Rapid Micro Biosystems, Inc. Files 10-Q for Period Ending March 31, 2024

TL;DR

<b>Rapid Micro Biosystems reports Q1 2024 results with decreased revenue and net loss.</b>

AI Summary

RAPID MICRO BIOSYSTEMS, INC. (RPID) filed a Quarterly Report (10-Q) with the SEC on May 3, 2024. Revenue for the three months ended March 31, 2024, was $10.3 million, a decrease from $12.1 million in the same period of 2023. Product revenue decreased to $7.8 million for the three months ended March 31, 2024, from $9.6 million for the same period in 2023. Service revenue increased to $2.5 million for the three months ended March 31, 2024, from $2.5 million for the same period in 2023. Net loss for the three months ended March 31, 2024, was $26.1 million, compared to a net loss of $27.7 million for the same period in 2023. Total assets as of March 31, 2024, were $179.5 million, a decrease from $202.1 million as of December 31, 2023.

Why It Matters

For investors and stakeholders tracking RAPID MICRO BIOSYSTEMS, INC., this filing contains several important signals. The decline in product revenue suggests potential challenges in instrument sales or consumables, impacting top-line growth. Despite a reduced net loss, the company continues to operate at a significant deficit, highlighting ongoing financial pressures.

Risk Assessment

Risk Level: high — RAPID MICRO BIOSYSTEMS, INC. shows elevated risk based on this filing. The company reported a decrease in revenue and a substantial net loss, indicating potential financial instability and operational challenges.

Analyst Insight

Investors should monitor the company's ability to reverse the revenue decline and achieve profitability in future quarters.

Revenue Breakdown

Key Numbers

• 10.3 — Revenue (Q1 2024) (in millions of USD)
• 12.1 — Revenue (Q1 2023) (in millions of USD)
• 7.8 — Product Revenue (Q1 2024) (in millions of USD)
• 9.6 — Product Revenue (Q1 2023) (in millions of USD)
• 2.5 — Service Revenue (Q1 2024) (in millions of USD)
• 2.5 — Service Revenue (Q1 2023) (in millions of USD)
• 26.1 — Net Loss (Q1 2024) (in millions of USD)
• 27.7 — Net Loss (Q1 2023) (in millions of USD)

Key Players & Entities

• RAPID MICRO BIOSYSTEMS, INC. (company) — Filer
• 2024-03-31 (date) — Period of Report
• 2024-05-03 (date) — Filing Date
• $10.3 million (dollar_amount) — Revenue for the three months ended March 31, 2024
• $12.1 million (dollar_amount) — Revenue for the three months ended March 31, 2023
• $26.1 million (dollar_amount) — Net loss for the three months ended March 31, 2024
• $27.7 million (dollar_amount) — Net loss for the three months ended March 31, 2023
• $179.5 million (dollar_amount) — Total assets as of March 31, 2024

FAQ

Key Financial Figures

• $0.01 — which registered Class A common stock, $0.01 par value per share RPID The Nasdaq Gl
• $0 — trant's Class A common stock, par value $0.01, outstanding. As of April 30, 2024,

Filing Documents

• rmb-20240331.htm (10-Q) — 1322KB
• rpid-20240331xexx311.htm (EX-31.1) — 11KB
• rpid-20240331xexx312.htm (EX-31.2) — 11KB
• rpid-20240331xex321.htm (EX-32.1) — 5KB
• rpid-20240331xex322.htm (EX-32.2) — 5KB
• rmb-20240331_g1.jpg (GRAPHIC) — 11KB
• 0001380106-24-000127.txt (&nbsp;) — 7074KB
• rmb-20240331.xsd (EX-101.SCH) — 43KB
• rmb-20240331_cal.xml (EX-101.CAL) — 74KB
• rmb-20240331_def.xml (EX-101.DEF) — 238KB
• rmb-20240331_lab.xml (EX-101.LAB) — 648KB
• rmb-20240331_pre.xml (EX-101.PRE) — 441KB
• rmb-20240331_htm.xml (XML) — 973KB

Financial Statements

Financial Statements 6 Condensed Consolidated Balance Sheets as of March 31, 2024 and December 31, 2023 (Unaudited) 6 Condensed Consolidated Statements of Operations for the three months ended March 31 , 202 4 and 202 3 (Unaudited) 7 Condensed Consolidated Statements of Comprehensive Loss for the three months ended March 31 , 202 4 and 202 3 (Unaudited) 8 Condensed Consolidated Statements of Stockholders' Equity for the three months ended March 31, 2024 and 202 3 (Unaudited) 9 Condensed Consolidated Statements of Cash Flows for the three months ended March 31 , 202 4 and 202 3 (Unaudited) 11 Notes to Condensed Consolidated Financial Statements (Unaudited) 13 Item 2.

