Quantum-Si (QSI) Q2 2025 Earnings Call August 05, 2025 04:30 PM ET Speaker0Good day, and thank you for standing by. Welcome to the Quantum e EI q two earnings call. At this time, all participants are in a listen only mode. After the speakers' presentation, there will be a question and answer session. To ask a question during the session, you'll need to press 11 on your telephone.You'll then hear an automated message advising that your hand is raised. To withdraw your question, please press 11 again. Please ...

Exhibit 99.1 Quantum-Si Reports Second Quarter 2025 Financial Results Announced On-Track Proteus Development Program Completes Capital Raise of $50 Million TM BRANFORD, Conn. -- (BUSINESS WIRE) -- August 5, 2025 -- Quantum-Si Incorporated (Nasdaq: QSI) ("Quantum- Si," "QSI" or the "Company"), a proteomics technology company redefining protein analysis through single-molecule detection, today announced financial results for the second quarter ended June 30, 2025. Press Release Highlights "We completed anothe ...

Key Takeaways QuantumSi set to report Q2 2025 results on Aug. 5, with revenues projected at $1.52 million.Growth is driven by international expansion, Platinum Pro adoption, and new sequencing kits.U.S. academic market softness and NIH funding uncertainty weigh on new instrument purchases.QuantumSi Incorporated (QSI) is scheduled to report its second-quarter 2025 results on Aug. 5, 2025.The Zacks Consensus Estimate for second-quarter revenues is pegged at $1.52 million, suggesting growth of 145.2% from the ...

Core Insights - Quantum-Si Incorporated (NASDAQ: QSI) was previously noted at a price of $3.60, which met the technical criteria for purchase, indicating potential investment interest [1] Group 1 - The company is being monitored for investment opportunities as the individual investor aims to build financial assets for retirement [1] - There is an interest in both long and short trading strategies, including the use of inverse ETFs to capitalize on market declines [1] - The focus is on developing winning trades through proper execution of trading plans and learning from feedback [1]

Core Viewpoint - Quantum-Si Incorporated reported a quarterly loss of $0.11 per share, which was better than the Zacks Consensus Estimate of a loss of $0.17, indicating a 35.29% earnings surprise [1] Financial Performance - The company posted revenues of $0.84 million for the quarter ended March 2025, missing the Zacks Consensus Estimate by 16.63%, compared to revenues of $0.46 million a year ago [2] - Over the last four quarters, Quantum-Si has surpassed consensus EPS estimates three times [2] - The current consensus EPS estimate for the upcoming quarter is -$0.16 on revenues of $2.21 million, and for the current fiscal year, it is -$0.66 on revenues of $8.78 million [7] Stock Performance - Quantum-Si shares have declined approximately 43.7% since the beginning of the year, while the S&P 500 has gained 0.2% [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating it is expected to perform in line with the market in the near future [6] Industry Outlook - The Electronics - Semiconductors industry is currently in the top 37% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8]

Quantum-Si (QSI) Q1 2025 Earnings Call May 15, 2025 04:30 PM ET Company Participants Katherine Atkinson - SVP - Commercial MarketsJeff Hawkins - President & CEOJeff Keyes - CFO Conference Call Participants Kyle Mikson - Managing Director & Senior Research AnalystScott Henry - Managing Director & Senior Research AnalystSwayampakula Ramakanth - Managing Director & Senior Equity Analyst Operator Day, and thank you for standing by. Welcome to the Quantum SI First Quarter twenty twenty five Earnings Call. At thi ...

