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We probably shouldn't forget this news from before we decided to buy the whole SAVSU enchilada.
BioLife Solutions Announces SAVSU Technologies Selected by Novartis to Supply Advanced Cold Chain Management Platform for Newly Approved Gene Therapy
https://finance.yahoo.com/news/biolife-solutions-announces-savsu-technologies-120000993.html
SAVSU Technologies Partners with United Cargo(R) to Improve Cold Chain Management and Delivery of Cell and Gene Therapies
https://finance.yahoo.com/news/savsu-technologies-partners-united-cargo-120000444.html
BioLife Solutions to Acquire SAVSU Technologies
8:00 AM ET
BioLife Solutions, Inc. (NASDAQ: BLFS), the leading developer, manufacturer and marketer of proprietary biopreservation media and automated cell thawing media devices for cell and gene therapies, today announced that it has exercised its option to acquire the remaining 56% of the outstanding shares of privately held SAVSU Technologies that BioLife currently does not own in exchange for 1.1 million shares of BioLife common stock. The acquisition will be pursuant to a share purchase agreement and is expected to close within 45 days.
https://mma.prnewswire.com/media/464869/BioLife_Solutions.jpg
SAVSU is the first commercial company to develop and market precision cold chain management tools specifically designed to overcome the challenges unique to commercializing cell and gene therapies. Since January 2019, through its relationships with the leading specialty couriers serving the regenerative medicine industry, SAVSU has supported more than 50 cell and gene therapy clinical trial-stage and commercial-stage companies by supplying evo precision shipping containers connected to the cloud-based evo.is real-time shipment visibility platform.
The acquisition of SAVSU is expected to further strengthen BioLife's position as a leading supplier of disruptive, enabling solutions used in the collection, manufacture, storage and distribution of cell and gene therapies. SAVSU's evo family of p recision cloud-connected shipping containers - including dry vapor liquid nitrogen, dry ice, 2 - 8oC and room temperature, all connected to the evo.is cloud-based cold chain management app - broadens BioLife's bioproduction tools portfolio and increases the Company's footprint and engagement level in its customers' cell and gene therapy manufacturing, storage and distribution workflows.
Mike Rice, BioLife President & CEO, commented, "Over the past year the SAVSU team has made significant progress in engaging with leading cell and gene therapy companies and with specialty couriers to position the evo system as a new, best-in-class alternative to providers of traditional liquid nitrogen shippers and disconnected dataloggers. SAVSU's many innovations in shipper form factor, dynamic performance , actionable data and reduction of in-transit payload damage are being recognized and highly valued by a prestigious group of cell and gene therapy developers. We welcome SAVSU to the growing family of technologies in our bioproduction tools portfolio."
The transaction includes all SAVSU intellectual property comprised of 15 pending and issued U.S. patents related to cold chain technologies. Twenty-three SAVSU employees are joining the BioLife team and will remain in the design, engineering and fabrication facility in Albuquerque, New Mexico. SAVSU also has a contract sales organization covering Europe.
SAVS U CEO Dana Barnard remarked, "We see the integration into BioLife as a natural progression in the development and growth of SAVSU. We have worked closely with BioLife since 2014 and they have been a great supporter of our mission. Today, cell and gene therapy developers face significant therapeutic and economic risks by continuing to use outdated and poor performing technologies. In the current 'pay on cure' reimbursement environment, it's very gratifying to see our innovations in cold chain management being adopted by the leaders in the regenerative medicine industry. We look forward to broadening awareness of the evo tech platform by leveraging BioLife's relationships and marketing reach."
Expected Strategic Benefits of the Transaction
-- Sales and Marketing Leverage: BioLife expects to leverage existing relationships with key decision makers among its customer base of leading cell and gene therapy companies in the regenerative medicine market. The evo platform technologies are highly advanced relative to currently marketed competitive offerings, and BioLife's expanding field-based business development and tech support team can maximize time spent with decision makers by offering a broader family of solutions.
-- Reimbursement Leverage: The reimbursement environment for expensive regenerative therapies is evolving into a "pay on cure" paradigm. With reimbursement predicated on therapeutic effic acy, cell and gene therapy companies need to mitigate the risk associated with administering a non-viable dose to the patient. Key risk mitigators include using optimized preservation media, automated thawing devices and advanced cold chain management container and information systems, all of which are now provided by BioLife.
Financial Impact
Roderick de Greef, BioLife Chief Financial Officer, remarked, "We believe that owning SAVSU will allow BioLife to benefit from the high margin recurring revenue stream associated with the rental model for these products. We look forward to providing more details of thi s transaction and to revising our financial outlook during our Q2 2019 earnings call, scheduled for August 8, 2019 at 4:30 PM Eastern time."
Hedge Funds Have Never Been This Bullish On BioLife Solutions, Inc. (BLFS)
FWIW
https://finance.yahoo.com/news/hedge-funds-never-bullish-biolife-014545155.html
Welcome to the Russell 3000, BLFS!
https://finance.yahoo.com/news/biolife-solutions-join-russell-3000-120000788.html
Looks like I may have been correct about the volatility. When markets open on Monday BLFS will be on the Russell 3000.
Is all this volatility related to the move to the Russell 3000?
BioLife Solutions stock price target raised to $28 from $22 at B. Riley FBR
MarketWatch
8:37 AM ET
BioLife Solutions to Join Russell 3000(R) Index
PR Newswire
8:00 AM ET
BioLife Solutions, Inc. (NASDAQ: BLFS) ("BioLife" or the "Company"), the leading developer, manufacturer and marketer of proprietary biopreservation media and automated cell thawing devices for cell and gene therapies, today announced that it is set to join the broad-market Russell 3000 Index at the conclusion of the 2019 Russell indexes annual reconstitution, effective after the US market opens on July 1, according to a preliminary list of additions posted June 7.
