MRVI - Earnings call 4 2023 | Maravai LifeSciences Holdings, Inc.

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Operator

Good afternoon, and thank you for standing by. At this time, we would like to welcome everyone to the Q4 2023 Maravai LifeSciences Earnings Conference Call. [Operator Instructions]

I would now like to turn the conference over to Deb Hart, Head of Investor Relations. Please, go ahead.

Debra Hart

everyone. afternoon, Good us earnings joining fourth and quarter Thanks for XXXX call. year-end for our

release that at Our are the and press slides our and posted accompany website are available investors.maravai.com. on call today's

Trey following will will see President can session of Drew the prepared a for Slide you our As join financial for will and results question-and-answer you provide Kevin on first update, Burch, Production, the our remarks. today call Nucleic agenda our on Acid X, review business guidance. with and

remind that non-GAAP on refer refer We is differ financial statements forward-looking measures. today's We you forward-looking could financial management statements use detail expectations. It to measures you and will our and to call. possible make results management's non-GAAP that Slide actual GAAP X of and from more during for

just release Our operating SEC the comparable impact that the GAAP to most for may Please to risks additional directly reconciliations Maravai's financial also condition. information performance on and refer uncertainties filings press measures. provides and results, issued our

I'll Trey. to the turn call Now over

William Martin

We you, for having good and afternoon, appreciate Deb, call everyone. today. you our join Thank us

adjusted revenue on the Let's million start $XXX Today, full in $XX of results we with year reported X. Slide million. our financial and EBITDA for

CleanCap $XX custom than in in for stronger Production chemistry. fourth outperformance quarter Our results of due and anticipated Acid specifically million segment, to revenue were our Nucleic base

Turning to Slide X.

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CleanCap $XX for Production For million. NAP $XXX at million, was the was with million revenue COVID base Acid revenue Nucleic year. total the $XXX the full year, revenue

QX segment million Testing $XX year. the contributed Our for and Biologics million full $XX in Safety

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assumptions. more ask now quarter fourth our our performance, and Kevin along I'll to model Kevin? guidance on and year details our full cover with

Kevin Herde

Thanks, Trey, and afternoon, good everyone.

fourth have financial As Trey financial cover of mentioned, quarter finished into full results for excited XXXX. are we to and XXXX XXXX and and for move ahead to are I pleased year forward our expectations, briefly guidance XXXX. we discuss will the of then

on attention on started Before our core drew I XX address of large I our issued that GAAP-based want some today. to operations, X results get press the nonoperating Slide in earlier release line likely items

valuation As a technical consultation our against ability is assets of to tax we our evidence limit The allowance with and loss in projections. that GAAP-based recognized full GAAP forward-looking a recent of the result it assets. in is loss and history growth deferred our of income considered assessing advisers, Thus, we believe shifting a pretax projections, establish of XXXX to overcome pretax to allowance deferred as have is valuation piece book consider significant our to future and year-end. our as a accounting a against appropriate tax such subjective evidence difficult other objective tax

our the a of nature the allowance XXXX, and partial in IPO valuation Given tax generally recognized is and Up-C deferred assets, exchanges structure in subsequent of available. our no as XXXX predominantly result

the tied the assets and related tax structure. the TRA, or of to our Up-C usage deferred agreement, receivable tax long-term via our as Additionally, liability is created

We have financial liability that from GAAP-based also removed statement. our

income tied million expense TRA corresponding the and impact a gain full GAAP allowance GAAP X tax a valuation noncash, relief the non-EBITDA $XXX tax items deferred non-EBITDA, our nonoperating establish net The of is of to noncash, liability. other $XXX million a these assets to against of nonoperating

structure. the this, As nature many the XX% asset is Up-C typical approximately in that the understand liability as of deferred tax was of underlying an

To of be and To GAAP to the valuation we the tax will deferred owners at to corresponding will liability underlying available again tax future, payment the the this reduce and to TRA assets of are may release the conclude be made, are valuation once receivable include release benefits to tax pretax allowance. is extent still on in the those of that deferred matter, the XX% company we to the income the the approximately we allowance assets utilized, the time income taxable agreement substantiated. able utilize

