MaxCyte announces filing of Form 10-Q for the quarterly period ended June 30, 2021
GAITHERSBURG, Md., Sept. 13, 2021 /PRNewswire/ -- MaxCyte, Inc., (NASDAQ: MXCT) (LSE: MXCT, MXCN), a leading commercial cell engineering company focused on providing enabling platform technologies to advance innovative cell-based research as well as next-generation cell therapeutic discovery, development and commercialization, today announced that it has filed a Form 10-Q with the SEC for the quarterly period ended June 30, 2021.
A copy of the Form 10-Q, is included in the appendix below and has also been posted to the Company's website, https://investors.maxcyte.com/.
About MaxCyte
Maxcyte is a leading commercial cell engineering company focused on providing enabling platform technologies to advance innovative cell-based research as well as next-generation cell therapeutic discovery, development and commercialization. Over the past twenty years, we have developed and commercialized our proprietary Flow Electroporation platform, which facilitates complex engineering of a wide variety of cells. Our ExPERT® platform, which is based on our Flow Electroporation technology, has been designed to support the rapidly expanding cell therapy market and can be utilized across the continuum of the high-growth cell therapy sector, from discovery and development through commercialization of next-generation, cell-based medicines. The ExPERT family of products includes: three instruments, the ATx, STx and GTx; a portfolio of proprietary related processing assemblies or disposables; and software protocols, all supported by a robust worldwide intellectual property portfolio.
MaxCyte Contacts: | |
MaxCyte Inc. | +1 301-944-1660 |
Doug Doerfler, Chief Executive Officer | |
Amanda Murphy, Chief Financial Officer | |
US IR Adviser | |
Gilmartin Group | +1 415-937-5400 |
David Deuchler, CFA | |
Nominated Adviser and Joint Corporate Broker | +44 (0)20 7886 2500 |
Panmure Gordon | |
Emma Earl / Freddy Crossley | |
Corporate Broking | |
Rupert Dearden | |
UK IR Adviser | +44 (0)203 709 5700 |
Consilium Strategic Communications | |
Mary-Jane Elliott | |
Chris Welsh |
Appendix |
UNITED STATES |
SECURITIES AND EXCHANGE COMMISSION |
Washington, D.C. 20549 |
FORM 10–Q |
(Mark one) |
[ ] QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended June 30, 2021 |
or |
[ ] TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from___ to___ |
Commission file number: 333–257810 |
MaxCyte, Inc. |
(Exact name of registrant as specified in its charter) |
Delaware | 52–2210438 | |
(State or other jurisdiction of incorporation or organization) | (I.R.S. Employer Identification No.) |
22 Firstfield Road, Suite 110 |
Gaithersburg, Maryland 20878 |
(Address of principal executive offices) |
Registrant's telephone number, including area code: (301) 944–1700 |
Securities registered pursuant to Section 12(b) of the Act: |
Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
Common stock, par value $0.01 per share | MXCT | The Nasdaq Stock Market LLC |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes[ ] No[x]
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes [x] No [ ]
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b–2 of the Exchange Act.
Large accelerated filer | [ ] | Accelerated filer | [ ] | Non-accelerated filer | [x] |
Smaller reporting company | [ ] | Emerging growth company | [x] |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. [ ]
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b–2 of the Exchange Act). Yes [ ] No [x]
As of September 8, 2021, the registrant had 100,410,560 shares of common stock, $0.01 par value per share, issued and outstanding.
