Accelerate Diagnostics Reports Fourth Quarter and Full-Year 2024 Financial Results
TUCSON, Ariz., March 21, 2025 /PRNewswire/ -- Accelerate Diagnostics, Inc. (NASDAQ:AXDX) today reports financial results for the fourth quarter and year ended December 31, 2024.
2024 Fourth Quarter Results
- Net sales for the quarter were $2.8 million, compared to $3.0 million for the same quarter of the prior year. The decline in revenues was primarily driven by lower sales of consumable products compared to the same period in the prior year.
- Gross margin was approximately 16% for the quarter, compared to approximately 21% for the same quarter of the prior year. The decline in gross margin primarily resulted from higher manufacturing related costs due to inflation and other factors.
- Selling, general, and administrative (SG&A) costs for the quarter were $4.6 million, compared to $5.8 million for the same quarter of the prior year. The decline in SG&A costs was primarily a result of lower employee-related expenses. SG&A costs include non-cash stock-based compensation of $0.8 million and $1.0 million, respectively, for the same periods.
- Research and development (R&D) costs for the quarter were $3.8 million, compared to $5.6 million for the same quarter of the prior year. The decline in R&D costs was primarily a result of lower third-party development costs for our Accelerate WAVETM system. R&D costs include non-cash stock-based compensation of $0.2 million and $0.3 million, respectively, for the same periods.
- Net loss was $9.6 million for the quarter, resulting in $0.38 net loss per share.
- Ended the quarter with approximately $16.3 million in cash and cash equivalents, compared to $20.9 million at the start of the fourth quarter, a reduction in cash and cash equivalents for the fourth quarter of 2024 of $4.6 million.
2024 Full Year Results
- Net sales were $11.7 million for the year, compared to $12.1 million in the prior year. While year-over-year revenues for consumable products increased by approximately 3%, overall annual revenue was down year-over-year due to a challenging capital sales environment in all our sales regions.
- Gross margin was approximately 23% for the year, compared to approximately 21% for the prior year.
- SG&A costs were $21.3 million for the year, compared to $31.2 million for the prior year. The decline in SG&A costs was primarily a result of lower employee-related expenses during the year. SG&A costs include non-cash stock-based compensation of $3.4 million and $3.7 million, respectively, for the same periods.
- R&D costs were $16.7 million for the year, compared to $25.4 million for the prior year. The decline in R&D costs was primarily a result of lower employee-related expenses as well as lower third-party development for our Accelerate WAVE system. R&D costs include non-cash stock-based compensation of $0.9 million and $1.4 million, respectively, for the same periods.
- Net loss was $50.0 million for the year, resulting in $2.15 net loss per share.
Full financial results for the year ended December 31, 2024 will be filed on Form 10-K through the Securities and Exchange Commission's (SEC) website at http://www.sec.gov.
Moving forward, Accelerate Diagnostics, Inc. does not plan to host regular earnings conference calls. The company remains dedicated to providing timely updates on its financial performance through its SEC filings and investor relations materials available on its website.
Investors are encouraged to visit ir.axdx.com for quarterly and annual financial results, presentations, and other investor resources.
Use of Non-GAAP Financial Measures
This press release contains certain financial measures that are not recognized measures under accounting principles generally accepted in the United States of America ("GAAP"), which include cost of sales, SG&A expenses, R&D expenses and loss from operations amounts excluding inventory write-downs and non-cash equity-based compensation expenses, as applicable (the "Non-GAAP Measures").
