Financial Data and Key Metrics Changes - Revenue for Q2 2021 totaled $31.2 million, representing a 215% increase over Q2 2020 revenue of $9.9 million [20] - Organic revenue growth for Q2 was 49%, driven by biopreservation media revenue of $9.7 million, which was up 45% over Q2 2020 [20] - Adjusted gross margin for Q2 2021 was 43% compared to 57% in the previous year [22] - Adjusted operating income for Q2 2021 was $65,000 compared to an operating loss of $510,000 in the previous year [25] - Adjusted EBITDA for Q2 2021 increased 208% to $3.7 million compared to $1.2 million in Q2 2020 [25] Business Line Data and Key Metrics Changes - Biopreservation media revenue for Q2 was $9.7 million, up 45% year-over-year [20] - Revenue from Freezers and Thaw Systems for Q2 was $17.6 million, including a contribution from Stirling of $13.3 million [21] - Revenue from Storage and Cold Chain Services for Q2 was $3.9 million, inclusive of a $3.1 million contribution from SciSafe [21] Market Data and Key Metrics Changes - The company gained nearly 200 new customers across its three product and service platforms in Q2, compared to 80 new customers in Q1 [7] - The biopreservation media products have been incorporated into more than 500 customer clinical applications [9] - The company processed nearly 1,000 shipments of critical starting material and/or manufactured cell and gene therapies for about 140 new end customers in Q2 [12] Company Strategy and Development Direction - The acquisition of Sexton Biotechnologies is expected to enhance growth, with products embedded in over 50 cell and gene therapy clinical trials [14] - The company aims to leverage synergies from the acquisition to expand into underrepresented geographies [17] - The company is targeting a mid-term gross margin of over 50% and aims for $250 million in revenue with an adjusted EBITDA margin of over 30% in the next three to four years [31] Management's Comments on Operating Environment and Future Outlook - Management noted strong demand across all platforms, with expectations for continued momentum into Q3 [31] - The company anticipates full-year 2021 media growth in the mid to high 20% range [21] - Management expressed optimism about the future of the cell and gene therapy market and the company's positioning within it [62] Other Important Information - The company expects total revenue for 2021 to be in the range of $108 million to $117 million, reflecting year-over-year growth of 125% to 143% [29] - The acquisition of Sexton is valued at $30 million, expected to contribute $2 million to revenue in Q3 and Q4, and $8 million in 2022 [27] Q&A Session Summary Question: How did evo perform in Q2 and expectations for future revenues? - Management noted strong momentum in the adoption of the evo platform and expects significant contributions from new courier partnerships [34][35] Question: Can you discuss the synergies between cryopreservation media and Sexton's products? - Management indicated that the same users and decision-makers are involved, enhancing workflow efficiency and customer engagement [37][38] Question: What are the drivers of new customer wins in Q2? - Management highlighted increased activity in the cell and gene therapy space and leveraging existing media customers to expand sales [42] Question: Were there any one-time orders that impacted Q2 results? - Management acknowledged backlog at Stirling contributed to the quarter's performance but maintained guidance stability for the second half of the year [46] Question: What is the impact of COVID on demand? - Management indicated that approximately 10% to 15% of current demand is related to COVID, with signs of recovery in certain end markets [49] Question: What is the status of the Stirling manufacturing efficiency roadmap? - Management discussed plans for margin expansion through increased revenue leverage and cost savings from new product introductions [74]

Revenue Performance - Revenue for the three months ended March 31, 2021, was $16.8 million, an increase of $4.7 million, or 39%, compared to the same period in 2020[175]. - Product revenue from biopreservation media products increased by $255,000, or 3%, in the three months ended March 31, 2021, compared to the same period in 2020[176]. - The company expects continued revenue diversification following the acquisition of SciSafe in Q4 2020 and the launch of new products[176]. - The company estimates that annual revenue from each customer commercial application using its products could range from $500,000 to $2.0 million[160]. Cost and Expenses - Cost of revenue increased by $3.0 million, or 65%, in the three months ended March 31, 2021, compared to the same period in 2020, primarily due to increased revenues from lower margin product lines[177]. - Cost of revenue as a percentage of revenue increased to 45% for the three months ended March 31, 2021, compared to 38% in the same period of 2020, due to lower margin product lines acquired in previous years[178]. - Research and development (R&D) expenses rose by $324,000, or 19%, to $1.987 million for the three months ended March 31, 2021, primarily driven by increased headcount and R&D material usage[179]. - Sales and marketing (S&M) expenses increased by $445,000, or 28%, to $2.021 million for the three months ended March 31, 2021, reflecting costs related to the SciSafe acquisition and increased commission expenses[184]. - General and administrative (G&A) expenses surged by $1.7 million, or 54%, to $4.830 million for the three months ended March 31, 2021, due to the assumption of G&A expenses from the SciSafe acquisition and infrastructure buildout[186]. - Total operating expenses increased by $6.036 million, or 51%, to $17.828 million for the three months ended March 31, 2021[181]. Cash Flow and Liquidity - Net cash provided by operating activities was $1.8 million for the three months ended March 31, 2021, compared to $687,000 in the same period of 2020, attributed to improved working capital management[196]. - Net cash used in investing activities totaled $4.4 million for the three months ended March 31, 2021, up from $1.2 million in the same period of 2020, primarily for equipment purchases[197]. - The company had $89.0 million in cash and cash equivalents as of March 31, 2021, down from $90.4 million at the end of 2020, indicating stable liquidity[194]. Strategic Initiatives - The company operates five storage facilities in the USA and one facility in the Netherlands, enhancing its logistics capabilities[170]. - The acquisition of Astero Bio Corporation in April 2019 expanded the company's bioprocessing tools portfolio, diversifying revenue streams[162]. - The evo platform, acquired from SAVSU Technologies, allows for real-time tracking of biologic products, improving cold chain management[163]. - The company has a diversified portfolio of biopreservation tools and services, focusing on improving quality and reducing risks in biologic manufacturing[152]. - The company continues to capitalize on opportunities for organic growth innovations and acquisitions to maximize the value of its product platform[152]. - The company expects R&D and G&A expenses to continue increasing as it expands and supports its growth strategy[180][187]. Other Financial Metrics - Total other income and expenses for the three months ended March 31, 2021, resulted in a loss of $137,000, a significant decrease from a gain of $21.938 million in the same period of 2020[191].

Financial Data and Key Metrics Changes - The company reported record revenue of nearly $17 million for Q1 2021, representing a 40% increase compared to Q1 2020 [7] - Total revenue for Q1 was $16.8 million, a 39% increase from $12.2 million in Q1 2020, and a 14% increase sequentially [21][26] - Adjusted gross margin for Q1 2021 was 55%, down from 64% in the same period last year, primarily due to the lower margin profile of acquired product lines [24] - Adjusted net income for Q1 2021 was $478,000 or $0.01 per share, compared to $1.4 million or $0.06 per diluted share in Q1 2020 [25] Business Line Data and Key Metrics Changes - Media revenue reached nearly $9 million, a 3% increase year-over-year, with a normalized growth rate of approximately 25% after accounting for COVID-related demand pull forward [9][22] - Revenue from the freezer and thaw platform totaled $4.8 million, a 59% increase compared to 2020, driven by strong freezer sales [12][23] - Bio storage platform revenue was $3.1 million, significantly up from $438,000 in Q1 2020, primarily due to the acquisition of SciSafe [23] Market Data and Key Metrics Changes - The company gained 80 new customers in Q1 2021, compared to 213 new customers for the entire year of 2020 [7] - The Sterling ultra-cold business added 29 new customers during the quarter, totaling over 450 ultra-low temperature freezer systems globally [14] Company Strategy and Development Direction - The company is focused on M&A activity to accelerate growth and solidify its position as a leading supplier of bioproduction tools and services [13] - The integration of Sterling ultra-cold is expected to create revenue and cost synergies, with a focus on cross-selling products and expanding distribution networks [19][20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in a strong 2021, citing a strong start in Q1 and positive customer demand for products and services [28] - The company increased its full-year 2021 revenue guidance to $106 million to $115 million, up from the previous guidance of $101 million to $110 million [26][27] Other Important Information - The company has streamlined its revenue reporting into three categories: media, freezer and thaw platform, and bio storage platform [21] - The cash balance as of March 31, 2021, was $89 million, including shares issued to Sterling shareholders [26] Q&A Session Summary Question: How differentiated is the ultra-low temperature technology and how difficult is it for competitors to enter this space? - Management highlighted that the technology is well protected by patents, making it challenging for competitors to