[Repligen Corporation Overview](index=1&type=section&id=Repligen%20Corporation%20Overview) Repligen Corporation, a life sciences company, announced strong Q1 2025 earnings and updated full-year guidance, driven by organic growth and strategic acquisitions [Company Information](index=1&type=section&id=Company%20Information) Repligen Corporation (NASDAQ:RGEN) is a life sciences company specializing in bioprocessing technology, headquartered in Waltham, Massachusetts - Repligen Corporation (NASDAQ:RGEN) is a life sciences company focused on bioprocessing technology leadership, headquartered in Waltham, Massachusetts[1](index=1&type=chunk)[2](index=2&type=chunk) [Q1 2025 Earnings Announcement](index=1&type=section&id=Q1%202025%20Earnings%20Announcement) Repligen Corporation announced its Q1 2025 financial results and provided updated financial guidance for the full year 2025 - Repligen reported financial results for Q1 2025 (three months ended March 31, 2025) and provided updated financial guidance for the full year 2025[2](index=2&type=chunk) [CEO Commentary](index=1&type=section&id=CEO%20Commentary) CEO Olivier Loeillot highlighted strong Q1 2025 revenue and order growth, with significant adjusted operating margin expansion and strategic acquisitions - Q1 2025 revenue was **$169 million**, representing **14% organic non-COVID growth** and driving meaningful adjusted operating margin expansion[3](index=3&type=chunk) - Total orders grew nearly **20% year-over-year**, with all four franchises achieving double-digit growth[3](index=3&type=chunk) - The Analytics franchise was strategically strengthened with the acquisition of 908 Devices' bioprocessing portfolio[3](index=3&type=chunk) [Q1 2025 Business and Financial Highlights](index=1&type=section&id=Q1%202025%20Business%20and%20Financial%20Highlights) Repligen reported strong Q1 2025 financial performance with increased revenue, orders, and significant margin expansion, alongside key operational achievements [Key Financial Performance](index=1&type=section&id=Key%20Financial%20Performance) Repligen reported a 10% year-over-year revenue increase to $169 million, driven by 14% organic non-COVID growth, reiterating full-year guidance Q1 2025 Key Financial Performance Highlights (YoY) | Metric | Q1 2025 | Change YoY | | :-------------------------- | :-------- | :--------- | | Revenue | $169M | +10% (reported), +14% (organic non-COVID) | | Orders | Increased sequentially | High-teens | | Adjusted Operating Income | N/A | +72% | | 2025 Full Year Organic Revenue Guidance | 9.5% - 13.5% | Reiterated | [Operational Highlights](index=1&type=section&id=Operational%20Highlights) In Q1 2025, Repligen achieved record biopharma revenues, acquired 908 Devices' bioprocessing portfolio, and launched the new CTech™ SoloVPE® Plus System - Biopharma and consumables revenues increased greater than **20% year-over-year**, reaching record levels excluding COVID-related sales[6](index=6&type=chunk) - Completed the acquisition of 908 Devices' bioprocessing portfolio, complementing and strengthening the process analytical technology (PAT) offering with upstream capabilities[6](index=6&type=chunk) - Launched the CTech™ SoloVPE® Plus System, a next-generation UV-based Variable Pathlength Technology system[6](index=6&type=chunk) [Detailed Q1 2025 Financial Performance](index=1&type=section&id=Detailed%20Q1%202025%20Financial%20Performance) Repligen reported Q1 2025 total revenue of $169 million, a 10% reported increase, with significant growth in GAAP and Adjusted net income and EPS Q1 2025 Detailed Financial Performance (YoY Comparison) | Metric | Q1 2025 | Q1 2024 | Change YoY | | :-------------------------- | :-------- | :-------- | :--------- | | Total Reported Revenue | $169M | $153M | +10% (reported), +14% (organic non-COVID) | | GAAP Gross Profit | $91M | $77M | +18.2% | | Adjusted Gross Profit | $91M | $75M | +21.3% | | GAAP Income from Operations | $7M | $4M | +75.0% | | Adjusted Income from Operations | $23M | $14M | +64.3% | | GAAP Net Income | $6M | $3M | +100.0% | | Adjusted Net Income | $22M | $17M | +29.4% | | GAAP EPS (Diluted) | $0.10 | $0.06 | +66.7% | | Adjusted EPS (Diluted) | $0.39 | $0.30 | +30.0% | [Margin Summary](index=2&type=section&id=Margin%20Summary) Repligen demonstrated significant margin expansion in Q1 2025, with GAAP gross margin increasing to 53.6% and adjusted operating margin reaching 13.8% Q1 2025 Margin Summary (YoY Comparison) | Margin Type | Q1 2025 | Q1 2024 | Change (bps) | | :-------------------- | :------ | :------ | :----------- | | GAAP Gross Margin | 53.6% | 50.1% | +350 | | GAAP Operating (EBIT) Margin | 3.9% | 2.4% | +150 | | Adjusted Gross Margin | 53.7% | 49.2% | +450 | | Adjusted Operating (EBIT) Margin | 13.8% | 8.9% | +490 | | Adjusted EBITDA Margin | 19.3% | 14.4% | +490 | - Cash and cash equivalents at March 31, 2025, were **$697 million**, compared to **$757 million** at December 31, 2024[7](index=7&type=chunk) [Financial Guidance