein Sciences segment reported net sales of $227.7 million, a 6% increase from $214.6 million in the same quarter last year, with an organic revenue growth of 7% [11][30] - The Diagnostics and Spatial Biology segment achieved net sales of $89.2 million, a 2% increase from $87.5 million, with organic revenue growth of 2% [12][30] Non-GAAP Financial Measures - Adjusted EPS for the third quarter was $0.56, an increase from $0.48 in the same quarter last year [9][28] - Adjusted EBITDA for the quarter was $122.2 million, compared to $109.3 million in the prior year [31] - The non-GAAP adjusted tax rate was reported at 21.5%, consistent with the previous year [28][29]

Core Points - Bio-Techne Corporation announced a quarterly dividend of $0.08 per share for the quarter ended March 31, 2025, payable on May 30, 2025, to shareholders of record on May 19, 2025 [1] - The company has approved a new share repurchase program authorizing the repurchase of up to $500 million of common stock, starting May 8, 2025, replacing the previous program [2] - Bio-Techne generated approximately $1.2 billion in net sales in fiscal 2024 and employs around 3,100 people globally [3] Dividend Information - The quarterly dividend is set at $0.08 per share for the quarter ended March 31, 2025 [1] - The dividend payment date is May 30, 2025, with a record date of May 19, 2025 [1] Share Repurchase Program - The new share repurchase program allows for the repurchase of up to $500 million of common stock [2] - The program's execution will depend on share price, economic conditions, and regulatory requirements [2] - The company retains the right to suspend, amend, or discontinue the program at any time [2] Company Overview - Bio-Techne is a global life sciences company providing tools and bioactive reagents for research and clinical diagnostics [3] - The company's products support scientific investigations into biological processes and disease progression, aiding drug discovery and clinical testing [3] - Bio-Techne has a diverse portfolio with thousands of products [3]

Core Insights - Bio-Rad Laboratories, Inc. reported first-quarter 2025 adjusted EPS of $2.54, exceeding the Zacks Consensus Estimate of $1.73 by 46.8% and reflecting a 10.9% increase year-over-year [1][2] - The company experienced a revenue decline of 4.2% year-over-year, with Q1 revenues of $585.4 million missing the Zacks Consensus Estimate by 0.05% [3][10] - Bio-Rad lowered its financial guidance for full-year 2025, now expecting non-GAAP currency-neutral revenues to range from a 1.0% decline to 1.5% growth [7][9] Financial Performance - The GAAP EPS was reported at $2.29, a significant decrease from $13.45 a year ago [2] - Gross profit declined by 6.1% to $306 million, with gross margin contracting by 108 basis points to 52.3% [5] - Operating profit fell 46.9% to $23.7 million, with operating margin contracting by 325 basis points to 4% [5][11] Segment Analysis - Life Science segment sales totaled $228.6 million, down 5.4% year-over-year, primarily due to challenges in the academic research market [3][11] - Clinical Diagnostics segment net sales were $356.8 million, down 3.2% year-over-year, attributed to reduced reimbursements for diabetes testing in China [4][11] Cash Flow and Debt - Bio-Rad ended Q1 2025 with cash and cash equivalents of $1.66 billion, remaining flat sequentially [6] - Total debt at the end of 2024 was $1.20 billion, also flat on a sequential basis [6] - Net cash flow from operating activities increased to $129.9 million compared to $69.8 million a year ago [6] Market Reaction - Following the earnings announcement, Bio-Rad's stock rose by 0.2% in after-market trading [2]

Financial Data and Key Metrics Changes - Net sales for Q1 2025 were approximately $585 million, representing a 4.2% decline compared to $611 million in Q1 2024. On a currency neutral basis, this reflects a 1.5% year-over-year decrease, primarily driven by lower sales in the Life Science Group [11][12] - GAAP gross margin for Q1 2025 was 52.3%, down from 53.4% in Q1 2024, attributed to increased restructuring costs [13] - Non-GAAP gross margin for Q1 2025 was 53.8%, lower than 54.2% in Q1 2024, while non-GAAP operating margin improved to 10.8% from 9.7% year-over-year [15][16] - GAAP net income for Q1 2025 was $71 million, or $2.54 diluted earnings per share [17] Business Line Data and Key Metrics Changes - Life Science Group