Codexis(US:CDXS)2025-05-14 20:17Revenue Performance - Total revenues decreased by $9.5 million to $7.5 million in Q1 2025, a decline of 56% compared to Q1 2024[87] - Product revenue fell by $3.5 million to $6.1 million in Q1 2025, primarily due to lower sales of enzymes for branded pharmaceutical products, representing a 37% decrease[87] - Research and development revenue dropped by $6.0 million to $1.5 million in Q1 2025, primarily due to a $6.0 million decrease from a licensing agreement with Roche Sequencing Solutions, Inc.[88] Operational Losses - Loss from operations increased by $8.6 million to $20.5 million in Q1 2025, an increase of 72% compared to Q1 2024[84] - Net loss for Q1 2025 was $20.7 million, or $0.25 per share, compared to a net loss of $11.5 million, or $0.16 per share in Q1 2024, attributed to lower product and R&D revenues[100] Expenses - Research and development expenses rose by $1.7 million, or 15%, to $12.9 million in Q1 2025, driven by higher allocable costs and increased headcount[93] - Selling, general and administrative expenses decreased by $0.5 million, or 4%, to $12.4 million in Q1 2025, mainly due to lower legal fees and stock-based compensation[95] Financial Income and Expenses - Interest income decreased by 17% to $751,000 in Q1 2025 compared to $909,000 in Q1 2024[96] - Interest and other expense, net increased by 83% to $(942,000) in Q1 2025, compared to $(516,000) in Q1 2024[96] - Interest income decreased by $0.2 million in Q1 2025 compared to Q1 2024, primarily due to lower average cash and short-term investments balances[97] Cash and Working Capital - Cash and cash equivalents decreased to $18.3 million as of March 31, 2025, down from $19.3 million as of December 31, 2024[102] - Working capital decreased to $56.9 million as of March 31, 2025, compared to $75.1 million as of December 31, 2024[102] - Net cash used in operating activities increased by $6.0 million to $13.8 million in Q1 2025 compared to $7.8 million in Q1 2024[111] Investment Activities - Net cash provided by investing activities increased by $40.3 million in Q1 2025, primarily due to proceeds from the maturity of short-term investments[113] Debt and Financing - The company borrowed $30.0 million under a Loan Agreement with Innovatus on February 13, 2024, with the potential to borrow an additional $10.0 million upon achieving certain financial milestones[101] - As of March 31, 2025, the company had $30.6 million principal amount outstanding under the Innovatus Loan, with a floating interest rate[118] Strategic Actions - The company completed the divestiture of certain biotherapeutics assets and non-core life science assets in 2024 as part of strategic prioritization[80] Currency Risk - A hypothetical 10% unfavorable change in foreign currency exchange rates could result in a potential loss of approximately $40,000 in future earnings[119]