In This Article:
-
Revenue: $22 million in Q3 2024, down 13% year-over-year and 5% sequentially.
-
Gross Margin: $12.8 million or 58.1%, close to the 60% target.
-
Operating Loss (GAAP): $1.9 million.
-
Adjusted Operating Income: $800,000 or 3.8% of revenue.
-
Adjusted EBITDA: $1.3 million or 6% of revenue.
-
Americas Revenue: Down 12% year-over-year in Q3 2024.
-
Preclinical Sales: Declined 26% year-over-year.
-
Cellular and Molecular Revenue Growth: 15% year-over-year.
-
Europe Revenue: Down 12% year-over-year, stabilized sequentially.
-
APAC Revenue: Down 20% year-over-year and sequentially.
-
Adjusted EBITDA (Year-over-Year): Decreased from $2.2 million to $1.3 million.
-
Cash Flow Used in Operations: $0.8 million in Q3 2024.
-
Net Debt: Slightly above the end of 2023 levels.
-
Full Year Revenue Guidance: Reduced to $93 to $96 million.
-
Q4 Revenue Expectation: $23 to $26 million.
-
Q4 Gross Margin Expectation: 59% to 60% range.
-
Q4 Adjusted EBITDA Margin Expectation: Mid 10s percentage.
Release Date: November 07, 2024
For the complete transcript of the earnings call, please refer to the full earnings call transcript.
Positive Points
-
Harvard Bioscience Inc (NASDAQ:HBIO) has successfully transitioned and merged all US operations onto one modern P system, improving inventory and supply chain management.
-
The company has introduced new products, such as the Soho family of telemetry devices and the Beva Mars neurobehavioral monitoring system, which are expected to drive future demand.
-
Harvard Bioscience Inc (NASDAQ:HBIO) has taken actions to reduce operating expenses by an additional $1 million per quarter, aiming for self-funding operations even in low revenue quarters.
-
The company is seeing a positive trend in global trailing three-month order profiles, indicating potential growth.
-
New product introductions, such as the CGMP compliant amino acid analyzer system and mesh MEA organoid platforms, are positioned to support high growth in bioproduction and organoid research applications.
Negative Points
-
Revenue in the third quarter was $22 million, a 13% decrease compared to the same quarter last year, primarily due to weakness in China and Asia Pacific.
-
The company reported an operating loss of $1.9 million on a GAAP basis for the quarter.
-
Adjusted EBITDA decreased from $2.2 million last year to $1.3 million this year, driven by lower gross margin dollars.
-
Harvard Bioscience Inc (NASDAQ:HBIO) is currently unable to make additional borrowings under its revolver facility due to net leverage ratio limitations.
-
The APAC market has been challenging, with a 20% revenue decline compared to the prior year, affecting sales in both preclinical and cellular and molecular products.