BLFS is getting some good exposure this week.
"BOTHELL, Wash., May 30, 2019 /PRNewswire/ -- BioLife Solutions, Inc. (BLFS) ("BioLife" or the "Company"), the leading developer, manufacturer and marketer of proprietary biopreservation media and automated cell thawing devices for cell and gene therapies, today announced that Mike Rice, CEO and Roderick de Greef, CFO, will be meeting with institutional investors and presenting at the Jefferies 2019 Healthcare Conference, June 4-7, 2019 at the Grand Hyatt in New York City."
https://finance.yahoo.com/news/biolife-solutions-present-jefferies-2019-120000579.html
It looks like last year's investment in SAVSU Technologies is starting to pay off.
BioLife Solutions, Inc. (NASDAQ: BLFS) ("BioLife" or the "Company"), the leading developer, manufacturer and marketer of proprietary biopreservation media and automated cell thawing devices for cell and gene therapies, today announced that SAVSU Technologies, Inc. ("SAVSU") has been selected by Novartis to supply advanced cold chain management technologies for ZOLGENSMA(R) (onasemnogene abeparvovec-xioi), a one-time-only gene therapy for the treatment of children less than two years old with spinal muscular atrophy ("SMA"). ZOLGENSMA was approved by the FDA on May 24, 2019. AveXis, developer of ZOLGENSMA and acquired by Novartis in April 2018 for $8.7 billion, qualified and adopted the SAVSU evo(R) system to enhance in-transit visibility and improve delivery quality of ZOLGENSMA. BioLife currently owns 44% of SAVSU and has an exclusive option to purchase all remaining shares.
Mike Rice, BioLife CEO, remarked, "The approval of ZOLGENSMA brings lifesaving hope to families of children with SMA. We congratulate Novartis for gaining FDA approval, and the SAVSU team for working tirelessly to support Novartis' extensive qualification and validation of the evo Smart Shipper and evo.is cold chain cloud app. We look forward to additional announcements this year related to new SAVSU customers and the broader adoption of SAVSU's proprietary evo cold chain management system."
https://finance.yahoo.com/news/biolife-solutions-announces-savsu-technologies-120000993.html
"Thanks, Mike. Our biopreservation media revenue for the first quarter of 2019 reached a record $5.8 million, representing a 51% increase over the last year's first quarter revenue of $3.8 million.
The increase in revenue was primarily the result of higher indirect sales of our CryoStor biopreservation media through our worldwide distribution network.
Gross margin for the first quarter of 2019 increased to 71.5% compared with 64.2% in the first quarter of last year. The increase in gross margin was primarily driven by volume-related reductions and cost of good sold and slightly higher product ASPs.
Operating expenses in Q1 totaled $3.6 million compared with $2.3 million in Q1 of 2018.
The increase in operating expenses is primarily the result of higher performance-based compensation expense, accounting and consulting expenses and $442,000 of onetime charges including $208,000 of costs related to our acquisition of Astero.
First quarter's operating profit was $491,000 compared to $140,000 in the first quarter of 2018.
For the first quarter of 2019, net income attributable to common shareholders was $427,000 or $0.02 per diluted share compared with a net loss of $103,000 or $0.01 per share in 2018.
Adjusted EBITDA for the first quarter was $1.4 million compared with $590,000 in the same period last year.
We ended the first quarter with $31.8 million in cash compared to $30.7 million at the end of 2018.
With respect to our outlook for 2019, we reaffirm the guidance we provided in March of this year, which includes the impact of acquiring Astero beginning on April 2.
We expect total revenue for 2019 will be between $27 million to $30 million, reflecting year-over-year growth of 37% to 52%.
We anticipate that the Astero automated thaw product line will contribute between $1 million and $2 million in revenue this year.
Over the next several years, we believe these products could add 5 to 10 percentage points to our annual organic revenue growth rate and compromise -- comprise up to 15% of total revenue in 2021.
Our blended gross margin for 2019 should range between 69% to 70%. Although, we expect a small reduction in our gross margin going forward as a result of the automated thaw product line. We believe that the impact will be approximately 100 basis points.
The automated thaw products currently have gross margins in the low 60s, but with increasing volume, we expect gross margins related to these products will climb into the mid-60s.
2019 expenses are expected to be in the range of $15.5 million to $16.5 million. Approximately half the increase over 2018 is related to the Astero transaction with the balance primarily related to increased headcount in the sales and marketing and quality areas of the company as well as higher performance-based compensation.
Although, the Astero purchase will reduce our operating margin somewhat this year, we expect to exit the year in Q4 with an operating margin of approximately 20%, which is slightly higher than our full year 2018 level of 18.6%.
In subsequent years, we anticipate a sustained trend of increasing operating margins with the automated thaw product line providing a positive contribution to our adjusted EBITDA within 12 to 18 months.
I would like to end my remarks with a summary of our share count. We currently have 18.8 million common shares issued and outstanding. Our non-affiliate warrants, which were effectively eliminated in 2018, totaled 195,000 and affiliate RSA's options and warrants brings our fully diluted share count to $26.3 million."
https://finance.yahoo.com/news/edited-transcript-blfs-earnings-conference-015430644.html
"We expect total revenue for 2019 will be in the range of $27 million to $30 million, reflecting year-over-year growth of 37% to 52%."