for Fiscal Year 2025](index=2&type=section&id=Financial%20Guidance%20for%20Fiscal%20Year%202025) Repligen provided updated FY 2025 financial guidance, projecting total reported revenue between $695M and $720M, with adjusted operating margin of 13.5% - 14.5% [FY 2025 Guidance Details](index=2&type=section&id=FY%202025%20Guidance%20Details) Repligen provided updated financial guidance for fiscal year 2025, projecting total reported revenue between $695M and $720M and adjusted diluted EPS of $1.63 - $1.72 FY 2025 Financial Guidance | Metric | GAAP Guidance | Adjusted (non-GAAP) Guidance | | :-------------------------- | :---------------- | :--------------------------- | | Total Reported Revenue | $695M - $720M | $695M - $720M | | Reported Growth | 9.5% - 13.5% | 9.5% - 13.5% | | Organic Growth | - | 9.5% - 13.5% | | Organic, Non-COVID Growth | - | 11.5% - 15.5% | | Gross Margin | 52% - 53% | 52% - 53% | | Income from Operations | $48M - $55M | $95M - $102M | | Operating Margin | 7% - 8% | 13.5% - 14.5% | | Other Income (Expense) | $7M - $8M | $23M - $24M | | Adjusted EBITDA Margin | - | 19.5% - 20.5% | | Tax Rate on Pre-Tax Income | 23% - 24% | 22% - 23% | | Net Income | $43M - $48M | $92M - $97M | | Earnings Per Share - Diluted | $0.76 - $0.85 | $1.63 - $1.72 | [Guidance Updates and Impact](index=2&type=section&id=Guidance%20Updates%20and%20Impact) The updated FY 2025 guidance incorporates the 908 Devices acquisition, increasing revenue by $10 million but reducing income from operations by $4 million - Updated guidance incorporates the acquisition of 908 Devices' Bioprocessing Analytics business, including a revenue increase of **$10 million**[9](index=9&type=chunk) - The acquisition is expected to result in a **$4 million reduction** in income from operations[9](index=9&type=chunk) - There is a **100-basis point increase** in gross margin versus prior guidance, primarily due to a shift in costs to operating expenses from cost of goods sold, with no impact on operating income[9](index=9&type=chunk) [Additional Information](index=2&type=section&id=Additional%20Information) This section provides details on Repligen's conference call, company overview, non-GAAP financial measures, forward-looking statements, and investor contact [Conference Call and Webcast](index=2&type=section&id=Conference%20Call%20and%20Webcast) Repligen hosted a conference call and webcast on April 29, 2025, to discuss Q1 2025 financial results, corporate developments, and 2025 financial guidance - Repligen hosted a conference call and webcast on April 29, 2025, at 8:30 a.m. ET, to discuss Q1 2025 financial results, corporate developments, and 2025 financial guidance[10](index=10&type=chunk) [About Repligen Corporation](index=2&type=section&id=About%20Repligen%20Corporation) Repligen Corporation is a global life sciences company developing innovative bioprocessing technologies and systems to enhance biological drug manufacturing for biopharmaceutical developers and CDMOs - Repligen develops and commercializes highly innovative bioprocessing technologies and systems that enable efficiencies in the process of manufacturing biological drugs[11](index=11&type=chunk) - The company's focus areas are Filtration and Fluid Management, Chromatography, Process Analytics, and Proteins[11](index=11&type=chunk) - Repligen primarily serves biopharmaceutical drug developers and contract development and manufacturing organizations (CDMOs) worldwide, with manufacturing sites in the U.S., Estonia, France, Germany, Ireland, the Netherlands, and Sweden[11](index=11&type=chunk)[12](index=12&type=chunk) [Non-GAAP Financial Measures Explanation](index=3&type=section&id=Non-GAAP%20Financial%20Measures%20Explanation) This section explains Repligen's use of non-GAAP financial measures, which exclude specific items like acquisition costs and intangible amortization, to better reflect ongoing performance - Non-GAAP measures include organic non-COVID revenue growth, adjusted cost of goods sold, adjusted gross profit, adjusted income from operations, adjusted net income, and adjusted EBITDA[13](index=13&type=chunk) - Non-GAAP financial results exclude the impact of acquisition and integration costs, restructuring charges, intangible amortization costs, non-cash interest expense, and the related tax impact[14](index=14&type=chunk) - Management believes these excluded expenses do not have a direct correlation to future business operations nor accurately reflect the performance of ongoing operations[14](index=14&type=chunk) [Forward-Looking Statements](index=3&type=section&id=Forward-Looking%20Statements) This section contains forward-looking statements regarding future financial performance and business expectations, which are subject to various risks and uncertainties - Forward-looking statements include any express or implied statements or guidance regarding current or future financial performance and position, expected demand, expectations regarding acquisitions, and