sales in Q1 2025 were $229 million, down 5.4% on a reported basis and 3.5% on a currency neutral basis, reflecting ongoing softness in the biotech and academic research market [12] - Clinical Diagnostics Group sales were approximately $357 million, a decrease of 3.2% on a reported basis, but effectively flat on a currency neutral basis [13] - Process Chromatography business experienced mid-teens growth year-over-year, with expectations of high single-digit growth for 2025 [12][19] Market Data and Key Metrics Changes - In the Americas and Asia Pacific, currency neutral sales decreased, partially offset by increased sales in EMEA [12] - Demand for consumables remained strong, while instrument sales faced challenges, particularly in the academic and biotech sectors [41][71] Company Strategy and Development Direction - The company is focused on driving consistent top-line growth and operational efficiency to achieve substantial margin expansion over the coming years [27] - The acquisition of Stila Technology is on track for closing by the end of Q3 2025, which will enhance the company's digital PCR offerings [8][10] - The company is implementing mitigation strategies for tariff impacts, including surcharges and regionalizing supply chains [7][23] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a challenging macro environment with academic market headwinds due to government funding and global trade disruptions [5] - The company expects total currency neutral revenue to decline by approximately 1% to 1.5% for 2025, reflecting softer academic research funding and reduced demand from biotech customers [20][21] - Management remains optimistic about the long-term growth potential in life sciences and diagnostics despite current challenges [28][29] Other Important Information - The company generated $130 million in net cash from operating activities in Q1 2025, compared to $70 million in Q1 2024 [18] - Free cash flow for Q1 2025 was $96 million, significantly higher than $30 million in Q1 2024, with a full-year target of approximately $310 million to $330 million for 2025 [18][19] Q&A Session Summary Question: Impact of tariffs on guidance - Management discussed the gross impact of tariffs and mitigation efforts, including potential surcharges and pre-positioning inventory [33][36] Question: Academic funding expectations - Management noted a 28% reduction in overall funding and challenges in instrument sales, while consumables remained strong [39][40] Question: Growth gap between consumables and equipment - Instrument sales saw a sequential decline of about 10%, while consumables held up well [46] Question: Tariff exposure specifics - Management clarified that the majority of revenue in China comes from U.S. products, with ongoing evaluations of tariff impacts [47][49] Question: Free cash flow maintenance despite lower operating margin - Management emphasized focus on working capital management and inventory control to sustain free cash flow [96]

Financial Data and Key Metrics Changes - Net sales for Q1 2025 were approximately $585 million, representing a 4.2% decline from $611 million in Q1 2024. On a currency neutral basis, this reflects a 1.5% year-over-year decrease, primarily driven by lower sales in the Life Science Group [12][13] - Q1 reported GAAP gross margin was 52.3%, down from 53.4% in Q1 2024, mainly due to increased SG&A expenses [14] - Q1 operating income was approximately $24 million, or 4% of sales, compared to $45 million, or 7.3% of sales in Q1 2024, driven by higher restructuring costs [15] - GAAP net income for Q1 2025 was $71 million, or $2.54 diluted earnings per share [18] Business Line Data and Key Metrics Changes - Life Science Group sales in Q1 2025 were $229 million, down 5.4% on a reported basis and 3.5% on a currency neutral basis, reflecting ongoing softness in the biotech and academic research market [13] - Clinical Diagnostics Group sales were approximately $357 million, a decrease of 3.2% on a reported basis, with increased demand for quality control products offset by lower diabetes testing revenue [14] Market Data and Key Metrics Changes - In Diagnostics, solid demand was shown, offsetting reimbursement reductions in China with nearly 3% growth in the rest of the world [9] - Currency neutral sales decreased in Asia Pacific, partially offset by increased sales in EMEA and The Americas [14] Company Strategy and Development