Financial Data and Key Metrics Changes - Revenue for Q1 2025 was $842,000, representing an 84% increase compared to Q1 2024, although it was slightly below expectations [7][19] - Gross profit was $486,000 with a gross margin of 58%, influenced by low or no cost inventory utilized during the quarter [19][20] - Total operating expenses for Q1 2025 were $25.6 million, up from $23.6 million in Q1 2024, while adjusted operating expenses were $22.9 million compared to $21.9 million in the prior year [20][24] Business Line Data and Key Metrics Changes - The launch of the Platinum Pro system occurred in Q1 2025, with initial customer sales reported [6][7] - Existing US academic customers continued to purchase consumables despite a slowdown in new instrument purchases due to NIH funding uncertainties [8][19] - The company is focusing on growth opportunities in the pharma and biotech sectors, with a completed training program for Avantor, their North American distribution partner [8][10] Market Data and Key Metrics Changes - The US academic market is experiencing uncertainties related to NIH funding, which is expected to impact new instrument sales until at least fall 2025 [8][23] - Internationally, the company has 23 distribution partners and is optimistic about growth opportunities in pharma and biotech across these regions [9][10] - Approximately 60% of instrument installations are outside the US, with 20% of total business derived from the US academic market [56] Company Strategy and Development Direction - The company aims to accelerate commercial adoption, deliver on its innovation roadmap, and preserve financial strength [6][18] - The technology roadmap includes the launch of a Version 4 sequencing kit in Q3 2025 and a Version 3 library preparation kit by the end of 2025 [11][12] - The Proteus development program is on track for a prototype demonstration by the end of 2025, with a launch expected in the second half of 2026 [13][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the long-term market opportunity in proteomics despite current market uncertainties [18][23] - The company is monitoring potential impacts from evolving tariffs but does not anticipate significant near-term effects on inventory acquisition costs [21][22] - Future financial guidance remains uncertain due to the NIH funding environment, but the company expects to maintain cash reserves into the second half of 2027 [24][39] Other Important Information - The company has a strong balance sheet with $232.6 million in cash and cash equivalents as of March 31, 2025 [21] - The gross margin for Q1 2025 included a 7% benefit from low or no-cost inventory, indicating variability in future margins [20][36] Q&A Session Summary Question: Concerns about biopharma spending and tariffs - Management noted that current funding levels in biotech and pharma remain stable despite discussions around tariffs and pricing policies [28] Question: Feedback on the Platinum Pro launch - The Platinum Pro system is considered locked down, with positive feedback from early adopters regarding its reliability and features [30] Question: Future gross margin and cost of goods - Historical margins are expected to remain in the 40% to 50% range, with variability based on instrument and consumable sales mix [36] Question: Cash runway and potential adjustments in spending - The company has sufficient cash to sustain operations through 2027 and plans to invest wisely while monitoring market conditions [41][45] Question: International distribution partners and tariff impacts - No significant tariff impacts have been observed, and the company has expanded its distribution network to 23 partners [46][47] Question: Market share in the NIH/academic sector - Approximately 20% of the company's business is derived from the US academic market, with significant growth potential remaining [56] Question: Avantor relationship and early progress - Training for Avantor's team is complete, and early activity levels are promising, with ongoing support from the company [62]

