Akoya Reports Record Revenue in the Second Quarter of 2023 and Reiterates Full Year 2023 Revenue Guidance
Q2 2023 revenue $23.5 million, 31% y/y growth
Reiterating FY 2023 revenue guidance range of $95-98 million
MARLBOROUGH, Mass., Aug. 07, 2023 (GLOBE NEWSWIRE) -- Akoya Biosciences, Inc. (Nasdaq: AKYA) (“Akoya”), The Spatial Biology Company®, today announced its financial results for the second quarter ending June 30, 2023.
“Akoya delivered strong financial performance in the second quarter, highlighted by record revenue and the milestone of the 1,000th publication featuring Akoya platforms, the industry’s largest and fastest growing publications volume,” said Brian McKelligon, Chief Executive Officer, Akoya Biosciences. “With a leading position in spatial biology, consistent commercial and operational execution, and a recent financing to further increase the strength of our balance sheet, Akoya is well positioned to continue to drive long-term growth while moving the business towards profitability.”
Second Quarter 2023 Financial Highlights
- Total revenue was $23.5 million in the second quarter of 2023, compared to $17.9 million in the prior year period; an increase of 31%.
- Product revenue (which includes instruments, reagents, and software) was $17.1 million in the second quarter of 2023, compared to $14.2 million in the prior year period; an increase of 20%.
- Instrument revenue was $11.3 million, compared to $9.5 million in the prior year period; an increase of 19%.
- Reagent revenue was $5.8 million, compared to $4.5 million in the prior year period; an increase of 29%.
- Service and other revenue totaled $6.4 million in the second quarter of 2023, compared to $3.7 million in the prior year period; an increase of 73%.
- Gross profit was $12.1 million and gross profit margin was 51.5% in the second quarter of 2023, compared to $10.3 million and 57.8% respectively in the prior year period.
- COGS in the second quarter of 2023 was $11.4 million, compared to $7.6 million in the prior year period.
- COGS in the second quarter of 2023 includes a non-routine charge of $2.0 million for inventory related to the expiration of materials purchased in prior periods.
- $47.8 million in net proceeds from public offering of common stock in the second quarter of 2023.
- $93.3 million of cash and cash equivalents as of June 30, 2023, with $11.3 million in additional debt capacity.
Second Quarter 2023 Business Highlights
- 72 instruments were sold in the second quarter of 2023: 27 PhenoCyclers, 45 PhenoImagers (which includes Fusion and HT), compared to 60 instruments sold in the prior year period (16 PhenoCyclers, 44 PhenoImagers).
- Instrument installed base of 1,064 as of June 30, 2023 (300 PhenoCyclers, 764 PhenoImagers), compared to an installed base of 808 in the prior year period (212 PhenoCyclers, 596 PhenoImagers); an increase of 32%.
- Combined-unit PhenoCycler-Fusion installed base of 159 as of June 30, 2023, compared to 55 in the prior year period.
- As of June 30, 2023, there were 988 total publications featuring Akoya’s platforms, 60% growth from 618 total publications in the prior year period; achieved milestone publication volume of 1,000 in July.
- Launched the Fusion 2.0 and HT field upgrades with rolling launch of PhenoCode Panels.
- Adjusted organizational structure to support portfolio prioritization and streamlined cost structure to achieve objective of reaching cash flow breakeven.
YTD 2023 Financial and Business Highlights
- Total revenue was $44.9 million YTD as of June 30, 2023, compared to $34.8 million in the prior year period; an increase of 29%.
- Product revenue was $32.7 million YTD as of June 30, 2023, compared to $27.5 million in the prior year period; an increase of 19%.
- Services and other revenue totaled $12.3 million YTD as of June 30, 2023, compared to $7.3 million in the prior year period; an increase of 68%.
- Gross profit was $24.4 million YTD as of June 30, 2023, compared to $20.4 million in the prior year period and gross profit margin was 54.3% YTD as of June 30, 2023, compared to 58.7% in the prior year period.
- 130 instruments were sold YTD as of June 30, 2023; 46 PhenoCyclers, 84 PhenoImagers, compared to 111 instruments sold in the prior year period; an increase of 17%.