Direction - The company continues to prioritize bringing innovative products to customers, with several key menu expansions launched in Q1 [6][7] - The acquisition of Stila Technology is on track for closing by the end of Q3 2025, expanding offerings in the digital PCR segment [10] - The company is focused on mitigating tariff impacts through surcharges, pre-positioning inventory, and regionalizing supply chains [9][24] Management's Comments on Operating Environment and Future Outlook - Management noted a challenging macro environment with academic market headwinds due to government funding and global trade disruptions [6] - The company expects total currency neutral revenue to decline by approximately 1% to 1.5% for 2025, reflecting softer academic research funding and reduced demand from biotech customers [21][22] - Management remains optimistic about long-term growth opportunities in life science and diagnostics despite current challenges [28][29] Other Important Information - The company generated $130 million in net cash from operating activities in Q1 2025, compared to $70 million in Q1 2024 [19] - Free cash flow for Q1 2025 was $96 million, up from $30 million in Q1 2024, with a full-year target of approximately $310 million to $330 million for 2025 [19][20] Q&A Session Summary Question: Can you discuss the impact of tariffs and mitigation efforts? - Management acknowledged the significant impact of tariffs on U.S. products shipped to China and Europe, and discussed actions such as surcharges and pre-positioning inventory to mitigate these effects [33][35][36] Question: What is the current state of academic funding? - Management noted a 28% reduction in overall funding and indicated that while consumables remained strong, instrument sales experienced softness [38][41] Question: How does the growth gap between consumables and equipment look? - Management indicated a deterioration in instrument sales, down about 10% sequentially, while consumables held up well [46][70] Question: What is the company's capital allocation strategy? - Management expressed interest in pursuing larger inorganic opportunities while continuing stock buybacks, indicating a strong balance sheet [64][65] Question: Can you provide an update on the Stila acquisition? - Management reported positive feedback from teams regarding the Stila platform and noted excitement about its potential applications [76][77]

Financial Performance - Net sales for Q1 2025 were $585.4 million, a decrease of 4.2% from $610.8 million in Q1 2024[117] - Life Science segment sales decreased by 5.4% to $228.6 million in Q1 2025, with a currency neutral decrease of 3.5%[118] - Clinical Diagnostics segment sales decreased by 3.2% to $356.8 million in Q1 2025, with a currency neutral decrease of 0.1%[119] - Consolidated gross margin for Q1 2025 was 52.3%, down from 53.4% in Q1 2024[120] Expenses - SG&A expenses for Q1 2025 were $208.8 million, or 35.7% of sales, compared to $214.9 million, or 35.2% of sales in Q1 2024[121] - R&D expenses for Q1 2025 were $73.5 million, or 12.6% of sales, up from $66.4 million, or 10.9% of sales in Q1 2024[122] Cash Flow and Investments - Net cash provided by operations increased to $129.9 million in Q1 2025 from $69.8 million in Q1 2024[131] - The company had $1.66 billion in cash, cash equivalents, and short-term investments as of March 31, 2025[129] Tax and Shareholder Returns - The effective income tax rate was 23.3% for Q1 2025, compared to 21.8% for Q1 2024[127] - The company repurchased 399,295 shares of Class A common stock for $100.9 million under the 2023 Share Repurchase Program[135]

[First-Quarter 2025 Financial Results](index=1&type=section&id=First-Quarter%202025%20Financial%20Results) [Management Commentary](index=1&type=section&id=Management%20Commentary) The company navigated a challenging first quarter, achieving solid margins through disciplined expense management and moderating its full-year outlook - CEO Norman Schwartz highlighted a challenging Q1, but noted **solid margins** were delivered via focused execution and expense management[3](index=3&type=chunk) - The company is moderating its **full-year 2025 outlook** due to current market uncertainties and the evolving macro environment[3](index=3&type=chunk) [Financial Highlights](index=1&type=section&id=Financial%20Highlights) Q1 2025 saw a 4.2% revenue decline to $585.4 million, with a