ArcticZymes Technologies (AZT) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue was NOK 24.9 million, down from NOK 30.0 million in Q1 2024, mainly due to a NOK 9 million drop from a major molecular tools OEM customer, but biomanufacturing sales grew 21% year-over-year to NOK 13.6 million, now 58% of total sales.

• EBITDA was NOK -3.7 million, compared to NOK 2.3 million in Q1 2024, reflecting lower sales, increased expenses, and negative FX effects.

• Customer base and order volume reached all-time highs, with a 42% increase in customers and 14% more orders than Q1 2024.

• Strong U.S. and APAC growth, with U.S. sales up 25% and APAC up 145% year-over-year, while EMEA declined 13%.

• Strategic focus on customer-centric transformation, commercial excellence, and expanding partnerships, especially with CDMOs.

Financial highlights

• Total Q1 2025 revenue: NOK 24.9 million (down from NOK 30.0 million YoY), with a NOK 9 million drop from a single OEM customer.

• EBITDA: NOK -3.7 million (vs. NOK 2.3 million in Q1 2024); EBIT: NOK -6.0 million.

• Net profit: NOK -3.1 million (Q1 2024: NOK 3.2 million); EBT: NOK -4.1 million.

• Gross margin remains above 90% for all products.

• Cash and short-term investments at NOK 168.8 million to NOK 240 million; no interest-bearing debt.

Outlook and guidance

• Positive momentum in biomanufacturing and cell/gene therapy expected to drive future growth.

• Launch of GMP-grade M-SAN HQ targeted for mid-2025, with RNA restriction enzyme ET-N1 in development.

• Continued investment in commercial activities, innovation, and organizational growth.

• Two CDMO platform partnerships implemented, with more onboarding in progress.

• Growing and diversified biomanufacturing customer base expected to drive long-term growth.