[Part I. Financial Information](index=6&type=section&id=Part%20I.%20Financial%20Information) [Financial Statements](index=6&type=section&id=Item%201.%20Financial%20Statements) Quantum-Si reported increased Q1 2025 revenue driven by instrument and consumable sales, a slightly improved net loss, and enhanced liquidity from an equity offering Condensed Consolidated Statements of Operations (Q1 2025 vs Q1 2024) | Metric | Q1 2025 (in thousands) | Q1 2024 (in thousands) | | :--- | :--- | :--- | | Total Revenue | $842 | $457 | | Gross Profit | $486 | $269 | | Loss from Operations | $(25,112) | $(23,360) | | Net Loss | $(19,189) | $(19,474) | | Net Loss per Share | $(0.11) | $(0.14) | Condensed Consolidated Balance Sheets (As of March 31, 2025) | Metric | March 31, 2025 (in thousands) | December 31, 2024 (in thousands) | | :--- | :--- | :--- | | Cash and cash equivalents | $37,293 | $49,241 | | Marketable securities | $195,308 | $160,362 | | Total Assets | $271,222 | $247,871 | | Total Liabilities | $24,302 | $32,451 | | Total Stockholders' Equity | $246,920 | $215,420 | - The company believes its current cash, cash equivalents, and marketable securities of **$232.6 million** as of March 31, 2025, are sufficient to fund planned operations for at least the next twelve months[28](index=28&type=chunk) - On January 3, 2025, the company completed a registered direct offering, issuing 15,625,000 shares of Class A common stock for gross proceeds of **$50.0 million**, with net proceeds of approximately **$46.8 million**[59](index=59&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=28&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes Q1 2025 revenue growth to improved sales execution and new product launches, with increased operating expenses offset by a financing offering that bolstered liquidity - The company began a full commercial launch of its Platinum instrument in Q2 2024 and launched the Platinum Pro benchtop sequencer in January 2025, with first shipments in March 2025[104](index=104&type=chunk)[117](index=117&type=chunk) Results of Operations Comparison (Q1 2025 vs Q1 2024) | Line Item | Q1 2025 (in thousands) | Q1 2024 (in thousands) | % Change | | :--- | :--- | :--- | :--- | | Total Revenue | $842 | $457 | 84.2% | | Gross Profit | $486 | $269 | 80.7% | | R&D Expenses | $13,717 | $12,101 | 13.4% | | SG&A Expenses | $11,881 | $11,528 | 3.1% | | Loss from Operations | $(25,112) | $(23,360) | 7.5% | - R&D expenses increased by **$1.6 million** (13.4%) due to a **$1.7 million** increase in fabrication and outsourced services related to the development of the recently announced Proteus™ platform[119](index=119&type=chunk) - Net cash used in operating activities was **$26.2 million** for Q1 2025, compared to **$23.2 million** in Q1 2024, primarily due to the net loss and changes in operating assets and liabilities[127](index=127&type=chunk)[128](index=128&type=chunk) - Net cash provided by financing activities was **$48.4 million** in Q1 2025, a significant increase from a **$0.1 million** use of cash in Q1 2024, mainly due to **$46.8 million** in net proceeds from the Registered Direct Offering[132](index=132&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=36&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company identifies inflation, interest rate, and foreign currency as its primary market risks, noting inflation's impact on costs, minimal interest rate risk from short-term investments, and currently immaterial foreign currency risk - Inflation is identified as a risk that has impacted the cost of supplies and manufacturing components, which could harm business if not offset by price increases or efficiencies[147](index=147&type=chunk) - Interest rate risk is considered minimal as investments are primarily in short-term, high-quality securities with a primary objective of capital preservation[149](index=149&type=chunk) - Foreign currency risk is currently not material as most business is conducted in U.S. dollars, but this could change with planned international expansion[150](index=150&type=chunk) [Controls and Procedures](index=37&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that the company's disclosure controls and procedures were effective as of March 31, 2025, with no material changes to internal control over financial reporting during the quarter - The Chief Executive Officer and Chief Financial Officer concluded that the company's disclosure controls and procedures were effective as of March 31, 2025[152](index=152&type=chunk) - No changes occurred in the company's internal control over financial reporting during the quarter ended March 31, 2025, that have materially affected, or are reasonably likely to materially affect, internal controls[153](index=153&type=chunk) [Part II. Other Information](index=38&type=section&id=Part%20II.%20Other%20Information) [Legal Proceedings](index=38&type=section&id=Item%201.%20Legal%20Proceedings) The company is involved in various legal proceedings, including a class action lawsuit and disputes with a former manufacturer and a landlord, with details in Note 17 - The company is subject to several legal proceedings, including the Delaware Stockholder Litigation, a dispute with a former contract manufacturer, and a lawsuit against a landlord over lease incentives, with outcomes not currently estimable or probable[99](index=99&type=chunk)[100](index=100&type=chunk)[101](index=101&type=chunk) [Risk Factors](index=38&type=section&id=Item%201A.%20Risk%20Factors) The company highlights risks associated with its use of artificial intelligence, including evolving regulations, increased compliance costs, potential lawsuits, and data exposure - A key risk factor is the use of artificial intelligence (AI), which is subject to evolving laws and regulations[157](index=157&type=chunk) - Potential risks associated with AI include additional compliance costs, regulatory investigations, lawsuits, and the exposure of sensitive data or intellectual property[158](index=158&type=chunk)[159](index=159&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=38&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) This item is reported as not applicable for the period [Defaults Upon Senior Securities](index=38&type=section&id=Item%203.%20Defaults%20Upon%20Senior%20Securities) This item is reported as not applicable for the period [Mine Safety Disclosures](index=38&type=section&id=Item%204.%20Mine%20Safety%20Disclosures) This item is reported as not applicable for the period [Other Information](index=39&type=section&id=Item%205.%20Other%20Information) No officers or directors adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during Q1 2025 - No officers or directors adopted, modified, or terminated a Rule 10b5-1 trading arrangement during the quarter ended March 31, 2025[164](index=164&type=chunk) [Exhibits](index=40&type=section&id=Item%206.%20Exhibits) This section lists exhibits filed with the Quarterly Report on Form 10-Q, including officer certifications and Inline XBRL documents