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the for XX. now into quarter on financial results So Slide the diving

for interests XXXX. This compares income Our GAAP noncontrolling $XX before net XXXX. fourth loss the of million the to quarter was of $XXX of for million net fourth quarter

loss income $XXX Our million to of the for compared GAAP XXXX. was $XXX year million net for

the As associated GAAP-based of charge noted $X previously with our of in incurred we quarter statement actions. the consolidated a announced million cost in operations, restructuring

Moving compared [ measure Adjusted for for non-GAAP XXXX QX $XX 'XX EBITDA XXXX was to XXXX. (sic) $XXX Slide to ] QX million million XX.

EBITDA actions initiating our was revenues XXXX quarter the above a in XXXX. and for our QX QX XX% higher-than-anticipated margin expectations also benefited efficiency result as cost in the the Our that of adjusted quarter restructuring the of

by year XXXX last XX%. high year of few in segment EBITDA and $XX This I $XX to was for was our full adjusted slides. end EBITDA million for million guidance $XX of above adjusted margin will EBITDA updated for the the EBITDA Adjusted discuss of a million.

and of the net by was the with Adjusted of quarter impact net $X.XX, measure charges allowance nonoperating fourth the for XX TRA liability. associated asset EPS. the $X.XX non-GAAP share in Basic GAAP the Slide per EPS, fully diluted valuation diluted impact tax change to expense noncash, was share. on and driven a deferred Moving primarily the the loss a

our loss EPS fully diluted basic $X.XX of per and the share. EPS adjusted diluted For and metrics measure share were and $X.XX year, of non-GAAP per

cash to XXXX. million $X sheet, million the debt, flow with and and for the metrics year-end of a forward cash EBITDA flow $XX is the million million and million measure on XX. adjusted That other the cash $XX flow non-GAAP year quarter cash on $XXX expenditures, We and million resulting the in adjusted cash and $XX for capital million million respectively. $XXX Moving full $XX position. Adjusted long-term were in ended Slide free less free and and balance was in calculation million financial in year, the $XX of quarter, respectively, based fiscal for net year our $XX which

flow, For investment million operations. net includes GMP for fiscal million XXXX, in With expanding invested Flanders we year in total facility. our growth we the capital of and generated acquisition XXXX a the flow cash strong and $XXX expenditures of that cash capabilities to support from with This in operational our future offerings Alphazyme $XXX $XX vectors million. of

and ended our net previous our our interest in charge in $XX represents our guidance. with year million execution million, for was million, treasury previous expectations guidance. expectations operations. interest line Interest with the line reflecting compensation an guidance of expense, Depreciation about ended income, with range. and $XX for at strong line the the $XX amortization noncash in year, in Stock-based on previous the rate of year, also X.X% This year and effective at

shares as outstanding years. B outstanding a of the basis. total share shares at have X average outstanding Class shares diluted at the shares. Thus, shares weighted million XXXX a I declined Class XXXX fully shares million note ended shares our XXX also XXXX. on our A the and year-end total past over million A end B with converted of at end an XXX XXXX million our total was count million that We of plus Class following Fully for for million shares XXX was XXX XXX was outstanding the XXX IPO and Class

QX and structure, increasing employees overall X-plus transactions level XXXX ownership been past cash equalization bifurcated retire our reduce at Class acquisition [ million used Pubco dilution around ] of units a outstanding, have A utilized Maravai to stock as of B more leading tax over accumulate ownership. years. B of of and the This offset shares. effectively of than appeared These the our the result since that overall a the conjunction $XXX in to of outstanding during have shares associated the options to XXXX to As Alphazyme with distributions result of directors reduction effectively stock and restricted cash of IPO, has and the with Class in issuances

