Maravai LifeSciences (NasdaqGS:MRVI) Q4 2025 Earnings call February 25, 2026 05:00 PM ET Company ParticipantsBernd Brust - CEOChanfeng Zhao - SVP and Chief Scientific OfficerDebra Hart - Head of Investor RelationsDoug Schenkel - Managing DirectorRajesh Asarpota - EVP and CFOConference Call ParticipantsJosh Heinen - Research AnalystJustin Bowers - Equity Research AnalystMatt Hewitt - Senior Research AnalystMatt Larew - Research AnalystMatt Stanton - VP and Equity Research AnalystMatthew Parisi - Research Ana ...

Maravai LifeSciences (NasdaqGS:MRVI) Q4 2025 Earnings call February 25, 2026 05:00 PM ET Company ParticipantsBernd Brust - CEOChanfeng Zhao - SVP and Chief Scientific OfficerDebra Hart - Head of Investor RelationsDoug Schenkel - Managing DirectorRajesh Asarpota - EVP and CFOConference Call ParticipantsJosh Heinen - Research AnalystJustin Bowers - Equity Research AnalystMatt Hewitt - Senior Research AnalystMatt Larew - Research AnalystMatt Stanton - VP and Equity Research AnalystMatthew Parisi - Research Ana ...

Maravai LifeSciences (NasdaqGS:MRVI) Q4 2025 Earnings call February 25, 2026 05:00 PM ET Speaker8Ladies and gentlemen, thank you for your continued patience. Your meeting will begin shortly. If you need assistance at any time today, please press star 0 and a member of our team will be happy to help you. Again, ladies and gentlemen, thank you for your continued patience. Your meeting will begin shortly. Again, if you do need assistance at any time today, please press star 0 and a member of our team will be h ...

Financial Data and Key Metrics Changes - Total revenue for Q3 2025 was $41.6 million, down from $69 million in Q3 2024, representing a decline of approximately 40% [15][16] - Adjusted EBITDA for Q3 2025 was a negative $10.8 million compared to a positive $16.2 million in Q3 2024 [16][23] - GAAP net loss before non-controlling interest was $45.1 million for Q3 2025, compared to a loss of $172.5 million in Q3 2024, which included a goodwill impairment charge of $154.2 million [16][23] Business Line Data and Key Metrics Changes - Biologics Safety Testing (BST) revenue was $16.3 million, growing 7% year-over-year, while Nucleic Acid Products (NAP) revenue was $25.4 million, declining 53% year-over-year [3][19] - The base NAP business, excluding GMP COVID CleanCap, was down 29% year-over-year [16][19] - Adjusted EBITDA for BST was $10.5 million, with an adjusted EBITDA margin of 64.8% [19][20] Market Data and Key Metrics Changes - Revenue by geography: 60% from North America, 19% from EMEA, 12% from Asia-Pacific (excluding China), 8% from China, and 1% from Latin and Central America [15][16] - Strength in BST was primarily from the U.S. and European markets, which grew 8% and 17% year-over-year, respectively [5][19] - China market showed weakness, with a reported decline of 12% [57][60] Company Strategy and Development Direction - The company aims to achieve positive adjusted EBITDA and cash flow in 2026, with a focus on operational excellence and revenue growth [4][13] - A strategic realignment and cost reduction initiative is underway, targeting over $50 million in annualized expense reductions [4][21] - The introduction of new technologies like MODTAIL is expected to broaden the customer base and drive future revenue, particularly in CAR T and oncology applications [9][66] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about Q4 performance, citing strong order velocity and visibility into future growth [18][48] - The company anticipates closing 2025 with revenue of approximately $185 million, implying an 18% growth in Q4 over Q3 [22][23] - Management noted that the funding environment for discovery remains challenging but is showing signs of stabilization [43][44] Other Important Information - The company has stabilized operations and significantly reduced expenses, strengthening its balance sheet [4][21] - The launch of the mRNA Builder platform has doubled the number of orders placed, enhancing operational efficiency [11][68] Q&A Session Summary Question: Anticipated revenue contribution from COVID CleanCap in 2026 - Management indicated that the $10-$20 million revenue contribution is based on a combination of orders in hand and ongoing customer discussions [26] Question: Cost savings breakdown for Q4 and next year - Cost savings are expected to come from various categories, with approximately 40-50% from labor cost reductions and a roughly 50/50 split between COGS and OpEx [27] Question: Key findings from the strategic review - The company was found to be over-structured, and the restructuring has led to improved operational efficiency and engagement from the leadership team [32][33] Question: Performance of BST and regional strength - Management confirmed strength in the U.S. and Europe, while China remains weak, but there are signs of improvement in funding [34][35] Question: Gross margin expectations for Q4 and 2026 - Management expects improvements in gross margin due to cost reductions and a favorable product mix in Q4 [37][38] Question: Confidence in GMP business excluding COVID - Management expressed high confidence in Q4 and 2026, citing strong order visibility and binding purchase commitments [47][49]