establish themselves in the market [30][33] Question: What is driving the upside in Sterling revenue guidance? - The increase is attributed to continued strong demand observed in Q2 compared to earlier guidance [34] Question: Is media growth driven by new customers or existing customers increasing utilization? - The growth is attributed to both new customer acquisition and existing customers progressing through clinical trials [35] Question: Can you confirm the sequential growth in the services segment? - There was some sequential growth in the evo side, but the bulk of the increase came from biostorage revenue from SciSafe [39] Question: What percentage of sales do you expect from CDMOs in the future? - Management expects to replicate the success with CDMOs like Catalent, which currently represents a significant portion of media revenue [88]

Acquisitions - BioLife completed the acquisition of Astero Bio Corporation for a total of $12.5 million, including an initial cash payment of $8.0 million and potential earnout payments of up to $3.5 million based on revenue targets[180]. - The fair value of the net tangible assets acquired from Astero is approximately $324,000, with identifiable intangibles valued at $4.1 million and residual goodwill of $9.5 million[182]. - BioLife acquired SAVSU Technologies, Inc. for $19.9 million, paying 1,100,000 shares of common stock based on a share price of $18.12 at the time of acquisition[185]. - The fair value of the net tangible assets acquired from SAVSU is $4.2 million, with identifiable intangibles at $12.2 million and residual goodwill of $19.5 million[186]. - The CBS Acquisition involved a base payment of $15.0 million, including a cash payment of $11.0 million and shares valued at $4.0 million[188]. - The fair value of the net tangible assets acquired from CBS is $6.0 million, with identifiable intangibles at $6.8 million and residual goodwill of $3.1 million[189]. - BioLife acquired SciSafe Holdings, Inc. for a total consideration of $15 million in cash and 611,683 shares of common stock valued at $29.29 per share[191]. - The fair value of the net tangible assets acquired from SciSafe is $2.8 million, with intangible assets valued at $12.1 million and residual goodwill of $24.9 million[192]. - The company acquired 100% of SciSafe, Inc. for approximately $36.5 million, including $3.7 million in contingent consideration, resulting in $12.1 million of identifiable intangible assets and $24.9 million of goodwill[279]. Financial Performance - Total revenue for 2020 was $48.1 million, a 76% increase from $27.4 million in 2019[213]. - Biopreservation media product revenue increased by $7.6 million, or 32%, in 2020 compared to 2019[213]. - Total operating expenses for 2020 were $53.7 million, up 94% from $27.6 million in 2019[215]. - Research and development expenses rose by $3.6 million, or 112%, in 2020 compared to 2019[218]. - General and administrative expenses increased by $5.7 million, or 64%, in 2020 compared to 2019[223]. - Operating loss for 2020 was $(5.6) million, compared to a loss of $(0.2) million in 2019[291]. - The company reported a net income of $2.7 million for 2020, a significant improvement from a net loss of $(1.7) million in 2019[291]. - Basic earnings per share for 2020 was $0.09, compared to a loss of $(0.09) per share in 2019[291]. - Total revenue, including product, rental, and service revenue, reached $48.1 million in 2020, up from $27.4 million in 2019, marking a 75% increase[291]. - Product revenue for 2020 was $44.5 million, a 66% increase from $26.8 million in 2019[291]. - The company generated $6.6 million from operating activities in 2020, compared to $1.2 million in 2019[242]. - Cash and cash equivalents at the end of 2020 were $90.4 million, compared to $6.4 million at the end of 2019[237]. - Total cash provided by operating activities for the year ended December 31, 2020, was $6,645,000, compared to a cash outflow of $142,000 for the year ended December 31, 2019[299]. - Total assets increased to $234.8 million as of December 31, 2020, compared to $92.8 million in 2019, representing a growth of 153%[287]. - Total liabilities decreased to $29.6 million in 2020 from $49.4 million in 2019, a reduction of 40%[287]. - Shareholders' equity rose to $205.2 million in 2020, compared to $43.5 million in 2019, indicating strong financial health[287]. Revenue Recognition and Accounting Policies - Revenue is recognized when control of products or services is transferred to customers, with no significant financing components in contracts for the year ended December 31, 2020[194]. - The company generates revenue from leasing evo cold chain systems, accounting for rental transactions as operating leases and recording rental revenue on a straight-line basis[194]. - The company recognizes product revenue upon transfer of control to the customer, which occurs at a point in time[195]. - Cost of product, rental, and service revenue as a percentage of revenue was 43% in 2020, up from 32% in 2019[217]. - The company values