CryoPort Inc (CYRX) Faces Economic Headwinds but Sees Growth in Key Segments
Revenue for Q3 2023 was $56.2 million, a 7% decrease year-over-year; 9M 2023 revenue remained flat at $176.0 million.
Commercial cell and gene therapy revenue grew by 54% year-over-year in Q3.
Net loss for Q3 2023 widened to $13.3 million, compared to $5.3 million in Q3 2022.
CryoPort Inc (NASDAQ:CYRX) affirms full year 2023 revenue guidance range of $233 - $243 million.
On November 8, 2023, CryoPort Inc (NASDAQ:CYRX), a global provider of life sciences products and services, announced its financial results for the third quarter and first nine months of 2023. Despite facing global economic and geopolitical challenges, the company reported sustained demand from its life sciences and cell and gene therapy customers.
Performance Overview
CryoPort Inc (NASDAQ:CYRX) experienced a notable increase in commercial cell and gene therapy revenue, which grew by 54% year-over-year for Q3, while bioservices revenue increased by 26% year-over-year. Cryoport Systems revenue also saw a 10% growth. The company now supports a record total of 670 global clinical trials, an increase of 27 from the previous year.
Financial Highlights
Total revenue for Q3 2023 was $56.2 million, a decrease of 7% from $60.5 million in Q3 2022. For the first nine months of 2023, revenue was $176.0 million, nearly flat compared to the same period in 2022. Gross margin remained relatively stable at 43.2% for Q3 2023 compared to 43.7% in Q3 2022. However, operating costs and expenses increased to $41.2 million for Q3 2023, primarily due to investments in infrastructure and technology development.
The net loss for Q3 2023 was $13.3 million, compared to a net loss of $5.3 million for Q3 2022. Adjusted EBITDA was a negative $3.1 million for Q3 2023, compared to $4.7 million for Q3 2022. Cash, cash equivalents, and short-term investments totaled $465.9 million as of September 30, 2023.
Strategic Developments
Jerrell Shelton, CEO of Cryoport, highlighted the company's strategic partnerships and acquisitions, including the recent acquisition of Tec4med Lifescience, which is expected to enhance Cryoport's monitoring solutions across its spectrum of services. These developments, along with the company's leading market position, contribute to the confidence in its long-term growth prospects.
Outlook and Share Repurchase Update
CryoPort Inc (NASDAQ:CYRX) reaffirmed its full-year 2023 revenue guidance range of $233 - $243 million. The company also continued its share repurchase program, buying back $31.3 million in aggregate principal amount of its Convertible Senior Notes due in 2026 for $25.1 million, resulting in a gain on extinguishment of debt.
For further details, investors are encouraged to review the full earnings report and financial statements, as well as the upcoming SEC filings, which will be available on CryoPort's website.
The company will host a conference call to discuss the earnings report and answer investor questions, with additional materials available on the Investor Relations section of CryoPort's website.
For more information and to stay updated on CryoPort Inc (NASDAQ:CYRX)'s financial performance, visit www.cryoport.com.
Explore the complete 8-K earnings release (here) from CryoPort Inc for further details.
This article first appeared on GuruFocus.
