Revenue Performance - Cell Processing revenue for Q1 2025 was $21.6 million, representing a 33% increase compared to Q1 2024[1] - Total revenue for Q1 2025 was $23.9 million, up $5.5 million or 30% from $18.4 million in Q1 2024[11] - Total revenues for the three months ended March 31, 2025, increased to $23,941,000, up from $18,433,000 in the same period of 2024, representing a growth of 30.4%[31] - BioLife Solutions affirms its 2025 revenue guidance of $95.5 million to $99.0 million, indicating growth of 16% to 20% compared to 2024[13] Profitability Metrics - GAAP gross margin for Q1 2025 was 63%, consistent with Q1 2024, while non-GAAP adjusted gross margin was 66%[7] - Adjusted EBITDA for Q1 2025 was $5.7 million, or 24% of revenue, compared to $2.6 million, or 14% of revenue, in Q1 2024[12] - Adjusted net income from continuing operations for Q1 2025 was $1,675,000, compared to a loss of $2,257,000 in Q1 2024, indicating a significant improvement[35] - Adjusted EBITDA from continuing operations for Q1 2025 was $5,724,000, representing 24% of revenue, compared to $2,595,000 or 14% of revenue in Q1 2024[36] Net Loss and Cash Flow - The net loss from continuing operations for Q1 2025 was $0.4 million, significantly improved from a net loss of $3.2 million in Q1 2024[9] - The company reported a net cash provided by operating activities of $1,727,000 for Q1 2025, a turnaround from a cash used of $4,475,000 in Q1 2024[30] Assets and Liabilities - Total cash, cash equivalents, restricted cash, and marketable securities at the end of Q1 2025 amounted to $107,635,000, compared to $46,126,000 at the end of Q1 2024[30] - The company’s accumulated deficit increased slightly to $(335,549,000) as of March 31, 2025, from $(335,101,000) at the end of 2024[28] - The company’s total assets as of March 31, 2025, were $395,141,000, a slight decrease from $399,487,000 at the end of 2024[28] - Current liabilities decreased to $27,723,000 as of March 31, 2025, down from $32,734,000 at the end of 2024[28] Operational Highlights - The company processed 13 new U.S. FDA Master File cross references for biopreservation media, bringing the total to 782[4] - BioLife's biopreservation media is now embedded in 17 unique commercial CGTs, with expectations for 10 additional product approvals in the next 12 months[4] - The acquisition of PanTHERA CryoSolutions was completed on April 4, 2025, enhancing BioLife's capabilities in cryopreservation solutions[4] - The company expects gross margin in the low 60% range and adjusted gross margin in the mid-60% range for 2025[13] Operating Expenses - Operating expenses from continuing operations for Q1 2025 were $25,159,000, up from $21,728,000 in Q1 2024[33]

Core Insights - BioLife Solutions, Inc. reported a strong start to 2025 with a 33% year-over-year growth in cell processing revenue, reaching $21.6 million [1][2] - The company achieved a GAAP gross margin of 63% and a non-GAAP adjusted gross margin of 66% for Q1 2025, consistent with the same period in 2024 [5] - The net loss from continuing operations was reduced to $0.4 million in Q1 2025, compared to $3.2 million in Q1 2024, indicating improved financial performance [10][11] Financial Performance - Total revenue for Q1 2025 was $23.9 million, a 30% increase from $18.4 million in Q1 2024 [8] - Adjusted EBITDA for Q1 2025 was $5.7 million, representing 24% of revenue, up from $2.6 million or 14% of revenue in Q1 2024 [12] - The operating loss from continuing operations decreased to $1.2 million in Q1 2025 from $3.3 million in Q1 2024 [6][29] Business Highlights - The company processed 13 new U.S. FDA Master File cross references for its biopreservation media, bringing the total to 782 [7] - BioLife's biopreservation media is now embedded in 17 unique commercial cell and gene therapies, with expectations for further approvals and geographic expansions [7] - The acquisition of PanTHERA CryoSolutions was completed on April 4, 2025, enhancing BioLife's capabilities in the biopreservation market [7] Guidance and Outlook - BioLife Solutions affirmed its 2025 revenue guidance of $95.5 million to $99.0 million, reflecting a growth of 16% to 20% compared to 2024 [13] - The company anticipates maintaining gross margins in the low 60% range and adjusted gross margins in the mid-60% range for 2025 [13]