Table of Contents
Page No | ||
PART I. FINANCIAL INFORMATION | 7 | |
Item 1. | Financial Statements (Unaudited) | 7 |
Condensed Consolidated Balance Sheets | 7 | |
Condensed Consolidated Statements of Operations | 8 | |
Condensed Consolidated Statements of Changes in Stockholders' Equity | 9 | |
Condensed Consolidated Statements of Cash Flows | 10 | |
Notes to Unaudited Condensed Consolidated Financial Statements | 11 | |
Item 2. | Management's Discussion and Analysis of Financial Condition and Results of Operations | 20 |
Item 3. | Quantitative and Qualitative Disclosures About Market Risk | 32 |
Item 4. | Controls and Procedures | 33 |
PART II. OTHER INFORMATION | 34 | |
Item 1. | Legal Proceedings | 34 |
Item 1A. | Risk Factors | 34 |
Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds | 34 |
Item 3. | Defaults Upon Senior Securities | 34 |
Item 4. | Mine Safety Disclosures | 34 |
Item 5. | Other Information | 35 |
Item 6. | Exhibits | 36 |
Signatures | 37 |
Risk Factors Summary
Our business is subject to numerous risks that you should carefully consider. These risks are more fully described in the section titled "Risk Factors" included in our Final Prospectus filed with the SEC on July 30, 2021. A summary of these risks that could materially and adversely affect our business, financial condition, operating results and prospects include the following:
- We have incurred significant losses since our inception, we expect to incur losses for the foreseeable future and we may never achieve or maintain profitability.
- We are highly dependent on a limited number of product offerings that require a substantial sales cycle and as a result we are prone to quarterly fluctuations in revenue. If we fail to maintain significant market acceptance in existing markets or fail to successfully increase our penetration in new and expanding markets, we will not generate expected revenue and our prospects may be harmed.
- We operate in a highly competitive market characterized by rapid technological change, evolving industry standards, changes in customer needs, emerging competition, new product introductions and strong price competition. Our success depends, in part, on our ability to maintain a competitive position in the development of technologies, enhancements and products for use by our customers.
- Our business currently depends significantly on research and development spending by biopharmaceutical companies and academic institutions, a reduction in which could limit demand for our products and adversely affect our business and operating results.
- We must develop new products, as well as enhancements to existing products, and adapt to rapid and significant technological change to remain competitive.
- If we cannot maintain and expand current partnerships and enter into new partnerships, including internationally, that generate marketed licensed products, our business could be adversely affected.
- The failure of our partners to meet their contractual obligations to us could adversely affect our business.
- Our partners may not achieve projected discovery and development milestones and other anticipated key events in the expected timelines or at all, or may discontinue some or all of their programs, which could have an adverse impact on our business.
- In recent periods, we have depended on a limited number of partners for our revenue, the loss of any of which could have an adverse impact on our business.
- We depend on continued supply of components and raw materials for our ExPERT instruments and PAs from third-party suppliers, and if shortages of these components or raw materials arise, we may not be able to secure enough components to build new products to meet customer demand or we may be forced to pay higher prices for these components. As such, we must also accurately forecast customer demand for our products and manage our inventory.
- Our FDA Master File, and equivalent Technical Files in foreign jurisdictions, are an important part of our strategic offering which allows our partners to expedite their cellular therapies into and through the clinic. Delays in filing or obtaining, or our inability to obtain or retain, acceptance of such filings in individual countries could negatively impact the progress of our partners if they intend to run clinical trials in such countries, and as a result, could negatively affect our reputation and revenues or require disclosure of confidential information to our partners.
- We may need additional funding and may be unable to raise capital when needed, which would force us to delay, reduce, eliminate or abandon our commercialization efforts or product development programs.
- The COVID–19 pandemic has had and could continue to have an adverse impact on our business, operations, and the markets and communities in which we, our partners and our customers operate.
- Our common stock is traded on two separate stock markets and investors seeking to take advantage of price differences between such markets may create unexpected volatility in our share price; in addition, investors may not be able to easily move shares for trading between such markets.