Our management and board of directors use the Non-GAAP Measures to understand and evaluate our operating performance and trends, to prepare and approve our annual budget and to develop short-term and long-term operating and financing plans. Accordingly, we believe that the Non-GAAP Measures provide useful information for investors in understanding and evaluating our operating results in the same manner as our management and our board of directors. The Non-GAAP Measures should be considered in addition to, not as superior to, or as a substitute for, cost of sales, SG&A expenses, R&D expenses and loss from operations reported in accordance with GAAP. The following tables present a reconciliation of the Non-GAAP Measures to the most comparable GAAP measures for the periods indicated:
Three Months Ended December 31, | Twelve Months Ended December 31, | |||
(in thousands) | (in thousands) | |||
2024 | 2023 | 2024 | 2023 | |
Cost of sales | $ 2,367 | $ 2,394 | $ 8,994 | $ 9,509 |
Inventory write-down | - | - | - | 1,184 |
Non-cash equity-based compensation as a component of cost of sales | 10 | 53 | 112 | 300 |
Cost of sales less inventory write-down and non-cash equity-based compensation | $ 2,357 | $ 2,341 | $ 8,882 | $ 8,025 |
Three Months Ended December 31, | Twelve Months Ended December 31, | |||
(in thousands) | (in thousands) | |||
2024 | 2023 | 2024 | 2023 | |
Sales, General and Administrative | $ 4,607 | $ 5,792 | $ 21,326 | $ 31,225 |
Non-cash equity-based compensation as a component of sales, general and administrative | 790 | 1,045 | 3,381 | 3,691 |
Sales, general and administrative less non-cash equity-based compensation | $ 3,817 | $ 4,747 | $ 17,945 | $ 27,534 |
Three Months Ended December 31, | Twelve Months Ended December 31, | |||
(in thousands) | (in thousands) | |||
2024 | 2023 | 2024 | 2023 | |
Research and Development | $ 3,774 | $ 5,570 | $ 16,688 | $ 25,353 |
Non-cash equity-based compensation as a component of research and development | 164 | 266 | 889 | 1,396 |
Research and development less non-cash equity-based compensation | $ 3,610 | $ 5,304 | $ 15,799 | $ 23,957 |
Three Months Ended December 31, | Twelve Months Ended December 31, | |||
(in thousands) | (in thousands) | |||
2024 | 2023 | 2024 | 2023 | |
Loss from operations | $ (7,933) | $ (10,729) | $ (35,310) | $ (54,028) |
Non-cash equity-based compensation as a component of loss from operations | 964 | 1,364 | 4,382 | 5,387 |
Loss from operations less non-cash equity-based compensation | $ (6,969) | $ (9,365) | $ (30,928) | $ (48,641) |
About Accelerate Diagnostics, Inc.
Accelerate Diagnostics, Inc. is an in vitro diagnostics company dedicated to providing solutions for the global challenges of antibiotic resistance and sepsis. Accelerate Diagnostics' current portfolio of FDA-cleared platforms includes the Accelerate Pheno system and Accelerate PhenoTest® BC kit as well as the Accelerate Arc™ system and BC kit. The Accelerate Pheno system and Accelerate PhenoTest BC kit combine several technologies aimed at reducing the time clinicians must wait to determine the most optimal antibiotic therapy for deadly infections. This system fully automates sample preparation, identification and phenotypic antibiotic susceptibility testing in approximately seven hours directly from positive blood cultures. Recent external studies indicate the solution offers results 1–2 days faster than existing methods, enabling clinicians to optimize antibiotic selection and dosage specific to the individual patient days earlier. The Accelerate Arc system and BC kit provide a novel, automated positive blood culture sample preparation platform for use with Bruker's MALDI Biotyper® CA System (MBT-CA System) and MBT-CA Sepsityper® software extension. Designed for clinical laboratories, the Accelerate Arc system has a simple workflow that automates positive blood culture sample preparation for direct downstream microbial identification using Bruker's MBT-CA System. This innovation eliminates the need for overnight culture methods, reducing the wait time for microbial identification results, which is critical in the fight against sepsis.
© Copyright 2025 Accelerate Diagnostics, Inc. All Rights Reserved. The "ACCELERATE DIAGNOSTICS," "ACCELERATE PHENO," "ACCELERATE PHENOTEST," "ACCELERATE ARC" and "ACCELERATE WAVE" diamond shaped logos and marks are trademarks or registered trademarks of Accelerate Diagnostics, Inc. All other trademarks are the property of their respective owners.
For more information about the company, its products and technology, or recent publications, visit axdx.com.
Forward-Looking Statements
Certain of the statements made in this press release are forward-looking or may have forward-looking implications within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and the company intends that such forward-looking statements be subject to the safe harbors created thereby. These forward-looking statements, which can be identified by the use of words such as "may," "will," "expect," "believe," "anticipate," "estimate," or "continue," or variations thereon or comparable terminology. Actual results or developments may differ materially from those implied in these forward-looking statements due to significant risks and uncertainties. Important factors that could cause the company's actual results to differ materially from those in its forward-looking statements include those discussed in the company's filings with the Securities and Exchange Commission (the "SEC"), including in the "Risk Factors" sections of the company's most recently filed periodic reports on Form 10-K and Form 10-Q and subsequent filings with the SEC. Except as required by federal securities laws, the company undertakes no obligation to update or revise these forward-looking statements to reflect new events, uncertainties or other contingencies. Forward-looking statements speak only as of the date they are made and should not be relied upon as representing the company's plans and expectations as of any subsequent date.