2019 Guidance from the 03-14-2019 conference call...
With respect to our outlook for the full year of 2019, the guidance I'll go through includes the impact of Astero transaction beginning in the second quarter. We expect total revenue for 2019 will be in the range of $27 million to $30 million, reflecting year-over-year growth of 37% to 52%. And we anticipate that Astero will contribute between $1 million and $2 million in revenue this year. Over the next several years, we believe that the Astero products could add 5 to 10 percentage points to our annual revenue growth rate and comprise up to 15% of our total revenue. Our blended gross margin for 2019 should range between 69% to 70%. Although we expect a small reduction in our gross margin going forward as a result of the Astero product line, we believe that the impact will be approximately 100 basis points. Astero's products are manufactured by a California-based CMO and currently have gross margins in the low 60s. With increased volumes, we believe the gross margin related to the thawing product line will climb into the mid-60s.
2019 operating expenses are expected to be in the range of $15.5 million to $16.5 million. Approximately half the increase over 2018 is related to the Astero transaction with the balance primarily related to increased headcount in the sales and marketing and quality areas of the company as well as higher performance-based compensation. Although the Astero purchase will reduce our operating margin somewhat this year, we expect to exit the year in Q4 with an operating profit margin of approximately 20%, which is slightly higher than our full year 2018 level of 18.5%. In subsequent years, we anticipate a sustained trend of increasing operating margins with Astero providing a positive contribution to our adjusted EBITDA within 12 to 18 months. I'd like to end my remarks with a summary of our share count. We currently have 18.7 million common shares issued and outstanding. Our non-affiliate warrant overhang was effectively eliminated during 2018, with only 208,000 of these warrants remaining. Adding insider options and warrants brings our current fully diluted share count to 26 million.
https://finance.yahoo.com/news/biolife-solutions-inc-blfs-q4-002622346.html
BioLife Solutions stock price target raised to $24 from $19 at Maxim
Received in email this morning.
Sent: Fri Mar 15 2019 8:14:31 AM EDT
MarketWatch News
BioLife Solutions Inc BLFS:NASDAQ
BioLife Solutions stock price target raised to $24 from $19 at Maxim Group
MarketWatch
8:14 AM ET
BioLife Solutions Announces Fourth Quarter and Full Year 2018 Financial Results
PR Newswire
4:05 PM ET
BioLife Solutions, Inc. (NASDAQ: BLFS) ("BioLife"), the leading developer, manufacturer and marketer of proprietary cell and tissue hypothermic storage and cryopreservation freeze media, today reported financial results and operational highlights for the fourth quarter and full year ended December 31, 2018.
https://mma.prnewswire.com/media/464869/BioLife_Solutions.jpg
Revenue from biopreservation media product sales for the fourth quarter of 2018 reached a new record of $5.5 million, an increase of 74% compared with the fourth quarter of 2017. Revenue for the full year 2018 was $19.7 m illion, an increase of 79% over 2017. Revenue growth was primarily driven by sales of CryoStor(R) biopreservation media products to the high-growth regenerative medicine segment and BioLife's worldwide distributor network.
Mike Rice, BioLife President & CEO, commented, "2018 was a banner year for BioLife on several fronts, with record revenue of nearly $20 million, our first full year of profitability, the addition of 84 new direct cell and gene therapy customers, and 57 new FDA master file cross references for the use of CryoStor and HypoThermosol in customer clinical trials. We expect to deliver another strong performance in 2019, driven by demand for our biopreservation media products and our newly acquired Astero automated thawing technologies."
2018 Market Segment & Channel Highlights
Regenerative Medicine (cell therapy, tissue engineering, stem cell transplant)
-- Product revenue: $11.0 million; 56% of total revenue representing a 108% increase over 2017.
-- Shipped first-time orders to 84 new direct cell or g ene therapy customers.
-- Processed 57 FDA master file cross reference letters supporting our products in planned cell or gene therapy clinical trials. This is up from 27 in 2016 and 47 in 2017.
Distributors
-- Product revenue: $6.4 million; 33% of total revenue with 99% growth over 2017.
-- Key worldwide distributors: STEMCELL Technologies, MilliporeSigma, Thermo Fisher and VWR.
-- Provided scientific and technical support to an increasing number of distributor customers in the cell and gene therapy market segment, specifically in China.
Financial Highlights for the Fourth Quarter and Full Year 2018
REVENUE
-- Total revenue for the fourth quarter of 2018 increased to $5.5 million compared with $3.1 million for the fourth quarter of 2018, a year-over-year gain of 74%.
-- Total revenue for the year 2018 increased to $19.7 million compared with $11.0 million for the year 2017, a year-over-year gain of 79%.
GROSS MARGIN
-- Gross margin for the fourth quarter of 2018 was 69% compared with 59% in the fourth quarter of 2017.
-- Gross margin for the year 2018 was 69% compared with 61% for the year 2017.
OPERATING INCOME/LOSS
-- Operating income for the fourth quarter of 2018 was $1.0 million, compared with an operating loss of $218,000 for the fourth quarter of 2017.
-- Operating income for the year 2018 was $3.7 million, compared with an operating loss of $1.1 million for the year 2017.
NET INCOME/LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS
-- Net income attributable to common stockholders for the fourth quarter of 2018 was $833,000, compared with a net loss of $664,000 for the fourth quarter of 2017.
-- Net income attributable to common stockholders for the year 2018 was $2.9 million, compared with a net loss of $2.7 million for the year 2017.
EARNINGS/LOSS PER SHARE
-- Earnings per share for the fourth quarter of 2018 were $0.04 on a fully diluted basis compared with a loss per share of ($0.05) per share for the fourth quarter of 2017.
-- Earni ngs per share for the year 2018 were $0.14 on a fully diluted basis compared with a loss per share of ($0.21) for the year 2017.
EBITDA
-- EBITDA, a non-GAAP financial measure, for the fourth quarter of 2018 was $828,000 compared with a negative $478,000 for the fourth quarter of 2017. Adjusted EBITDA for the fourth quarter of 2018 was $1.5 million compared with $132,000 for the fourth quarter of 2017.