Part I. FINANCIAL INFORMATION
Item 1. Condensed Consolidated Financial Statements (Unaudited)
MaxCyte, Inc. | ||||||
Condensed Consolidated Balance Sheets | ||||||
June 30, | December 31, | |||||
2021 | 2020 | |||||
(Unaudited) | (Note 2) | |||||
Assets | ||||||
Current assets: | ||||||
Cash and cash equivalents | $ | 37,423,200 | $ | 18,755,200 | ||
Short-term investments, at amortized cost | 35,968,700 | 16,007,500 | ||||
Accounts receivable, net | 5,719,200 | 5,171,900 | ||||
Inventory, net | 4,169,500 | 4,315,800 | ||||
Other current assets | 1,345,700 | 1,003,000 | ||||
Total current assets | 84,626,300 | 45,253,400 | ||||
Property and equipment, net | 5,472,200 | 4,546,200 | ||||
Right of use asset - operating leases | 1,173,900 | 1,728,300 | ||||
Right of use asset - finance leases | 170,700 | 218,300 | ||||
Other assets | 1,704,100 | 33,900 | ||||
Total assets | $ | 93,147,200 | $ | 51,780,100 | ||
Liabilities and stockholders' equity | ||||||
Current liabilities: | ||||||
Accounts payable | $ | 644,700 | $ | 890,200 | ||
Accrued expenses and other | 4,518,300 | 5,308,500 | ||||
Operating lease liability, current | 616,500 | 572,600 | ||||
Deferred revenue, current portion | 6,754,800 | 4,843,000 | ||||
Total current liabilities | 12,534,300 | 11,614,300 | ||||
Note payable, net of discount, and deferred fees | — | 4,917,000 | ||||
Operating lease liability, net of current portion | 606,700 | 1,234,600 | ||||
Other liabilities | 1,185,000 | 788,800 | ||||
Total liabilities | 14,326,000 | 18,554,700 | ||||
Commitments and contingencies (Note 7) | ||||||
Stockholders' equity | ||||||
Common stock, $0.01 par value; 200,000,000 shares authorized, 84,719,345 and 77,382,473 shares issued and outstanding at June 30, 2021 and December 31, 2020, respectively | 847,200 | 773,800 | ||||
Additional paid-in capital | 184,723,700 | 127,673,900 | ||||
Accumulated deficit | (106,749,700) | (95,222,300) | ||||
Total stockholders' equity | 78,821,200 | 33,225,400 | ||||
Total liabilities and stockholders' equity | $ | 93,147,200 | $ | 51,780,100 |
See accompanying notes to unaudited condensed consolidated financial statements.
MaxCyte, Inc. | |||||||||||||
Unaudited Condensed Consolidated Statements of Operations | |||||||||||||
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||
2021 | 2020 | 2021 | 2020 | ||||||||||
Revenue | $ | 7,108,100 | $ | 5,150,400 | $ | 13,602,900 | $ | 10,892,400 | |||||
Costs of goods sold | 784,500 | 466,300 | 1,477,600 | 1,125,300 | |||||||||
Gross profit | 6,323,600 | 4,684,100 | 12,125,300 | 9,767,100 | |||||||||
Operating expenses: | |||||||||||||
Research and development | 3,205,500 | 4,090,400 | 9,283,200 | 8,335,100 | |||||||||
Sales and marketing | 2,912,900 | 1,843,900 | 5,702,000 | 3,894,000 | |||||||||
General and administrative | 4,622,400 | 1,594,400 | 7,930,400 | 3,370,900 | |||||||||
Total operating expenses | 10,740,800 | 7,528,700 | 22,915,600 | 15,600,000 | |||||||||
Operating loss | (4,417,200) | (2,844,600) | (10,790,300) | (5,832,900) | |||||||||
Other income (expense): | |||||||||||||
Interest and other expense | (13,200) | (164,700) | (755,500) | (281,800) | |||||||||
Interest income | 8,600 | 5,200 | 18,400 | 48,700 | |||||||||
Total other income (expense) | (4,600) | (159,500) | (737,100) | (233,100) | |||||||||
Provision for income taxes | — | — | — | — | |||||||||
Net loss | $ | (4,421,800) | $ | (3,004,100) | $ | (11,527,400) | $ | (6,066,000) | |||||
Basic and diluted net loss per share | $ | (0.05) | $ | (0.05) | $ | (0.14) | $ | (0.10) | |||||
Weighted average shares outstanding, basic and diluted | 84,706,516 | 65,834,978 | 82,865,526 | 61,619,280 |
See accompanying notes to unaudited condensed consolidated financial statements.
|