expected business performance[16](index=16&type=chunk) - Risks and uncertainties include the ability to successfully grow the bioprocessing business, manage headwinds, achieve financial guidance, successfully integrate acquired businesses, and potential declines in product demand[17](index=17&type=chunk) - Repligen cautions investors not to place undue reliance on any forward-looking statements, which speak only as of the date they are made and may differ materially from actual results[17](index=17&type=chunk)[18](index=18&type=chunk) [Investor Contact](index=4&type=section&id=Investor%20Contact) For investor inquiries, contact Jacob Johnson, VP, Investor Relations, via phone or email - Investor relations contact is Jacob Johnson, VP, Investor Relations, at **(781) 419-0204** or **investors@repligen.com**[19](index=19&type=chunk) [Condensed Consolidated Financial Statements](index=5&type=section&id=Condensed%20Consolidated%20Financial%20Statements) This section presents Repligen's condensed consolidated statements of operations and balance sheet data for Q1 2025 and prior periods [Condensed Consolidated Statements of Operations](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) The condensed consolidated statements of operations show Repligen's Q1 2025 total revenue increased to $169.172 million, leading to a net income of $5.830 million Condensed Consolidated Statements of Operations (Three Months Ended March 31, in thousands) | Metric | Q1 2025 | Q1 2024 | | :-------------------------- | :------ | :------ | | Product revenue | $169,137 | $153,146 | | Royalty and other revenue | $35 | $36 | | **Total revenue** | **$169,172** | **$153,182** | | Cost of goods sold | $78,415 | $76,391 | | Research and development | $12,924 | $11,238 | | Selling, general and administrative | $71,255 | $61,803 | | **Total costs and expenses** | **$162,594** | **$149,432** | | **Income from operations** | **$6,578** | **$3,750** | | Investment income | $7,314 | $8,993 | | Interest expense | $(5,250) | $(5,029) | | Amortization of debt issuance costs | $(413) | $(483) | | Other income (expenses), net | $(286) | $(3,536) | | **Income before income taxes** | **$7,943** | **$3,695** | | Income tax provision | $2,113 | $399 | | **Net income** | **$5,830** | **$3,296** | | Basic EPS | $0.10 | $0.06 | | Diluted EPS | $0.10 | $0.06 | [Balance Sheet Data](index=5&type=section&id=Balance%20Sheet%20Data) As of March 31, 2025, Repligen reported cash and cash equivalents of $697.229 million, total assets of $2,852.143 million, and stockholders' equity of $1,985.483 million Balance Sheet Data (as of March 31, 2025 and December 31, 2024, in thousands) | Metric | March 31, 2025 | December 31, 2024 | | :-------------------- | :------------- | :---------------- | | Cash and cash equivalents | $697,229 | $757,355 | | Working capital | $880,469 | $939,254 | | Total assets | $2,852,143 | $2,829,666 | | Long-term obligations | $714,664 | $730,161 | | Accumulated earnings | $413,184 | $407,354 | | Stockholders' equity | $1,985,483 | $1,972,718 | [Reconciliations of GAAP to Non-GAAP Financial Measures](index=6&type=section&id=Reconciliations%20of%20GAAP%20to%20Non-GAAP%20Financial%20Measures) This section provides detailed reconciliations from GAAP to non-GAAP financial measures for revenue, income, EPS, EBITDA, and various expenses [Revenue Growth Reconciliation](index=6&type=section&id=Revenue%20Growth%20Reconciliation) This reconciliation details the adjustments from GAAP total reported revenue growth of 10% to non-GAAP organic non-COVID revenue growth of 14% for Q1 2025 Reconciliation of Total Revenue (GAAP) Growth to Organic Non-COVID Revenue Growth (Non-GAAP) | Metric | Q1 2025 | Q1 2024 | | :------------------------------------ | :------ | :------ | | TOTAL REPORTED REVENUE (GAAP) GROWTH | 10% | (7)% | | Acquisition revenue | (1)% | (4)% | | Currency exchange | 1% | 1% | | ORGANIC REVENUE GROWTH (NON-GAAP) | 11% | (11)% | | COVID revenue | 2% | 1% | | ORGANIC NON-COVID REVENUE GROWTH (NON-GAAP) | 14% | (10)% | [Income from Operations Reconciliation](index=6&type=section&id=Income%20from%20Operations%20Reconciliation) GAAP income from operations of $6.578 million for Q1 2025 was adjusted to $23.405 million non-GAAP adjusted income from operations, resulting in an adjusted operating margin of 13.8% Reconciliation of Income from Operations (GAAP) to Adjusted Income from Operations (Non-GAAP, in thousands) | Metric | Q1 2025 | Q1 2024 | | :------------------------------------ | :------ | :------ | | INCOME FROM OPERATIONS (GAAP) | $6,578 | $3,750 | | Acquisition and integration costs | $6,033 | $1,755 | | Restructuring activities and other related charges | $1,089 | $(584) | | Intangible amortization | $9,121 | $8,716 | | Other | $584 | — | | ADJUSTED INCOME FROM OPERATIONS (NON-GAAP) | $23,405 | $13,637 | | OPERATING (EBIT) MARGIN | 3.9% | 2.4% | | ADJUSTED OPERATING (EBIT) MARGIN | 13.8% | 8.9% | [Net Income