Earnings call transcript: Quanterix Q2 2025 misses EPS and revenue expectations

Quanterix Corporation’s second-quarter earnings report revealed a significant miss on both earnings per share (EPS) and revenue forecasts. The company reported an EPS of -$0.77, falling short of the expected -$0.43, and a revenue of $24.5 million, below the forecasted $28.23 million. Following the announcement, Quanterix’s stock saw a decline of 1.78% in aftermarket trading, closing at $5.51. According to InvestingPro analysis, the company currently appears undervalued, despite maintaining a strong balance sheet with more cash than debt.

Key Takeaways

• Quanterix’s Q2 2025 EPS and revenue missed analyst expectations.
• The company’s stock price decreased by 1.78% in aftermarket trading.
• Revenue fell 29% year-over-year, with significant declines in instrument and academic sales.
• The company completed its acquisition of Equaya and is launching the Simoa One platform.
• Quanterix is targeting cash flow breakeven by 2026.

Company Performance

Quanterix faced a challenging second quarter in 2025, with total revenue declining by 29% year-over-year. The company saw a notable decrease in instrument revenue and academic sales, reflecting broader challenges in the proteomics market. InvestingPro data shows the company’s revenue CAGR over the past five years remains positive at 19%, though analysts expect a 3% revenue decline for fiscal year 2025. Despite these setbacks, Quanterix continues to focus on innovation and strategic growth, as evidenced by its recent acquisition of Equaya and the upcoming launch of the Simoa One platform.

Financial Highlights

• Revenue: $24.5 million, down 29% year-over-year
• Earnings per share: -$0.77, missing the forecast of -$0.43
• Gross margin: 46.2% (GAAP), 41.8% (Non-GAAP)
• Cash and equivalents: $263.8 million

Earnings vs. Forecast

Quanterix’s Q2 2025 results fell short of expectations, with a 79.07% negative EPS surprise and a 13.21% revenue miss. This performance contrasts with the company’s historical trends, where it has previously managed to meet or exceed forecasts. The magnitude of this miss is significant, highlighting the challenges Quanterix faces in the current market environment.

Market Reaction

Following the earnings announcement, Quanterix’s stock price decreased by 1.78% in aftermarket trading. The stock’s movement reflects investor concerns over the company’s ability to meet financial targets amidst declining revenues. Currently, the stock is trading closer to its 52-week low of $4.05, indicating a cautious market sentiment. InvestingPro analysis reveals the company’s overall financial health score is "FAIR," with particularly strong scores in growth potential and cash flow management. Get access to 7 additional exclusive ProTips and comprehensive valuation metrics with an InvestingPro subscription.

Outlook & Guidance

Looking ahead, Quanterix has set a revenue guidance of $130-$135 million for 2025, with a pro forma revenue projection of $165-$170 million. The company expects gross margins to range between 49-53% (GAAP) and aims to achieve cash flow breakeven by 2026. Current gross margins stand at approximately 60%, according to InvestingPro data, while the company’s current ratio of 8.29 indicates strong short-term liquidity. Quanterix remains committed to reducing operating expenses and leveraging synergy savings from its recent acquisition. Discover detailed analysis and more metrics in the comprehensive Pro Research Report, available exclusively to InvestingPro subscribers.

Executive Commentary

CEO Masood Tulu emphasized the potential of the proteomics market, stating, "Proteomics is where genomics was two decades ago." CFO Bandhana Sriram reiterated the company’s focus on achieving cash flow breakeven by 2026, highlighting ongoing cost reduction efforts and synergy opportunities.

Risks and Challenges

• Declining academic and instrument sales may impact future revenue growth.
• Achieving targeted synergy savings and cost reductions is crucial for financial stability.
• Market competition in the proteomics space remains intense, requiring continuous innovation.
• Global economic uncertainties could affect customer spending and investment.

Q&A

During the earnings call, analysts inquired about the performance of Quanterix’s accelerator business, which grew approximately 40% year-on-year. Questions also focused on the company’s efforts to maintain customer service while reducing costs, as well as potential synergy opportunities in operations and lab processes.

Full transcript - Quanterix Corp (QTRX) Q2 2025:

Argy, Conference Operator: Good day, everyone, and thank you for standing by. My name is Argy, and I will be your conference operator today. At this time, I would like to welcome everyone to the Quanterix Corporation Q2 twenty twenty five Earnings Call. All lines have been placed on mute to prevent any background noise. After the speakers’ remarks, there will be a question and answer session.

Thank you. I would now like to turn the call over to Josh Shang, Head of Investor Relations. Please go ahead.

