Business
Cryoport Announces Certain Preliminary Results for Second Quarter & Updates 2023 Revenue Expectations
Second quarter results were impacted by weaker than expected global demand for capital equipment; clinical trial start delays; and slower than expected ramps
About this update from Cryoport, Inc.
[{"type":"text","content":"Second quarter results were impacted by weaker than expected global demand for capital equipment; clinical trial start delays; and slower than expected ramps from certain clientsSecond quarter revenue expected in the range of $56.5 - $57.5 millionFull year 2023 revenue now expected in the range of $233 - $243 millionLong-term outlook robust with cell and gene therapy industry expected to grow at a ten-year CAGR in excess of 22%NASHVILLE, Tenn., July 12, 2023 /PRNewswire/ -- Cryoport, Inc. (Nasdaq: CYRX) (\"Cryoport\" or the \"Company\"), a leading global provider of innovative products and services for the fast growing cell and gene therapy industry, today announced certain preliminary results for second quarter 2023 and updated its expectations for full year 2023 revenue expectations.\n\n \n \n \n \n \n \n\n \nSecond Quarter Preliminary Results\nSecond quarter 2023 total revenue is expected to be in the range of $56.5 to $57.5 million, representing a decrease of 11%, at the midpoint, compared to the second quarter of 2022. These results reflect weaker than expected global demand for capital equipment; clinical trial start delays; and slower than expected ramps from certain clients.\nJerrell Shelton, CEO of Cryoport, commented, \"Based on our conversations with clients and third-party sources, we expect life sciences fundamentals to remain strong for the longer term. Unfortunately, there has been a global slowdown in capital equipment investment. The impact of this unexpected slowdown was further exacerbated by a number of clinical trial start delays and several key customers falling short of their forecasts for the revenue ramp of certain cell and gene therapies. We expect some of these challenging conditions to persist into the third and fourth quarters of 2023.\"\nOutlook\nBased on current information, the Company is revising its full year financial outlook, with revenue now expected to be in the range of $233 to $243 million for 2023. Mr. Shelton continued, \"The impact to our business from the factors outlined above was abrupt and significant. We are, however, positive about our long-term outlook as the cell and gene therapy industry is expected to grow at a ten-year compound annual growth rate (CAGR) in excess of 22%. Our view is strengthened by the large number of Cryoport clients that have BLA (Biologic License Applicati...