Quanterix(US:QTRX)2025-03-18 05:49Financial Data and Key Metrics Changes - Quanterix reported revenue of $35.2 million for Q4 2024, an increase of 11% year-over-year [10][28] - Non-GAAP gross margin improved to 57.7%, up 300 basis points from the previous year [11][31] - Cash usage declined by 31% to $4.4 million in Q4 2024 [11] Business Line Data and Key Metrics Changes - Accelerator lab revenue reached $8.6 million, a 22% increase driven by clinical trial testing services [29] - Consumable revenue remained flat at $17.4 million as customers transitioned to Advantage PLUS assays [29] - Instrument revenue decreased by 7% to $3.1 million, although it was up 29% sequentially [30] Market Data and Key Metrics Changes - North America led revenue growth with a 17% increase, while Europe grew by 11% and Asia-Pacific saw a decline of 6% for the full year [35] - The customer mix for the year was approximately 54% from pharma and 46% from academia [34] Company Strategy and Development Direction - The company aims to grow its menu by extending its leadership in neurology and developing assays for new markets, launching 20 new assays in 2024 [14] - Plans to expand into immunology and oncology markets through the Simoa ONE platform and the acquisition of Akoya Biosciences [15][20] - Focus on building a global diagnostic testing infrastructure for Alzheimer's disease, with 12 new partners added in the last year [17] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the Accelerator business despite market volatility, citing a strong pipeline and diverse customer base [26][52] - The company anticipates a revenue range of $140 million to $146 million for 2025, reflecting a growth of 2% to 6% [40] - Management noted that 20% to 25% of annual revenues are tied to US academic customers, which are expected to decline by 10% in 2025 [41] Other Important Information - The company ended Q4 2024 with $291.7 million in cash and equivalents [36] - Adjusted EBITDA was negative $23.6 million in 2024, compared to negative $19 million in 2023 [38] - The integration of Akoya is expected to expedite cash flow breakeven to 2026 [45] Q&A Session Summary Question: Impact of NIH academic government on revenue - Management acknowledged the pressure from NIH and indicated that the academic market is experiencing paralysis, affecting decision-making and spending [58][76] Question: Confidence in revenue recovery in Q2 and Q3 - Management expressed confidence in the Accelerator business, citing a strong pipeline and expected recovery in the second half of the year [52][75] Question: Details on the validation phase with hospitals and labs - Management confirmed that some hospitals are in the contract phase while others await validation completion, expecting contributions to revenue in 2025 [54] Question: Concerns about the Akoya merger valuation - Management reiterated the long-term value of the Akoya acquisition, emphasizing recurring revenues and projected synergies [60][82] Question: Revenue guidance for academic and government customer base - Management indicated that the Q1 guidance reflects a significant reduction due to academic market paralysis and timing of large pharma projects [88] Question: Growth expectations outside the US - Management expects low double-digit to high single-digit growth outside the US, aligned with overall expectations for 2024 [103]