Akoya Biosciences(US:AKYA)2023-03-07 05:00Financial Data and Key Metrics Changes - Akoya reported record revenue of $21.2 million in Q4 2022, representing a 31% growth over Q4 2021, and full-year revenue of $74.9 million, a 36% increase over the previous year [22][30] - Gross profit for Q4 was $12 million, with a full-year gross margin of 58% [27] - Operating expenses totaled $29.6 million for Q4 and $109.5 million for the full year, reflecting significant investments in business expansion [28] Business Line Data and Key Metrics Changes - Product revenue, including instruments, reagents, and software, was $15.7 million for Q4 and $57.7 million for the full year, marking a 30% growth year-over-year [22] - Instrument revenue was $11.1 million for Q4 and $38.6 million for the full year, representing a 35% increase year-over-year [23] - Reagent revenue was $4.5 million for Q4 and $18.4 million for the full year, showing a 29% growth over the previous year [24] Market Data and Key Metrics Changes - The installed base of instruments reached 934 by the end of 2022, with 71 instruments sold in Q4 and 237 for the full year, a 61% growth in placements from the prior year [8][30] - The company has the largest installed base of spatial instruments in the industry, with a target to reach 1,000 instruments early in 2023 [8] Company Strategy and Development Direction - Akoya aims to enhance its leadership in spatial biology by introducing platform and workflow improvements across its instrument line, focusing on operational efficiencies and targeted investments in 2023 [10][20] - The company plans to expand its product offerings with the launch of PhenoCode panels and improvements to existing systems, which are expected to drive reagent pull-through and increase revenue [11][14] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth potential of the spatial biology market, citing strong commercial execution and a growing installed base as key drivers for future performance [8][20] - The company provided preliminary revenue guidance for 2023 in the range of $95 million to $98 million, anticipating continued growth despite macroeconomic challenges [31] Other Important Information - Akoya's Advanced BioPharma Solutions CLIA Lab is gaining traction with large pharma partners, contributing to service revenue growth [26] - The company is focused on partnerships with leading biopharma and diagnostic leaders to drive the adoption of its products in clinical diagnostics [20] Q&A Session Summary Question: Can you provide insights on the 2023 guidance regarding instrument pull-through and consumable mix? - Management indicated that while many customers are not yet at full utilization of the PhenoCycler Fusion, they expect gradual increases in pull-through as more customers become fully operational [33][35] Question: What is the current cash position and any potential financing plans? - The company reported $81 million in cash and $11 million in additional debt capacity, indicating a solid cash position for continued growth [36][37] Question: What factors contributed to the reagent revenue performance in Q4? - Management noted that COVID lockdowns in China and currency issues in Europe impacted reagent revenue, but order volumes have picked up in Q1 2023 [51][53] Question: How is the company addressing the elongation of capital purchase timelines? - Management acknowledged some elongation in capital purchase timelines, particularly in EMEA, but did not anticipate a material impact on overall performance [55][57] Question: What is the expected contribution of new products to the 2023 revenue guidance? - Management indicated that while new products like the PhenoCode panels will contribute, the overall impact is modest, with a focus on driving reagent revenue growth through existing products [70][74]