significant drop in GAAP net income but a rise in non-GAAP net income Q1 2025 vs Q1 2024 Key Financial Metrics | Metric | Q1 2025 | Q1 2024 | Change | | :--- | :--- | :--- | :--- | | **GAAP Results** | | | | | Revenue (millions) | $585.4 | $610.8 | -4.2% | | Gross Margin | 52.3% | 53.4% | -1.1 p.p. | | Net Income (millions) | $64.0 | $383.9 | -83.3% | | Diluted EPS | $2.29 | $13.45 | -83.0% | | **Non-GAAP Results** | | | | | Revenue (millions) | $585.4 | $610.8 | -4.2% | | Gross Margin | 53.8% | 54.2% | -0.4 p.p. | | Net Income (millions) | $71.0 | $65.3 | +8.7% | | Diluted EPS | $2.54 | $2.30 | +10.4% | - Total net sales decreased by **4.2%** as reported and **1.5%** on a currency-neutral basis compared to Q1 2024, primarily due to lower sales in the Life Science segment[5](index=5&type=chunk) [Segment Performance](index=1&type=section&id=Segment%20Performance) The Life Science segment's sales declined due to research market challenges, while Clinical Diagnostics saw a smaller decrease impacted by China's reimbursement policies Q1 2025 Net Sales by Segment (in millions) | Segment | Q1 2025 Sales | YoY Change (Reported) | YoY Change (Currency-Neutral) | | :--- | :--- | :--- | :--- | | Life Science | $228.6 | -5.4% | -3.5% | | Clinical Diagnostics | $356.8 | -3.2% | -0.1% | - The Life Science sales decline was driven by ongoing challenges in the **academic research market**, particularly in the Americas[6](index=6&type=chunk) - The Clinical Diagnostics sales decrease was mainly due to **lowered reimbursements for diabetes testing in China**, partly offset by increased demand for quality control products[7](index=7&type=chunk) [Detailed Financial Performance](index=2&type=section&id=Detailed%20Financial%20Performance) GAAP gross margin and operating income declined, with a significant drop in GAAP net income driven by changes in the fair value of equity investments - The substantial decrease in GAAP net income (**$64.0M** in Q1 2025 vs **$383.9M** in Q1 2024) was largely due to a smaller gain from the change in fair market value of its investment in Sartorius AG compared to the prior year[9](index=9&type=chunk) Q1 2025 Operational Metrics | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | GAAP Gross Margin | 52.3% | 53.4% | | GAAP Income from Operations | $23.7M | $44.6M | | Non-GAAP Gross Margin | 53.8% | 54.2% | | Non-GAAP Income from Operations | $63.0M | $59.0M | - The non-GAAP effective tax rate for Q1 2025 was **20.6%**, a decrease from 22.4% in Q1 2024, driven by the geographical mix of earnings[11](index=11&type=chunk) [Updated Full-Year 2025 Financial Outlook](index=2&type=section&id=Updated%20Full-Year%202025%20Financial%20Outlook) The company lowered its full-year 2025 outlook, reducing expectations for both non-GAAP currency-neutral revenue growth and non-GAAP operating margin Full-Year 2025 Outlook Revision | Metric | Updated 2025 Outlook | Prior 2025 Outlook | | :--- | :--- | :--- | | Non-GAAP, Currency-Neutral Revenue Growth | -1.0% to +1.5% | +1.5% to +3.5% | | Non-GAAP Operating Margin | 10.0% to 12.0% | 13.0% to 13.5% | [Consolidated Financial Statements (Unaudited)](index=6&type=section&id=Consolidated%20Financial%20Statements%20(Unaudited)) [Condensed Consolidated Statements of Income](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Income) The Q1 2025 income statement shows net sales of $585.4 million, resulting in a net income of $64.0 million, or $2.29 per diluted share Q1 2025 Income Statement Highlights (in millions) | Line Item | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net sales | $585.4 | $610.8 | | Gross profit | $306.0 | $325.9 | | Income from operations | $23.7 | $44.6 | | Net income | $64.0 | $383.9 | | Diluted EPS | $2.29 | $13.45 | [Condensed Consolidated Balance Sheets](index=7&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets grew to $9.53 billion as of March 31, 2025, with cash and cash equivalents at $521.4 million and total equity at $6.68 billion Balance Sheet Summary (in millions) | Account | March 31, 2025 | December 31, 2024 | | :--- | :--- | :--- | | Total Assets | $9,526.9 | $9,364.1 | | Cash and cash equivalents | $521.4 | $488.1 | | Total Liabilities | $2,847.5 | $2,794.8 | | Total Stockholders' Equity | $6,679.4 | $6,569.3 | [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash from operating activities increased significantly to $129.9 million in Q1 2025, contributing to a