Source: Accelerate Diagnostics Inc.
ACCELERATE DIAGNOSTICS, INC. | ||
CONSOLIDATED | ||
BALANCE SHEETS | ||
(in thousands, except share data) | ||
December 31, | ||
2024 | 2023 | |
ASSETS | ||
Current assets: | ||
Cash and cash equivalents | $ 15,098 | $ 12,138 |
Investments | 1,199 | 1,081 |
Trade accounts receivable, net | 2,037 | 2,622 |
Inventory | 2,852 | 3,310 |
Prepaid expenses | 208 | 380 |
Purchase obligation - put option asset | — | 3,419 |
Other current assets | 844 | 1,516 |
Total current assets | 22,238 | 24,466 |
Property and equipment, net | 2,575 | 2,389 |
Finance lease assets, net | 336 | 1,518 |
Operating lease right-of-use assets, net | 2,907 | 1,177 |
Other non-current assets | 500 | 1,816 |
Total assets | $ 28,556 | $ 31,366 |
LIABILITIES AND STOCKHOLDERS' DEFICIT | ||
Current liabilities: | ||
Accounts payable | $ 4,844 | $ 4,796 |
Accrued liabilities | 2,873 | 3,243 |
Accrued interest | 148 | 164 |
Deferred revenue and income, current | 1,638 | 1,545 |
Current portion of convertible notes | — | 726 |
Notes payable, current | 16,512 | — |
Warrant liability | 4,559 | — |
Finance lease, current | 92 | 583 |
Operating lease, current | 535 | 977 |
Total current liabilities | 31,201 | 12,034 |
Finance lease, non-current | 30 | 262 |
Operating lease, non-current | 2,568 | 570 |
Deferred revenue and income, non-current | 2,277 | 1,122 |
Other non-current liabilities | 1,681 | 1,164 |
Convertible notes, non-current | 46,839 | 36,102 |
Total liabilities | 84,596 | 51,254 |
Commitments and contingencies (see Note 16) | ||
ACCELERATE DIAGNOSTICS, INC. | ||
CONSOLIDATED | ||
BALANCE SHEETS (CONTINUED) | ||
(in thousands, except share data) | ||
December 31, | ||
2024 | 2023 | |
Stockholders' deficit: | ||
Preferred shares, $0.001 par value; | ||
5,000,000 preferred shares authorized with no shares issued and outstanding at | — | — |
Common stock, $0.001 par value; | ||
450,000,000 common shares authorized with 25,186,582 shares issued and outstanding at | 25 | 14 |
Contributed capital | 707,907 | 694,634 |
Treasury stock | (45,067) | (45,067) |
Accumulated deficit | (718,899) | (668,857) |
Accumulated other comprehensive loss | (6) | (612) |
Total stockholders' deficit | (56,040) | (19,888) |
Total liabilities and stockholders' deficit | $ 28,556 | $ 31,366 |
See accompanying notes to consolidated financial statements.
ACCELERATE DIAGNOSTICS, INC. CONSOLIDATED | ||
STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS | ||
Years Ended December 31, | ||
2024 | 2023 | |
Net sales | $ 11,698 | $ 12,059 |
Cost of sales: | ||
Cost of sales of products and services | 8,994 | 8,325 |
Inventory write-down | — | 1,184 |
Total cost of sales | 8,994 | 9,509 |
Gross profit | 2,704 | 2,550 |
Costs and expenses: | ||
Research and development | 16,688 | 25,353 |
Sales, general and administrative | 21,326 | 31,225 |
Total costs and expenses | 38,014 | 56,578 |
Loss from operations | (35,310) | (54,028) |
Other (expense) income: | ||
Interest expense | (13,117) | (5,926) |
Interest expense related-party | — | (1,817) |
Loss on extinguishment of debt | — | (6,499) |
Loss on extinguishment of debt with related party | — | (6,755) |
Gain on extinguishment of accounts payable | 743 | — |
(Loss) gain on fair value adjustment | (1,971) | 12,955 |
Foreign currency exchange (loss) gain | (564) | 71 |
Interest income | 703 | 1,123 |
Other (expense) income, net | (595) | 108 |
Total other expense, net | (14,801) | (6,740) |
Net loss before income taxes | (50,111) | (60,768) |
(Provision) benefit for income taxes | 66 | (850) |
Net loss | $ (50,045) | $ (61,618) |
Basic and diluted net loss per share | $ (2.15) | $ (4.94) |
Weighted average shares outstanding | 23,302 | 12,477 |
Other comprehensive loss: | ||
Net loss | $ (50,045) | $ (61,618) |
Net unrealized gain on available-for-sale investments | — | 29 |
Foreign currency translation adjustment | 606 | (241) |
