Azenta Reports 4% Revenue Growth to $147.5 Million for Q4 2024

Azenta, Inc. reported a total revenue of $147.5 million for the three months ended December 31, 2024, marking a 4% increase from $141.7 million in the same period of the previous year. The growth was driven by revenue increases in both the Multiomics and Sample Management Solutions segments, with Multiomics revenue rising 5.7% to $66.3 million, and Sample Management Solutions revenue increasing 2.8% to $81.2 million. The company's gross profit also improved, reaching $68.7 million, up from $61.7 million, resulting in a gross margin of 46.6%, compared to 43.6% in the prior year.

Despite the revenue growth, Azenta reported an operating loss of $11.4 million for the quarter, an improvement from the $16.2 million loss recorded in the same period last year. The increase in operating expenses, primarily due to higher selling, general, and administrative costs, was partially offset by a reduction in research and development expenses. The company’s net loss narrowed to $13.3 million, down from $15.7 million, with losses from discontinued operations also decreasing significantly from $8.5 million to $3.9 million.

In terms of strategic developments, Azenta announced plans to sell its B Medical Systems business, which has been classified as a discontinued operation. This decision aims to streamline the company's focus on its core segments, which include Sample Management Solutions and Multiomics. The B Medical Systems segment generated $17.6 million in revenue during the quarter, up from $12.6 million in the previous year, but the company anticipates entering into a definitive agreement for the sale by November 2025.

Operationally, Azenta's total assets decreased to $2.04 billion as of December 31, 2024, down from $2.10 billion at the end of the previous fiscal year. The company reported cash and cash equivalents of $377.5 million, an increase from $280.0 million, reflecting strong cash flow from operations, which amounted to $30.6 million for the quarter. The company’s employee headcount stood at approximately 3,000 as of the end of December 2024, with operations spanning across North America, Asia, and Europe.

Looking ahead, Azenta remains focused on enhancing its product offerings and operational efficiencies while navigating the complexities of the current economic environment. The company expects to continue leveraging its expertise in the life sciences sector to drive growth and profitability, although it acknowledges potential challenges related to market conditions and the integration of its strategic initiatives.