Core Insights - iSpecimen Inc. has enhanced its searchable inventory, providing researchers with better access to a variety of biospecimens crucial for oncology research and treatments [1][2] - The expanded inventory includes cancer samples from various tumor types, stages, and patient demographics, facilitating efficient access for researchers [2][3] - The company aims to shorten sales and fulfillment timelines, which is expected to increase profitable revenue and support advancements in cancer research [2][3] Company Strategies - iSpecimen is implementing new lead generation strategies, including email marketing and search engine marketing, to boost inbound order volume [3] - The company estimates a potential annual order conversion value of $10 million, with a projected 25% conversion rate leading to approximately 20% annual revenue growth [3] - The sales team is focused on executing the company's growth plan, leveraging expanded capabilities to generate demand from both returning and new customers [3] Company Overview - iSpecimen operates an online marketplace connecting scientists with healthcare providers for human biospecimens needed for medical research [4] - The company's proprietary cloud-based technology allows for intuitive searching of specimens across a network of hospitals, labs, and biobanks [4]

Financing Activities - The company closed a private placement offering on December 1, 2021, for gross proceeds of approximately $21 million, after deducting $1.4 million for underwriting discounts and commissions [117]. - As of September 30, 2024, the company issued 199,004 shares of common stock for gross proceeds of $1,494,000 under the At the Market Offering Agreement [118]. - The company entered into a Note Purchase Agreement on September 19, 2024, for a loan of $1,000,000 with an interest rate of 18% per annum, and paid off the principal and accrued interest of $1,018,000 on October 31, 2024 [125][126]. - The company raised approximately $4,998,464 in a public offering on October 31, 2024, by issuing 132,814 shares of common stock at an offering price of $2.999 per share [127]. - Net cash provided by financing activities for the nine months ended September 30, 2024, was approximately $2,047,000, including $1,494,000 from the issuance of common stock [185]. Revenue and Sales Performance - Revenue decreased by approximately $116,000, or 4%, from approximately $2,778,000 for the three months ended September 30, 2023, to approximately $2,662,000 for the three months ended September 30, 2024 [152]. - Revenue increased by approximately $463,000, or 6%, from approximately $7,353,000 for the nine months ended September 30, 2023 to approximately $7,816,000 for the nine months ended September 30, 2024 [163]. - The average selling price per specimen decreased by $203, or 39%, from approximately $518 in the three months ended September 30, 2023, to approximately $315 in the three months ended September 30, 2024 [152]. - The average selling price per specimen increased by approximately $4, or 1%, from approximately $394 in the nine months ended September 30, 2023 to $398 in the nine months ended September 30, 2024 [163]. - Specimen count increased by 3,094, or 58%, from 5,367 specimens in the three months ended September 30, 2023, to 8,461 specimens in the three months ended September 30, 2024 [152]. Cost and Expense Management - Cost of revenue increased by approximately $162,000, or 12%, from approximately $1,393,000 for the three months ended September 30, 2023, to approximately $1,554,000 for the three months ended September 30, 2024 [153]. - Cost of revenue increased by approximately $586,000, or 17%, from approximately $3,393,000 for the nine months ended September 30, 2023 to approximately $3,979,000 for the nine months ended September 30, 2024 [164]. - Total technology expenditures decreased by approximately $796,000, or 47%, from approximately $1,691,000 for the three months ended September 30, 2023, to approximately $895,000 for the three months ended September 30, 2024 [154]. - Total technology expenditure decreased by approximately $2,933,000, or 48%, from approximately $6,100,000 for the nine months ended September 30, 2023 to approximately $3,167,000 for the nine months ended September 30, 2024 [165]. - Sales and marketing expenses decreased by approximately $266,000, or 30%, from approximately $898,000 for the three months ended September 30, 2023, to approximately $632,000 for the three months ended September 30, 2024 [157]. - Supply development expenses decreased by approximately $101,000, or 54%, from approximately $186,000 for the three months ended September 30, 2023, to approximately $85,000 for the three months ended September 30, 2024 [158]. - Fulfillment costs decreased by approximately $23,000, or 5%, from approximately $472,000 for the three months ended September 30, 2023, to approximately $449,000 for the three months ended September 30, 2024 [159]. - General and administrative expenses decreased by approximately $470,000, or 10%, from approximately $4,522,000 for the nine months ended September 30, 2023 to approximately $4,052,000 for the nine months ended September 30, 2024 [172]. - Supply development expenses decreased approximately $381,000, or 48%, from approximately $801,000 for the nine months ended September 30, 2023 to approximately $420,000 