Reconciliation](index=6&type=section&id=Net%20Income%20Reconciliation) GAAP net income of $5.830 million for Q1 2025 was reconciled to $22.241 million adjusted net income (non-GAAP) by adding back various non-cash and non-recurring expenses Reconciliation of Net Income (GAAP) to Adjusted Net Income (Non-GAAP, in thousands) | Metric | Q1 2025 | Q1 2024 | | :------------------------------------ | :------ | :------ | | NET INCOME (GAAP) | $5,830 | $3,296 | | Acquisition and integration costs | $6,033 | $1,755 | | Restructuring activities and other related charges | $1,089 | $(584) | | Intangible amortization | $9,121 | $8,716 | | Non-cash interest expense | $3,747 | $3,464 | | Amortization of debt issuance costs | $413 | $483 | | Foreign currency impact of certain intercompany loans | — | $3,787 | | Other | $584 | — | | Tax effect of non-GAAP charges | $(4,576) | $(3,690) | | ADJUSTED NET INCOME (NON-GAAP) | $22,241 | $17,227 | [Earnings Per Share Reconciliation](index=7&type=section&id=Earnings%20Per%20Share%20Reconciliation) Diluted GAAP EPS of $0.10 for Q1 2025 was reconciled to $0.39 adjusted diluted EPS (non-GAAP) by adjusting for non-cash and non-recurring per-share impacts Reconciliation of Earnings Per Share (GAAP) to Adjusted Earnings Per Share (Non-GAAP) | Metric | Q1 2025 | Q1 2024 | | :------------------------------------ | :------ | :------ | | EARNINGS PER SHARE (GAAP) - DILUTED | $0.10 | $0.06 | | Acquisition and integration costs | $0.11 | $0.03 | | Restructuring activities and other related charges | $0.02 | $(0.01) | | Intangible amortization | $0.16 | $0.15 | | Non-cash interest expense | $0.07 | $0.06 | | Amortization of debt issuance costs | $0.01 | $0.01 | | Foreign currency impact of certain intercompany loans | — | $0.07 | | Other | $0.01 | — | | Tax effect of non-GAAP charges | $(0.08) | $(0.07) | | ADJUSTED EARNINGS PER SHARE (NON-GAAP) - DILUTED | $0.39 | $0.30 | [Adjusted EBITDA Reconciliation](index=7&type=section&id=Adjusted%20EBITDA%20Reconciliation) GAAP net income was reconciled to Adjusted EBITDA (non-GAAP), which reached $32.702 million for Q1 2025, resulting in an Adjusted EBITDA Margin of 19.3% Reconciliation of Net Income (GAAP) to Adjusted EBITDA (Non-GAAP, in thousands) | Metric | Q1 2025 | Q1 2024 | | :------------------------------------ | :------ | :------ | | NET INCOME (GAAP) | $5,830 | $3,296 | | Investment income | $(7,314) | $(8,993) | | Interest expense | $5,250 | $5,029 | | Amortization of debt issuance costs | $413 | $483 | | Income tax provision | $2,113 | $399 | | Depreciation | $9,555 | $8,145 | | Intangible amortization | $9,149 | $8,744 | | EBITDA (NON-GAAP) | $24,996 | $17,103 | | Acquisition and integration costs | $6,033 | $1,755 | | Restructuring activities and other related charges | $1,089 | $(584) | | Foreign currency impact of certain intercompany loans | — | $3,787 | | Other | $584 | — | | ADJUSTED EBITDA (NON-GAAP) | $32,702 | $22,061 | | ADJUSTED EBITDA MARGIN (NON-GAAP) | 19.3% | 14.4% | [Cost of Goods Sold Reconciliation](index=7&type=section&id=Cost%20of%20Goods%20Sold%20Reconciliation) GAAP Cost of Goods Sold (COGS) of $78.415 million for Q1 2025 was adjusted to $78.395 million non-GAAP adjusted COGS, leading to an adjusted gross margin of 53.7% Reconciliation of Cost of Goods Sold (GAAP) to Adjusted Cost Goods Sold (Non-GAAP, in thousands) | Metric | Q1 2025 | Q1 2024 | | :------------------------------------ | :------ | :------ | | COST OF GOODS SOLD (GAAP) | $78,415 | $76,391 | | Acquisition and integration costs | $(103) | $(66) | | Restructuring activities and other related charges | $270 | $1,448 | | Intangible amortization | $(187) | — | | ADJUSTED COST OF GOODS SOLD (NON-GAAP) | $78,395 | $77,773 | | GROSS MARGIN (GAAP) | 53.6% | 50.1% | | ADJUSTED GROSS MARGIN (NON-GAAP) | 53.7% | 49.2% | [R&D Expense Reconciliation](index=8&type=section&id=R%26D%20Expense%20Reconciliation) GAAP R&D expense of $12.924 million for Q1 2025 was adjusted to $11.337 million non-GAAP adjusted R&D expense, after accounting for specific non-GAAP items Reconciliation of R&D Expense (GAAP) to Adjusted R&D Expense (Non-GAAP, in thousands) | Metric | Q1 2025 | Q1 2024 | | :------------------------------------ | :------ | :------ | | R&D EXPENSE (GAAP) | $12,924 | $11,238 | | Acquisition and integration costs | $(420) | $(53) | | Restructuring activities and other related charges | $(810) | $(165) | | Intangible amortization | $(357) | — | | ADJUSTED R&D EXPENSE (NON-GAAP) | $11,337 | $11,020 | [SG&A Expense Reconciliation](index=8&type=section&id=SG%26A%20Expense%20Reconciliation) GAAP SG&A expense of $71.255 million for Q1 2025 was adjusted to $56.035 million non-GAAP adjusted SG&A expense by excluding specific non-recurring costs Reconciliation of SG&A Expense (GAAP) to Adjusted SG&A Expense (Non-GAAP, in thousands) | Metric | Q1 2025 | Q1 2024 | | :------------------------------------ | :------ | :------ | | SG&A EXPENSE (GAAP) | $71,255 | $61,803 | | Acquisition and integration costs | $(5,510) | $(1,636) | | Restructuring activities and other related charges | $(549) | $(699) | | Intangible amortization | $(8,577) | $(8,716) | | Other | $(584) | — | | ADJUSTED SG&A EXPENSE (NON-GAAP) | $56,035 | $50,752 | [Net Income Guidance Reconciliation](index=8&type=section&id=Net%20Income%20Guidance%20Reconciliation) The FY 2025 GAAP net income guidance of $43M - $48M is adjusted to non-GAAP net income guidance of $92M - $97M by adding back projected non-GAAP items Reconciliation of Net Income (GAAP) Guidance to Adjusted Net Income (Non-GAAP) Guidance (Year Ending December 31, 2025, in thousands) | Metric | Low End | High End | | :------------------------------------ | :------ | :------- | | GUIDANCE ON NET INCOME (GAAP) | $43,000 | $48,000 | | Acquisition and integration costs | $11,505 | $11,505 | | Restructuring activities and other related charges | $1,464 | $1,464 | | Anticipated pre-tax amortization of acquisition-related intangible assets | $33,384 | $33,384 | | Non-cash interest expense | $14,586 | $14,586 | | Amortization of debt issuance costs | $1,646 | $1,646 | | Tax effect of non-GAAP charges | $(13,699) | $(13,699) | | Other | $584 | $584 | | Guidance rounding adjustment | $(470) | $(470) | | GUIDANCE ON ADJUSTED NET INCOME (NON-GAAP) | $92,000 | $97,000 | [Earnings Per Share Guidance Reconciliation](index=9&type=section&id=Earnings%20Per%20Share%20Guidance%20Reconciliation) The FY 2025 GAAP diluted EPS guidance of $0.76 - $0.85 is adjusted to non-GAAP diluted EPS guidance of $1.63 - $1.72, reflecting per-share non-GAAP impacts Reconciliation of Earnings Per Share (GAAP) Guidance to Adjusted Earnings Per Share (Non-GAAP) Guidance (Year Ending December 31, 2025) | Metric | Low End | High End | | :------------------------------------ | :------ | :------- | | GUIDANCE ON EARNINGS PER SHARE (GAAP) - DILUTED | $0.76 | $0.85 | | Acquisition and integration costs | $0.20 | $0.20 | | Restructuring activities and other related charges | $0.03 | $0.03 | | Anticipated pre-tax amortization of acquisition-related intangible assets | $0.59 | $0.59 | | Non-cash interest expense | $0.26 | $0.26 | | Amortization of debt issuance costs | $0.03 | $0.03 | | Tax effect of non-GAAP charges | $(0.24) | $(0.24) | | Other | $0.01 | $0.01 | | Guidance rounding adjustment | $(0.01) | $(0.01) | | GUIDANCE ON ADJUSTED EARNINGS PER SHARE (NON-GAAP) - DILUTED | $1.63 | $1.72 | [Footnotes to Reconciliations](index=9&type=section&id=Footnotes%20to%20Reconciliations) This section provides detailed footnotes explaining specific adjustments made in the GAAP to non-GAAP reconciliations, including restructuring activities and cybersecurity incident costs - Restructuring activities, initiated in July 2023, continued in Q1 2025, including severance, employee-related, and facility exit costs, with a benefit from the sale of previously reserved inventory[30](index=30&type=chunk) - The 'Other' adjustment includes one-time events relating to a cybersecurity incident (net of insurance) and costs associated with the restatement of previously issued financial statements[31](index=31&type=chunk) - During Q1 2024, foreign currency losses of **$3.787 million** on certain intercompany loans were recorded in 'Other expenses, net'[31](index=31&type=chunk)

Core Insights - Repligen Corporation reported a strong start to 2025 with revenues of $169 million, reflecting a 10% year-over-year increase and 14% organic non-COVID growth, alongside a significant expansion in adjusted operating margins [2][6][8] - The company experienced nearly 20% growth in total orders, with all four business franchises achieving double-digit growth, indicating robust business momentum [2][6] - Repligen has updated its financial guidance for the full year 2025, projecting total reported revenue between $695 million and $720 million, with organic growth expectations of 9.5% to 13.5% [10][11] Financial Performance - Q1 2025 financial highlights include: - Revenue of $169 million, a 10% increase from $153 million in Q1 2024 [6][8] - Adjusted operating income rose by 72% year-over-year [6] - GAAP net income was $6 million, compared to $3 million in the prior year [8] - Adjusted earnings per share increased to $0.39 from $0.30 [8] Margin Summary - Gross margin improved to 53.6% in Q1 2025 from 50.1% in Q1 2024 [5][28] - Adjusted operating margin increased to 13.8% from 8.9% year-over-year [5][23] - Adjusted EBITDA margin rose to 19.3% compared to 14.4% in the previous year [5][26] Business Highlights - Revenues from biopharma and consumables grew over 20% year-over-year, reaching record levels excluding COVID-related sales [7] - The acquisition of 908 Devices' bioprocessing portfolio was completed, enhancing Repligen's process analytical technology offerings [7] - The launch of the CTech™ SoloVPE® Plus System introduced next-generation UV-based Variable Pathlength Technology, emphasizing accuracy and ease of use [7] Cash Position - As of March 31, 2025, cash and cash equivalents stood at $697 million, down from $757 million at the end of 2024 [9] Updated Financial Guidance - The updated guidance for FY 2025 includes: - Total reported revenue of $695 million to $720 million [11] - Adjusted net income projected between $92 million and $97 million [11][31] - Adjusted earnings per share expected to be between $1.63 and $1.72 [11][33]