noncash Pubco shares has compensation distribution increased stock-based put, to equity while the seen by of used mechanism, total retire shares charges compensation reduced have outstanding. Simply we've ] issued virtue whereby has and annually, outstanding also the [ tax received total we cash excess

the XX the to discussion Slide of performance quarter. Next and segment in

and Nucleic million, GMP both our Glen had Discovery of brands which Acid fourth includes of $XX a market under services quarter our in and TriLink, and revenues Our margin EBITDA Alphazyme adjusted the $XX million XX%. and of segment, products Research Production

for Included were of in with quarter associated EBITDA for million of previous estimate the expectations of CleanCap line with a revenues $XX our segment XX%. related the adjusted vaccine brings million For This revenues for was million and CleanCap with to million in our the of demand. year, the $XX vaccine our guidance COVID-XX fourth margin $XXX NAP for in estimate revenues statements. $XX COVID-XX total demand related in

Slide to Now XX.

$XX of a which segment, sickness from includes Testing have of our million million, in Safety brand, of XX%. and revenues adjusted products fourth Biologics $XX the quarter margin Our EBITDA

year, $XX million was $XX XX%. of EBITDA segment this for million, the for was adjusted margin revenue For a

and our operational of expenses segment core combined segments. our to results, prior just services XX%, operating was financial the health adjusted As corporate combined the segment shared margin million XXXX, $XXX of clearly detailed the EBITDA, strength in these highlighting for

and million such incremental includes total legal, expenses year. quarter as shared corporate accounting, EBITDA the $XX being for and with service the in a adjusted resources, $XX million and finance functions The associated human totaled company IT public expenses centralized and the impacting

Now our for on expectations getting XXXX Slide to financial XX.

We range Production be down anticipated million X% segment, we see million. the at total in Breaking XXXX. CleanCap due anticipated revenues in about the achieving to our of to see XXXX guiding to Acid segment $XXX Nucleic by are $XXX down be revenue mostly Testing low over mid-single-digit the midpoint, declines we Biologic to the And demand. to growth business Safety GMP high-volume

Now variety uses, no as indication-specific our to our of it X.X our we a estimates platform we approved and vaccines the carving Maravai a in GMP and that development fungible thus understand customers. hands CleanCap CleanCap CleanCap in as that in is technology out or programs, enter for the commercially research guidance including era, COVID-related not and is annual supporting end prospectively. will of on or customers our longer our estimate use quarterly be our basis attempting We a of

GMP contractual guidance around XXXX XXXX commitments made consider $XX noncancelable our Now does fiscal in customers. million CleanCap our year by

over COVID-related the cadence past years to the we carrying annual quarters estimated for As XX% the total. our have few the revenues, each of XX% in of plus seen between CleanCap impact of of

with variability of bit each little year. a So

of first the XX% about first at XX% revenues, for the total As we revenues carrying year of of half the in XXXX see the our carrying year. quarter look XXXX we the about

with outlook of half, the historical peers' than first So and the slightly weighting for XXXX. consistent variability our consistent we our but see with many half higher second

rest the the of to Moving P&L.

unfavorable mix targeted targeted R&D We our XXXX we commercial Acid marketing offset on by organic in on of [ realize $XX base ongoing annual focused Diego labor was are levels product remaining basis be sales our and are than partially expenses the margins Nucleic be of first that expenses to These reduction and which ongoing with flat lower about absolute based teams investment increases basis, quarter force compared investments previously growth. our down in the to these be gross XXXX. cost track the force to our on San reductions to XXXX. and XXXX. an an headquarters to and cost an in X% to versus the X/X about Production associated be G&A completed will slightly labor Overall, tied expect drive corporate of to dollar are up substantially areas. reductions and absolute to were estimated million, expected at in slightly R&D on reflecting ]

adjusted up XX%. Overall, between $X.XX per see we adjusted to XX% loss. estimate EPS a XXXX of per range to share EBITDA margins We the $X.XX in share

share $XX reconciling adjusted shares; GAAP item from million; following Our depreciation between XX%. million; guidance $XX net XXX which equity-based non-GAAP $XX between also the $XX to of between EBITDA a interest and million in XXXX. Interest million $XX income we as converted of $XX to and show fully and contemplates of amortization expense be and expectations million; as-if compensation, count million rate million and an effective tax

