MaxCyte FY Conference Summary Company Overview - **Company**: MaxCyte (NasdaqGS:MXCT) - **Industry**: Cell and Gene Therapy Key Points and Arguments Strategic Focus and Changes - MaxCyte has undergone significant changes, including a CFO transition, acquisition of SecureDx, and operational restructuring to enhance focus on scientific, engineering, and commercial teams [3][4][6] - The company has grown from approximately 50 employees pre-COVID to around 90 employees, reflecting its expansion in the cell and gene therapy space [4][6] Acquisition of SecureDx - The acquisition of SecureDx is seen as a strategic move to enhance MaxCyte's capabilities in early-stage customer engagement and safety profiling in gene therapy [4][5][12] - SecureDx's offerings align with FDA's focus on safety assessments, particularly in gene editing therapies [14][15][43] Market Dynamics and Demand - The cell and gene therapy market has faced rationalization, with developers reducing the number of programs they are pursuing, impacting the number of licenses used in clinics [17][18] - Despite headwinds, MaxCyte is experiencing larger placements of instruments and continues to sign strategic platform licenses (SPLs), with four signed in the current year [19][20] Product Offerings and Differentiation - MaxCyte specializes in non-viral cell engineering, providing scalable solutions for ex vivo cell therapy, including the introduction of gene editing tools like CRISPR [9][10][11] - The company is expanding its offerings with a new product set to launch early next year, aimed at early-stage research and development [47][48] Financial Performance and Projections - MaxCyte anticipates a cash burn of $10 million to $15 million for the next year, significantly reduced from previous years, with a focus on achieving profitability [54][55] - The company expects to return to historical gross margins of 84%-85% as revenue grows, despite recent fluctuations due to changes in product mix [49][51][53] Future Outlook - MaxCyte is optimistic about growth in the second half of 2026, driven by new product launches, expansion in Asia, and a focus on core business development [60][61] - The company believes in the long-term potential of cell and gene therapies to address diseases in ways that traditional therapies cannot [62] Regulatory Environment - The FDA's increasing scrutiny on safety in gene editing therapies is creating opportunities for MaxCyte to position itself as a leader in non-viral solutions [22][24][25] Customer Engagement - MaxCyte is seeing increased interest from customers in non-viral therapies due to safety concerns associated with viral delivery methods [22][24] - The company aims to engage with customers earlier in the development process to help mitigate risks associated with off-target effects [25][26] Additional Important Insights - The company has developed over 1,000 protocols for various cell types and gene editing tools, positioning itself well for the growing allogeneic therapy market [30][29] - MaxCyte's focus on scientific engagement and customer relationships is expected to drive future growth and innovation in the cell and gene therapy space [41][42] This summary encapsulates the key insights from the MaxCyte FY Conference, highlighting the company's strategic direction, market dynamics, product offerings, and future outlook in the cell and gene therapy industry.