Core Points - Repligen Corporation will report its first quarter 2025 financial results on April 29, 2025, with a conference call scheduled for 8:30 a.m. ET to discuss business updates and financial results for the period ending March 31, 2025 [1] Group 1: Financial Reporting - The company will issue a press release before the market opens on the reporting date [1] - A conference call will be accessible for domestic and international callers, with no passcode required for the live call [2] Group 2: Company Overview - Repligen Corporation is a global life sciences company focused on developing and commercializing innovative bioprocessing technologies for manufacturing biological drugs [3] - The company serves biopharmaceutical drug developers and contract development and manufacturing organizations (CDMOs) worldwide, with a focus on Filtration and Fluid Management, Chromatography, Process Analytics, and Proteins [3] - The corporate headquarters is located in Waltham, Massachusetts, with manufacturing sites primarily in the U.S. and additional key sites in Europe [3]

Core Insights - Repligen Corporation has appointed Jacob Johnson as Vice President of Investor Relations, who will lead the engagement with the investment community [1][2] - Jacob Johnson has a strong background in the life sciences tools and pharma services sector, having covered Repligen as a research analyst since 2019 [2] - The company expresses gratitude towards outgoing Vice President Sondra Newman for her contributions since 2012 [2] Company Overview - Repligen Corporation is a global life sciences company focused on developing and commercializing innovative bioprocessing technologies for manufacturing biological drugs [3] - The company serves biopharmaceutical drug developers and contract development and manufacturing organizations (CDMOs) worldwide, with a focus on areas such as Filtration and Fluid Management, Chromatography, Process Analytics, and Proteins [3] - Repligen's headquarters are located in Waltham, Massachusetts, with manufacturing sites primarily in the U.S. and additional key locations in Estonia, France, Germany, Ireland, the Netherlands, and Sweden [3]

Group 1 - Repligen Corporation appointed Jacob Johnson as Vice President of Investor Relations, who will lead the investor relations team and report to CFO Jason K. Garland [1][2] - Jacob Johnson has a strong background in the life sciences tools and pharma services sector, having covered Repligen as a research analyst since 2019, which will facilitate his engagement with investors [2] - The outgoing Vice President of Investor Relations, Sondra Newman, is retiring after a successful tenure since 2012, during which she led global investor relations and corporate communications [2] Group 2 - Repligen Corporation is a global life sciences company focused on developing innovative bioprocessing technologies for the manufacturing of biological drugs [3] - The company serves biopharmaceutical drug developers and contract development and manufacturing organizations (CDMOs) worldwide, with a focus on areas such as Filtration and Fluid Management, Chromatography, Process Analytics, and Proteins [3] - Repligen's headquarters are located in Waltham, Massachusetts, with manufacturing sites primarily in the U.S. and additional key locations in Estonia, France, Germany, Ireland, the Netherlands, and Sweden [3]

Company Overview - Repligen (RGEN) shares increased by 3.7% to close at $116.11, supported by higher trading volume compared to normal sessions, despite a 28.1% loss over the past four weeks [1] - The company has shown positive investor sentiment across its business segments, particularly after acquiring 908 Devices' desktop portfolio to enhance manufacturing efficiencies [2] Earnings Expectations - Repligen is projected to report quarterly earnings of $0.35 per share, reflecting a year-over-year increase of 25%, with expected revenues of $164.48 million, up 8.7% from the previous year [3] - However, the consensus EPS estimate has been revised down by 0.8% over the last 30 days, indicating a negative trend in earnings estimate revisions, which typically does not lead to price appreciation [4] Industry Context - Repligen operates within the Zacks Medical - Biomedical and Genetics industry, where another company, Zealand Pharma A/S (ZLDPF), experienced a 5% decline in its stock price, down 19.6% over the past month [4] - Zealand Pharma's consensus EPS estimate has increased by 21.5% over the past month to -$0.77, representing a 42.6% decrease from the previous year's report [5]