Financial Performance - Revenue for Q1 2025 was $842,000, representing an 84% increase compared to Q1 2024[6] - Gross profit for the quarter was $486,000, with a gross margin of 58%[4] - Net loss for Q1 2025 was $19.2 million, slightly improved from a net loss of $19.5 million in Q1 2024[7] - Adjusted EBITDA was negative $21.5 million, compared to negative $20.5 million in the prior year[7] - Net loss for Q1 2025 was $19,189, compared to a net loss of $19,474 in Q1 2024, showing a slight improvement[21] - Adjusted EBITDA for Q1 2025 was $(21,455), compared to $(20,547) in Q1 2024, indicating a decline[21] Operating Expenses - Total operating expenses were $25.6 million, up from $23.6 million in the same period last year[5] - Total operating expenses increased to $25,598 in Q1 2025 from $23,629 in Q1 2024, reflecting a rise of approximately 8.3%[21] - Adjusted total operating expenses for Q1 2025 were $22,858, up from $21,877 in Q1 2024, marking an increase of about 4.5%[21] - Stock-based compensation rose to $2,362 in Q1 2025 from $1,609 in Q1 2024, representing a significant increase of approximately 46.6%[21] - Restructuring costs decreased slightly to $134 in Q1 2025 from $143 in Q1 2024[21] - Other non-recurring operating expenses were $244 in Q1 2025, compared to none in Q1 2024, indicating the introduction of new expenses[21] Cash and Financing - The company completed a $50 million registered direct offering, netting proceeds of $46.8 million[8] - Cash and cash equivalents as of March 31, 2025, totaled $232.6 million, providing a cash runway into the second half of 2027[8] Product Development - The company launched the Platinum Pro units and is on track for the Q3 2025 launch of the version 4 Sequencing Kit[6] - Development of a new version 3 Library Preparation Kit is expected to launch by the end of 2025[6] Market Expansion - The international channel partner network has expanded to 23 partners, reflecting strong momentum in international markets[3] Other Financial Metrics - The change in fair value of warrant liabilities was $(3,401) in Q1 2025, compared to $(319) in Q1 2024, indicating a notable increase in liability[21] - Dividend and interest income decreased to $(2,547) in Q1 2025 from $(3,574) in Q1 2024, showing a decline of approximately 28.7%[21] - Depreciation and amortization expenses decreased to $917 in Q1 2025 from $1,061 in Q1 2024, reflecting a reduction of about 13.5%[21]

Financial Data and Key Metrics Changes - Total revenues for Q4 2024 were approximately $1.2 million, representing a 52% increase over Q3 2024 and a 183% increase year-over-year [11][35] - Full year 2024 revenues reached $3.1 million, with a gross profit of $1.6 million and a gross margin of 52% [37][38] - Gross profit for Q4 2024 was $610,000, with a gross margin of 51% [35][36] Business Line Data and Key Metrics Changes - The company achieved its first quarter exceeding $1 million in revenue, driven by the commercial launch of the Platinum instrument [10] - The customer base diversified significantly, now including academic, biotech, pharma, government, and contract research organizations [10][12] - The company sold its fiftieth Platinum instrument during Q4 2024, marking a significant milestone [12] Market Data and Key Metrics Changes - The international distribution channel expanded to eighteen partners, enhancing access to global markets [14] - The company noted a growing interest in proteomics research in regions with limited access to traditional high-cost instruments, indicating a potential market opportunity [15] Company Strategy and Development Direction - The company focuses on three corporate priorities: accelerating commercial adoption, delivering on the innovation roadmap, and preserving financial strength [9] - The launch of the Platinum Pro system is expected to enhance user experience and expand market reach [24] - The Proteus platform is anticipated to launch in the second half of 2026, aiming to significantly increase proteome coverage and workflow automation [27][30] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the international market opportunities and the potential impact of the Avantor partnership on sales [44][56] - There is uncertainty regarding NIH funding for 2025, which may affect the academic research market, but other segments are expected to remain stable [45][46] - For Q1 2025, the company anticipates revenue of at least $900,000, representing approximately 100% year-over-year growth [46] Other Important Information - The company raised capital through its at-the-market facility, providing an extended cash runway into the second half of 2027 [43][34] - A dedicated scientific affairs team was established to enhance collaboration with customers and promote the value of next-generation protein sequencing [16] Q&A Session Summary Question: Did you sell any Platinum Pro systems since the announcement? - The company expects to start shipping the Platinum Pro before the end of the quarter and has not seen any impact on Platinum sales yet [50] Question: Was any of the $1.2 million in Q4 pushed from Q3 or pulled forward from Q1 2025? - Management confirmed that nothing was pushed from Q3, but some end-of-year buying decisions occurred in Q4 [53][54] Question: What are the expectations for the Avantor partnership this year? - The partnership is in the training and implementation phase, with expected contributions in Q2 and more acceleration in the second half of the year [59] Question: How is the sales cycle evolving with more customers? - The sales cycle is longer than historically seen for similar instruments, but management is comfortable with its current predictability [84] Question: What are the largest markets and untapped opportunities? - The customer base is now about 50% academic and 50% other segments, with significant international opportunities identified [86][90] Question: What is the status of the internal commercial team expansion? - The commercial team is staffed as expected, with most sales professionals in the field and some still in training [95][99]