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Cerus(CERS) - 2022 Q1 - Earnings Call Transcript
CerusCerus(US:CERS)2022-05-06 02:15

Financial Data and Key Metrics Changes - Product revenues for Q1 2022 reached $37.4 million, reflecting a year-over-year growth of 60% [25] - Gross profit for Q1 was $19.4 million, an increase of 58% year-over-year compared to $12.3 million in the prior year [29] - The net loss attributable to the company for Q1 2022 decreased to $12.3 million or $0.07 per diluted share, compared to $17.5 million or $0.10 per diluted share for the same period in 2021 [33] - The company raised its 2022 product revenue guidance from $157 million to $164 million to a new range of $160 million to $165 million, indicating a year-over-year growth of 22% to 26% [37] Business Line Data and Key Metrics Changes - Strong growth in the U.S. platelet business, which was up over 130% year-over-year [14] - The calculated number of treatable platelet doses in the U.S. increased by 141% year-over-year, while international growth was 28% [28] - Sales of INTERCEPT disposable kits represented nearly 98% of Q1 product revenue [28] Market Data and Key Metrics Changes - North America led sales growth with a 130% increase year-over-year, with Q1 revenue in North America nearly matching total global product revenue from Q1 2021 [26] - EMEA region saw an 11% year-over-year growth, and 19% growth when excluding negative foreign currency impacts [27] Company Strategy and Development Direction - The company is focused on establishing a new safety standard in transfusion medicine, expanding access to INTERCEPT treated blood components [10] - Plans to diversify growth with the nationwide launch of INTERCEPT Fibrinogen Complex (IFC) across the U.S. [15] - The company aims to increase manufacturing capacity to meet growing demand and improve cost profiles through new agreements [22][23] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing demand for INTERCEPT products despite geopolitical and economic uncertainties [13] - The company is optimistic about the future growth trajectory, particularly with the anticipated increase in demand for Fibrinogen and the successful rollout of IFC [17][39] - Management highlighted the importance of the American Red Cross contract extension for future demand forecasting and operational planning [20][51] Other Important Information - The company reported a non-GAAP adjusted EBITDA of negative $3.7 million for Q1 2022, an improvement from negative $11.5 million in Q1 2021 [35] - Cash and cash equivalents at the end of Q1 2022 stood at $108.6 million, indicating a strong cash position [36] Q&A Session Summary Question: FX impact in Q1 and guidance adjustments - The FX impact for Q1 was approximately $1 million, with adjustments made in the new guidance to account for currency fluctuations [48] Question: Red Cross contract implications - The contract extension with the American Red Cross enhances demand management and operational planning, providing greater visibility for future growth [49][51] Question: International market opportunities - The company is pursuing opportunities in Canada and Germany, with expectations for progress in these markets over the next few years [61][62] Question: IFC launch timeline - The IFC product is expected to gain traction in 2023, with ongoing efforts to engage hospitals and clinicians [64][66]