Josh Shang, Head of Investor Relations, Quanterix: Thank you, and good afternoon. With me on today’s call are Masood Tulu, Quanterix President and CEO and Bandhana Sriram, Quanterix Chief Financial Officer. Today’s call is being recorded and a replay of the call will be available on the Investors section of our website. During the course of today’s presentation, we will make forward looking statements within the meaning of The U. S.

Private Securities Litigation Reform Act. These forward looking statements are based on management’s beliefs and assumptions as of today, 08/07/2025. We may not actually achieve the plans, intentions or expectations disclosed in our forward looking statements. Forward looking statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause our actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward looking statements. To supplement our financial statements presented on a GAAP basis, we have provided certain non GAAP financial measures.

These non GAAP financial measures are used to evaluate our operating performance in a manner that allows for meaningful period to period comparison and analysis of trends in our business and our competitors. We believe that such measures are important in comparing current results with other periods results and assessing our operating performance within our industry. Non GAAP financial information presented herein should be considered in conjunction with and not as a substitute for the financial information presented in accordance with GAAP. Investors are encouraged to review the reconciliations of these non GAAP measures to their most directly comparable GAAP financial measures set forth in the presentation posted to our website and in the earnings release we issued today. Finally, any percentage changes we will discuss will be on a year over year basis unless otherwise noted.

Now I’d like to turn the call over to Masood Tullu. Masood? Thank you, Joshua. I’d like

Masood Tulu, President and CEO, Quanterix: to thank the entire Quanterix team for their dedication to our mission. We made significant progress during the quarter and have positioned the company for long term growth and value creation. Highlights since our last call include completing the transformative Equaya acquisition, investing in strategic drivers to support sustainable double digit revenue growth and margin improvement, generating $24,000,000 of revenue in a difficult market environment. This was below our expectation due to temporary headwinds in academic funding and biopharma spending. I will discuss specific actions we are taking.

Managing our cash diligently to preserve continued financial flexibility and taking decisive action to help ensure we are cash flow positive in 2026. It has been just one month since we completed the Equia acquisition and we’re thrilled with both the long term growth potential of Equia’s exciting spatial technology and the quality of the talented team. The combined Quanterix Sequoia management teams took a clean sheet of paper look at how to build an organizational structure for the future that allowed us to be lean and nimble, but with the resources available for investments needed to sustain and grow our business. The conclusion is a structure that ensures a breakeven position in 2026, a double digit growth trajectory for the coming years in our core markets and the additional opportunity to pursue significant upside potential in diagnostics. We expect to achieve approximately $85,000,000 in synergy savings and cost reductions within this timeframe.

As of today, we’ve already implemented 75% of these expense reductions on a run rate basis. We’ve outlined the roadmap in the slides, which we’ll review quarterly that shows synergies realized per quarter along with our path to cash flow positivity in 2026. The life science tools market and Quanterix’s position with it remain highly attractive in the long term with proteomics offering one of the most transformative opportunities in our sector today. Proteomics is increasing in importance, and we believe it is poised to reshape how we understand, diagnose, and treat disease. Proteomics is where genomics was two decades ago, and just as advancements in genomics unlocked a wave of high throughput discovery that led to the rise of specialized diagnostic labs and precision therapies, proteomics is now beginning to reveal novel clinically relevant biomarkers.

At the center of the shift is Quanterix with the most sensitive protein detection platform commercially available. This unparalleled sensitivity enables our platform to detect low abundance biomarkers that are often invisible to other technologies, particularly in complex diseases like neurodegeneration and cancer. What sets Quanterix apart is our unique ability to translate these discoveries into actionable assays for clinical trials and diagnostic testing through our SOMOA and now spatial platforms. This convergence between groundbreaking proteomic discovery and real world clinical utility creates a powerful value opportunity, positioning us to lead the next wave of innovation in advanced disease detection and therapeutic development. Our strategic priorities and investments are designed to position the company to fully capitalize on this opportunity.

First, we’ve meaningfully expanded our addressable market. With the acquisition of Akoya and our expanded menu in immunology, we now serve a $5,000,000,000 total market across neurology, immunology and oncology. This broader reach is already reflected in our pro form a revenue mix, now 53% neurology and 47% immunology and oncology. We’ve built a franchise that is generating approximately $100,000,000 of consumables revenue and demonstrating resiliency in this macro environment. Importantly, both our Samoa and spatial biology platforms rank amongst the highest pull through systems and life science tools, generating strong reoccurring revenues across an installed base of over 2,400 instruments.

As we continue to expand assay content, we’re increasing the utility and productivity of each instrument placed, deepening customer engagement and maximizing return on the installed base. Second, we’re accelerating our vision to bring Simoa into every lab. As we shared last quarter, we’re launching Simoa one, our next generation platform by the 2025 with reagents that are compatible with a large existing base of flow cytometers in 2026 and can be used with some OA1 instruments for even higher sensitivity. This creates a substantial high margin growth opportunity while significantly reducing the need for capital equipment purchases. By enabling Samoa level sensitivity on a broad range of instruments, we can expand our addressable installed base by 20x to over 20,000 systems globally.