Lastly, all foreseeable future. business support in as the Flanders being we with facility discussed, stages complete have be which will needed result facility of that the the final to XXXX, substantially for outfitting our first are we in of we our investments will expect us half

As first to to shift X% investments expenditures growth down for XXXX. maintenance such, expenditures capital to of down to to closer Subsequent to million this moving total over anticipate $XX we half further total mainly capital completion, $XX million and we annual net total time. anticipate of over in XXXX, the revenues

the turn now over call to I'll Trey. back

William Martin

at transformative target We positions. will playing markets new challenging health only normal. to Poised and wrap in XX, they're to and have X.X, believe we XXXX. therapies on more up impact battling right gene for leadership a we we has accelerate. human that diversified XXXX believe with combo a that transitioned during and strong cell Maravai solid we to on So vaccines a the mRNA global Slide are From new cancer, believe the

expanding building services strong our medicine. are portfolio to our We product important high-value brands and areas in genomic strategically and support

We scale new a are growth focus leveraging for long-term, our on profitable committed to building opportunities. commercial sustainable scaling growth a strong and manufacturing organization, innovation, our and foundation with inorganic

of cases, cure at key role ahead finally, single what coming still next are that your are are This generation some you support, is to and around trust our and for forward and look of that our us thank better opportunity over We, incredible our this our for customers, thank we and attention. in you the medicines going day. proud partners treat of Maravai, in disease. to have Then team every literally making mission investors, that We collaboration the playing fulfilling to the employees participate happen. To years. your continued fuels in

call turn like back questions. would the line the to operator over and to I open now your for the

Operator

[Operator comes line Matt Instructions] Blair. first from William the Your of with Larew question

Matthew Larew

I ask wanted the just guidance. about to

The on be top of first sort line. the would

You I think, million $XX of orders. referenced, noncancelable

seeing thought guide. your the whole issue guidance past about if just curious around the you constructing if years. just the For guidance market end has approaching guidepost relative internal of you to about communicated sort the obviously, the general an there's space, just year, on expectations year, more way for or as the the I'm X.X you're thoughts in thought or been over improvement any visibility difference some

Kevin Herde

about the I'll I Yes. good Sure, Look, Matt. think that. we guidance Thanks. range. take Kevin. This feel is

good been to we sit were, overall the or probably having guidance, I puts of closer and is year, and here where PO percentage in the in that was, spot. a like we commitments near in mentioned, us think year of some the these ago, today our say, you was X/X either It's of it it sitting higher year throughout as our a than of we contractual full ago. see versus that sitting year XX% revenue a recognized course

full that's us incorporated the a year, and guidance. good So our grasp do that gives we conviction for that some in have

Matthew Larew

just the mix revenue of and guide, EBITDA And sort midpoint around that the million. margin Okay. of I then on think is $XX

You in fourth just the $XX are first quarter about reported that million the like things reset comp and in quarter. incentive recognizing there

but line relative Just of there, help this the between I was full the of curious just that, of sort I us the it in if guide, QX, [ if the to maybe the at moving annualization here picture parts beyond ] understand top other look do XXXX. midpoint

Kevin Herde

you relatively where the ended the midpoint see million. you down We full again, step we versus if the with consistent the of certainly midrange year of our X.XXx in take a think in I Yes. up do EBITDA, the get Well, ended we guidance. $XX XXXX. where that's revenue And 'XX of

it. that's big a of component So

I'll probably we actions. also that did of tune of the put quarter $XX cost million that $X of in, 'XX tell did benefit, We in some obviously, you overall fourth target. million the about around

benefit is $XX year-over-year the So million. there about

you due investment at normalization half the is down midpoint practices of and remainder the lower in certainly, things, of one, that the R&D. about commercial the are then of So some coming and continued mentioned compensation the to revenue and

morph the As particularly of we here we as us, XX% sit today, to That's XXXX. more of been than about sales at have force. that we end into sales X.X concerted did Maravai heads strong we a focus have

