MaxCyte, Inc. Q1 FY2026 earnings call

Market Environment

• Elevated SPL program rationalization in the ex vivo cell and gene therapy (CGT) space that impacted results in 2025 has largely normalized, with partners now focused on their lead programs
• Funding for earlier-stage CGT clinical programs remains challenged, but the environment has not worsened from 2025; financing is available for high-quality later-stage programs, and the number of funded CGT companies remains stable

SPL Portfolio Update

• The portfolio now holds 29 SPL partners supporting 30 pre-clinical and clinical programs, after two ceased-operation companies were removed from the partner list
• Five programs are positioned for potential commercial launch in 2027-2028, with four expected to enter registrational trials over the next 18 months, and one already dosing in a registrational trial in Q1 2026
• Total future pre-commercial milestone opportunity across 12 ongoing clinical programs is approximately $100 million
• The split of autologous vs allogeneic programs across the portfolio remains roughly 50-50, with T-cell therapies still the dominant modality, aligned with broader market trends

New Product Progress

• Commercial launch of the DTX discovery instrument is progressing in line with expectations, with early adoption across ex vivo and in vivo CGT discovery workflows and protein screening for biologic development
• DTX has gained early traction with new customer segments: academic centers and large pharma that were not previously MaxSight customers, and is fully compatible with existing MaxSight platform instruments to enable seamless scaling to GMP manufacturing
• Secure off-target assay services continue to gain momentum, with new assay service agreements added in Q1 2026, particularly for programs approaching IND enabling stages where off-target characterization is required
• The April 2026 FDA draft guidance for NGS-based off-target editing risk assessment is a structural positive for Secure, as it requires sponsors to use high-sensitivity, complementary approaches to quantify editing outcomes for regulatory submissions

Financial and Strategic Update

• 2025 restructuring and cost efficiency actions are now fully reflected in the P&L, with Q1 2026 operating expenses of $14.3 million, a $7 million (33%) decrease from Q1 2025
• Management expects no meaningful growth in operating expenses from the current Q1 2026 level, and forecasts a clear path to further reduced cash burn as revenue growth resumes
• Ended Q1 2026 with $147.7 million in cash, cash equivalents, and investments, with no debt on the balance sheet
• The Board of Directors authorized a $10 million share repurchase program; management plans to execute the majority of the program before the end of 2026, reflecting confidence in MaxSight's long-term value and business prospects

Total company Q1 2026 revenue was $9.7 million, a 7% decrease from $10.4 million in Q1 2025.

• Core Revenue: $6.2 million in Q1 2026, representing 64% of total revenue, down 25% from $8.2 million in Q1 2025. Within core revenue: instrument revenue was $1.3 million, license revenue was $2.1 million, processing assembly (PA) revenue was $2.3 million. 44% of core revenue came from SPL partners in Q1 2026, down from 57% in Q1 2025. Secure off-target assay services generated $0.6 million in core revenue, up 11% sequentially from Q4 2025 and 3x higher than Q1 2025.
• SPL Program-Related Revenue: $3.4 million in Q1 2026, representing 36% of total revenue, up from $2.1 million in Q1 2025. This included $3 million in clinical/regulatory milestones and $0.4 million in royalties, with the $3 million milestone driven by a customer initiating patient dosing in a registrational trial.

• Full year 2026 total revenue guidance is maintained at $30 million to $32 million, consisting of $25 million to $27 million in core revenue and $5 million in SPL milestones and royalties • Core revenue growth is expected to be weighted to the second half of 2026, with Q2 2026 core revenue expected to be roughly in line with Q1 2026 levels • Given that the full $3 million 2026 milestone forecast was achieved in Q1 2026, no additional milestones are guided for the remainder of 2026, with all remaining SPL program revenue expected to come from commercial royalties • Full year 2026 operating expenses are expected to be approximately $60 million, a significant reduction from ~$79-80 million in 2025; the Q1 2026 operating expense run rate is considered reasonable for the full year, with only low single-digit sequential growth expected from incremental commercial expansion investments • Management expects to end 2026 with at least $136 million in cash, cash equivalents, and investments, excluding capital deployed for the share repurchase program • DTX revenue contribution in the second half of 2026 is included in the current full-year core revenue guidance • Management maintains guidance of signing at least three new SPL partner agreements in 2026

• Individual clinical programs in the SPL portfolio carry inherent clinical and commercial risk, even with a diversified pipeline of multiple programs across indications • The CGT industry continues to face a challenging financing environment for earlier-stage clinical programs, which could slow new SPL partner signing timelines • New product launches (including DTX and Secure) require ongoing commercial execution, and actual revenue contribution may differ from current expectations based on market adoption timelines • Revenue cadence for milestone-based SPL program revenue is dependent on contractual dosing timelines in pivotal trials, which can shift into future periods from current forecasts

Q: With the full $3 million 2026 SPL milestone already achieved in Q1, is the lack of additional milestone guidance driven by prudence, or are milestones actually expected to shift into 2027? Also, what is the expected cadence of new SPL partner license fees in 2026? / A: Milestone timing is contractually tied to patient dosing in pivotal trials, not just trial initiation, so any potential additional milestones are more likely to occur in early 2027 rather than 2026, depending on each trial's dosing regimen. Management still expects to sign at least three new SPL partners in 2026; new SPL negotiations often take 18-24 months from initial engagement to signing, and qualified candidates are already in the pipeline, but have not closed in the first half of the year as of yet.

Q: What Secure revenue growth contribution can be expected over the next 12-24 months, and what is the cadence for the $10 million share repurchase program? / A: Secure revenue hit $0.6 million in Q1 2026, up 11% sequentially from Q4 2025 and 3x year-over-year, and management expects continued significant year-over-year growth. The new FDA draft guidance on off-target editing aligns with Secure's value proposition, confirming the need for its assays for all CGT developers. Management expects to execute most of the share repurchase by the end of 2026 via a mix of open market and systematic purchases, as the team views current shares as a compelling undervalued investment.

Q: Can you describe industry conditions and your sales funnel now that 2025 SPL rationalization is complete? Will new business activity accelerate? / A: 2025 SPL program turnover has largely normalized, and partners are now focused on advancing their lead programs. Early-stage CGT financing remains challenging, but the market is stable for later-stage programs, which are still able to attract sufficient funding. MaxSight is working with more later-stage CGT companies than ever before, creating a strong funnel for future new SPL partner signings.

Q: What is the current status of the DTX launch, and what is the expected customer mix and revenue contribution over the next 12-18 months? / A: The DTX launch is meeting initial expectations, with a healthy and growing sales funnel. DTX has already opened new customer segments for MaxSight: new academic accounts and large pharma customers for both CGT discovery and biologic protein screening. Revenue increases are expected to begin in the second half of 2026, with more meaningful contribution starting in 2027, and DTX growth is already included in 2026 core guidance.