Quanterix Corp. Q1 FY2025 earnings call

• First quarter results exceeded expectations, with adjusted gross margin approximately 50% and adjusted cash usage $9 million, a >50% improvement vs last year.
• Pending merger with Akoya Biosciences: equity value reduced to $66M from $201M, shares issued reduced, Akoya to contribute 37% to top line and 40% to gross profit.
• Strategic initiatives: grow menu launched 4 new immunology assays, expanding assay portfolio in neurology, adding inflammation biomarkers, initiating oncology development; Simoa ONE platform on track for year-end release; progress in Alzheimer's diagnostics with collaboration with ARUP, pricing for LucentAD Complete expected summer.
• Actions to succeed: democratize Simoa technology via early access program on flow cytometers, scale neurology success to immunology and oncology, operational discipline with $30M core cost reduction, scaling to $55M annual savings by 2026.

In the first quarter, Quanterix reported revenue of $30.3 million, a 5% decline year-over-year. Consumables revenue was $18.1 million, up 6% versus the previous year, representing the highest consumables quarter. Instrument revenue was $2.6 million, up 3% year-over-year. Accelerator lab revenue was $5.6 million, a 36% decrease, driven by a decline in large multimillion-dollar projects from pharma customers. The customer mix for Q1 was approximately 50/50 between pharma and academia. Geographically, North America grew 3%, Europe declined 30%, and the Asia-Pacific region was up 14%.

• 2025 revenue guidance revised to $120M-$130M (5%-13% decline y-o-y), excluding Lucent Diagnostics testing. GAAP gross margin expected 55%-59%, non-GAAP 50%-54%.
• Cash usage expected $35M-$45M from operations and $20M for payments in 2025. Akoya transaction expected to close in Q2, cash balance expected ~$120M by end of 2025.
• Aiming for positive cash flow in 2026 with over $100M cash on balance sheet.

• Broader macro funding environment impacts. Academic funding cuts, pharma spending conservatism.
• Tariffs impact on margins. Uncertainty in Accelerator lab pipeline development.
• Competition in Alzheimer's diagnostics and protein biomarker testing.

Q: What's the visibility on LucentAD's triple-digit price?

A: LucentAD Complete is a five-marker test with an Alzheimer's algorithm, different from single marker tests. Pricing expected summer, aiming for early 2026 launch.

Q: How have you baked in the back half guide for Accelerator given pharma spending uncertainty?

A: Baked in ~900 basis points of reduction y-o-y, including $4.5M from Lilly collaboration end and uncertainty in large projects' development.

Q: What's the sales funnel feedback on Simoa ONE and its contribution in year one?

A: There's excitement about Simoa ONE's higher sensitivity and multiplexing. Expectations are for broad interest from customers, but specific year one contribution details will be clearer post-launch.