-- EBITDA for the year 2018 was $3.3 million compared with a negative $1.8 million for 2017. Adjusted EBITDA for the year 2018 was $5.5 million compared with $444,000 for the year 2017.
CASH
-- Our cash and cash equivalents at December 31, 2018 were $30.7 million compared with $6.7 million at December 31, 2017. We believe our current cash resources, combined with continued expected cash flow from operations is more than adequate to fund the upfront and contingent payments related to the acquisition of Astero.
2019 Financial Guidance
Our financial guidance for the full year 2019 is based on expectations for our existing business and includes the expected impact of the acquisition of Astero beginning in the second quarter of 2019.
-- Total revenue is expected to be in the range of $27 million to $30 million, reflecting overall year-over-year revenue growth of 37% to 52%.
-- Gross margin is expected in the range of 69% to 70%.
-- Operating expenses is expected in the range of $15.5 million to $16.5 million.
-- Expectation for full-year operating profit, net income and EBITDA.
Conference Call & Webcast
The Company will host a conference call and live webcast at 4:30 p.m. ET this afternoon. To access the webcast, log on to the Investor Relations page of the BioLife Solutions website at www.biolifesolutions.com/earnings. Alternatively, you may access the live conference call by dialing (844) 825-0512 (U.S. & Canada) or (315) 625-6880 (International) with the following Conference ID: 7090558. A webcast replay will be available approximately two hours after the call and will be archived on www.biolifesolutions.com for 90 days.
BioLife Solutions completed the end-to-end lifecycle of its cell and gene therapy preservation, delivery and use systems with this new acquisition.
https://finance.yahoo.com/news/biolife-solutions-expands-cell-gene-120000591.html
BOTHELL, Wash., March 14, 2019 /PRNewswire/ -- BioLife Solutions, Inc. (BLFS) ("BioLife") today announced that it has entered into an agreement to acquire Astero Bio Corporation ("Astero"), a privately-held innovator in the design, development and commercialization of novel automated thawing devices, for an upfront cash payment of $8.0 million.
BioLife Solutions, Inc. logo. (PRNewsFoto/BIOLIFE SOLUTIONS INC.) (PRNewsfoto/BioLife Solutions, Inc.)
More
This transaction is expected to further strengthen BioLife's position as a leading supplier of disruptive, enabling solutions used in the manufacture, storage and distribution of cell and gene therapies. We believe Astero's ThawSTAR® product line broadens BioLife's bioproduction tools portfolio and increases the Company's footprint and engagement level in its customers' cell and gene therapy manufacturing workflow.
Under the terms of the share purchase agreement, Astero shareholders are eligible to receive up to an additional $4.5 million in cash based on the completion of certain product development milestones and an additional $8.0 million in cash over the next three years based on attainment of specific revenue targets. The transaction includes all Astero intellectual property comprised of 20 pending patents related to thawing and other cold chain technologies. The transaction is expected to close within 30 days.
Mike Rice, BioLife CEO, commented, "The addition of Astero's products supports our mission of building a broader cell and gene therapy tools company that we believe will offer more value to our customers in the high-growth regenerative medicine market. Reimbursement of cell and gene therapies is evolving into a "pay on cure" paradigm, with payment predicated on a positive patient response. Like our biopreservation media products, Astero products mitigate the risk of administering a non-viable dose. The synergies in this transaction include targeting the same customer base."
Astero CEO and co-founder Samuel Kent, a seasoned life science tools sales and marketing executive, will join BioLife upon closing as Vice President, Thaw Technology Sales. "We are thrilled to join the BioLife team," said Kent. "We've known the Company and its leadership for many years and have admired their thoughtful strategy and crisp execution. As a result, CryoStor® and HypoThermosol® are the de facto standard for cell and gene therapy biopreservation media. No doubt the ThawSTAR® product line will benefit from leveraging Biolife's sales and marketing capabilities and the reputation of Aby J. Mathew, Ph.D., BioLife's CTO, in the regenerative medicine scientific community."
The ThawSTAR® product line is comprised of a family of automated thawing devices for frozen cell and gene therapies packaged in cryovials and cryobags. The products improve the quality of administration of high-value, temperature-sensitive biologic therapies to patients by standardizing the thawing process and reducing the risks of contamination and overheating, which are inherent with the use of traditional water baths. In a recently published market research report, Infinium Global Research estimates that the worldwide market for automated thawing devices will exceed $150 million by 2024, driven by the growth in the number of cell and gene therapy clinical trials and approvals.
Expected Strategic Benefits of the Transaction
Sales and Marketing Leverage: BioLife expects to leverage existing relationships with key decision makers among its marquee customer base that includes leading cell and gene therapy companies in the regenerative medicine market. The ThawSTAR® technologies are considered best practices in the bioproduction of cell and gene therapies and expected to resonate with the regenerative medicine industry.
Reimbursement Leverage: The reimbursement environment for expensive regenerative therapies is evolving into a "pay on cure" paradigm. With reimbursement predicated on therapeutic efficacy and patient response, cell and gene therapy companies need to mitigate the risk associated with administering a non-viable dose to the patient. Key risk mitigators include using optimized preservation media and automated thawing devices.
Financial Impact
"While we expect the revenue contribution in 2019 from the Astero product line to be relatively modest, we believe that by 2021, this could contribute as much as 15% of BioLife's total revenue. Furthermore, we believe the transaction will be accretive on an adjusted EBITDA basis within 12 to 18 months," stated Roderick de Greef, Chief Financial Officer. "We expect the transaction to close within 30 days, and will provide additional commentary on the financial impact of the acquisition when we review our 2019 guidance on this afternoon's conference call."
