Scorpius Holdings Reports 16% Revenue Growth in Q2
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Scorpius Holdings Achieves 16% Year-Over-Year Increase in Revenue
Reduces operating expenses by 25%
Pipeline surpasses $100 million in weighted opportunities across the government and manufacturing sectors
Scorpius Holdings, Inc. (NYSE American: SCPX) (“Scorpius” or “the Company”), an integrated contract development and manufacturing organization (“CDMO”), today provided strategic, financial, and operational updates for the second quarter.
Jeff Wolf, CEO of Scorpius Holdings, Inc., stated, “We are extremely proud of the progress Scorpius achieved in the second quarter. Despite facing significant working capital challenges, our revenues still increased by 16% and we reduced our operating expenses by 25% over the same period last year. With our recently completed financing, we now have a much stronger balance sheet to capitalize on a number of exciting projects in front of us. We anticipate this funding will allow us to accelerate our revenue growth and achieve our goal of positive cash flow.”
“Our success this year highlights the significant progress we’ve made in both innovation and customer-focused program management across our service platforms. This progress is reflected in the strength of our pipeline, which now surpasses $100 million in weighted opportunities across the government and manufacturing sectors. We anticipate closing many of these opportunities by year’s end and are confident in our ability to sustain this momentum.”
Second Quarter 2024 Financial Overview
For the three months ended June 30, 2024, the Company recognized $0.8 million of revenue, primarily from process development, compared to $0.7 million in the comparable quarter last year. The increase in process development revenue is attributable to the completion of services over a larger number of customer contracts.
Cost of revenues were $0.8 million compared to $0.4 million for the same period last year, primarily consisting of the direct cost of labor, overhead, and material costs at Scorpius. The increase in cost of revenues reflects expanded service offerings and milestone work on multiple CDMO contracts.
Research and development expenses were $3.6 million, compared to $5.2 million reported in the prior year. Selling, general, and administrative expenses decreased from $7.0 million to $5.0 million. This $2.0 million decline was primarily due to reductions in consultant services, professional services, sales and marketing, and stock-based compensation.
The Company reported a net loss attributable to Scorpius of approximately $8.9 million, or ($26.98) per basic and diluted share, for the three months ended June 30, 2024, compared to a net loss of approximately $13.9 million, or ($106.67) per share, for the same period last year.
Financial Position and Future Prospects
As of June 30, 2024, the Company had approximately $1.5 million in cash and short-term investments. As of a later date, the Company’s cash and short-term investments were approximately $13.2 million.
About Scorpius Holdings, Inc.
Scorpius Holdings, Inc. is a contract development and manufacturing organization focused on rapidly advancing biologic and cell therapy programs. Scorpius offers a broad array of analytical testing, process development, and manufacturing services to pharmaceutical and biotech companies at its state-of-the-art facilities in the United States. With an experienced team and new, purpose-built facilities, Scorpius is dedicated to transparent collaboration and high-quality biomanufacturing.
Contact Information
Media and Investor Relations Contact
David Waldman
+1 919 289 4017
ir@scorpiusbiologics.com
Frequently Asked Questions
What financial results did Scorpius Holdings report for Q2 2024?
Scorpius Holdings reported $0.8 million in revenue for Q2 2024, reflecting a 16% year-over-year increase.
How did Scorpius Holdings manage its operating expenses?
The company successfully reduced its operating expenses by 25% compared to the same period last year.
What is the current state of Scorpius Holdings' project pipeline?
Scorpius' project pipeline has surpassed $100 million in weighted opportunities across government and manufacturing sectors.
What was the net loss for Scorpius Holdings in Q2 2024?
The net loss attributable to Scorpius in Q2 2024 was approximately $8.9 million.
What are the future prospects for Scorpius Holdings?
The company anticipates closing various opportunities by year’s end and believes it can maintain momentum in its strategic initiatives.
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