Management's Discussion and Analysis of Financial Condition and Results of Operations

Management's Discussion and Analysis of Financial Condition and Results of Operations 29 Item 3.

Quantitative and Qualitative Disclosures about Market Risk

Quantitative and Qualitative Disclosures about Market Risk 40 Item 4.

Controls and Procedures

Controls and Procedures 40 Part II Other Information Item 1.

Legal Proceedings

Legal Proceedings 42 Item 1A.

Risk Factors

Risk Factors 42 Item 2. Unregistered Sales of Equity Securities and Use of Proceeds 72 Item 3. Defaults Upon Senior Securities 72 Item 4. Mine Safety Disclosures 72 Item 5. Other Information 72 Item 6. Exhibits 73 Exhibit Index 73

Signatures

Signatures 74 2 Table of Contents

FORWARD-LOOKING STATEMENTS

FORWARD-LOOKING STATEMENTS This Quarterly Report on Form 10-Q contains forward-looking statements. We intend such forward-looking statements to be covered by the safe harbor provisions for forward-looking statements contained in Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). All statements other than statements of historical facts contained in this Quarterly Report on Form 10-Q may be forward-looking statements. In some cases, you can identify forward-looking statements by terms such as "may," "will," "should," "expects," "plans," "anticipates," "could," "intends," "targets," "projects," "contemplates," "believes," "estimates," "forecasts," "predicts," "potential" or "continue" or the negative of these terms or other similar expressions. Forward-looking statements contained in this Quarterly Report on Form 10-Q include, but are not limited to, statements regarding: our business strategy for our Gro wth Direct platform and systems; our future results of operations and financi al position, including our expectations regarding revenue, gross margin, operating expenses and ability to generate positive cash flow; our expectations and assumptions related to our future funding requirements and available capital resources, which may be impacted by market uptake of our Growth Direct system, our management of inventory and supply chain, our capital expenditures, our research and development activities and the expansion of our sales, marketing, manufacturing and distribution capabilities; our ability to maintain and expand our customer base for our Growth Direct platform and systems; the effectiveness of enhancements to our sales force and our sales processes; anticipated trends and growth rates in our business and in the markets in which we operate; our research and development activities and prospective new features, products and product approvals;

—FINANCIAL INFORMATION

PART I —FINANCIAL INFORMATION

Financial Statements

Item 1. Financial Statements RAPID MICRO BIOSYSTEMS, INC. Condensed consolidated balance sheets (Unaudited) (In thousands, except share and per share amounts) March 31, 2024 December 31, 2023 Assets Current assets: Cash and cash equivalents $ 22,433 $ 24,285 Short-term investments 57,103 67,768 Accounts receivable 4,921 5,532 Inventory 20,418 19,961 Prepaid expenses and other current assets 3,285 2,869 Total current assets 108,160 120,415 Property and equipment, net 12,615 12,832 Right-of-use assets, net 5,988 6,240 Long-term investments — 2,911 Other long-term assets 684 770 Restricted cash 284 284 Total assets $ 127,731 $ 143,452 Liabilities and Stockholders' Equity Current liabilities: Accounts payable $ 1,164 $ 1,973 Accrued expenses and other current liabilities 7,049 9,907 Deferred revenue 6,234 5,974 Lease liabilities, short-term 1,153 1,132 Total current liabilities 15,600 18,986 Lease liabilities, long-term 5,916 6,214 Other long-term liabilities 272 263 Total liabilities 21,788 25,463 Commitments and contingencies (Note 14) Stockholders' equity: Class A common stock, $ 0.01 par value; 210,000,000 shares authorized at March 31, 2024 and December 31, 2023; 37,483,559 shares and 37,099,909 shares issued and outstanding at March 31, 2024 and December 31, 2023, respectively 375 371 Class B common stock, $ 0.01 par value; 10,000,000 shares authorized at March 31, 2024 and December 31, 2023; 5,309,529 shares issued and outstanding at March 31, 2024 and December 31, 2023 53 53 Preferred stock, $ 0.01 par value: 10,000,000 shares authorized at March 31, 2024 and December 31, 2023; zero shares issued and outstanding at March 31, 2024 and December 31, 2023 — — Additional paid-in capital 547,300 546,051 Accumulated deficit ( 441,707 ) ( 428,385 ) Accumulated other comprehensive loss ( 78 ) ( 101 ) Total stockholders' equity 105,943 117,989 Total liabilities and stockholders' equity $ 127,731 $ 143,452 The accompanying note

View Full Filing

View this 10-Q filing on SEC EDGAR