So that's forward. a reinvestment as we move

margin in it some to cadence, quarter-by-quarter we see did continued we're the XXXX. going to relates As variability as

our first XXXX, on the the for and the the that's $XX first XXs the million second were third number quarter were EBITDA margins implied for And carrying given revenue. low mid-teens, our see I QX. in XX% roughly based of about quarter down think of a year, the of certainly, quarter guidance full if you in

You relatively expect first level sort with the then EBITDA consistent margin from quarter there. to and the be of that mid-teens for increasing

to growth toggle done year estimate expansion and margin is XX%. really expansion the continue we'll has full top our key XX% historically, into it for line, moving margin as top see to that of As line

Operator

of from line Justin Our next question Bowers Deutsche Bank. comes the with

Justin Bowers

on was about mute, that. sorry I

a So inflection environment strip talk of last months. X the about It to and a of just over COVID how calling you're just let's return the I sort to for like level, out of At looks evolved, demand that's can CleanCap. you when X an bit and back. some the high step growth we wanted say, to take a a

sense starting So just sort of drivers that a wanted behind to of the get point. a as

William Martin

This Thanks. Yes. is Trey.

which again, We first a binding commitments obviously is foremost, and something to a is are that seeing, say, willingness make welcome change. I'd

smaller period, of seeing and and intensely really number very of and coming in nice POs demand. into checks. customers period are we're toward these growing so of we well, on, identified, the the large discussed you diversification, with was pandemic orders a significantly, the As off coming a But weighted heavy as course, material, were customers smaller

predictable the would lead will this in. it business. for Ultimately, more in and we demand, to a customers and, more say, would But -- stable say, diversified transition, come are, I much seeing I

for they're -- are little We unfortunately to it But I'll recommitment we've a not of massive binding maybe And hand era. the again, pandemic more color. customers to also seen, forecasts. Drew this

Andrew Burch

Trey. Yes. Thanks,

We've of well. I annualized some pandemic commitments. described think era the it Trey

So we'll move that. past

as chart I a significant at trials number see pretty those some a to using have clinical customers. showed up continuing rate. numbers We diversity of And speaks dynamics on the seen CleanCap greater of that of Trey go those to the think you

some with And well broader of we'll diversity customers. the the replace of commitments for I future. larger that think augurs those So

Justin Bowers

maybe there. a the efficacy And question just on validate the There's of there's a shelf to lot, a been, we and then process What just CleanCap? wide a quick out estimates been life the guess, sort get where of follow-up. I range that

So get we'd just perspective to like that. your on

Andrew Burch

held Yes, that. take make customer-driven well will that -- a they Drew. their and with customers own how CleanCap retesting work to their We're has decision decisions to support I'll our they also inventories. choose services. dates pleased inventory. sure. standpoint from up retest about use The we how stability to a it's manage customers And and with It's want

Operator

Baird. from the from Schulte Our Catherine of next comes line question

Catherine Ramsey

to the our set try I entering in year, of programs few terms [ sense for mentioned portion of was ago. that remarks, Phase Phase ] a CleanCap a just to prepared last versus I used entering programs larger portion last that you your I In CleanCap guess, get utilize year of market a that's share? that number years what

Debra Hart

we're Catherine, stat... at that looking

William Martin

table We've of with got all them. a

number the you're of this asking the So Phase at year? year I of last end programs versus

Catherine Ramsey

Yes.

William Martin

I was X end was in the 'XX of XX, of total end of at Phase at XX. in 'XX Phase the Total

Catherine Ramsey

used Okay. have if frequently I, entering I that was programs a Phase referencing larger you utilized that's Phase okay. don't the if percent But CleanCap? in you of that, I more CleanCap mentioned more was you have what like

William Martin

about Yes. Yes. It's XX%.