Financial Performance - Total revenue for the three months ended September 30, 2025, was $6.829 million, a decrease of 16% compared to $8.164 million in the same period of 2024[109]. - Core revenue decreased by 21% to $6.406 million in Q3 2025 from $8.140 million in Q3 2024, with significant declines in instrument revenue (down 22%), PA revenue (down 25%), and license revenue (down 29%) [112]. - The company incurred a net loss of $12.416 million for the three months ended September 30, 2025, compared to a net loss of $11.557 million in the same period of 2024[109]. - Total revenue for the nine months ended September 30, 2025 was $25.7 million, a decrease of $4.2 million, or 14%, compared to $29.9 million during the same period in 2024, primarily due to a decrease in program-related revenue[139]. - Core revenue for the nine months ended September 30, 2025 was $22.8 million, a decrease of $1.1 million, or 4%, compared to $23.9 million in the same period in 2024[139]. - The company incurred a net loss of $35.0 million for the nine months ended September 30, 2025, with an accumulated deficit of $251.9 million as of the same date[152]. Revenue Drivers - The company expects revenue from PA and instrument sales to continue to grow as customers advance their preclinical pipeline programs into clinical development[115]. - Program-related revenues decreased by $3.2 million for the nine months ended September 30, 2025, due to customer variability in achieving clinical and regulatory milestones[141]. Expenses and Cost Management - Operating expenses for Q3 2025 totaled $19.382 million, slightly down from $20.289 million in Q3 2024[109]. - Sales and marketing expenses decreased by $2.3 million, or 37%, for the three months ended September 30, 2025, primarily due to a reduction in headcount and decreases in stock-based compensation and marketing expenses[129]. - General and administrative expenses decreased by $1.7 million, or 22%, for the three months ended September 30, 2025, driven by a decrease in stock-based compensation and legal fees[132]. - Restructuring expenses of $3.1 million were incurred during the three months ended September 30, 2025, due to the implementation of a restructuring plan[134]. - Sales and marketing expenses decreased by $4.8 million, or 24%, for the nine months ended September 30, 2025, mainly due to a reduction in headcount[146]. Strategic Initiatives - In January 2025, the company acquired SeQure Dx, Inc., enhancing its capabilities in cell and gene therapy services[105]. - The company signed four new Strategic Platform License (SPL) agreements in 2025, expanding its partnerships and revenue potential[106]. - SPL program-related revenue increased significantly by 1,663% to $423,000 in Q3 2025 from $24,000 in Q3 2024[112]. - The company continues to focus on expanding its manufacturing capabilities and sales efforts to drive future growth in both U.S. and international markets[104]. Cash Flow and Financial Position - Net cash used in operating activities for the nine months ended September 30, 2025 was $31.7 million, compared to $19.8 million for the same period in 2024[157]. - Net cash provided by investing activities during the nine months ended September 30, 2025 was $16.3 million, primarily from maturities of investments[159]. - The company has no debt obligations as of September 30, 2025[165]. - The company has contractual obligations of $24.4 million for operating lease payments through August 31, 2035[163]. Market and Economic Factors - A 10% change in market interest rates is not expected to materially affect the company's financial condition or results of operations[178]. - The company does not expect foreign currency gains or losses to have a material effect on its financial position or results of operations in the foreseeable future[179]. - Inflation and changing prices have not had a material effect on the company's business during the last two years[180]. Management and Governance - Mr. Swirsky will receive a one-time payment of $150,000 following his transition from Chief Financial Officer[175]. - Mr. Swirsky will provide consulting services for eighteen months post-transition, with a monthly fee of $10,000[175]. - The company did not recognize any goodwill impairment for the three and nine months ended September 30, 2025[170]. - The company expects to retain its emerging growth company (EGC) status until December 31, 2026[172]. - The company may continue to be a smaller reporting company if the market value of its stock held by non-affiliates is less than $250 million[173].

Financial Data and Key Metrics Changes - Total revenue for the third quarter of 2025 was $6.8 million, down from $8.2 million in the same quarter of 2024, with core revenue at $6.4 million compared to $8.1 million in the prior year [18][19] - Gross margin improved to 77% in Q3 2025 from 76% in Q3 2024, while non-GAAP adjusted gross margin decreased to 81% from 85% [21][22] - Total operating expenses were $19.4 million, a decrease from $20.3 million in Q3 2024, including $3.1 million in restructuring charges [22][23] Business Line Data and Key Metrics Changes - Instrument revenue was $1.4 million in Q3 2025, down from $1.8 million in Q3 2024, while license revenue fell to $1.8 million from $2.5 million [19] - Processing assembly (PA) revenue decreased to $2.6 million from $3.4 million in the same period [19] - Program-related revenue from SPLs was $0.4 million in Q3 2025 [19] Market Data and Key Metrics Changes - 53% of core revenue in Q3 2025 was derived from SPL customers, consistent with the prior year [19] - The company reported a total of 165 patients globally who have completed cell collection, with 39 patients receiving infusions of CASGEVY [20] Company Strategy and Development Direction - The company is focused on transforming into an end-to-end platform for cell and gene therapy, with plans for organic and inorganic growth [16][17] - A restructuring initiative was implemented, resulting in a 34% reduction in workforce, aimed at maximizing cash for investments and aligning operating expenses with the current environment [10][12] - The company anticipates annualized savings of $17 million to $19 million from the restructuring, with a focus on maintaining innovation through its Field Application Scientist team [12][13] Management's Comments on Operating Environment and Future Outlook - Management acknowledged a challenging operating environment but expressed optimism about stabilization in biotech funding and customer confidence [28][31] - The company expects to see a ramp-up in SecureDX services and a new product launch in early 2026, which could contribute to future growth [36][37] - Management remains confident in the long-term potential of cell and gene therapy and the role of the company in this space [16][17] Other Important Information - The company reiterated its guidance for 2025, expecting core revenue to be flat to a 10% decline compared to 2024 [24] - The company ended Q3 2025 with $158 million in cash equivalents and investments, with no debt [23] Q&A Session Summary Question: What is the current operating environment for the company and its customers? - Management noted that while the environment has been challenging, there are signs of stabilization in biotech funding and customer confidence [28][31] Question: How does the recent FDA leadership change affect customer confidence? - Management indicated that there have been no reported delays in customer programs due to FDA changes, and the focus on curative therapies aligns with the company's offerings [32][43] Question: What are the expectations for SecureDX and the new product launch? - Management expressed optimism about the ramp-up of SecureDX services and the potential impact of the new product launch in early 2026 [36][37] Question: Can you provide insights on M&A activities? - The company is actively looking for M&A opportunities that align with its end-to-end platform strategy, focusing on best-in-class assets that do not impact financial health [51][52] Question: What is the outlook for CASGEVY and its contribution to revenue? - Management is encouraged by the recent acceleration in patient cell collections and expects corresponding royalty contributions to grow as more SPL partners advance their programs [56][57]