biopreservation media inventory at cost or net realizable value, using the specific identification method[196]. - The fair value of contingent consideration is remeasured each reporting period, with changes recorded in the consolidated statements of operations[203]. - The company tests goodwill for impairment annually, concluding that goodwill was not impaired as of December 31, 2020[202]. - Intangible assets are recorded at fair value and amortized over their estimated useful lives, with no adverse conditions indicating impairment as of December 31, 2020[365]. - The company established an allowance for doubtful accounts based on the collectability of specific customer accounts, with no specific figures provided in the documents[332]. Future Outlook and Strategic Plans - The company focuses on expanding its market presence through strategic acquisitions and innovations in bioproduction tools and services for the cell and gene therapy industry[178]. - The company expects R&D and sales and marketing expenses to increase as it expands its product lines[219][221]. - The company expects operating expenses to increase in the year ending December 31, 2021, as it continues to expand its cell and gene therapy tools business[253]. - The company plans to actively evaluate strategic transactions, including acquiring complementary products and technologies, which may require additional financing[255]. - The company anticipates increased demand for biological material storage as COVID-19 restrictions are reduced[249]. - The company has successfully mitigated supply chain problems despite the challenges posed by the COVID-19 pandemic[249]. - Future capital requirements will depend on the expansion of the cell and gene therapy tools and services business and the success of research and development activities[252]. - The company expects no material impact from the adoption of ASU 2019-12 on its consolidated financial statements due to a full valuation allowance on net deferred tax assets[370]. Cash Flow and Financing Activities - In 2020, the company used $24.7 million in cash for investing activities, including $15.0 million for the SciSafe acquisition and $7.8 million for capital expenditures[244]. - Cash provided by financing activities in 2020 was $102.1 million, primarily from the sale of common shares totaling $100.3 million[247]. - The company experienced a net cash used in investing activities of $24,715,000 in 2020, compared to $27,018,000 in 2019, indicating a reduction in cash outflows[299]. - The company received $2,175,320 from the Paycheck Protection Program (PPP) but repaid the loan on April 29, 2020, following changes in guidelines[324]. - As of December 31, 2020, the company had deferred social security tax payments amounting to $432,000, with plans to repay 50% in 2021 and the remaining 50% in 2022[324]. Research and Development - Research and development expenses increased to $6.7 million in 2020, up from $3.2 million in 2019, reflecting a focus on innovation[291]. - Research and development costs were expensed as incurred, with no specific figures provided in the documents[355]. - The company has revised revenue projections for the ThawSTAR and freezer product lines due to the impact of COVID-19, but no impairment of long-lived assets was determined as of December 31, 2020[318].

2 , 2 gi STIREING STIRENG x[ Acquisition of Stirling Ultracold March 22, 2021 OLIFE NASDAQ : BLFS NASDAQ: BLFS Safe Harbor Statement . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ...

Financial Data and Key Metrics Changes - BioLife Solutions reported total revenue of $48 million for 2020, representing a 76% increase over 2019 [9][27] - The adjusted gross margin for Q4 2020 was 54%, down from 65% in Q4 2019, while the full year adjusted gross margin was 58%, compared to 69% in 2019 [28][30] - Adjusted net loss for Q4 2020 was $256,000, or negative $0.01 per diluted share, compared to adjusted net income of $527,000, or $0.02 per diluted share in Q4 2019 [30] Business Line Data and Key Metrics Changes - Media revenue for Q4 2020 was $8.2 million, a 58% increase over Q4 2019, and full year media revenue increased 32% to $31 million [26][27] - CryoStor products gained 11 new customers in Q4 2020, with a 29% increase for the full year [11] - The evo Cold Chain management platform added 14 new customers in Q4 2020 [11] Market Data and Key Metrics Changes - In 2020, total funding for cell and gene therapy companies was nearly $20 billion, a 50% increase over 2019 [8] - BioLife's market share in new clinical trials is estimated to be nearly 50%, considering the addition of 75 new trials in 2020 [10] Company Strategy and Development Direction - The acquisition of Stirling Ultracold is part of BioLife's strategy to broaden its tools portfolio and enhance its offerings in the cell and gene therapy market [7][14] - The company aims to achieve total revenue of $250 million within the next 3 to 4 years, with 2021 revenue guidance set between $101 million and $110 million [13][34] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in