Conference Call & Webcast
The Company will host a conference call and live webcast beginning at 4:30 p.m. Eastern time this afternoon to discuss 2018 fourth quarter and full year financial results, discuss the transaction and provide other business updates. To access the live webcast, please go to www.biolifesolutions.com and click on the top banner, or directly at www.biolifesolutions.com/earnings/. Alternatively, you may access the live conference call by dialing (844) 825-0512 (U.S. & Canada) or (315) 625-6880 (International) with the following Conference ID: 7090558. A webcast replay will be available approximately two hours after the call and will be archived on www.biolifesolutions.com for 90 days.
[the usual verbiage about each company and forward looking statements follows]
Maybe just completing the right side of the cup and will now form the handle.
Nice break out of the cup and handle pattern.
Yes. We will see the biggest gains once our customers start getting their approvals and revenue starts jumping. In the meanwhile, they will continue to expand their customer base.
Patience should pay off here.
How did you reach that valuation?
I think it will get there, but this is probably premature.
Back over $14. Off to the races?
"Today, at the Phacilitate Cell & Gene Therapy World Leaders conference in Miami, SAVSU introduced the evo ACS™ and the evo DV7™. The evo ACS is a category-breaking 2-8°C shipper specifically designed for shipping apheresis collections of live cells intended for downstream manufacturing of autologous cell therapies. A smart system with thermal autonomy of 15+ days, the ACS allows cell therapy companies to safely source incoming materials globally while providing a high degree of supply chain control. Built for the challenges of commercialization, the ACS, connected to the evo.is, is "always on" and does not require special training or "button pushing" by hospital staff to turn the device on, as is the case with other shipping containers.
Bruce McCormick, President of SAVSU, said, "The ACS is a game changer. It gives our cell and gene therapy customers an unprecedented degree of flexibility in designing systems for their fresh cells that reduce risk, increase intelligence, and can scale through commercialization. With the current awareness of the impact variability of apheresis collections can have on final cell quality and therapeutic efficacy, we believe evo ACS will be very well received and preferred by the leading cell therapy developers."
...
BioLife Solutions (BLFS), holds a 44% equity ownership position in SAVSU."
https://finance.yahoo.com/news/policies-advance-development-cell-gene-130000189.html
"BOTHELL, Wash., Jan. 22, 2019 /PRNewswire/ -- BioLife Solutions, Inc. (BLFS), the leading developer, manufacturer and marketer of proprietary biopreservation media products for cell and gene therapies, expects to benefit from new policies to advance the development of safe and effective cell and gene therapies as set forth in a statement issued by the U.S. Food and Drug Administration (FDA) on January 15, 2019."
https://finance.yahoo.com/news/policies-advance-development-cell-gene-130000189.html
Today's downdraft brought to you by...
https://finance.yahoo.com/news/xerox-becomes-fallen-angel-moody-223107334.html
(Bloomberg) -- Xerox Corp. is the newest addition to the set of companies downgraded to junk from investment grade.
After being downgraded by Fitch Ratings in August, Moody’s Investors Service followed suit Friday, citing an uncertain revenue base amid a decline in demand for copy and printing services as well as intense global competition.
The company is also on review for a downgrade by S&P Global Ratings, with their watch period ending within the next 10 days.
The company’s notes due in 2021 widened 56 basis points to 300 above Treasuries in Friday’s session, according to Trace price data, and were the most active in the investment-grade market. The cost to protect against losses on Xerox debt also jumped, reaching the highest level since 2009. Credit-default swaps on the company widened 33 basis points to 349, data from CMA show.
Investors are worried about a flood of “fallen angels,” or investment-grade credits that fall into junk. There are concerns that a number of BBB rated companies, the lowest-rated rung of the high-grade space, may become subject to downgrades when the cycle turns as several have spent much of the last decade issuing debt to take advantage of low borrowing costs.
In October, Bloomberg Intelligence analysts Robert Schiffman and Mike Campellone cited concerns over secular declines and execution challenges at Xerox that were unlikely to dissipate in the near-term. “Ratings pressure is likely to persist, with additional non-investment grade risk growing each quarter,” they said.
Also from the CC:
"We estimate each customer clinical application, if approved and at full manufacturing scale, represents annual revenue in the range of $500,000 to $2 million, and we have several potential outliers that greatly exceed this annual revenue range. It's really important to note that a very small portion of our current regen med segment revenue and an even smaller portion of total revenue comes from approved cell therapies. The point being, we're not dependent on approved customer cell therapies to drive our growth this year or in the near term.
Recall that we are guiding 2018 revenue growth in the range of 72% to 82% over 2017. We don't believe that revenue from approved customer cell therapies will have a material impact on our revenue growth for 3 to 5 years. So to drive the point home, the slower-than-anticipated adoption of approved cell therapies will not materially affect our expected revenue growth in 2019 or 2020. We have a broad and marquee base of clinical trial stage cell and gene therapy customers that are generating significant product demand and revenue before they obtain regulatory approval. And as I mentioned, we see strong pull-through as our products are embedded in follow-on clinical trials after first use. The upside revenue growth phase when we have a number of customers with approved cell and gene therapy is still yet to come."
In other words, keep accumulating.
"We now have 18.5 million common shares issued and outstanding. Since the beginning of this year, the nonaffiliate warrant overhang, which totaled 2.8 million warrants has effectively been eliminated, and we now have only 209,000 of these warrants outstanding. Adding insight, our options and warrants brings our current fully diluted share count to 25.9 million."
https://finance.yahoo.com/news/biolife-solutions-announces-third-quarter-210500833.html
"Roderick de Greef, BioLife Solutions, Inc. - CFO & Secretary [4]
--------------------------------------------------------------------------------
Thanks, Mike. As you noted, biopreservation media revenue for the third quarter of 2018 reached a record $5.3 million, representing a 79% increase over the third quarter of last year. For the 9 months ended September 30, revenue grew 81% to $14.3 million, up from $7.9 million last year. The increase in revenue for both periods was primarily the result of higher direct sales to our customers in the regen med space and to our indirect distribution channel.