Core Points - MaxCyte, Inc. announced that Chief Financial Officer Douglas Swirsky will transition from his role in the first half of 2026, with a structured search process initiated to find his successor [1][2] - Swirsky will remain in his position until a successor is appointed and will continue in an advisory role post-transition to support strategic initiatives [1][2] - The transition is not expected to impact the company's operations, financial reporting, or strategic priorities [2] Company Overview - MaxCyte is a leading cell-engineering company focused on advancing the discovery, development, and commercialization of next-generation cell therapies [3] - The company utilizes Flow Electroporation® technology and SeQure DX™ gene editing risk assessment services to enable precise and scalable cell engineering [3] - With over 25 years of experience, MaxCyte aims to empower researchers globally to develop safe and effective treatments for human health [3]

Core Insights - MaxCyte, Inc. reported a total revenue of $6.8 million for Q3 2025, a decrease of 16% compared to $8.2 million in Q3 2024 [5][6] - The company announced an operational restructuring aimed at reducing costs and accelerating profitability while maintaining long-term growth potential [3][6] - MaxCyte reiterated its 2025 revenue guidance, expecting total cash, cash equivalents, and investments to end the year between $152 million and $155 million [10][14] Financial Performance - Core business revenue for Q3 2025 was $6.4 million, down 21% from $8.1 million in Q3 2024 [7][8] - Gross profit for Q3 2025 was $5.2 million, reflecting a gross margin of 77%, compared to a gross margin of 76% in Q3 2024 [8][9] - The net loss for Q3 2025 was $12.4 million, compared to a net loss of $11.6 million in the same period of 2024 [9][26] Revenue Breakdown - Revenue from instruments was $1.4 million, down 22% from $1.8 million in Q3 2024 [4] - Revenue from PAs and consumables decreased by 25% to $2.6 million from $3.4 million [4] - Licenses revenue fell by 29% to $1.8 million from $2.5 million [4] Strategic Developments - The company signed its fourth Strategic Platform License (SPL) agreement of the year with Moonlight Bio, bringing the total number of SPL agreements to 32 [3][6] - MaxCyte is committed to investing in SeQure Dx and enhancing its product offerings while ensuring commercial discipline for sustainable growth [3][6] Key Metrics - The installed base of instruments increased to 830 as of September 30, 2025, up from 739 in the previous year [4] - Core revenue generated by SPL clients accounted for 53% of total core revenue, consistent with the previous year [4]

Financial Performance - Core business revenue for Q3 2025 was $6.4 million, a 21% decrease from $8.1 million in Q3 2024[5] - Total revenue for Q3 2025 was $6.8 million, down 16% from $8.2 million in Q3 2024[5] - Gross margin for Q3 2025 was $5.2 million, representing a 77% gross margin; Non-GAAP adjusted gross margin was 81%[5] - 2025 revenue guidance for core business revenue is expected to be flat to a 10% decline compared to 2024[10] - SPL Program-related revenue is projected to be approximately $5 million for the year[10] Client and Market Development - The company added one new Strategic Platform License (SPL) client, bringing the total number of SPL agreements to 32[5] - The installed base of instruments increased to 830 in Q3 2025, up from 739 in Q3 2024[7] - Core revenue generated by SPL clients accounted for 53% of total core revenue in both Q3 2025 and Q3 2024[7] Financial Position - Cash, cash equivalents, and investments totaled $158.0 million as of September 30, 2025[5] Operational Changes - The company is undergoing an operational restructuring, which is expected to impact near-term cash utilization[8]

