Avid Bioservices(CDMO) - 2024 Q4 - Annual Report

Revenue Performance - Manufacturing revenues for fiscal 2024 were $119.3 million, a decrease of$6.1 million (5%) compared to $125.4 million in fiscal 2023[295]. - Process development revenues decreased by$3.3 million (13.8%) to $20.6 million in fiscal 2024 from$23.9 million in fiscal 2023[295]. - Total revenues for fiscal 2024 were $139.9 million, down$9.4 million (6.3%) from $149.3 million in fiscal 2023[295]. - For the fiscal year ended April 30, 2024, the company's revenue was$139.9 million, a decrease of 6.5% from $149.3 million in 2023[380]. Profitability and Loss - Gross profit for fiscal 2024 was$7.3 million, a decrease of $24.2 million (77$31.5 million in fiscal 2023[343]. - Operating loss for fiscal 2024 was $18.7 million, compared to operating income of$3.6 million in fiscal 2023, reflecting a year-over-year decrease of $22.3 million[298]. - The company reported a net loss of$140.8 million for fiscal 2024, compared to a net income of 0.3 million in 2023[380]. Expenses - Selling, general and administrative (SG&A) expenses for fiscal 2024 were 26.0 million, a decrease of $1.9 million (6.8$27.9 million in fiscal 2023[343]. - The cost of revenues for fiscal 2024 was $132.6 million, resulting in a gross profit of$7.3 million, down from $31.5 million in 2023[380]. - Operating expenses totaled$26.0 million in fiscal 2024, a decrease from $27.9 million in the previous year[380]. Interest and Other Income - Interest expense increased to$4.3 million in fiscal 2024 from $3.0 million in fiscal 2023, an increase of$1.3 million (43.3%)[348]. - Other income (expense), net for fiscal 2024 was an expense of $3.9 million, a decrease of$4.9 million compared to income of $1.0 million in fiscal 2023[349]. - Income tax expense for fiscal 2024 was$113.8 million, significantly higher than $1.3 million in fiscal 2023, due to a valuation allowance of$118.5 million recorded[350]. Cash Flow and Investments - Net cash provided by operating activities was $10.9 million in fiscal 2024, a significant improvement from a cash used of$12.7 million in 2023, reflecting a change of $23.7 million[364]. - Net cash used in investing activities decreased to$31.8 million in fiscal 2024 from $77.8 million in 2023, indicating a reduction of$46.0 million[364]. - Net cash provided by financing activities increased to $20.1 million in fiscal 2024, compared to$2.9 million in 2023, marking an increase of $17.2 million[364]. Future Outlook and Obligations - The company anticipates capital expenditures between$3 million and $5 million for fiscal 2025, including approximately$2 million in accrued and unpaid capital expenditures as of April 30, 2024[395]. - As of April 30, 2024, the company had outstanding lease payment obligations of approximately $83.2 million, with$6.0 million due in fiscal 2025[367]. - The company completed an offering of $160.0 million aggregate principal amount of 2029 Notes, receiving net proceeds of approximately$153.5 million after expenses[366]. Capacity - The total annual revenue generating capacity of the company's combined facilities is now estimated to be over $400 million following the completion of the CGT Facility[287].