higher quarter-end cash balance Q1 Cash Flow Summary (in millions) | Cash Flow Activity | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Net cash provided by operating activities | $129.9 | $69.8 | | Net cash provided by (used in) investing activities | $2.9 | $(43.1) | | Net cash used in financing activities | $(97.7) | $— | | Net increase in cash | $33.3 | $29.4 | [Non-GAAP Financial Measures](index=2&type=section&id=Non-GAAP%20Financial%20Measures) [Use of Non-GAAP and Currency-Neutral Reporting](index=2&type=section&id=Use%20of%20Non-GAAP%20and%20Currency-Neutral%20Reporting) The company utilizes non-GAAP measures, excluding certain items, to provide a clearer view of ongoing operational performance and facilitate comparisons - The company uses **non-GAAP measures** to analyze business performance, make operating decisions, and forecast for future periods[16](index=16&type=chunk) - Excluded items from non-GAAP calculations include amortization of acquisition-related intangibles, restructuring charges, gains/losses from equity securities, and significant legal costs, as they are considered **outside of normal operations**[15](index=15&type=chunk)[18](index=18&type=chunk)[19](index=19&type=chunk) [Reconciliation of GAAP to Non-GAAP Measures](index=9&type=section&id=Reconciliation%20of%20GAAP%20to%20Non-GAAP%20Measures) Q1 2025 non-GAAP net income was reconciled to $71.0 million from a GAAP net income of $64.0 million, with Adjusted EBITDA rising to $113.7 million Q1 2025 GAAP to Non-GAAP Reconciliation Highlights (in millions) | Metric | GAAP | Adjustments | Non-GAAP | | :--- | :--- | :--- | :--- | | Gross Profit | $306.0 | $9.0 | $315.0 | | Income from Operations | $23.7 | $39.3 | $63.0 | | Net Income | $64.0 | $7.0 | $71.0 | Q1 2025 Adjusted EBITDA (in millions) | Metric | Q1 2025 | Q1 2024 | | :--- | :--- | :--- | | Adjusted EBITDA | $113.7 | $108.4 | | Adjusted EBITDA Margin | 19.4% | 17.7% | [Other Information](index=2&type=section&id=Other%20Information) [Conference Call Information](index=2&type=section&id=Conference%20Call%20Information) A conference call and webcast are scheduled for May 1, 2025, to discuss the first-quarter financial results with management - A conference call to discuss Q1 2025 results is scheduled for **May 1, 2025**, at 2:30 PM Pacific Time[13](index=13&type=chunk) - A live webcast and replay will be accessible in the **'Investor Relations'** section of the company's website[14](index=14&type=chunk) [About Bio-Rad](index=4&type=section&id=About%20Bio-Rad) Bio-Rad is a global leader in life science research and clinical diagnostics, serving a diverse customer base with over 7,500 employees worldwide - Bio-Rad develops, manufactures, and markets products for **life science research and clinical diagnostics**[25](index=25&type=chunk) - The company's customers include **universities, research institutions, hospitals, and biopharmaceutical companies**[25](index=25&type=chunk) [Forward-Looking Statements](index=4&type=section&id=Forward-Looking%20Statements) The report contains forward-looking statements, including the 2025 financial outlook, which are subject to significant risks and uncertainties - The release includes forward-looking statements regarding future financial performance, including the **updated 2025 revenue and operating margin outlook**[26](index=26&type=chunk) - Key risks include international operations, global economic conditions, the pace of **biopharma sector recovery**, and supply chain issues[26](index=26&type=chunk)

Core Points - BIO-key International, Inc. received a notification from Nasdaq regarding non-compliance with Listing Rule 5250(c)(1) due to the late filing of its Annual Report on Form 10-K for the year ended December 31, 2024 [1] - The company filed its Form 10-K on April 23, 2025, and subsequently regained compliance with Nasdaq rules on April 24, 2025 [2] - BIO-key specializes in biometric-centric identity and access management solutions, securing access for over 40 million users with options for passwordless, phoneless, and tokenless authentication [3] Company Overview - BIO-key provides innovative IAM solutions that are cost-effective, easy to deploy, and secure, catering to diverse use cases [3] - The company's PortalGuard IAM solution can be hosted in the cloud or on-premise, facilitating secure access to computers, information, applications, and high-value transactions [3]