2023 Financial Outlook
The Company, based on its current plans and initiatives, continues to expect full year 2023 revenue in the range of $95-98 million.
Webcast and Conference Call Details
Akoya will host a conference call today, August 7, 2023, at 5:00 p.m. Eastern Time to discuss its second quarter 2023 financial results. Investors interested in listening to the conference call are required to register online. A live webcast of the conference call will be available on the “Investors” section of the Company's website at https://investors.akoyabio.com/. The webcast will be archived on the website following the completion of the call for three months.
Forward-Looking Statements
This press release contains forward-looking statements that are based on management’s beliefs and assumptions and on information currently available to management. All statements contained in this release other than statements of historical fact are forward-looking statements, including expectations regarding our ability to market and sell our PhenoCycler and PhenoImager platforms and our other products and services, our ability to increase awareness of spatial biology technology, our ability to execute on our plans and expectations, our research and development efforts and other matters regarding our business strategies, future performance, use of capital, results of operations and financial position and plans and objectives for future operations.
In some cases, you can identify forward-looking statements by the words “may,” “will,” “could,” “would,” “should,” “expect,” “intend,” “plan,” “anticipate,” “believe,” “estimate,” “predict,” “project,” “potential,” “continue,” “ongoing” or the negative of these terms or other comparable terminology, although not all forward-looking statements contain these words. These statements involve risks, uncertainties and other factors that may cause actual results, levels of activity, performance, or achievements to be materially different from the information expressed or implied by these forward-looking statements. These risks, uncertainties and other factors are described under "Risk Factors," "Management's Discussion and Analysis of Financial Condition and Results of Operations" and elsewhere in the documents we file with the Securities and Exchange Commission from time to time. We caution you that forward-looking statements are based on a combination of facts and factors currently known by us and our projections of the future, about which we cannot be certain. As a result, the forward-looking statements may not prove to be accurate. The forward-looking statements in this press release represent our views as of the date hereof. We undertake no obligation to update any forward-looking statements for any reason, except as required by law.
About Akoya Biosciences
As The Spatial Biology Company®, Akoya Biosciences’ mission is to bring context to the world of biology and human health through the power of spatial phenotyping. The Company offers comprehensive single-cell imaging solutions that allow researchers to phenotype cells with spatial context and visualize how they organize and interact to influence disease progression and response to therapy. Akoya offers a full continuum of spatial phenotyping solutions to serve the diverse needs of researchers across discovery, translational and clinical research: PhenoCode™ Panels and PhenoCycler®, PhenoImager® Fusion and PhenoImager HT Instruments. To learn more about Akoya, visit www.akoyabio.com.
Investor Contact:
Priyam Shah
Sr. Director, Investor Relations
Akoya Biosciences
investors@akoyabio.com
Media Contact:
Christine Quern
617-650-8497
media@akoyabio.com
AKOYA BIOSCIENCES, INC. AND SUBSIDIARY
Condensed Consolidated Balance Sheets (unaudited)
(in thousands)
| June 30, 2023 | December 31, 2022 | |||||
| Assets | ||||||
| Current assets | ||||||
| Cash and cash equivalents | $ | 93,328 | $ | 74,229 | ||
