Accelerate Diagnostics Announces Certain Preliminary Q4 And FY23 Results; FY23 Preliminary Revenue Was ~$12.1M Vs $12.8M YoY; Ended The Year With ~$13.4M In Cash And Cash Equivalents

Author: Benzinga Newsdesk | January 07, 2024 09:18pm

Accelerate Diagnostics, Inc. (NASDAQ:AXDX) (Accelerate), an in vitro diagnostics company dedicated to providing services that improve patient outcomes and lower healthcare costs through the rapid diagnosis of serious infections, today announced certain preliminary, unaudited results for the quarter and year ended December 31, 2023.

"In 2023, we made significant progress with the development of our next-generation rapid Antimicrobial Susceptibility Testing system, Accelerate WaveTM. We continue to advance this important development program and remain on plan to begin our clinical trials in the second quarter of 2024," commented Jack Phillips, President and CEO of Accelerate Diagnostics, Inc.  "In addition, we continue to expand and secure our Pheno® customer base, with an upgrade path to Wave adoption. Based on consistent customer feedback, Wave is anticipated to set the new standard for rapid, same-shift, susceptibility testing," Mr. Phillips continued.

2023 Fourth Quarter Operational Results

• Notable Wave program achievements during the quarter included:
  • Completed Wave system integration. 
  • Significantly advanced AST performance of gram-negative positive blood culture menu for approximately 250 bug-drug combinations and running approximately 3,000 unique strains of gram-negative organisms with average time-to-results below 4.5 hours.
• Completed extensive reviews with U.S. and EMEA customers to validate Wave's product specifications and menu roll-out strategy. Approximately 90% of customers have expressed interest in adopting Accelerate Wave for both rapid positive blood culture and isolated colony testing given unique perceived benefits compared to existing and emerging automated susceptibility platforms.
• In the US, added six new contracted Pheno instruments during the quarter, ending the quarter with 340 clinically live Pheno revenue-generating instruments and another 71 contracted Pheno instruments in the process of being implemented.
• Executed a collaboration and quality agreement with Bruker Corporation for the Accelerate ArcTM system, made significant progress towards completing the U.S. clinical trial and anticipate submission to the FDA during the first quarter of 2024.

Preliminary 2023 Full Year Results

• Secured approximately 65% of current U.S. Pheno customers to multi-year contracts for rapid susceptibility testing, reflecting customers' commitment to Accelerate rapid AST technology and interest in Wave.
• Preliminary revenue was approximately $12.1 million for the year, compared to $12.8 million in the prior year. While year-over-year revenues for consumable products increased by approximately 5%, overall annual revenue was down year-over-year due to a challenging capital sales environment in all our sales regions.
• Ended the year with approximately $13.4 million in cash and cash equivalents, representing net cash used in the fourth quarter of approximately $7.8 million. This reflects a continued reduction in operating cash use over the prior quarters of 2023, following cost cutting measures implemented throughout 2023.

The preliminary results set forth above are unaudited, are based on management's initial review of Accelerate's results as of and for the year ended December 31, 2023, and are subject to revisions based upon Accelerate's year-end closing procedures and the completion of the external audit of Accelerate's year-end financial statements. Actual results may differ materially from these preliminary unaudited results as a result of the completion of year-end closing procedures, final adjustments and other developments arising between now and the time that Accelerate's financial results are finalized. In addition, these preliminary unaudited results are not a comprehensive statement of Accelerate's financial results for the year ended December 31, 2023, should not be viewed as a substitute for full, audited financial statements, prepared in accordance with generally accepted accounting principles, and are not necessarily indicative of the Company's results for any future period. Accordingly, investors are cautioned not to place undue reliance on these preliminary unaudited results.

Accelerate expects to announce full-year 2023 financial results in advance of its earnings conference call in March 2024. 

Posted In: AXDX