The gross margin for the third quarter of 2018 increased to 70% compared to 63% in the third quarter of last year. For the first 9 months of this year, gross margin was 68% compared to 62% for the same period in 2017. The increase in gross margin for both periods compared to 2017 was primarily driven by volume-related reductions in cost of goods sold and higher blended product ASPs.
Operating expenses in Q3 totaled $2.5 million compared to $1.9 million in Q3 of 2017. For the first 9 months of 2018, operating expenses totaled $7.2 million compared to $5.7 million in the first 9 months of 2017. The increase in operating expenses for both periods is primarily the result of higher performance-based compensation expense, increased sales and marketing expenditures and increase cost related to enhancing our quality management systems.
The third quarter's operating profit was $1.2 million compared to an operating loss of $32,000 in the third quarter of 2017. For the 9-month period, operating profit totaled $2.6 million compared to an operating loss of $838,000 for the same period.
For the third quarter, net income attributable to common shareholders was $1.2 million or $0.05 per diluted share. This compares to a net loss attributable to common shareholders for the third quarter of 2017 of $425,000 or $0.03 per diluted share. For the first 9 months of 2018, net income attributable to common shareholders was $2.1 million or $0.10 per diluted share compared to a net loss of $2.1 million or $0.16 per diluted share last year.
EBITDA for the third quarter was positive $1.2 million compared to negative $234,000 in the same period last year. For the 9 months, EBITDA was positive $2.5 million compared to negative $1.4 million in the first 9 months of 2017.
Cash provided by operations for the third quarter totaled $809,000 compared to $74,000 in the third quarter of 2017. For the 9 months, cash provided by operations was $1.8 million this year compared to cash used by operations of $198,000 for the same period last year.
The combination of cash flow from operations, proceeds from the exercise of outstanding warrants, and the $20 million equity investment made by Casdin Capital, less our incremental $5 million investment in SAVSU, resulted in an ending cash balance at September 30 of $32.4 million compared to $6.7 million at December 31, 2017.
With respect to our outlook for the full year of 2018, we affirm the guidance we have previously provided. As we noted in our preliminary revenue release in early October, we expect revenue to range between $19 million and $20 million, representing 72% to 82% growth over 2017. We expect our gross margin for the full year to come in between 68% to 70% compared to 61% in 2017.
2018 operating expenses are expected to range between $9.5 million and $10 million, and we expect full year operating profitability, net income and positive cash flow from operations. We will provide guidance for 2019 on our next earnings call."
Anybody know why this is falling off a cliff?
"Third quarter 2018 preliminary revenue from sales of BioLife's biopreservation media products reached a record $5.3 million, representing a 79% increase over the third quarter of 2017."
https://finance.yahoo.com/news/biolife-solutions-reports-record-third-120000143.html
This news is being viewed negatively? Buying opp?
"BioLife Solutions Increases Ownership in SAVSU Technologies to 44% with $5 Million Investment"
https://finance.yahoo.com/news/biolife-solutions-increases-ownership-savsu-120000084.html
This? Well, it's exposure.
BioLife Solutions, Inc. (NASDAQ: BLFS) ("BioLife"), the leading supplier of proprietary biopreservation media products for cell and gene therapies, today announced that CEO Mike Rice, accompanied by the senior management team and board of directors, will ring the Nasdaq Stock Market Closing Bell on Wednesday, August 29th. The ceremony, which will take place between 3:45 p.m. and 4:15 p.m. Eastern Time, will stream live online at https://new.livestream.com/nasdaq/live.
https://mma.prnewswire.com/media/464869/BioLife_Solutions.jpg
Mike Rice, BioLife President & CEO, commented, "This is a great honor for the entire BioLife team and our board of directors. Since our uplisting to the Nasdaq National Market in March 2014, we have built a very strong, profitable business in the high-growth bioproduction tools market. I'd like to thank our board, and long-term and new shareholders for their support of BioLife."
Why is this blowing up today?
I think management did a good job providing a heads up.
From the first quarter report:
Roderick de Greef, BioLife Chief Financial Officer, remarked, "Our first quarter financial results continue a multi-quarter trend of across-the-board improvements, culminating with achieving operating profitability earlier than anticipated. The recent warrant exercises, combined with our expectation for ongoing positive cash flow from operations, materially enhance our cash position and strengthens our balance sheet."
2018 Financial Guidance
Management is updating its financial guidance for 2018 as follows:
Affirming biopreservation media revenue is now expected to range between $14.5 million to $15.5 million, representing growth of 32% to 41% over 2017.
Increasing gross margin to 63% to 65%, up from prior guidance of 62% to 64% and up from 61% in 2017.
Affirming operating expenses to range between $9.0 to $9.5 million; compared with $7.8 million in 2017; and
Affirming full-year GAAP operating profit, with proportional increases in adjusted EBITDA and cash flow from operations.
Why? Stock splits always felt like something unhealthy companies do.
Good earnings negated by the COO stepping down. Sigh.
One of the best results I've ever seen.
You think this company might have a bright future?
