Rapid Micro Biosystems Inc (RPID) Reports 30% Revenue Growth in Q3 2023
Rapid Micro Biosystems Inc (NASDAQ:RPID) reports Q3 2023 total revenue of $6.1 million, a 30% increase compared to Q3 2022.
Recurring revenue for Q3 2023 increased 17% to $3.4 million.
The company's net loss for Q3 2023 was $13.4 million, an improvement from $16.3 million in Q3 2022.
Rapid Micro Biosystems Inc (NASDAQ:RPID) reaffirms its full year 2023 total revenue guidance of at least $22.0 million.
On November 3, 2023, Rapid Micro Biosystems Inc (NASDAQ:RPID), a leading life sciences technology company, announced its financial results for the third quarter ended September 30, 2023. The company reported a total revenue of $6.1 million, marking a 30% increase compared to the same period in 2022. The company also reaffirmed its full year 2023 total revenue guidance of at least $22.0 million.
Financial Highlights
The company's total revenue for Q3 2023 increased by 30% to $6.1 million, up from $4.7 million in Q3 2022. This growth was primarily driven by higher system placements and an increase in service revenue due to a larger cumulative number of validated customer systems. Recurring revenue also saw a 17% increase to $3.4 million, compared to $2.9 million in Q3 2022.
Despite the increase in revenue, the total cost of revenue also increased by 3% to $7.8 million in Q3 2023, compared to $7.5 million in Q3 2022. This increase was primarily due to higher costs to support service-related activity. However, total operating expenses decreased to $12.8 million in Q3 2023, compared to $14.1 million in Q3 2022, largely due to nonrecurring costs incurred during the third quarter last year.
Net Loss and Cash Position
Rapid Micro Biosystems Inc (NASDAQ:RPID) reported a net loss of $13.4 million for Q3 2023, an improvement from the $16.3 million net loss in Q3 2022. The improvement was attributed to the increase in revenue, the decrease in operating expenses, and an increase in interest income. As of September 30, 2023, the company had cash, cash equivalents, and investments of $104.0 million, which it expects to provide a cash runway at least into 2026.
Outlook for 2023
The company reaffirmed its full year 2023 total revenue guidance of at least $22.0 million, representing a growth of approximately 30% compared to full year 2022. This positive outlook reflects the company's confidence in its performance and growth trajectory.
About Rapid Micro Biosystems Inc (NASDAQ:RPID)
Rapid Micro Biosystems Inc (NASDAQ:RPID) is an innovative life sciences technology company providing mission-critical automation solutions to facilitate the efficient manufacturing and fast, safe release of healthcare products. The company's flagship Growth Direct system automates and modernizes the manual microbial quality control testing workflows used in the largest and most complex pharmaceutical manufacturing operations across the globe.
Explore the complete 8-K earnings release (here) from Rapid Micro Biosystems Inc for further details.
This article first appeared on GuruFocus.