Core Viewpoint - BioLife Solutions, Inc. is set to release its first quarter 2025 financial results on May 8, 2025, after market close, followed by a conference call and live webcast to discuss the results and provide a business update [1]. Group 1: Financial Results Announcement - The financial results for the first quarter of 2025 will be announced after market close on May 8, 2025 [1]. - A conference call and live webcast will take place at 4:30 PM ET (1:30 PM PT) on the same day [1]. Group 2: Accessing the Webcast - Investors can access the webcast through the Investor Relations page of the BioLife Solutions website [2]. - The conference call can be joined by dialing toll-free numbers for domestic and international callers [2]. - A replay of the webcast will be available approximately two hours after the call and archived for 90 days [2]. Group 3: Company Overview - BioLife Solutions is a leading developer and supplier of bioproduction products and services for the cell and gene therapy (CGT) market [3]. - The company specializes in maintaining the health and function of biologic materials during various stages including collection, development, storage, and distribution [3].

Company 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].

Financial Data and Key Metrics Changes - Total revenue for 2023 was $143.3 million, an 11% decrease compared to 2022, with ex-COVID revenue decreasing 4% [36] - Q4 revenue was $32.7 million, representing a 26% year-over-year decrease, and a 23% decline when excluding COVID-related revenue from Q4 2022 [41] - Adjusted EBITDA for Q4 2023 was $700,000, down from $1.7 million in the prior year, but increased sequentially by $3.8 million from Q3 [60] Business Line Data and Key Metrics Changes - Cell processing platform revenue for 2023 declined 4% to $65.8 million, while biopreservation media revenue decreased by 6% [36] - Freezer and thaw platform revenue declined 23% or $15.1 million from 2022, primarily due to a difficult capital equipment environment [37] - Biostorage and services platform revenue for Q4 was $6.6 million, a decrease of 1% year-over-year, but increased 26% when excluding COVID-related revenue [42] Market Data and Key Metrics Changes - The top 20 media customers accounted for 78% of media revenue in 2023, up slightly by 1% year-over-year [31] - Distributors accounted for 40% of total media revenue in 2023, compared to 38% in 2022 [31] - The company estimates that its biopreservation media is embedded in more than 70% of over 230 active US commercially sponsored clinical trials [39] Company Strategy and Development Direction - The company is divesting its freezer product lines to refocus on higher-margin recurring revenue streams [29][35] - The company expects to close the divestiture transactions within the next 45 to 60 days, which will improve overall financial performance and margin profile [32][37] - The company aims to leverage its market position in biopreservation media to drive adoption of other tools and services in its portfolio [120] Management's Comments on Operating Environment and Future Outlook - Management expressed cautious optimism regarding improving market conditions in the second half of 2024, despite a challenging environment in 2023 [40][46] - The company anticipates 2024 revenue guidance to range from $95.5 million to $100 million, reflecting an overall growth of 2% to 7% [61] - Management noted that macro headwinds may be subsiding, with early signs of stabilization in the CGT industry [30][35] Other Important Information - The company reported a GAAP net loss of $13.4 million in Q4, with adjusted operating loss of $9.3 million [44] - Cash and marketable securities balance at December 31, 2023, was $52.3 million, up from $42.2 million at September 30, 2023 [45] - The company is currently consolidating its two Boston area facilities, expected to save approximately $0.5 million in annual operating costs [56] Q&A Session Summary Question: Confidence in freezer sale completion - Management expressed 75% to 80% confidence that the freezer sales will be completed within the expected timeframe [20][21] Question: Steps taken to achieve positive EBITDA - Management highlighted a reduction in force, increased self-processing revenue, and control over discretionary expenses as key steps [14] Question: Potential revenue from cell and gene therapies - Management explained that revenue growth from new therapies will depend on ramp-up periods and the nature of approvals [16][17] Question: Media revenue growth expectations - Management indicated that media revenue is expected to grow in the second half of the year, with a focus on understanding customer needs [23][80] Question: Impact of freezer business on adjusted EBITDA - Management noted that the freezer business had a significant impact on adjusted EBITDA, but specific figures were not disclosed [69][101]