| Marketable securities | — | 6,989 | ||||
| Accounts receivable, net | 12,866 | 9,729 | ||||
| Inventories, net | 16,131 | 14,486 | ||||
| Prepaid expenses and other current assets | 3,845 | 6,764 | ||||
| Total current assets | 126,170 | 112,197 | ||||
| Property and equipment, net | 11,139 | 10,174 | ||||
| Demo inventory, net | 1,546 | 2,084 | ||||
| Intangible assets, net | 19,125 | 20,048 | ||||
| Goodwill | 18,262 | 18,262 | ||||
| Operating lease right of use assets, net | 9,629 | 10,785 | ||||
| Financing lease right of use assets, net | 1,990 | 1,490 | ||||
| Other non-current assets | 1,018 | 991 | ||||
| Total assets | $ | 188,879 | $ | 176,031 | ||
| Liabilities and Stockholders’ Equity | ||||||
| Current liabilities | ||||||
| Accounts payable, accrued expenses and other current liabilities | $ | 26,460 | $ | 27,147 | ||
| Current portion of operating lease liabilities | 2,894 | 3,009 | ||||
| Current portion of financing lease liabilities | 822 | 620 | ||||
| Deferred revenue | 7,214 | 6,279 | ||||
| Total current liabilities | 37,390 | 37,055 | ||||
| Deferred revenue, net of current portion | 2,495 | 2,114 | ||||
| Long-term debt, net | 63,636 | 63,277 | ||||
| Contingent consideration liability, net of current portion | 5,051 | 6,039 | ||||
| Operating lease liabilities, net of current portion | 7,253 | 8,203 | ||||
| Financing lease liabilities, net of current portion | 1,066 | 675 | ||||
| Other long-term liabilities | 87 | 87 | ||||
| Total liabilities | 116,978 | 117,450 | ||||
| Total stockholders' equity | 71,901 | 58,581 | ||||
| Total liabilities and stockholders' equity | $ | 188,879 | $ | 176,031 | ||
AKOYA BIOSCIENCES, INC. AND SUBSIDIARY
Consolidated Statements of Operations (unaudited)
(in thousands, except share and per share amounts)
| Three months ended | Six months ended | |||||||||||||||
| June 30, | June 30, | June 30, | June 30, | |||||||||||||
| 2023 | 2022 | 2023 | 2022 | |||||||||||||
| Revenue: | ||||||||||||||||
| Product revenue | $ | 17,147 | $ | 14,161 | $ | 32,671 | $ | 27,504 | ||||||||
| Service and other revenue | 6,374 | 3,733 | 12,260 | 7,284 | ||||||||||||
| Total revenue | 23,521 | 17,894 | 44,931 | 34,788 | ||||||||||||
| Cost of goods sold: | ||||||||||||||||
| Cost of product revenue | 7,788 | 5,198 | 13,539 | 9,278 | ||||||||||||
| Cost of service and other revenue | 3,617 | 2,355 | 6,983 | 5,073 | ||||||||||||
| Total cost of goods sold | 11,405 | 7,553 | 20,522 | 14,351 | ||||||||||||
| Gross profit | 12,116 | 10,341 | 24,409 | 20,437 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Selling, general and administrative | 22,708 | 20,590 | 44,466 | 38,783 | ||||||||||||
| Research and development | 6,273 | 5,598 | 12,046 | 11,312 | ||||||||||||
| Change in fair value of contingent consideration | 530 | (1,156 | ) | 757 | (956 | ) | ||||||||||
| Depreciation and amortization | 1,847 | 1,617 | 3,818 | 3,160 | ||||||||||||
| Total operating expenses | 31,358 | 26,649 | 61,087 | 52,299 | ||||||||||||
| Loss from operations | (19,242 | ) | (16,308 | ) | (36,678 | ) | (31,862 | ) | ||||||||
| Other income (expense): | ||||||||||||||||
| Interest expense | (2,175 | ) | (849 | ) | (4,229 | ) | (1,598 | ) | ||||||||
| Interest income | 737 | 54 | 1,502 | 76 | ||||||||||||
| Other expense, net | (105 | ) | (286 | ) | (153 | ) | (382 | ) | ||||||||
| Loss before provision for income taxes | (20,785 | ) | (17,389 | ) | (39,558 | ) | (33,766 | ) | ||||||||
| Provision for income taxes | (18 | ) | (106 | ) | (47 | ) | (128 | ) | ||||||||
| Net loss | $ | (20,803 | ) | $ | (17,495 | ) | $ | (39,605 | ) | $ | (33,894 | ) | ||||
| Net loss per share attributable to common stockholders, basic and diluted | $ | (0.51 | ) | $ | (0.47 | ) | $ | (1.00 | ) | $ | (0.90 | ) | ||||
| Weighted-average shares outstanding, basic and diluted | 40,639,714 | 37,612,331 | 39,489,261 | 37,538,821 | ||||||||||||