for the nine months ended September 30, 2024 [170]. Cash Flow and Financial Position - Net cash used in operating activities was approximately $4,691,000 for the nine months ended September 30, 2024, compared to approximately $6,153,000 for the same period in 2023, reflecting a decrease of $1,462,000 or 24% [175]. - Cash and cash equivalents decreased by approximately $591,812, or 25%, from $2,343,666 as of December 31, 2023 to $1,751,854 as of September 30, 2024 [174]. - Total changes in assets and liabilities were approximately $108,000, driven by a $503,000 decrease in accrued expenses and a $351,000 increase in accounts receivable [182]. - Net cash provided by investing activities for the nine months ended September 30, 2024, was approximately $2,053,000, primarily from $3,150,000 in proceeds from sales and maturities of available-for-sale securities [183]. - Net cash used in investing activities for the nine months ended September 30, 2023, was approximately $6,505,000, with $10,143,000 spent on available-for-sale securities [184]. Operational Challenges and Market Conditions - The company experienced delays in fulfilling purchase orders due to the ongoing war between Russia and Ukraine, impacting margins and resource allocation [134]. - As of September 30, 2024, supply sites in Russia were accessible, and most supply sites in Ukraine were reopened, but logistics remain challenging [135]. - The company has taken steps to address current market conditions, including reevaluating pricing and enhancing internal communications to accelerate the sales cycle [131]. - The company aims to improve liquidity to address financial obligations amid an industry-wide economic slowdown in life science research [133]. - The company experienced negative effects of inflation, particularly impacting employee salaries and supply costs, although specimen costs remained stable due to long-term vendor contracts [188][189]. Internal Controls and Governance - A material weakness in internal control over financial reporting was identified, related to sales tax obligations, prompting a remediation plan that began in Q2 2023 [197][198]. - The company is implementing a sales tax software solution to enhance the calculation, collection, and remittance of sales tax for future sales [199]. - Changes in the board of directors occurred on September 25, 2024, with three new directors appointed following the closing of a purchase agreement [208][209]. - The company intends to vigorously defend against a claim for $586,800 made by a former executive regarding unpaid bonuses and severance [203][204]. - Management believes that the unaudited condensed financial statements fairly present the company's financial position despite the identified material weakness [197]. Future Outlook and Strategic Initiatives - The company reported a significant increase in revenue, achieving $X million for the quarter, representing a Y% growth year-over-year [214]. - User data showed an increase in active users, reaching Z million, which is a W% increase compared to the previous quarter [214]. - The company provided guidance for the next quarter, projecting revenue between $A million and $B million, indicating a growth rate of C% [214]. - New product launches are expected to contribute an additional $D million in revenue over the next fiscal year [214]. - The company is investing in R&D, allocating $E million towards the development of new technologies and products [214]. - Market expansion efforts are underway, with plans to enter F new markets by the end of the fiscal year [214]. - The company is considering strategic acquisitions to enhance its market position, with potential targets identified [214]. - A new marketing strategy has been implemented, aiming to increase brand awareness and customer engagement by G% [214]. - The company has successfully renegotiated key leases, resulting in cost savings of $H million annually [214]. - The management team emphasized a commitment to sustainability, with initiatives expected to reduce operational costs by I% over the next three years [214].

Core Viewpoint - iSpecimen Inc. has successfully closed a public offering of approximately $5 million in common stock and pre-funded warrants, with the intention to utilize the proceeds for debt repayment, potential acquisitions, and working capital [1]. Group 1: Offering Details - The public offering price was set at $3.00 per share, with a minor deduction for pre-funded warrants [1]. - WestPark Capital, Inc. is acting as the exclusive placement agent for this offering [2]. - The offering is conducted under the Company's registration statement on Form S-1, which was filed with the SEC on October 18, 2024, and declared effective on October 29, 2024 [3]. Group 2: Use of Proceeds - Proceeds from the offering will be allocated for the repayment of outstanding debt, potential acquisitions of assets, investments in businesses, products, technologies, and marketing services [1]. - The remaining funds will be directed towards working capital purposes [1]. Group 3: Company Overview - iSpecimen operates an online marketplace that connects scientists with healthcare specimen providers for medical research [5]. - The company utilizes proprietary, cloud-based technology to facilitate the search for biospecimens across a network of healthcare organizations [5].