Core Viewpoint - Repligen (RGEN) has shown a stock price increase of over 14% since a 'buy' rating was assigned in July 2024, indicating strong market performance despite weak growth in China [1] Group 1: Company Performance - The business of Repligen is expected to gradually recover in FY25, supported by its strong filtration capabilities [1] - The company specializes in niche markets with strong growth potential and has a solid management team [1] Group 2: Investment Strategy - The investment approach is fundamental, bottom-up, long-term, and quality growth-oriented, focusing on companies with reasonable valuations [1] - The portfolio typically consists of 15-20 stocks, emphasizing diversification, risk management, and disciplined trading [1]

Financial Performance - Total revenue for 2024 was $634.4 million, a 0.3% increase from $632.4 million in 2023[283]. - Product revenue increased by $2.2 million, or 0.3%, in 2024, driven by a $31.6 million increase in Filtration product revenue, offset by a $29.0 million decrease in Proteins product revenue[286]. - Total costs and operating expenses for 2024 were $669.6 million, an increase of $84.9 million, or 14.5%, compared to $584.7 million in 2023[288]. - Gross margin decreased to 43.3% in 2024 from 44.0% in 2023, primarily due to increased restructuring costs[291]. - The company recorded an income tax benefit of $1.5 million in 2024, with an effective tax rate of 5.6%, down from 37.2% in 2023[305]. Debt and Financing - The company issued $600.0 million aggregate principal amount of 1.00% Convertible Senior Notes due 2028 in December 2023[270]. - The carrying value of the 2023 Notes was $525.6 million as of December 31, 2024[272]. - The company recognized a $12.7 million loss on extinguishment of debt for the year ended December 31, 2023[271]. - Interest expense surged by $18.2 million, or 728.2%, in 2024, primarily due to new debt issuance and related costs[299]. - In 2023, cash provided by financing activities totaled $249.0 million, including $290.1 million from the issuance of the 2023 Notes[318]. Inventory and Cost Management - The company recorded $36.0 million in inventory adjustments in 2024 due to discontinuation of certain product SKUs and proactive material procurement during the pandemic[260]. - Cost of goods sold rose by $5.9 million, or 1.7%, in 2024, including $12.5 million of inventory adjustments and $6.1 million related to closed manufacturing facilities[289]. - The company has successfully implemented price increases and productivity improvements to mitigate supply chain disruptions and inflation[252]. Research and Development - Research and development expenses increased by $0.5 million, or 1.1%, in 2024, primarily due to a $1.8 million rise in employee-related costs[293]. - R&D expenses for expanding protein product offerings were $3.1 million in 2024, $3.8 million in 2023, and $2.6 million in 2022[294]. - The company plans to continue investing in its bioprocessing business and R&D activities for new products[322]. Acquisitions and Investments - The company acquired Tantti for $54.8 million in cash in 2024, with an obligation for up to $54.5 million in contingent earnout payments over three years[308]. - Investing activities consumed $86.4 million in 2024, primarily due to the acquisition of Tantti and capital expenditures of $29.9 million[315]. Cash Flow and Liquidity - Cash and cash equivalents increased to $757.4 million as of December 31, 2024, compared to $751.3 million at the end of 2023[307]. - Cash provided by operating activities was $175.4 million in 2024, reflecting a net loss of $25.5 million and non-cash charges totaling $140.0 million[313]. Foreign Currency and Exchange Rates - The company’s revenue is significantly influenced by foreign currency exchange rates due to its global presence[251]. - 37.0% of total revenues were denominated in foreign currencies during 2024, compared to 37.9% in 2023[331]. - The U.S. dollar strengthened against the Swedish krona by 9%, the Euro by 6%, and the British pound by 2% in 2024[320]. - The company uses foreign exchange forward contracts to hedge against currency exchange rate fluctuations[332]. Contingent Consideration and Fair Value - The fair value of contingent consideration obligations for the year ended December 31, 2024 had a net change of $3.2 million primarily related to the acquisition of Avitide, Inc.[262]. - Contingent consideration adjustments for 2024 resulted in a fair value increase of $3.2 million, compared to decreases of $30.6 million in 2023 and $28.7 million in 2022[297]. Stock-Based Compensation - Stock-based compensation expense for 2024 was $48.1 million, compared to $25.6 million in 2023[277]. - As of December 31, 2024, there was $56.5 million of total unrecognized compensation cost related to unvested share-based awards[278]. - SG&A expenses increased by $44.8 million, or 20.5%, in 2024 compared to 2023, primarily due to $22.4 million related to the former CEO's equity awards modification[296].