organic growth potential and the strategic fit of the Stirling acquisition, which is expected to enhance operational and cost synergies [12][17] - The company anticipates that the gross margin for the combined entity can improve to the mid to high 40s over the next 12 to 36 months [32][60] Other Important Information - BioLife's cash balance at December 31, 2020, was $90 million [30] - The acquisition of Stirling Ultracold is valued at approximately $258 million, including the assumption of $8.7 million of debt [31] Q&A Session Summary Question: What does the rest of the market do regarding the 50% share estimate? - Management indicated that the competition primarily consists of homebrew solutions, with no significant entrance of preformulated preservation media products from other suppliers [38] Question: What is the distribution strategy post-Stirling acquisition? - The current organization has about 10 sales personnel, with plans to leverage existing distributors and expand the sales force [39] Question: What was Stirling Ultracold's revenue in 2019? - Stirling Ultracold's revenue in 2019 was $35 million, with preliminary revenue for 2020 estimated at $39 million [47][50] Question: How does the company expect to grow in the ultracold freezing and cold chain logistics area? - Growth is anticipated to be driven by the pace of approvals in cell and gene therapy and the adoption of the evo platform [65] Question: What are the expected gross margins for 2021? - Management expects gross margins to be in the low 50s for 2021, with a target of achieving 30% adjusted EBITDA margin in the mid-term [54][60]

Acquisitions and Expansions - The company acquired SciSafe Holdings, Inc. on October 1, 2020, enhancing its biologic materials storage capabilities[176] - The company acquired Astero Bio Corporation in April 2019, expanding its bioprocessing tools portfolio with automated thawing products that reduce contamination risks[185] - The company acquired Custom Biogenic Systems, Inc. in November 2019, diversifying its product line and reducing supply chain costs for its dry vapor shippers[189] - The company acquired SciSafe for $15.0 million in cash and additional shares as contingent consideration on October 1, 2020[221] - The company recorded a non-cash gain of $10.1 million associated with the acquisition of SAVSU on August 7, 2019[219] - The fair value of the company's equity interest in SAVSU was determined to be $15.9 million prior to the acquisition[219] Product and Revenue Growth - The proprietary biopreservation media products, HypoThermosol® FRS and CryoStor®, have been incorporated in over 450 customer clinical applications, significantly extending shelf life and improving post-thaw viability[178] - Annual revenue from each customer commercial application using the company's products could range from $0.5 million to $2.0 million if approved for large-scale manufacturing[184] - Biopreservation media product revenue increased by $1.3 million, or 22% in the three months ended September 30, 2020 compared to the same period in 2019, and increased by $4.6 million, or 25% in the nine months ended September 30, 2020 compared to the same period in 2019[199] - Revenue increased by $4.7 million, or 71%, in the three months ended September 30, 2020 compared to 2019, and by $14.3 million, or 75% in the nine months ended September 30, 2020, compared to 2019[199] Financial Performance and Expenses - Cost of product revenue increased by $2.7 million and $8.2 million, or 130% and 143%, respectively, for the three and nine months ended September 30, 2020 compared to the same periods in 2019[202] - Research and development expenses increased by $693,000 and $2.8 million, or 67% and 134%, respectively, for the three and nine months ended September 30, 2020 compared to the same periods in 2019[204] - Sales and marketing expenses increased by $338,000 and $1.5 million, or 27% and 49%, respectively, for the three and nine months ended September 30, 2020 compared to the same periods in 2019[207] - General and administrative expenses increased by $1.2 million and $3.2 million, or 49% and 48%, respectively, for the three and nine months ended September 30, 2020 compared to the same periods in 2019[210] - Total costs and operating expenses increased by $5.1 million, or 70%, in the three months ended September 30, 2020 compared to 2019, and by $15.7 million, or 84%, in the nine months ended September 30, 2020 compared to 2019[201] Cash Flow and Financing - As of September 30, 2020, the company had $109 million in cash, cash equivalents, and restricted cash, compared to $6.4 million on December 31, 2019[221] - Net cash provided by operating activities was $4.4 million for the nine months ended September 30, 2020, an increase from $2.2 million in the same period of 2019[227] - Net cash used in investing activities totaled $2.7 million during the nine months ended September 30, 2020, significantly lower than $13.0 million in the same period of 2019[228] - Net cash provided by