BioLife Solutions(US:BLFS)2025-03-03 22:20Company Overview - The company operates as a life sciences entity focused on bioproduction products and services for the cell and gene therapy industry[182]. - The current portfolio includes two revenue lines: cell processing and Evo/ThawSTAR devices, with offerings such as biopreservation media and automated thawing systems[183]. - The company divested its Global Cooling, SciSafe, and CBS businesses, which are now classified as discontinued operations[184][185][186]. Financial Performance - Total revenue for the year ended December 31, 2024, was $82.3 million, an increase of $6.4 million, or 8%, compared to 2023[212]. - Product revenue increased to $76.0 million in 2024, up $7.1 million, or 10%, primarily driven by a $7.7 million, or 12%, increase in cell processing products[213]. - Evo and thaw product line experienced a revenue decrease of $0.6 million, or 19%, in 2024 compared to 2023, attributed to lower volumes of consumable products sold[214]. - Rental revenue for 2024 was $6.1 million, a decrease of $0.5 million, or 7%, compared to 2023, due to a reduction in fleet size from the largest customer[217]. - The net loss for 2024 was $20,184,000, compared to a net loss of $68,002,000 in 2023, representing a significant improvement[293]. - Comprehensive loss for 2024 was $20,202 thousand, compared to $67,668 thousand in 2023, reflecting a decrease of about 70%[296]. Expenses and Cost Management - Total operating expenses decreased by $9.9 million, or 10%, in 2024, totaling $89.4 million compared to $99.3 million in 2023[219]. - Cost of product, rental, and service revenue decreased by $1.3 million, or 4%, in 2024, attributed to a decrease in supply expenses and increased operational efficiencies[220]. - General and administrative expenses decreased by $2.7 million, or 6%, in 2024, primarily due to lower severance and consulting expenses[225]. - Research and development expenses decreased by $4.2 million, or 34%, in 2024, mainly due to reductions in personnel and severance costs[231]. Cash Flow and Liquidity - Cash and cash equivalents increased to $95.4 million in 2024, a 242% rise from $27.9 million in 2023[247]. - Total cash, cash equivalents, and available-for-sale securities reached $109.2 million as of December 31, 2024, up 144% from $44.7 million in 2023[246]. - The company generated $58.3 million in cash from investing activities in 2024, significantly higher than $17.8 million in 2023[255]. - Operating activities provided cash of $8.4 million in 2024, a turnaround from cash used of $12.5 million in 2023[251]. Tax and Valuation - As of December 31, 2024, the company recorded U.S. federal net operating loss carryforwards of approximately $165.2 million, with $38.7 million expiring between 2025 and 2037[209]. - A full valuation allowance on deferred tax assets was recorded as of December 31, 2024, due to cumulative losses and forecasted near-term losses[206]. - The company has an unrecognized tax benefit of $1.2 million related to tax attributes being carried forward as of December 31, 2024[208]. Divestitures and Acquisitions - The company recognized $71.3 million in net proceeds from the SciSafe divestiture and $3.4 million from the CBS divestiture in 2024[244][245]. - The company completed the sale of Global Cooling in Q2 2024 and the sales of CBS and SciSafe in Q4 2024, optimizing its product portfolio towards higher margin revenue streams[368]. - The Company incurred a net loss of $8.9 million on the disposal of Global Cooling, which included $6.7 million in cash funded by the Company and $2.6 million in assumed liabilities[371]. Shareholder Equity and Stock - The company’s total shareholders' equity at the end of 2024 was $348,909 thousand, an increase from $337,663 thousand in 2023[299]. - The company issued 1,649,290 shares of common stock in 2024, increasing total common stock shares to 46,906,765[299]. - Basic and diluted loss per share from continuing operations for 2024 was $(0.25), compared to $(0.42) in 2023[324]. Internal Controls and Compliance - The company identified a material weakness in internal control over financial reporting as of December 31, 2024[281]. - The company is currently evaluating the effects of recently issued accounting standards on its consolidated financial statements, including ASU 2024-03 and ASU 2023-09[358][360].