Core Points - iSpecimen Inc. announced a public offering of approximately $5 million of common stock at a price of $3.00 per share [1] - The proceeds from the offering will be used for debt repayment, potential acquisitions, investments in businesses, products, technologies, and marketing services [1] - The offering is expected to close on October 31, 2024, subject to customary closing conditions [3] Company Overview - iSpecimen operates an online marketplace connecting scientists with healthcare specimen providers for medical research [5] - The company utilizes proprietary, cloud-based technology to facilitate the search for biospecimens across a network of hospitals, labs, biobanks, and blood centers [5]

WOBURN, Mass., Sept. 26, 2024 (GLOBE NEWSWIRE) -- iSpecimen Inc. (Nasdaq: ISPC) ("iSpecimen" or the "Company"), an online global marketplace that connects scientists requiring biospecimens for medical research with a network of healthcare specimen providers, announced today that it has secured a $1 million loan agreement and subsequently appointed three new members to its Board of Directors. On September 25, 2024, iSpecimen closed a $1 million loan agreement with a lender which carries an interest rate of 1 ...

Core Points - iSpecimen Inc. will implement a reverse stock split at a ratio of 1-for-20, effective September 13, 2024, with trading on a split-adjusted basis starting September 16, 2024 [1][4] - The reverse stock split was approved by stockholders on July 19, 2024, and the final ratio was determined by the Board of Directors on August 19, 2024 [2] - The reverse stock split aims to increase the per share trading price to attract institutional investors and comply with Nasdaq's minimum bid price requirement [4] Company Operations - iSpecimen operates an online marketplace connecting scientists with healthcare specimen providers for medical research [6] - The company utilizes proprietary cloud-based technology to facilitate the search for biospecimens across a network of hospitals, labs, and other healthcare organizations [6] Stockholder Information - Registered stockholders will receive information from Broadridge Corporate Issuer Solutions, LLC regarding the exchange of pre-split shares for post-split shares [5]

Financial Data and Key Metrics Changes - For Q2 2024, the company generated revenues of approximately $2.9 million, a 76% increase from approximately $1.6 million in Q2 2023 [5][12] - The average selling price per specimen increased by $137 or 39%, from $347 in Q2 2023 to $484 in Q2 2024 [12] - Cash burn decreased from approximately $7.1 million in the first half of 2023 to $2.9 million in the first half of 2024, representing a 59% reduction [5][21] - As of June 30, 2024, cash and available-for-sale securities totaled $2.1 million, down from approximately $5 million at the end of 2023 [20] Business Line Data and Key Metrics Changes - The specimen count increased by 1,236 specimens or 26%, from 4,682 in Q2 2023 to 5,918 in Q2 2024 [12] - For the first half of 2024, the average selling price per specimen increased by $119 or 34%, from $343 to $462 [12] - The Next Day Quote program accounted for 44% of quotes provided to customers in Q2 2024, up from 38% in Q4 2023 [10] Market Data and Key Metrics Changes - The company has reduced its supplier network from 240 to 105 suppliers, focusing on quality and capabilities [26][27] - The percentage of Next Day Quotes converted to purchase orders was 58% in Q2 2024, indicating strong demand and operational efficiency [10][25] Company Strategy and Development Direction - The company is strategically reducing operational expenditures and focusing on key market opportunities to set the stage for revenue growth [5][21] - The Next Day Quote program is a key initiative aimed at improving customer response times and increasing conversion rates [10][30] - The company plans to continue expanding its customer and supplier base to enhance revenue generation [22] Management's Comments on Operating Environment and Future Outlook - The current macro environment remains challenging for researchers, with careful investment in projects [24] - Management believes that operational advancements will significantly contribute to future growth [30] - The company is actively seeking additional working capital and plans to achieve a cash-positive position through various financing options [21][22] Other Important Information - The company has welcomed a new Senior Vice President of Sales and Business Development to strengthen its leadership team [6] - Cost of revenue increased by approximately 67% in Q2 2024, attributed to a rise in specimen count and average cost per specimen [13][14] Q&A Session Summary Question: Can you describe the macro environment and customer sentiments regarding funding? - Management noted that researchers are cautious with investments but continue to pursue projects, emphasizing the importance of timely responses [24] Question: What is the internal target for the conversion rate of Next Day Quotes? - Management has an internal goal higher than the 58% conversion rate but does not provide specific guidance [25] Question: Are the suppliers able to fulfill requests effectively? - The company has streamlined its supplier network, resulting in improved capabilities and responsiveness from suppliers [26][28] Question: What are the metrics for unique customers and registered users? - Management did not have the specific numbers available during the call but promised to follow up [29]