financing activities was $100.8 million for the nine months ended September 30, 2020, compared to $1.3 million in the same period of 2019[229] - The company raised approximately $80.2 million from a public offering of 5,951,250 shares at a price of $14.50 per share[222] - The company may consider raising additional capital through debt or equity financing due to heightened business uncertainty caused by the COVID-19 pandemic[224] Impact of COVID-19 - The impact of the COVID-19 pandemic has affected the company's business operations, leading to various restrictions and challenges[195] - The company expects fluctuations in revenue based on large customer ordering patterns throughout 2020 due to the COVID-19 pandemic[199] - The company anticipates an increase in R&D expenses as it continues to expand and refine the product lines acquired in 2019[205] Product Features and Capabilities - The evo platform, developed through the acquisition of SAVSU Technologies, provides real-time tracking of biologic products, enhancing cold chain management[187] - The company’s liquid nitrogen freezers offer customizable features and a temperature range of -196°C, with high capacity rates for various customer needs[191] - SciSafe's biorepositories can maintain and store samples at temperatures of -150 degrees Celsius and below, supporting the CGT and pharmaceutical industries[193] Pricing and Market Trends - The average selling price of biopreservation media products increased by $11, or less than 1% in the three months ended September 30, 2020 compared to the same period in 2019, and increased by $219, or 10% in the nine months ended September 30, 2020 compared to the same period in 2019[199]

Financial Data and Key Metrics Changes - Revenue for Q3 2020 totaled $11.3 million, representing a 71% increase over Q3 2019 revenue of $6.6 million [23] - Adjusted gross margin for Q3 was 57% compared to 69% in the previous year, reflecting lower margin profiles of certain product lines [26] - Adjusted net loss for Q3 2020 was $346,000 or $0.02 per share, compared to adjusted net income of $41,000 or negative $0.02 per share in the same period last year [28] Business Line Data and Key Metrics Changes - Biopreservation media revenue in Q3 was $7.4 million, up 22% year-over-year, accounting for 66% of total revenue [23][11] - Automated thaw revenue and evo cold chain management subscription revenue were in line with reduced expectations due to COVID-19, with 7 new ThawSTAR customers and 5 new evo customers added [15] - CBS freezer franchise gained 23 new customers in Q3, with revenue up 27% sequentially over Q2 [17] Market Data and Key Metrics Changes - The company processed 22 new U.S. FDA master file requests to support the use of biopreservation media products in new clinical trials [12] - The evo cold chain management platform is now used in over 100 clinical trials, primarily early-phase trials [15] Company Strategy and Development Direction - The company aims to reach an interim revenue goal of $100 million over the next few years, focusing on smart execution and growth [10] - Ongoing M&A activity is a priority, with plans to acquire or invest in novel technologies that align with the company's portfolio [22] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's resilience and ability to sustain high performance despite COVID-19 challenges [10] - The company anticipates potential revenue contributions from approved cell and gene therapies that incorporate their media products [13] Other Important Information - The acquisition of SciSafe was completed on October 1, 2020, enhancing the company's service offerings in biologic storage [19] - The cash balance at September 30 was $109 million, reduced to approximately $94 million post-acquisition of SciSafe [30] Q&A Session Summary Question: How is the media business driving new customer additions? - Management highlighted leveraging broader exposure and quality reputation, with a significant increase in inbound inquiries and ongoing investment in sales personnel [33][36] Question: What is the management's capacity for additional M&A deals? - Management indicated confidence in their current capacity to manage additional deals while also considering the integration of new talent [42] Question: What is the current manufacturing capacity for the media business? - Current capacity is estimated at $40 million to $50 million, with plans to increase it to $70 million to $80 million through operational adjustments [45] Question: How has COVID-19 impacted customer budgets and spending? - Management noted mixed feedback, with some customers experiencing delays while others are looking to utilize remaining budgets before year-end [63] Question: Can you provide details on the validation process for the evo customer? - Management refrained from disclosing specifics but expressed optimism about the validation process and its significance for future revenue [67]