Financial Data and Key Metrics Changes - BioLife Solutions reported Q3 2024 revenue from continuing operations of $30.6 million, a 30% increase year-over-year, primarily driven by a 43% increase in cell processing platform revenue [20][21] - Adjusted gross margin for Q3 2024 was 54%, up from 44% in the prior year, while GAAP gross margin increased to 51% from 48% [21][25] - Adjusted EBITDA for Q3 2024 was $6.1 million, or 20% of revenue, compared to $1.4 million, or 6% of revenue, in the prior year [26][25] Business Line Data and Key Metrics Changes - Cell Processing platform revenue totaled $19 million, reflecting a sequential increase of 6% and a year-over-year increase of 43% [8][20] - Biopreservation media products, which account for the majority of cell processing revenue, showed strong quarter-over-quarter growth, although there was a decline in other products due to timing [12][20] Market Data and Key Metrics Changes - The top 20 customers accounted for approximately 80% of biopreservation media revenue, with 60% of this revenue coming from direct customers, and 40% from customers with approved therapies [12][20] - BioLife's biopreservation media products are embedded in over 70% of relevant, commercially sponsored CGT clinical trials, indicating strong future growth potential [13] Company Strategy and Development Direction - The company announced the strategic divestiture of its SciSafe bio storage business for $73 million, marking a pivotal step towards becoming a pure-play CGT tools provider [10][14] - Future focus will be on high-growth, high-margin cell processing products, with plans to allocate capital towards expanding the biopreservation media product line [14][16] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the improving macro environment for the bioproduction subsector, highlighting four consecutive quarters of sequential revenue growth [7][11] - The company anticipates continued growth in 2025, with destocking issues largely behind them [36][52] Other Important Information - The company updated its 2024 revenue guidance to $98 million to $100 million, reflecting an increase in cell processing platform guidance offset by a decrease in expected storage revenue due to the sale of SciSafe [31][32] - Cash and marketable securities balance as of September 30, 2024, was $39.3 million, an increase from $36.9 million as of June 30, 2024 [29] Q&A Session Summary Question: Can you frame up what pro forma gross margins look like post SciSafe sale? - The adjusted gross margin without SciSafe for the first half of 2024 was 60%, with minimal impact expected on adjusted EBITDA profile going forward [34] Question: How should we think about long-term growth from here? - Management indicated that formal guidance for 2025 will be provided in early January, but they expect growth to continue [36] Question: What will be the focus post SciSafe sale? - The focus will be on the cell processing product line, particularly biopreservation media and Sexton tools, with potential for capacity expansion [38][39] Question: Can you expand on specific levers within the cell processing platform for growth? - Key factors include deepening relationships with distributors, pricing opportunities, and cross-selling Sexton tool products [47][48] Question: How is the demand from smaller customers and academia? - Demand from smaller customers is improving, with good sequential growth observed from distributors representing these segments [58] Question: What is the relevance of Asia for long-term growth? - Less than 5% of revenue comes from China, indicating that while Asia is important, it is not material for immediate growth [59]