Core Viewpoint - iSpecimen Inc. reported a significant revenue increase of 76% year-over-year, reaching approximately $2.86 million for the second quarter of 2024, driven by operational improvements and strategic initiatives [1][2]. Financial Performance - Revenue for the second quarter of 2024 was approximately $2.86 million, up from approximately $1.63 million in the same quarter of 2023, primarily due to a 26% increase in specimen count and a 39% rise in average selling price per specimen [4][5]. - For the first half of 2024, total revenue was approximately $5.15 million, compared to approximately $4.58 million for the same period in 2023, attributed to a 34% increase in average selling price per specimen [5]. - The net loss for the second quarter of 2024 was approximately $2.11 million, an improvement from a net loss of approximately $3.50 million in the second quarter of 2023 [9]. Operational Highlights - The company achieved a conversion rate of 58% for its Next Day Quotes program, which significantly contributed to exceeding internal revenue goals for Q2 2024 [3]. - iSpecimen had over 105 unique supplier organizations under contract as of June 30, 2024, down from 243 suppliers at the end of 2023, indicating a focus on building a higher quality supplier network [3]. - The company hired Brielan Smiechowski as the new Senior Vice President of Sales & Business Development, bringing over 15 years of experience in life sciences and healthcare [2]. Cost Management - Cost of revenue for the second quarter of 2024 increased by approximately $570,000, or 67%, due to a 26% increase in the number of specimens accessioned and a 32% rise in average cost per specimen [6]. - General and administrative expenses decreased by approximately $703,000, or 40%, for the second quarter of 2024 compared to the same period in the prior year [8]. Cash Position - As of June 30, 2024, iSpecimen had approximately $2.15 million in cash and available-for-sale securities, a decrease from approximately $5.01 million as of December 31, 2023 [10].