Revenue and Orders - In the last two weeks of March 2020, the company received higher than average orders for cryopreservation media products, estimating total orders shipped between $1.5 million to $2.0 million[176]. - The company acquired three companies in 2019, resulting in increased revenue diversification compared to prior years, with a trend expected to continue through 2020[178]. - The estimated annual revenue from each customer commercial application using the company's products could range from $0.5 million to $2.0 million[167]. - Total revenue for the three months ended June 30, 2020, increased by $3.2 million, or 48%, compared to the same period in 2019, and by $9.6 million, or 77%, for the six months ended June 30, 2020[179]. - Revenue from biopreservation media products increased by $340,000, or 5%, in the three months ended June 30, 2020, and by $3.2 million, or 27%, in the six months ended June 30, 2020, compared to the same periods in 2019[179]. Acquisitions and Product Development - The acquisition of Astero Bio Corporation in April 2019 expanded the company's bioprocessing tools portfolio, diversifying revenue streams[168]. - The company acquired Custom Biogenic Systems, Inc. in November 2019, allowing for product line growth and reduction of supply chain costs[171]. - The evo platform, acquired from SAVSU Technologies, allows real-time tracking of biologic products, enhancing cold chain management for cell and gene therapies[169]. - The company's proprietary biopreservation media products are formulated to mitigate preservation-induced cell damage, significantly extending shelf-life and improving post-thaw viability[164]. - The company’s automated thawing products help reduce damage during the thawing process, minimizing contamination risks compared to traditional methods[168]. Expenses and Costs - Total costs and operating expenses for the three months ended June 30, 2020, were $9.9 million, a 66% increase from $6.0 million in 2019[181]. - Research and development expenses increased by $786,000, or 114%, for the three months ended June 30, 2020, and by $2.1 million, or 199%, for the six months ended June 30, 2020, compared to the same periods in 2019[185]. - Sales and marketing expenses rose by $421,000, or 45%, for the three months ended June 30, 2020, and by $1.2 million, or 65%, for the six months ended June 30, 2020, compared to the same periods in 2019[190]. - General and administrative expenses increased by $1.1 million, or 49%, for the three months ended June 30, 2020, and by $2.1 million, or 47%, for the six months ended June 30, 2020, compared to the same periods in 2019[192]. - The cost of product revenue as a percentage of revenue was 45% for the three months ended June 30, 2020, compared to 29% for the same period in 2019[184]. Cash and Financing - The company had $29.9 million in cash and cash equivalents as of June 30, 2020, compared to $6.4 million as of December 31, 2019[201]. - The company closed a share purchase agreement with Casdin Capital LLC, resulting in a $20 million investment[202]. - The public offering of 5,951,250 shares at $14.50 per share generated approximately $81 million in net proceeds[202]. - Net cash provided by operating activities increased to $4.9 million for the six months ended June 30, 2020, compared to $1.1 million in the same period of 2019[203]. - Net cash used in investing activities decreased to $1.7 million in the first half of 2020 from $12.7 million in the same period of 2019[207]. - Net cash provided by financing activities totaled $20.2 million during the six months ended June 30, 2020, compared to $586,000 in the same period of 2019[208]. - The company reported a net increase in cash and cash equivalents of $23.4 million for the six months ended June 30, 2020, compared to a decrease of $11.0 million in the same period of 2019[205]. - The company believes its current cash and cash equivalents will be sufficient to meet liquidity needs for at least the next 12 months[202]. - The company may seek additional capital through debt or equity financing due to uncertainties caused by the COVID-19 pandemic[202]. Other Financial Information - The company expects fluctuations in revenue based on customer ordering patterns and the impact of COVID-19 on capital equipment sales[179]. - The company anticipates an increase in R&D and G&A expenses as it continues to expand and support the infrastructure related to its acquisitions[186][193]. - There were no off-balance sheet arrangements as of June 30, 2020[209]. - There have been no significant changes to the company's contractual obligations in the first half of 2020[210].

Biolife Solutions, Inc. (NASDAQ:BLFS) Q2 2020 Earnings Conference Call August 6, 2020 4:30 PM ET Company Participants Roderick de Greef - CFO, COO & Secretary Michael Rice - President, CEO & Director Conference Call Participants Jacob Johnson - Stephens Inc. Marc Wiesenberger - B. Riley FBR, Inc. Carl Byrnes - Northland Capital Markets Corey Deutsch - Analyst Operator Welcome to the BioLife Solutions Second Quarter 2020 Conference Call. My name is Rebecca, and I will be your operator for today's call. Opera ...