Core Insights - MaxCyte, Inc. announced preliminary results for Q3 2025, reporting total revenue of $6.8 million, a 16% decrease from $8.2 million in Q3 2024 [1][7] - The company reiterated its 2025 revenue guidance, expecting total cash, cash equivalents, and investments to be between $152 million and $155 million by year-end [10][15] Financial Performance - Core revenue for Q3 2025 was $6.4 million, down 21% from $8.1 million in Q3 2024 [6][7] - Revenue from Strategic Platform License (SPL) Program-related activities was $0.4 million, a significant increase of 1,663% compared to $24,000 in the same quarter of the previous year [6][7] - The gross margin for Q3 2025 was $5.2 million, representing a 77% gross margin, while the non-GAAP adjusted gross margin was 81% when excluding SPL Program-related revenue [7][21] Revenue Breakdown - Revenue sources for Q3 2025 included: - Instruments: $1.4 million (down 22%) - PAs and consumables: $2.6 million (down 25%) - Licenses: $1.8 million (down 29%) - Assay services: $248,000 (new revenue source) - Other: $402,000 (down 3%) [6][7] Client and Market Activity - The company added one new SPL client, Moonlight Bio, in October 2025, bringing the total number of SPL agreements to 32 [7] - The installed base of instruments increased to 830 units, up from 739 units in the previous year [9] Upcoming Events - Management will present at the Stifel Healthcare Conference on November 11, 2025, and the Stephens Investment Conference on November 19, 2025 [1][16]

Core Viewpoint - MaxCyte, Inc. is set to release its financial results for Q3 2025 on November 5, 2025, after the U.S. market closes, followed by a conference call to discuss these results [1]. Company Overview - MaxCyte is a leading cell-engineering company focused on advancing the discovery, development, and commercialization of next-generation cell therapies [3]. - The company utilizes its Flow Electroporation technology and SeQure DX™ gene editing risk assessment services to enable precise and scalable cell engineering [3]. - With over 25 years of experience, MaxCyte aims to empower researchers globally to engineer diverse cell types and payloads, thereby accelerating the development of safe and effective treatments [3]. Investor Relations - Investors interested in the upcoming conference call must register online, with a recommendation to do so at least a day in advance [2]. - A live and archived webcast of the conference call will be available on the MaxCyte website [2].

Core Insights - MaxCyte has signed a Strategic Platform License agreement with Moonlight Bio to utilize its Flow Electroporation technology and ExPERT™ platform for T cell therapy development [1][2][3] - The partnership aims to enhance the scalability and efficiency of Moonlight Bio's gene-edited T cell therapies, particularly targeting solid tumors [2][3][5] Company Overview - MaxCyte is a leading cell-engineering company focused on advancing cell-based therapeutics through its Flow Electroporation technology and SeQure™ gene editing services [4] - The company has over 25 years of experience in cell engineering and aims to empower researchers globally to develop safe and effective treatments [4] Moonlight Bio's Objectives - Moonlight Bio is a preclinical-stage biotechnology company dedicated to developing enhanced T cell therapies for cancer patients, particularly for solid tumors [5] - The company seeks to overcome the limitations of current therapies that fail to provide durable responses in solid tumor treatments [5]

Core Insights - MaxCyte, Inc. announced a restructuring plan aimed at aligning resources with strategic priorities, which includes a workforce reduction of approximately 34% and expected annualized savings of about $13.6 million [1][2][4] Financial Outlook - The company expects 2025 core revenue to be flat to down approximately 10% compared to 2024, with an anticipated $5 million in SPL program-related revenue for the full year [3] - Year-end cash, cash equivalents, and investments are projected to be at least $155 million [3] Strategic Initiatives - The workforce reduction is part of a broader initiative to reduce operating expenses, streamline the organizational structure, and accelerate the path toward profitability [2][4] - The CEO emphasized the importance of this decision for long-term success and indicated that further details on the financial impact and outlook for the remainder of 2025 will be provided in the upcoming third quarter earnings call [4]