BioLife Solutions Announces Second Quarter 2018 Financial Results
PR Newswire
8:15 AM ET
BioLife Solutions, Inc. (NASDAQ: BLFS) ("BioLife"), the leading developer, manufacturer and marketer of proprietary clinical grade cell and tissue hypothermic storage and cryopreservation freeze media, today reported financial results and operational highlights for the three and six months ended June 30, 2018.
https://mma.prnewswire.com/media/464869/BioLife_Solutions.jpg
Revenue from biopreservation media product sales for the second quarter of 2018 reached a new record of $5.2 million, an increase of 102% from the second quarter of 2017, and an increase of 36% from the first quarter of 2018. Revenue from biopreservation media product sales for the first half of 2018 totaled $9.0 million, an increase of 83% compared with the prior-year period. Product revenue growth for both periods was driven by sales of CryoStor(R) and HypoThermosol(R) clinical-grade biopreservation media to the high-growth cell and gene therapy segment, and to BioLife's worldwide distributor network.
Second Quarter 2018 Financial Results
-- Gross margin for the second quarter of 2018 increased to 70% from 63% in the second quarter of 2017, due to higher average selling prices per liter, and reduced COGS per liter resulti ng from higher production volume driven by increased sales of CryoStor to the regenerative medicine market segment.
-- Operating expenses for the second quarter of 2018 were $2.4 million, compared with $1.9 million for the second quarter of 2017, reflecting higher performance-based compensation expense and increased expenditures related to enhancing our quality management system.
-- Operating profit for the second quarter of 2018 was $1.3 million, compared with an operating loss of $341,000 for the second quarter of 2017.
-- Net income attributable to common stockholders for the second quarter of 2018 was $1.0 million, or $0.05 per diluted share, compared with a net loss attributable to common stockholders of $768,000, or $0.06 per share, for the second quarter of 2017.
-- EBITDA for the second quarter of 2018 was positive $1.2 million compared with negative $514,000 for the second quarter of 2017.
-- Adjusted EBITDA for the second quarter of 2018 was $1.7 million compared with $59,000 for the second quarter of 2017.
-- Cash provided by operations for the second quarter of 2018 was $562,000, compared with cash used by operations of $103,000 for the prior-year period.
-- Cash balance at June 30, 2018 was $14.2 million compared with $2.3 million at June 30, 2017, and $6.7 million at December 31, 2017.
Mike Rice, BioLife President & CEO, commented, "In Q2, we demonstrated our ability to efficiently manage the business during a sustained h igh-growth phase. We continued to see strong demand for our proprietary products in the cell and gene therapy segment, and expect this to continue for the next several quarters based on awareness of our products in this market segment and the number of new clinical trials in process by our customers."
Q2 2018 Market Segment & Channel Highlights
Regenerative Medicine (cell therapy, tissue engineering, stem cell transplant)
-- Product revenue: $3.0 million; 58% of total revenue, with 176% growth over Q2 2017 and 42% growth over Q1 2018.
-- Gained 37 new cell and gene therapy companies in the regenerative medicine market segment.
Distributors
-- Product revenue: $1.7 million; 33% of total revenue with 144% growth over Q2 2017 and 63% growth over Q1 2018.
-- Key worldwide distributors: STEMCELL Technologies, MilliporeSigma, Thermo Fisher and VWR.
Six Month Financial Results
-- Gross margin for the six months ended June 30, 2018 increased to 68% from 62% in the same period last year, due to higher average selling prices per liter, and reduced COGS per liter resulting from higher production volume, driven by increased sales of CryoStor to the regenerative medicine market segment.
-- Operating expenses for the first six months of 2018 were $4.7 million, compared with $3.8 million for the same period in 2017, reflecting higher performance-based compensation expense and increased expenditures related to enhancing our quality management system.
-- Operating profit for the first half of 2018 was $1.4 million, compared with an operating loss of $805,000 for the first half of 2017.
-- Net income attributable to common stockholders for the six months ended June 30, 2018 was $9 43,000, or $0.05 per diluted share, compared with a net loss attributable to common stockholders of $1.6 million, or $0.13 per share, for the same period in 2017.
-- EBITDA for the first six months of 2018 was positive $1.3 million compared with negative $1.1 million for same period in 2017.
-- Adjusted EBITDA for the six months ended June 30, 2018 was $2.3 million compared with $15,000 for the prior year period.
-- Cash provided by operations for first six months of 2018 was $953,000, compared with cash used by operations of $272,000 for the prior-year period.
Roderick de Greef, BioLife Chief Financial Officer, remarked, "Our second quarter financial results mark the first time since inception that BioLife has achieved positive net income, underscoring the operating leverage we can realize on higher revenue levels. Given our strong financial results for the first half of 2018 and our outlook for the remainder of the year, we now expect 2018 to be our first full year of profitability."
2018 Financial Guidance
Management provided 2018 financial guidance as follows:
-- Affirmed guidance for biopreservation media revenue to be between $18.5 million and $20.0 million, representing growth of 68% to 82% over 2017.
-- Revised guidance for gross margin to be between 68% and 70%, up from prior guidance of 63% to 65% and up from 61% in 2017.
-- Revised guidance for operating expenses to between $9.5 million to $10.0 million, up from $9.0 million to $9.5 million and compared with $7.8 million in 2017.
-- Affirmed guidance for full-year GAAP operating profit, with proportional increases in EBITDA, adjusted EBITDA and cash flow from operations.
-- Anticipate full-year 2018 GAAP net income.
Conference Call & Webcast
The Company will host a conference call and live webcast at 10:00 a.m. ET this morning. To access the live webcast, please go to www.biolifesolutions.com and click on the top banner, or directly at www.biolifesolutions.com/earnings/. Alternatively, you may access the live conference call by dialing (844) 825-0512 (U.S. & Canada) or (315) 625-6880 (International) with the following Conference ID: 4968357. A webcast replay will be available approximately two hours after the call and will be archived on www.biolifesolutions.com for 90 days.