Third, we’re building the foundation for Alzheimer’s diagnostic franchise. Since our last earnings call, we’ve announced several new partnerships, expanded our international regulatory footprint, doubled test volumes, tripled revenues, and we remain on track to secure a Medicare pricing recommendation this year, all critical milestones as we move from research to clinical impact. The investments we’re making in innovation are among the most significant in the company’s history, with approximately 30% of our revenues allocated to R and D, which is at the high end of our peers. Our commitment to innovation will strengthen our competitive advantage and position the company to achieve sustained double digit growth. As proteomics drives the discovery of previously undetectable yet clinically meaningful biomarkers, Quanterix is uniquely poised to translate those discoveries into scalable tools for drug development and diagnosis, anchoring our leadership in a rapidly expanding and clinically relevant market.

Now I’ll turn the call over to Vandana.

Bandhana Sriram, Chief Financial Officer, Quanterix: Thank you, Masood, and good afternoon. Total revenue for Q2 was $24,500,000 down 29% year over year. Temporary funding pauses and uncertainty in The U. S. Academic and pharmaceutical end markets caused a decline in revenue in Q2.

Our customer mix was evenly split between pharma and academia in the quarter. Academic sales declined 18% and pharma sales declined 38% in the quarter. Consumable revenue was $14,900,000 and instrument revenue was $2,000,000 We placed 10 instruments in the quarter as compared to 22 instruments in the 2024. Accelerator lab revenue was $4,000,000 down 60%, driven by a decline in large multimillion dollar projects from pharma customers. While we’re seeing smaller deal sizes come through Accelerator, we’re encouraged by an increase in the number of customers, as well as increased quoting activity and orders pipeline.

And finally, sales to our diagnostics partners totaled $2,600,000 for the quarter, up from $700,000 in the prior year period. Gross profit and margin were $11,300,000 and 46.2% respectively. Non GAAP gross profit was $10,200,000 and non GAAP gross margin was 41.8%. The decrease in gross profit and gross margin was primarily the result of lower output and fixed cost leverage in response to reduced demand, which led to lower cost absorption. We also had higher inventory reserves as compared to the prior year.

I’d also note that this year over year decline is primarily non cash. Operating expenses for the quarter were $48,400,000 up $15,200,000 Included in operating expenses are approximately $9,600,000 of costs related to acquisition, integration, restructuring and purchase accounting, and $1,300,000 of shipping and handling costs. In addition, our operating expense include a $6,400,000 one time charge for goodwill impairment. Non GAAP operating expenses were $31,100,000 flat to last year and down $2,700,000 sequentially. Our adjusted EBITDA was a loss of $13,700,000 as compared to a loss of $4,100,000 in the second quarter of the prior year.

We ended the quarter with $263,800,000 of cash, cash equivalents, marketable securities and restricted cash. Adjusted cash usage during the quarter was $2,600,000 compared to $5,100,000 in the prior year, an improvement of 49% driven by improved working capital and cost reductions. During the quarter, we paid $3,100,000 in severance and deal related costs. Total cash usage during the quarter was $5,700,000 The combined company commenced the 2025 with approximately $163,000,000 in cash and no debt. Finally, as Mathieu mentioned, we closed ACOYA on July 8, so the results are not in our consolidated numbers for the second quarter.

Akoya generated $18,200,000 in Q2, led by a record consumables quarter and used approximately $9,000,000 in cash in the quarter. I will now turn to our updated guidance for the year. This is the acquisition of Akoya, our 2025 guide will now reflect nearly two quarters of Akoya results. We will refer to core Quanterix revenues as Simoa and Akoya revenues as Spatial Biology. For the combined company, we expect to report 130,000,000 to $135,000,000 of revenue for 2025.

This assumes approximately 100,000,000 to $105,000,000 of Simoa revenue and implies pro form a revenue of 165,000,000 to $170,000,000 assuming the two companies were combined for the full year. We expect GAAP gross margin to range between 4953% and non GAAP gross margin to be in a range of 45% to 49%. And finally, on to cash. We started the year with $292,000,000 of cash. We expect adjusted cash usage to be 34,000,000 to $38,000,000 for the full year.

