Jun 30, 2021

T2 Biosystems Q2 2021 Earnings Report

Announced second quarter 2021 financial results, demonstrating revenue growth and progress across corporate priorities.

Key Takeaways

T2 Biosystems reported a strong second quarter with a 162% increase in total revenue to $6.7 million, driven by a 253% increase in product revenue. The company's net loss was $(12.5) million, or $(0.08) per share. The company achieved the final revenue covenant of $20.0 million for the CRG debt agreement.

Achieved second quarter 2021 revenue of $6.7 million, a 162% increase year-over-year.

Product revenue grew by 253% to $3.7 million compared to the prior year period.

Generated a U.S. sepsis test panel utilization annualized run rate of approximately $98,000 per legacy sepsis instrument.

Sold 3 T2Dx® Instruments and expanded the use of T2Bacteria® and T2Candida® Panels in 3 additional accounts.

Total Revenue
$6.69M
Previous year: $2.55M
+162.3%
EPS
-$400
Previous year: -$450
-11.1%
Gross Profit
$6.69M
Cash and Equivalents
$32.7M
Free Cash Flow
-$10.7M
Total Assets
$78.9M

T2 Biosystems

T2 Biosystems

T2 Biosystems Revenue by Segment

Forward Guidance

The Company continues to expect revenue for the full year 2021 to be between $24.0 million and $26.0 million. Product revenue is now expected to be between $14.0 million and $15.0 million, compared to the previous expectation of between $16.0 to $18.0 million, driven by lower T2SARS-CoV-2 Panel sales partially offset by increased sepsis test panel sales. Research and contribution revenue is now expected to be between $10.0 million and $11.0 million, compared to the previous expectation of $8.0 million, driven by accelerated progress under the BARDA contract. The Company continues to expect to enter into at least 30 T2Dx Instrument contracts in 2021.

Positive Outlook

  • Revenue for the full year 2021 is expected to be between $24.0 million and $26.0 million.
  • Research and contribution revenue is now expected to be between $10.0 million and $11.0 million.
  • Progress is accelerating under the BARDA contract.
  • The Company continues to expect to enter into at least 30 T2Dx Instrument contracts in 2021.

Challenges Ahead

  • Product revenue is now expected to be between $14.0 million and $15.0 million, compared to the previous expectation of between $16.0 to $18.0 million.
  • Lower T2SARS-CoV-2 Panel sales are driving the decrease in product revenue.
  • Net loss for the second quarter of 2021 was $(12.5) million.
  • Operating expenses for the second quarter of 2021 were $12.6 million.
  • The company experienced increased BARDA contract research and development activity and increased commercial headcount.