Comprehensive loss | $ (49,439) | $ (61,830) |
ACCELERATE DIAGNOSTICS, INC. CONSOLIDATED | ||
STATEMENT OF CASH FLOWS | ||
(in thousands) | ||
Years Ended December 31, | ||
2024 | 2023 | |
Cash flows from operating activities: | ||
Net loss | $ (50,045) | $ (61,618) |
Adjustments to reconcile net loss to net cash used in operating activities: | ||
Depreciation and amortization | 3,421 | 3,254 |
Provision for bad debts | 354 | 301 |
Equity-based compensation expense | 4,382 | 5,387 |
Amortization of debt discount and issuance costs | 8,680 | 3,278 |
Amortization of debt discount related party | — | 1,033 |
Unrealized (gain) loss on equity investments | (65) | (114) |
Units offering issuance cost | 680 | — |
Loss on disposal of property and equipment | 201 | 150 |
Loss on extinguishment of debt | — | 6,499 |
Loss on extinguishment of debt with related party | — | 6,755 |
(Gain) on extinguishment of accounts payable | (743) | — |
Loss (gain) on fair value adjustments | 1,971 | (12,955) |
Paid-in-kind interest | 4,380 | 1,718 |
Inventory write-down | — | 1,184 |
(Increase) decrease in assets: | ||
Accounts receivable | 440 | (234) |
Inventory | (50) | 446 |
Prepaid expense and other assets | 1,104 | 926 |
Increase (decrease) in liabilities: | ||
Accounts payable | 794 | 295 |
Accrued liabilities and other | (930) | (121) |
Accrued interest | (16) | 716 |
Accrued interest from related party | — | 784 |
Deferred revenue and income | 1,248 | 2,120 |
Net cash used in operating activities | (24,194) | (40,196) |
Cash flows from investing activities: | ||
Purchases of equipment | (509) | (1,035) |
Maturities of marketable securities | — | 9,695 |
Net cash (used in) provided by investing activities | (509) | 8,660 |
Cash flows from financing activities: | ||
Proceeds from issuance of Units to related party | 4,750 | — |
Proceeds from issuance of Units | 10,232 | — |
Units offering issuance cost | (1,234) | — |
Proceeds from issuance of 16.00% Notes | 15,000 | — |
Transaction costs related to debt and equity issuance | (768) | (3,731) |
Proceeds from issuance of 5.00% Notes | — | 10,000 |
Proceeds from issuance of common stock to related party | — | 4,000 |
Payment of debt | (726) | — |
Payments on finance leases | (723) | (1,250) |
Proceeds from exercise of warrants | 522 | — |
Net cash provided by financing activities | 27,053 | 9,019 |
ACCELERATE DIAGNOSTICS, INC. CONSOLIDATED | ||
STATEMENT OF CASH FLOWS (CONTINUED) | ||
(in thousands) | ||
Years Ended December 31, | ||
2024 | 2023 | |
Effect of exchange rate on cash | 610 | (250) |
Increase (decrease) in cash and cash equivalents | 2,960 | (22,767) |
Cash and cash equivalents, beginning of year | 12,138 | 34,905 |
Cash and cash equivalents, end of year | $ 15,098 | $ 12,138 |
Non-cash investing activities: | ||
Net transfer of instruments from inventory to property and equipment, net | $ 452 | $ 401 |
Non-cash financing activities: | ||
Exchange of 2.50% Notes and accrued interest for 5.00% Notes | $ — | $ 56,893 |
Debt premium on issuance of 5.00% Notes | $ — | $ 6,023 |
Derivative liability associated with the bifurcated conversion option | $ — | $ 38,160 |
Reclassification of bifurcated conversion option to contributed capital | $ — | $ 26,908 |
Capital contribution from the exchange of secured note and accrued interest through the | $ — | $ 25,366 |
Extinguishment of derivative liability in connection with extinguishment of 5.00% Notes | $ — | $ 380 |
Issuance of common stock in connection with extinguishment of 5.00% Notes | $ 43 | $ 819 |
Right-of-use assets obtained in exchange for finance lease obligations | $ — | $ 200 |
Supplemental cash flow information: | ||
Interest paid | $ 33 | $ 122 |
Income taxes paid, net of refunds | $ — | $ 363 |
See accompanying notes to consolidated financial statements.
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SOURCE Accelerate Diagnostics, Inc.