We will incur $136,000,000 for the ACOIA and Emission acquisitions and restructuring costs, net of cash acquired. This brings us to a closing cash balance of approximately $120,000,000 with no debt. Since the beginning of the year, we have moved swiftly to align our cost base with our revised revenue expectations and have been planning ahead to realize deal synergies. We expect that these actions will result in approximately $85,000,000 of cash savings on an annualized basis in 2026, which is $30,000,000 more than our previous target. As Madhur mentioned, we have already completed initiatives amounting to 75% of our 2026 target.

These savings are being realized from three key areas. First, we have realigned the two sales and services teams into one commercial team capable of connecting technology from tissue to blood. Second, we are moving fast to rationalize and combine overlapping manufacturing and lab footprints. And lastly, we’ve eliminated duplicate administrative and public company costs. At the same time, we are continuing to invest in growth with capital allocated to instrument development and development of the diagnostics franchise for both CEMOA and Spatial.

We also reiterate our commitment to achieving cash flow breakeven in 2026, even in the midst of challenging market conditions. Our early success in realizing and exceeding our synergy expectations has increased our confidence in our ability to deliver this target. I will now turn it back over to Mr. Misal.

Masood Tulu, President and CEO, Quanterix: Thank you, Vandana. Operator, let’s take some questions.

Argy, Conference Operator: Your first question comes from the line of Puneet Souda of Leerink Partners. Please go ahead.

Michael, Analyst (representing Puneet Souda), Leerink Partners: Hi. Thanks for taking my question. You have Michael on for Puneet today. I was wondering if you could touch on Accelerator. So we’ve been hearing from various CROs about a lot of companies moving forward with their clinical trials and order bookings improving, but cancellations have been somewhat elevated.

I was curious what you’re seeing given your focus on urology and if you have any similarities or differences you’re seeing in this sort of the clinical research space.

Masood Tulu, President and CEO, Quanterix: Hi, Michael. Yes, accelerator business continues to show good vitality. The business grew approximately 40% year on year since last year or in 2024. And we’re seeing a net new increase in customers. But the project sizes are a lot smaller than they were last year.

So as I said, while vitality is strong, we expect that when budgets improve, those project sizes will increase, and we should get some lift in Accelerator.

Michael, Analyst (representing Puneet Souda), Leerink Partners: Great. And then on the academic side, I appreciate obviously a lot of negative headlines in 2Q, but it seems like potentially funding will be somewhat more positive than initially feared. I’m kind of curious what you think the academic customers are looking for to gain confidence in the outlook ahead and what could get them to start moving forward their projects and spending.

Masood Tulu, President and CEO, Quanterix: Yeah, the one thing related to academic customers, we’ve seen strong resiliency in our consumables franchise. I mentioned in the call that we’re now pro form a generating approximately $100,000,000 of consumables revenue that has been pretty stable, approximately flat first half twenty twenty five versus prior period. So while the markets challenged consumables on a year over year basis is promising. And we looked at what the ’twenty five outlook was going to be and set a guide based on current visibility. There are some green shoots and some positivity that we’re seeing, But we’re basing our ’25 outlook on what’s visible today.

Michael, Analyst (representing Puneet Souda), Leerink Partners: Great. Thanks.

Argy, Conference Operator: Your next question comes from the line of Thomas LiBorsi of Nephron Research. Please go ahead.

Thomas LiBorsi, Analyst, Nephron Research: Hey, guys. Thanks for taking the question. So I just want to touch on, I guess, cost actions of, I guess, dollars 85,000,000,000, which I think is a step up from prior expectations? And just in terms of additional cuts or additional savings that you’re seeing, are you able to serve customers in the way that you want while still, I guess, addressing the combined cost basis? And how you think about kind of longer term growth as a combined company once, I guess, we’re through the current situation?

Thank you.

Bandhana Sriram, Chief Financial Officer, Quanterix: Yeah. Hey, Tom. I’ll take this one. So, our philosophy with the integration from the beginning has been that we would operate as one company, making sure we have deep focus on the customer, but really running as one company with multiple product lines. To that end, we’ve incorporated Spatial as product a line and eliminated a significant amount of structure.

So, as we got into planning the integration, we had earmarked commercial operations and administrative really being the three areas of focus. The commercial area of focus has largely played out in line with our expectations. Where we saw additional savings as we started to really dig in was on the operations side. There’s significant overlap in both our operations as well as our lab processes, and that’s really where we were able to realize significant synergies. So we feel really good about our ability to serve the combined portfolio with the cost structure that we have right now.

And as Matut mentioned, we’ve also very carefully ring fenced the growth areas across both femora and spatial. On both sides, you know, there’s definitely exciting opportunities on the instrument side as well as on the diagnostic side. And in our construct, we made sure that we’ve provided for those adequately as well.

Argy, Conference Operator: That ends our Q and A session, and we appreciate your participation. Ladies and gentlemen, that concludes today’s call. Thank you all for joining. You may now disconnect.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.