Revenue Performance - Total revenue for the three months ended September 30, 2024, was $30.6 million, representing a 30% increase compared to $23.6 million in the same period of 2023[154] - Product revenue for the three months ended September 30, 2024, was $23.5 million, an increase of $6.3 million, or 37%, compared to the same period in 2023[155] - Cell processing product revenue increased by $5.7 million, or 43%, for the three months ended September 30, 2024, compared to the same period in 2023[156] - Biostorage services product revenue increased by $0.2 million, or 49%, for the three months ended September 30, 2024, compared to the same period in 2023[157] - Service revenue was $4.7 million for the three months ended September 30, 2024, representing an increase of $0.3 million, or 6%, compared to the same period in 2023[159] Cost and Expense Management - Total costs and operating expenses for the three months ended September 30, 2024, were $32.1 million, a decrease of $6.9 million, or 18%, compared to $39.0 million in the same period of 2023[161] - Cost of revenue increased by $2.7 million, or 23%, for the three months ended September 30, 2024, compared to the same period in 2023[162] - General and administrative expenses for the three months ended September 30, 2024, were $11.4 million, an increase of $0.5 million, or 5%, compared to $10.8 million in the same period of 2023[161] - G&A expenses for the three months ended September 30, 2024 increased by $0.5 million, or 5%, while decreasing by $3.6 million, or 10%, for the nine months ended September 30, 2024[166] - Sales and marketing expenses decreased by $1.3 million and $2.3 million, or 27% and 18%, respectively, for the three and nine months ended September 30, 2024 compared to the same periods in 2023[167] - R&D expenses decreased by $1.7 million and $3.9 million, or 45% and 37%, respectively, for the three and nine months ended September 30, 2024 compared to the same periods in 2023[168] Cash Flow and Liquidity - Net cash provided by operating activities was $6.8 million during the nine months ended September 30, 2024, compared to $14.8 million used in the same period in 2023, reflecting a significant improvement[180] - Net cash used by investing activities totaled $15.3 million during the nine months ended September 30, 2024, compared to $13.9 million provided in the same period in 2023, primarily due to payments related to the divestiture of Global Cooling[181] - Net cash used by financing activities was $2.7 million during the nine months ended September 30, 2024, compared to $0.8 million provided in the same period in 2023, indicating increased payments on the Company's Term Loan[182] - As of September 30, 2024, the company had $39.3 million in cash, cash equivalents, and available-for-sale securities, down from $50.2 million as of December 31, 2023[174] - The company recognized $6.1 million in cash expenditures related to the Global Cooling divestiture during the three months ended September 30, 2024[175] - The company expects to incur approximately $1.8 million in fees and $0.4 million in severance costs related to the SciSafe divestiture[176] - The company believes its current level of cash and liquid assets will be sufficient to meet liquidity needs for at least the next twelve months[178] Divestitures - The company divested Global Cooling, Inc. on April 17, 2024, presenting it as a discontinued operation in the financial statements[149] - The company entered into a Stock Purchase Agreement for the sale of SciSafe, which is presented as part of continuing operations as of September 30, 2024[150]

Revenue Performance - Cell Processing revenue for Q3 2024 was $19.0 million, a 6% sequential increase and a 43% increase compared to Q3 2023[1] - Total revenue for Q3 2024 was $30.6 million, representing a 30% increase from $23.6 million in Q3 2023 and an 8% sequential increase[6] - Product revenue for the three months ended September 30, 2024, was $23,457,000, representing a 37.5% increase from $17,137,000 in the same period of 2023[31] - Total revenue for the nine months ended September 30, 2024, was $85,678,000, compared to $81,992,000 for the same period in 2023, reflecting a growth of 4.3%[31] - Total revenues for the three months ended September 30, 2024, increased to $30,571,000, up 29.5% from $23,573,000 in the same period of 2023[37] Profitability Metrics - GAAP gross margin for Q3 2024 was 51%, up from 48% in Q3 2023, while non-GAAP adjusted gross margin was 54%, compared to 44% in the same period[10] - Adjusted EBITDA for Q3 2024 was $6.1 million, or 20% of revenue, compared to $1.4 million, or 6% of revenue, in Q3 2023[16] - The company reported a comprehensive loss of $(1,356,000) for the three months ended September 30, 2024, compared to $(29,293,000) for the same period in 2023[34] - The net loss from continuing operations for the three months ended September 30, 2024, was $1,703,000, significantly improved from a net loss of $15,804,000 in the same period of 2023[40] - The company reported a gross margin of 51% for the nine months ended September 30, 2024, compared