Financial Data and Key Metrics Changes - The company reported first quarter revenue of $169 million, exceeding expectations despite a $2 million foreign exchange headwind, representing a 10% increase year-on-year [29] - Organic revenue growth was 11%, and organic non-COVID revenue growth was 14%, indicating strong underlying performance [29][30] - Adjusted net income was $22 million, up 29% from the previous year, with adjusted fully diluted earnings per share increasing to $0.39 from $0.30 [33][35] Business Line Data and Key Metrics Changes - Organic revenue growth in the first quarter was driven by proteins, chromatography, and analytics, with proteins showing the highest growth [13][24] - Consumables revenue grew over 20% year-on-year, while capital equipment revenues declined as expected [17][22] - Chromatography orders increased by over 50%, marking the highest quarterly order intake in three years [24] Market Data and Key Metrics Changes - Biopharma revenues grew more than 20% year-on-year, supported by strong execution from strategic accounts [16] - North America represented 50% of total revenue, with both North America and Europe up 13%, while Asia excluding China grew by 12% [30] - China represented only 2% of total revenue, continuing to decline [19][30] Company Strategy and Development Direction - The company is focused on executing its strategic plan for 2025, including the acquisition of the nine zero eight devices bioprocessing portfolio [12][20] - The management emphasized the importance of diversifying the customer base, with the largest customer representing only 6% of revenue [14] - Continued investment in R&D and product development is a priority, with new product launches expected to drive future growth [21][45] Management Comments on Operating Environment and Future Outlook - Management acknowledged macro uncertainties but expressed confidence in the underlying trends and opportunities within the business [8][9] - The company expects revenue growth to accelerate throughout the year, with a strong backlog supporting growth in capital equipment [17][27] - Management remains optimistic about the mid to long-term outlook for new modalities, despite short-term challenges [63] Other Important Information - The company is navigating tariff impacts with minimal expected effects on earnings per share, as most manufacturing is based in the U.S. [10][12] - Adjusted gross profit was $91 million, with a gross margin of 53.7%, reflecting strong volume leverage and favorable product mix [31][32] - The company plans to maintain a strong balance sheet while being prudent in spending and preparing for potential acquisitions [45] Q&A Session Summary Question: CDMO order trends and tariff impact - Management noted no acceleration in orders due to tariffs, with strong order intake across all customer sizes and product lines [50][51] Question: Tariff dynamics and pricing pass-through - Management indicated a potential less than 1% sales increase from tariffs, primarily through surcharges, with minimal impact on gross margins [54][56] Question: Emerging modalities and FDA changes - Management remains optimistic about new modalities, with no significant disruptions reported from customers regarding clinical trials [62][64] Question: Small biotech customer trends - Orders from small biotech customers were flat, with a decline in sales to emerging markets, raising concerns about the health of that segment [78][80] Question: Impact of FDA guidance on animal testing - Management has not heard of any tangible impacts from FDA guidance on animal testing, with no significant changes reported by customers [98][99] Question: Manufacturing flexibility in response to tariffs - The company has multiple manufacturing sites and is exploring dual manufacturing options to mitigate potential tariff impacts [100][101] Question: Clarification on revenue guidance - Management confirmed an increase in organic non-COVID revenue growth guidance, indicating positive demand fundamentals [106]