#United States #Burlington #Multiomics #Azenta #Sample Management

Azenta Inc. Reports Q1 2025 Financial Results

Azenta, Inc. (Nasdaq: AZTA) released its financial outcomes for the first quarter ending December 31, 2024, exhibiting a 4% year-over-year growth in total revenue. This growth can be attributed primarily to a substantial rise in revenues from its Sample Management Solutions and Multiomics services, highlighting the company's ongoing evolution in the life sciences market.

Financial Overview

The company's revenue during this quarter reached $148 million, as compared to $142 million a year earlier. Specifically, the revenue breakdown indicated $81 million from Sample Management Solutions, reflecting a 3% year-on-year boost, and $66 million from Multiomics, which marks a notable 6% growth compared to the previous year.

Detailed Insights

The results reveal an organic revenue growth of 4%, affirming that both Sample Management Solutions and Multiomics continue to be pivotal to Azenta's overall performance. The company has particularly benefited from a surge in demand for its clinical and cryogenic storage systems. Moreover, revenues from Next Generation Sequencing demonstrated substantial progress, albeit with a noted decline in Sanger Sequencing revenues that tempered the overall growth in Multiomics.

Despite these gains, Azenta recorded a diluted loss per share from continuing operations of $0.21, which is an increase from the previous year's loss of $0.13. Additionally, the total diluted loss per share was $0.29, showing a slight decline from $0.28 year-over-year. This financial performance reflects higher operational costs with operating expenses rising to $80 million, influenced by an increase in selling and administrative expenditures.

Management's Perspective

Commenting on the financial results, John Marotta, President and CEO, expressed optimism about the company's position, stating, "Our first quarter results represent a strong start to fiscal 2025 as we see positive momentum in the demand for our unique offering of Sample Management Solutions and Multiomics services." He highlighted the sustained customer needs that align with Azenta’s transformation initiatives and strategic direction, underscoring the company’s commitment to managing costs effectively.

Cash and Liquidity

As of December 31, 2024, Azenta reported a solid cash position with a total balance of $530 million, contributing to an operating cash flow of $30 million for the quarter. Additionally, free cash flow reached $22 million, bolstering the company's overall liquidity as it continues to invest in growth and innovation across its diverse service offerings.

Forecast for Fiscal 2025

Looking ahead, Azenta maintains its optimistic revenue guidance for the fiscal year 2025, expecting organic revenue growth in the range of 3% to 5% compared to fiscal 2024. Furthermore, the company anticipates an adjusted EBITDA margin expansion of approximately 300 basis points relative to the previous fiscal year. This forward-looking outlook showcases Azenta’s resilience and strategic planning amidst evolving market dynamics.

Conclusion

In summary, Azenta, Inc.’s Q1 2025 financial results reflect a firm commitment to growth, driven by its signature Sample Management Solutions and Multiomics services. While navigating through challenges, the company demonstrates a robust operational foundation and a proactive approach towards capitalizing on market opportunities, which will undeniably shape its trajectory in the industry. Azenta’s leadership emphasizes the importance of adaptability and customer alignment as keys to sustaining this positive trend in the life sciences sector.

Those interested can follow Azenta’s journey including future announcements through its Investor Relations section on its official website.