MaxCyte(US:MXCT)2025-11-13 21:34Financial Performance - Total revenue for the three months ended September 30, 2025, was $6.829 million, a decrease of 16% compared to $8.164 million in the same period of 2024[109]. - Core revenue decreased by 21% to $6.406 million in Q3 2025 from $8.140 million in Q3 2024, with significant declines in instrument revenue (down 22%), PA revenue (down 25%), and license revenue (down 29%) [112]. - The company incurred a net loss of $12.416 million for the three months ended September 30, 2025, compared to a net loss of $11.557 million in the same period of 2024[109]. - Total revenue for the nine months ended September 30, 2025 was $25.7 million, a decrease of $4.2 million, or 14%, compared to $29.9 million during the same period in 2024, primarily due to a decrease in program-related revenue[139]. - Core revenue for the nine months ended September 30, 2025 was $22.8 million, a decrease of $1.1 million, or 4%, compared to $23.9 million in the same period in 2024[139]. - The company incurred a net loss of $35.0 million for the nine months ended September 30, 2025, with an accumulated deficit of $251.9 million as of the same date[152]. Revenue Drivers - The company expects revenue from PA and instrument sales to continue to grow as customers advance their preclinical pipeline programs into clinical development[115]. - Program-related revenues decreased by $3.2 million for the nine months ended September 30, 2025, due to customer variability in achieving clinical and regulatory milestones[141]. Expenses and Cost Management - Operating expenses for Q3 2025 totaled $19.382 million, slightly down from $20.289 million in Q3 2024[109]. - Sales and marketing expenses decreased by $2.3 million, or 37%, for the three months ended September 30, 2025, primarily due to a reduction in headcount and decreases in stock-based compensation and marketing expenses[129]. - General and administrative expenses decreased by $1.7 million, or 22%, for the three months ended September 30, 2025, driven by a decrease in stock-based compensation and legal fees[132]. - Restructuring expenses of $3.1 million were incurred during the three months ended September 30, 2025, due to the implementation of a restructuring plan[134]. - Sales and marketing expenses decreased by $4.8 million, or 24%, for the nine months ended September 30, 2025, mainly due to a reduction in headcount[146]. Strategic Initiatives - In January 2025, the company acquired SeQure Dx, Inc., enhancing its capabilities in cell and gene therapy services[105]. - The company signed four new Strategic Platform License (SPL) agreements in 2025, expanding its partnerships and revenue potential[106]. - SPL program-related revenue increased significantly by 1,663% to $423,000 in Q3 2025 from $24,000 in Q3 2024[112]. - The company continues to focus on expanding its manufacturing capabilities and sales efforts to drive future growth in both U.S. and international markets[104]. Cash Flow and Financial Position - Net cash used in operating activities for the nine months ended September 30, 2025 was $31.7 million, compared to $19.8 million for the same period in 2024[157]. - Net cash provided by investing activities during the nine months ended September 30, 2025 was $16.3 million, primarily from maturities of investments[159]. - The company has no debt obligations as of September 30, 2025[165]. - The company has contractual obligations of $24.4 million for operating lease payments through August 31, 2035[163]. Market and Economic Factors - A 10% change in market interest rates is not expected to materially affect the company's financial condition or results of operations[178]. - The company does not expect foreign currency gains or losses to have a material effect on its financial position or results of operations in the foreseeable future[179]. - Inflation and changing prices have not had a material effect on the company's business during the last two years[180]. Management and Governance - Mr. Swirsky will receive a one-time payment of $150,000 following his transition from Chief Financial Officer[175]. - Mr. Swirsky will provide consulting services for eighteen months post-transition, with a monthly fee of $10,000[175]. - The company did not recognize any goodwill impairment for the three and nine months ended September 30, 2025[170]. - The company expects to retain its emerging growth company (EGC) status until December 31, 2026[172]. - The company may continue to be a smaller reporting company if the market value of its stock held by non-affiliates is less than $250 million[173].