to 42% for the same period in 2023[37] Operating Expenses - Total operating expenses for the three months ended September 30, 2024, decreased to $32,130,000 from $39,048,000 in the same period of 2023, a reduction of 17.7%[31] - Operating expenses from continuing operations for the three months ended September 30, 2024, were $32,130,000, a decrease from $39,048,000 in the same period of 2023[38] - Adjusted operating expenses from continuing operations for the nine months ended September 30, 2024, were $51,423,000, down from $57,313,000 in the same period of 2023[38] Cash Flow and Financial Position - Cash provided by operating activities for the nine months ended September 30, 2024, was $6,786,000, a significant improvement from $(14,809,000) in the same period of 2023[36] - Cash and cash equivalents as of September 30, 2024, were $39,256,000, down from $50,184,000 as of December 31, 2023[35] - The company experienced a net decrease in cash, cash equivalents, and restricted cash of $(11,277,000) for the nine months ended September 30, 2024[36] Guidance and Future Outlook - The company has increased its Cell Processing revenue guidance for 2024 to $72.0 million to $73.0 million, reflecting a growth of 9% to 11% compared to 2023[18] - Total revenue guidance for 2024 is now set at $98.0 million to $100.0 million, adjusted due to the divestiture of SciSafe[17] - The company expects 6 additional product approvals or geographic expansions in the next 12 months[3] Business Developments - The sale of SciSafe biostorage business was completed for $73 million in cash, allowing the company to focus on high-growth cell processing products[4] - The company processed 16 new U.S. FDA Master File cross references for biopreservation media, bringing the cumulative total to 744[3] - Inventory reserve costs for the three months ended September 30, 2024, were $247,000, a recovery from a loss of $1,623,000 in the same period of 2023[39]

Financial Data and Key Metrics Changes - The company reported Q2 revenue from continuing operations of $28.3 million, a decrease of 3% year-over-year, primarily due to a 4% decrease in the cell processing platform [15] - Total revenue increased sequentially from Q1 2024 by $1.5 million or 6%, driven by an 11% sequential increase in cell processing revenue [15][17] - Adjusted gross margin for Q2 was 52%, up from 45% in the prior year, attributed to product mix and operational efficiencies [15][17] - Adjusted EBITDA for Q2 was $4.8 million or 17% of revenue, compared to $1.7 million or 6% of revenue in the prior year [17] Business Line Data and Key Metrics Changes - Cell processing revenue increased 11% sequentially to $18 million in Q2 from $16.1 million in Q1 [10] - The biopreservation media revenue is a fundamental driver of growth, with the company holding over 70% market share in commercially sponsored clinical trials in the U.S. [8] - Distributor sales represented approximately 35% of biopreservation media revenue, indicating a recovery in the earlier-stage research market segment [11] Market Data and Key Metrics Changes - The company noted easing industry-wide headwinds that began late last year, contributing to improved revenue performance [5] - The CGT regulatory environment showed forward momentum with new indications and treatments approved, enhancing the market outlook [8] Company Strategy and Development Direction - The company is focusing on streamlining its business and divesting from lower-margin freezer products to enhance profitability [7] - A two-pronged growth strategy for the cell processing platform includes maintaining market share and leveraging relationships for cross-selling [12][13] - The company aims to capitalize on the growing CGT industry by providing premium biopreservation tools and services [9] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the macro environment for bioproduction, anticipating continued revenue growth in the second half of 2024 [4][5] - The company expects to achieve a total revenue of $99 million to $101 million for the full year, reflecting a growth of 5% to 8% [18] - Management highlighted the importance of the divestiture of lower-margin products to improve overall margins and operational efficiency [16][18] Other Important Information - The company divested its GCI or Stirling Freezer unit, positively impacting Q2 financial results [7] - Cash and marketable securities balance was $36.9 million at June 30, 2024, down from $46.1 million at the end of Q1 2024 [17] Q&A Session Summary Question: Any one-time benefits in cell processing in the quarter? - Management indicated that while there was a strong quarter in HPL, they do not expect it to repeat in the second half of the year [20] Question: Insights on product portfolio review? - Management stated that they have been focusing on streamlining the cell processing platform and will provide updates in future calls [21] Question: Commentary on funding environment and its impact? - Management noted that direct customers with commercial therapies are well-funded, while distribution revenue has seen solid growth [24] Question: Comfort with 20% plus exit rate for EBITDA margins? - Management remains committed to this target, citing media growth and the divestiture of CBS as key factors [28][29] Question: Validation process for CryoCase? - Early interest has been noted, but adoption timelines are uncertain as clients go through their validation protocols [31] Question: Impact of CBS divestiture on EBITDA margins? - Management indicated that the divestiture would allow for the removal of low-margin operational expenses [41]

Revenue Performance - Total revenue for Q2 2024 was $28.3 million, a decrease of $0.9 million, or 3%, compared to Q2 2023, with a total revenue of $29.2 million[127]. - Product revenue for Q2 2024 was $21.3 million, representing a decrease of $1.5 million, or 6%, compared to Q2 2023[128]. - Cell processing product revenue decreased by $0.7 million, or 4%, in Q2 2024 compared to Q2 2023, driven by customer destocking and reduced biotech funding[129]. - Biostorage services revenue decreased by $0.4 million, or 72%, in Q2 2024 compared to Q2 2023, attributed to lower volumes of consumables sold[130]. - Service revenue increased by $0.3 million, or 6%, in Q2 2024 compared to Q2 2023, primarily from the expansion of SciSafe storage services[132]. - Rental revenue increased by $0.3 million, or 14%, in Q2 2024 compared to Q2 2023, associated with the expansion of new customers[133]. Cost and Expense Management - Total costs and operating expenses for Q2 2024 were $31.1 million, a decrease of $8.7 million, or 22%, compared to Q2 2023[134]. - General and administrative expenses decreased by $2.6 million, or 20%, in Q2 2024 compared to Q2 2023, primarily due to lower professional fees and headcount[136]. - Research and development expenses decreased by $1.4 million, or 37%, in Q2 2024 compared to Q2 2023, mainly due to reduced headcount and lower milestone payments[138]. Cash Flow and Liquidity - The company reported a net cash provided by operating activities of $2.0 million for the six months ended June 30, 2024, compared to a net cash used of $10.4 million in the same period of 2023, indicating a significant improvement of $12.4 million[148]. - The company had $36.9 million in cash, cash equivalents, and available-for-sale securities as of June 30, 2024, down from $50.2 million at the end of 2023[144]. - The company’s liquidity is expected to meet its needs for at least the next twelve months based on current cash levels and revenue expectations[146]. Investment and Financing Activities - Net cash used by investing activities totaled $13.7 million for the six months ended June 30, 2024, compared to $12.2 million provided in the same period of 2023, reflecting a decrease of $25.9 million[149]. - Interest expense, net for the six months ended June 30, 2024, was $(529) thousand, a decrease of 31% compared to $(767) thousand in the same period of 2023[147]. - The company may consider raising additional capital through debt or equity financing for strategic purposes, although such capital may not be available on reasonable terms[146]. Discontinued Operations - The company divested Global Cooling, Inc. on April 17, 2024, presenting it as a discontinued operation in the financial statements[123]. - The company recognized $6.1 million in cash expenditures related to the Global Cooling divestiture during the three months ended June 30, 2024[145]. - The company incurred a change in fair value of equity investments of $(4.1) million during the three months ended June 30, 2024, indicating a full impairment of its equity interest in iVexSol[140]. Other Financial Metrics - Total other (expense) income for the three months ended June 30, 2024, was $(4.4) million, a decrease of $9.5 million or 185% compared to $5.1 million in the same period of 2023[147]. - The company’s total short-term purchase obligations were $5.8 million as of June 30, 2024[153].