Cerus Corporation Q1 FY2025 earnings call

• Obi Greenman highlighted the solid position Cerus is in, double-digit revenue growth, earlier-than-expected CE Mark for INT200, updated CE Mark application for INTERCEPT red blood cells, and progress in Phase 3 RedeS study.
• Vivek Jayaraman discussed double-digit year-over-year growth driven by strength across global franchises, positive feedback on INT200, growth in US IFC and global platelet markets, and ongoing discussions with new geographies.
• Kevin Green reviewed financial results, reiterated product revenue guidance, discussed gross margin details, operating expenses, and cash flow, noting expectations for positive non-GAAP adjusted EBITDA and positive operating cash flow.

In the first quarter of 2025, Cerus reported product revenue of $43.2 million, a 13% increase, which was at the midpoint of the 10% to 15% guidance provided in January. North American product revenues increased 22% compared to the prior year. EMEA product revenue declined 4% on a reported basis, but -1% on a non-GAAP constant currency basis year-over-year. US IFC sales totaled $3 million in Q1 2025, up from $1.9 million in Q1 2024. The full year 2025 product revenue guidance range is $194 million to $200 million, including expected IFC revenue contribution of $12 million to $15 million.

• Reiterated full year 2025 product revenue guidance range of $194 million to $200 million.
• Expect IFC supply to ramp up monthly through the balance of 2025.
• Anticipate SG&A expenses may tick up slightly due to full quarter impact of cost of living adjustments, but no significant investments expected that would impact adjusted EBITDA.

• Forward-looking statements involve risks and uncertainties such as those related to future financial and operating results, regulatory approvals (e.g., INT200 PMA submission, INTERCEPT red blood cell CE Mark review), and impact of global tariffs on operating plans.

Q: Josh Jennings asked about 22% growth in North American product revenue in Q1 and breakdown between Canada and US, and US INTERCEPT platelet revenue growth.

A: Vivek Jayaraman responded that growth was predominantly in the US, with Canada also contributing, and discussed continued demand for IFC and ramping supply from partners.

Q: Josh Jennings inquired about next steps in European regulatory process for INTERCEPT red blood cell CE Mark application.

A: Carol Moore explained that TUV initiates review, starting with clinical review then moving to competent authorities, and they feel good about communications with TUV.

Q: Ross Osborne asked about EMEA France platelet business and IFC production capacity.

A: Vivek Jayaraman said France platelet business is strong with 100% adoption of INTERCEPT, and discussed IFC production capacity ramping with production partners receiving BLAs and de novo interest from blood centers.

Q: Mark Massaro asked about assumptions in guidance and revenue from next-gen illuminator launch.

A: Vivek Jayaraman mentioned INT200 CE Mark clearance was earlier than anticipated, aiding revenue guidance, and IFC ramp up assumed in the back half. Kevin Green discussed SG&A expenses and government contract expenses.

Q: John (for Bill Bunnell) asked about new geographies and uptake of INT200.

A: Vivek Jayaraman talked about INT200 being a catalyst for new geographies, progress in markets like Saudi Arabia and Germany, and positive customer reaction to the device.