Accelerate Diagnostics(AXDX) - 2024 Q2 - Quarterly Results

Financial Performance - Net sales for Q2 2024 were $3.0 million, a 3.4% increase from $2.9 million in Q2 2023, with revenues from consumable products rising by 12% year-over-year[3] - Year-to-date net sales reached $5.9 million, a slight increase from $5.7 million in the same period of the prior year, driven by higher consumable product sales[6] - Net sales for the six months ended June 30, 2024, were $5,907 million, compared to $5,733 million for the same period in 2023, representing an increase of 3.0%[23] Profitability - Gross margin for Q2 2024 was approximately 23%, down from 27% in Q2 2023, attributed to a lower sales mix of capital instruments[3] - Gross profit for the six months ended June 30, 2024, was $1,399 million, down from $1,810 million in 2023, a decrease of 22.7%[23] - The net loss for Q2 2024 was $11.6 million, resulting in a net loss per share of $0.50[5] - The net loss for the six months ended June 30, 2024, was $25,818 million, compared to a net loss of $49,530 million for the same period in 2023, a reduction of 47.9%[23] - The company reported a basic and diluted net loss per share of $1.16 for the six months ended June 30, 2024, compared to $4.75 in 2023[23] Expenses - SG&A costs decreased to $5.4 million in Q2 2024 from $7.6 million in Q2 2023, reflecting lower employee-related expenses[3] - R&D costs for Q2 2024 were $3.9 million, down from $5.8 million in Q2 2023, due to reduced third-party development costs for the WAVE system[4] - Research and development expenses for the six months ended June 30, 2024, were $9,076 million, down from $12,788 million in 2023, a decrease of 29.0%[23] Cash and Liquidity - The company ended Q2 2024 with total cash and cash equivalents of $9.7 million, down from $15.8 million at the beginning of the quarter[5] - Total current assets decreased from $24,466 million in December 2023 to $17,170 million in June 2024, a decline of approximately 29.9%[19] - The company had cash and cash equivalents of $8,588 million as of June 30, 2024, down from $12,138 million in December 2023, a decrease of 29.5%[19] - Cash flows used in operating activities for the six months ended June 30, 2024, were $16,035 million, compared to $24,188 million in 2023, a decrease of 33.8%[25] Liabilities and Stockholders' Equity - Total liabilities increased from $51,254 million in December 2023 to $57,754 million in June 2024, an increase of approximately 12.3%[19] - Total stockholders' deficit increased from $19,888 million in December 2023 to $34,887 million in June 2024[21] Financing Activities - The company raised $15 million from existing noteholders, which is expected to fund operations through 2025[3] - Net cash provided by financing activities was $12,835 million, an increase from $9,729 million in the previous period[27] - Proceeds from the issuance of Units amounted to $10,232 million, while issuance costs were $884 million[27] - The capital contribution from the exchange of secured notes and accrued interest was $25,363 million[27] - The company incurred transaction costs related to debt and equity issuances amounting to $3,731 million[27] Operational Highlights - The WAVE program achieved a 95% overall Essential and Categorical Agreement in pre-clinical trials, demonstrating strong analytical performance[2] - Five new contracted Pheno instruments were added in the U.S. during Q2 2024, bringing the total to 350 clinically live revenue-generating instruments[2]