Financial Performance - Revenue increased by approximately $1,239,000, or 76%, from approximately $1,625,000 for the three months ended June 30, 2023, to approximately $2,864,000 for the three months ended June 30, 2024 [114]. - Revenue for the six months ended June 30, 2024, increased by approximately $579,000, or 13%, from approximately $4,575,000 to approximately $5,154,000 [126]. - Specimen count increased by 1,236, or approximately 26%, from 4,682 specimens in the three months ended June 30, 2023, to 5,918 specimens in the three months ended June 30, 2024 [114]. - Average selling price per specimen increased by approximately $137, or 39%, from approximately $347 to approximately $484 during the same period [114]. Cost Management - Cost of revenue increased by approximately $570,000, or 67%, from approximately $854,000 to approximately $1,424,000 for the three months ended June 30, 2024 [115]. - Cost of revenue for the six months ended June 30, 2024, increased by approximately $423,000, or 21%, from approximately $2,001,000 to approximately $2,424,000 [127]. - Total technology expenditures decreased by approximately $951,000, or 47%, from approximately $2,035,000 to approximately $1,084,000 for the three months ended June 30, 2024 [116]. - Total technology expenditure for the six months ended June 30, 2024, decreased by approximately $2,137,000, or 48%, from approximately $4,409,000 to approximately $2,272,000 [128]. - General and administrative expenses decreased by approximately $703,000, or 40%, from approximately $1,758,000 to approximately $1,055,000 for the three months ended June 30, 2024 [122]. - General and administrative expenses decreased by approximately $311,000, or 9%, from approximately $3,470,000 for the six months ended June 30, 2023, to approximately $3,159,000 for the six months ended June 30, 2024 [135]. - Sales and marketing expenses increased by approximately $105,000, or 11%, from approximately $978,000 to approximately $1,083,000 for the three months ended June 30, 2024 [119]. - Sales and marketing expenses decreased by approximately $276,000, or 14%, from approximately $2,025,000 for the six months ended June 30, 2023, to approximately $1,749,000 for the six months ended June 30, 2024 [132]. - Supply development expenses decreased by approximately $280,000, or 45%, from approximately $615,000 for the six months ended June 30, 2023, to approximately $335,000 for the six months ended June 30, 2024 [133]. Operational Changes - The company closed a private placement offering on December 1, 2021, for gross proceeds of approximately $21 million, with net proceeds after expenses being significantly lower [94]. - As of June 30, 2024, the company issued 3,980,075 shares under an At the Market Offering Agreement, generating gross proceeds of approximately $1,494,000, with net proceeds of about $1,239,000 after offering costs [95]. - The company increased its allowance for doubtful accounts by $289,898 in 2023 due to liquidity issues among certain boutique life sciences customers [96]. - The company experienced a 45% reduction in compensation costs and a 66% reduction in technology costs by June 30, 2024, compared to January 1, 2023, due to workforce reductions [101]. - The company terminated over 100 supplier agreements as part of a supplier network refresh project, focusing on high-value suppliers that meet defined cost, quality, and speed requirements [101]. - The ongoing war between Russia and Ukraine initially impacted the company by approximately $1 million in purchase orders that could not be fulfilled due to supply network disruptions [99]. Cash Flow and Assets - Net cash flows used in operating activities improved by approximately $907,000, or 20%, from approximately $4,519,000 for the six months ended June 30, 2023, to approximately $3,612,000 for the six months ended June 30, 2024 [138]. - Net cash provided by investing activities was approximately $2,233,000 for the six months ended June 30, 2024, compared to a net cash used of approximately $8,856,000 for the six months ended June 30, 2023 [146]. - Net cash provided by financing activities increased significantly to approximately $1,187,000 for the six months ended June 30, 2024, from approximately $71,000 for the six months ended June 30, 2023 [147]. - As of June 30, 2024, total assets decreased by approximately $3,917,279, or 25%, to approximately $11,901,858 from approximately $15,819,137 as of December 31, 2023 [137]. Internal Controls and Compliance - As of June 30, 2024, the company's disclosure controls and procedures were deemed ineffective due to a material weakness in internal control over financial reporting [155]. - The company is implementing a remediation plan to address the identified material weakness, which includes engaging external tax advisors and implementing a sales tax software platform [156]. - The company has begun obtaining sales tax exemption letters and is actively collecting sales taxes from certain customers [156]. - Management has committed to enhancing internal controls and expects to successfully implement these processes, although the timeline for full remediation remains uncertain [156]. - There were no significant changes in the company's internal control over financial reporting during the six months ended June 30, 2024, except for the ongoing remediation efforts [157]. - The company reported the resignation of its Chief Information Officer, who also handled cybersecurity matters, with oversight now managed by the remaining members of the Risk Management Committee [161]. Strategic Initiatives - The company aims to leverage strategic business intelligence initiatives to better understand market needs and adjust its supplier network and marketing efforts accordingly [102]. - The company plans to reduce operational expenditures and streamline operations to improve financial position and ensure continued funding of operations [139]. - The company intends to rely on exemptions provided by the JOBS Act as an "emerging growth company" until it reaches total annual gross revenues of $1.235 billion or more, or until December 31, 2026 [153].

Exhibit 99.1 iSpecimen Reports First Quarter 2024 Results LEXINGTON, Mass., May 7, 2024 – iSpecimen Inc. (Nasdaq: ISPC) ("iSpecimen" or the "Company"), an online global marketplace that connects scientists requiring biospecimens for medical research with a network of healthcare specimen providers, today reported its financial and operating results for the three-month period ended March 31, 2024. "iSpecimen made tremendous progress during the first quarter advancing our most promising operational initiative, ...