BioLife Solutions Announces Second Quarter 2018 Financial Results
PR Newswire
8:15 AM ET
BioLife Solutions, Inc. (NASDAQ: BLFS) ("BioLife"), the leading developer, manufacturer and marketer of proprietary clinical grade cell and tissue hypothermic storage and cryopreservation freeze media, today reported financial results and operational highlights for the three and six months ended June 30, 2018.
https://mma.prnewswire.com/media/464869/BioLife_Solutions.jpg
Revenue from biopreservation media product sales for the second quarter of 2018 reached a new record of $5.2 million, an increase of 102% from the second quarter of 2017, and an increase of 36% from the first quarter of 2018. Revenue from biopreservation media product sales for the first half of 2018 totaled $9.0 million, an increase of 83% compared with the prior-year period. Product revenue growth for both periods was driven by sales of CryoStor(R) and HypoThermosol(R) clinical-grade biopreservation media to the high-growth cell and gene therapy segment, and to BioLife's worldwide distributor network.
Second Quarter 2018 Financial Results
-- Gross margin for the second quarter of 2018 increased to 70% from 63% in the second quarter of 2017, due to higher average selling prices per liter, and reduced COGS per liter resulti ng from higher production volume driven by increased sales of CryoStor to the regenerative medicine market segment.
-- Operating expenses for the second quarter of 2018 were $2.4 million, compared with $1.9 million for the second quarter of 2017, reflecting higher performance-based compensation expense and increased expenditures related to enhancing our quality management system.
-- Operating profit for the second quarter of 2018 was $1.3 million, compared with an operating loss of $341,000 for the second quarter of 2017.
-- Net income attributable to common stockholders for the second quarter of 2018 was $1.0 million, or $0.05 per diluted share, compared with a net loss attributable to common stockholders of $768,000, or $0.06 per share, for the second quarter of 2017.
-- EBITDA for the second quarter of 2018 was positive $1.2 million compared with negative $514,000 for the second quarter of 2017.
-- Adjusted EBITDA for the second quarter of 2018 was $1.7 million compared with $59,000 for the second quarter of 2017.
-- Cash provided by operations for the second quarter of 2018 was $562,000, compared with cash used by operations of $103,000 for the prior-year period.
-- Cash balance at June 30, 2018 was $14.2 million compared with $2.3 million at June 30, 2017, and $6.7 million at December 31, 2017.
Mike Rice, BioLife President & CEO, commented, "In Q2, we demonstrated our ability to efficiently manage the business during a sustained h igh-growth phase. We continued to see strong demand for our proprietary products in the cell and gene therapy segment, and expect this to continue for the next several quarters based on awareness of our products in this market segment and the number of new clinical trials in process by our customers."
Q2 2018 Market Segment & Channel Highlights
Regenerative Medicine (cell therapy, tissue engineering, stem cell transplant)
-- Product revenue: $3.0 million; 58% of total revenue, with 176% growth over Q2 2017 and 42% growth over Q1 2018.
-- Gained 37 new cell and gene therapy companies in the regenerative medicine market segment.
Distributors
-- Product revenue: $1.7 million; 33% of total revenue with 144% growth over Q2 2017 and 63% growth over Q1 2018.
-- Key worldwide distributors: STEMCELL Technologies, MilliporeSigma, Thermo Fisher and VWR.
Six Month Financial Results
-- Gross margin for the six months ended June 30, 2018 increased to 68% from 62% in the same period last year, due to higher average selling prices per liter, and reduced COGS per liter resulting from higher production volume, driven by increased sales of CryoStor to the regenerative medicine market segment.
-- Operating expenses for the first six months of 2018 were $4.7 million, compared with $3.8 million for the same period in 2017, reflecting higher performance-based compensation expense and increased expenditures related to enhancing our quality management system.
-- Operating profit for the first half of 2018 was $1.4 million, compared with an operating loss of $805,000 for the first half of 2017.
-- Net income attributable to common stockholders for the six months ended June 30, 2018 was $9 43,000, or $0.05 per diluted share, compared with a net loss attributable to common stockholders of $1.6 million, or $0.13 per share, for the same period in 2017.
-- EBITDA for the first six months of 2018 was positive $1.3 million compared with negative $1.1 million for same period in 2017.
-- Adjusted EBITDA for the six months ended June 30, 2018 was $2.3 million compared with $15,000 for the prior year period.
-- Cash provided by operations for first six months of 2018 was $953,000, compared with cash used by operations of $272,000 for the prior-year period.
Roderick de Greef, BioLife Chief Financial Officer, remarked, "Our second quarter financial results mark the first time since inception that BioLife has achieved positive net income, underscoring the operating leverage we can realize on higher revenue levels. Given our strong financial results for the first half of 2018 and our outlook for the remainder of the year, we now expect 2018 to be our first full year of profitability."
2018 Financial Guidance
Management provided 2018 financial guidance as follows:
-- Affirmed guidance for biopreservation media revenue to be between $18.5 million and $20.0 million, representing growth of 68% to 82% over 2017.
-- Revised guidance for gross margin to be between 68% and 70%, up from prior guidance of 63% to 65% and up from 61% in 2017.
-- Revised guidance for operating expenses to between $9.5 million to $10.0 million, up from $9.0 million to $9.5 million and compared with $7.8 million in 2017.
-- Affirmed guidance for full-year GAAP operating profit, with proportional increases in EBITDA, adjusted EBITDA and cash flow from operations.
-- Anticipate full-year 2018 GAAP net income.
Conference Call & Webcast
The Company will host a conference call and live webcast at 10:00 a.m. ET this morning. To access the live webcast, please go to www.biolifesolutions.com and click on the top banner, or directly at www.biolifesolutions.com/earnings/. Alternatively, you may access the live conference call by dialing (844) 825-0512 (U.S. & Canada) or (315) 625-6880 (International) with the following Conference ID: 4968357. A webcast replay will be available approximately two hours after the call and will be archived on www.biolifesolutions.com for 90 days.