Core Viewpoint - Repligen Corporation reported a mixed performance in Q4 2024, with adjusted earnings per share beating estimates but showing a decline compared to the previous year, alongside modest revenue growth and a decrease in margins [1][10]. Financial Performance - Adjusted earnings per share for Q4 2024 were 44 cents, surpassing the Zacks Consensus Estimate of 41 cents, but down from 48 cents in the same quarter last year [1][10]. - Total revenues reached $168 million, reflecting a 0.6% year-over-year increase, and a 3% organic growth when excluding acquisition and currency impacts [2][10]. - Product revenues amounted to $167.4 million, up 0.7% from the previous year, while royalty and other revenues fell by 44.4% to $0.15 million [4][10]. Business Segments - The company's base business is categorized into four franchises: filtration, chromatography, protein, and process analytics, with no COVID-related or acquisition-related revenues reported in Q4 [5]. - CDMO sales increased approximately 40% year-over-year, and equipment business revenues rose about 20%, with both categories also showing sequential growth [6]. Costs and Margins - Adjusted gross margin was 50.7%, down from 52.5% in the prior year [7]. - Adjusted research and development expenses rose by 11.7% to approximately $11.4 million, while selling, general, and administrative expenses increased by 2.1% to $48.5 million [7]. - Adjusted operating income was $25 million, compared to $30 million in the same quarter last year, resulting in an adjusted operating margin of 14.9%, down from 17.8% [7][9]. Cash Position - As of December 31, 2024, the company had cash and cash equivalents of $757 million, a decrease from $784 million as of September 30, 2024 [9]. Full-Year Results - For the full year 2024, Repligen generated revenues of $634.4 million, reflecting a growth of approximately 0.3% year-over-year, with adjusted earnings per share declining from $1.65 to $1.58 [10]. 2025 Guidance - The company anticipates total revenues in the range of $685-$710 million for 2025, with adjusted EPS expected between $1.67 and $1.76 [11]. - An adjusted gross margin of 51% to 52% is projected for 2025, along with adjusted operating income expected to be between $99 million and $106 million [11].

Financial Data and Key Metrics Changes - The company reported fourth quarter revenue of approximately $168 million and full year revenue of $634 million, achieving the midpoint of guidance despite a $3.5 million exchange rate headwind in the quarter [50][52] - Fourth quarter non-COVID revenue growth was up 13%, while full year 2024 revenue was flat and up 3% on a non-COVID basis [50][51] - Adjusted gross margin for Q4 was 50.7%, down 1.8 percentage points year-over-year, but higher than the implied guidance in November [56][57] Business Line Data and Key Metrics Changes - The CDMO business saw sales and orders increase significantly, with sales up more than 40% and orders up more than 11% in Q4 [87] - Equipment sales and orders were up more than 30% sequentially and more than 10% year-over-year in Q4 [30][31] - Filtration revenues were up 30% year-over-year in Q4, with orders also reaching record levels [32][34] Market Data and Key Metrics Changes - North America represented approximately 50% of total full year revenue, with a 12% revenue growth, while Asia (excluding China) also grew by 12% [52][53] - China was a $25 million headwind for the year, representing about 3% of total revenue, down from 7% in 2023 [54] - Orders from CDMOs were the highest since Q1 of 2022, excluding COVID, with a significant recovery noted in the second half of 2024 [27][41] Company Strategy and Development Direction - The company aims to accelerate and maintain above-market growth by improving customer experience and focusing on key accounts and Asia [44] - Increased investment in R&D is planned, particularly for new product launches and single-use mixers [45] - The company is also focused on acquiring one to two businesses to strengthen its position in new modalities and PAT [46] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the bioprocessing market returning to growth in 2025, with a strong order intake and improved market conditions [9][10] - The company expects revenue growth in 2025 to be in the range of $685 million to $710 million, representing an 8% to 12% increase on a reported basis [43][71] - Management highlighted that the order intake has increased every quarter in 2024, indicating a sustainable return to growth [100][102] Other Important Information - The company successfully integrated Metenova and plans to launch new single-use mixer technologies in Q2 of 2025 [18][19] - Adjusted net income for the fourth quarter was $25 million, with a full year adjusted net income of $89 million, down about 5% from 2023 [66][68] - The company generated $178 million of cash flow from operations for the full year, 56% more than in 2023 [69] Q&A Session Summary Question: How have things evolved regarding CDMOs and capital equipment? - Management confirmed significant improvements in both CDMO and capital equipment, with sales and orders increasing substantially in Q4 [87][88] Question: Can you provide details on ATF revenue and its impact on guidance? - The filtration business generated about $373 million in 2024, with ATF being a significant contributor, and management expects continued growth from this segment [93][94] Question: How sustainable are the order trends observed? - Management noted that order intake has increased every quarter in 2024, with a strong portfolio of differentiated products supporting this growth [100][102] Question: What visibility exists for protein growth in 2025? - Management acknowledged 2024 as a reset year for protein but expressed confidence in returning to double-digit growth with new product launches planned [110][111] Question: What end market assumptions are incorporated in the fiscal '25 guidance? - Management indicated that they expect a return to historical growth patterns, with stronger performance in the second half of 2025 compared to the first half [124]