Catherine Ramsey

implies first That's down versus we a guide quarter step the about for maybe decent think Biologic revenue. helpful. Great. for outlook Acid in quarter sequential very then the number? Nucleic first should Safety Okay. Testing Production that How in And

Kevin Herde

Yes.

historically fourth versus in is tied sequentially, first to stepping So performance. most high-volume quarter it strong done going up the be We decline see quarter Safety as to the of in has NAP that a segment. Catherine, of quarter the first CleanCap. anticipated is Again, the actually lot Testing Biologic having lot GMP that a

that for So over I down, by offset GMP see pattern you and BST to XXXX. think a coming then in again, high-volume step-up CleanCap due we're seeing QX predominantly NAP the

Operator

Bank next question comes line with America. Ryskin from of of Michael the Our

Michael Ryskin

here. also Got One about you the appreciate just in in the $XX I thinking just we're make a couple Q&A. talk questions still really it contractual on million correctly. but XXXX. know quick want of I to to said it, sure don't was want I you about

was You or in XXXX. had was contractual $XX believe, $XX to about $XX million I that that million, -- million $XX million

off, to an pretty say we're And XXXX because it I XXXX. in in just correctly could follow-up. that end. terms million to sure in that modeling just be can make a Anything rolls a meaningful if comes when you that when headwind $XX that ends? got You all got I've of want

Kevin Herde

right with for XX-month kind very think speaking with annual of So to of with rolling you rolling of and under sort commitments. rolls XXXX that have those guidance related I sit that we'll license our now, year, our with be agreements, we today. how sticking certainly, right mean forward-looking through as we're supply that that certainly we're Well, of working we as better we're customers And what after, as comfortable of Yes. we right? most know, into and view as on now I here customers our forecasts, sort we mechanisms the work forward go today, -- the and clear our that's works. But

Michael Ryskin

then... And Beautiful.

William Martin

carve-out I large committed the was we had before. we were publicly as year programs, number say to Sorry, was what XX -- had we the forecast that sharing last and COVID-specific that number for

Michael Ryskin

prepared last in size question, any follow-up partnership. that ask it going FUJIFILM in that weeks. over Okay. Any a was couple possibly the meaningful make We've that could is on in much pretty beyond of because to what to gotten seems then of the like And of sort Yes. remarks? you I additional my how bunch XXXX? be assumed of can comments questions And you had way that this

William Martin

customer signings CDMO. key -- Yes, a on as the FUJI's that will depend

more later book the in the choice, depend opens as say, Japan. this to of meaningful, notable the it -- in difficult X be be enabled have this that. in could that's like Flanders giving, need customers year. key have but several for we X that programs because very on in of portfolio It jurisdictions forecast, includes separation phases country And Japan would partnership with or work are a later But as as geographic opportunity they multiple have need if sort degrees to CleanCap. that's is So this of does to us. and it a they that But but us, in reason -- the able you they scale entire been the for CDMOs particularly hopefully, -- really they

Operator

Capital McNamara RBC question of Markets. next from Our line Conor comes with the

Conor Noel McNamara

Congrats on a quarter. solid

results, ahead anything at was worth QX do there there you you expecting, in as what that pulled my execution? out? purchases Or is million of about look XXXX if far forward or if just correct. math Just you $X in from were as calling came is bulk just anything that's And

Kevin Herde

Yes, say, I forward. thanks, say, Conor. nothing would one, I would pulled

that. for funnel it in, provided the that our program. happens that weren't quarter. in of thinking But about bulk drop and occasionally, what see strong start some internal estimates, and leads CleanCap a We -- kind mostly that was that to I and to in it really order certainly in that periodically, of a our as in us order a call quarterly we regard. for a really did quarter new was for phase have They're meaning in happy came the and just a maybe our that we what our and we're upside most orders, are And think and to again, quarter some not new that customers that happens -- we pretty normal versus our was things funnel as again, it that or volatility. there larger came enter going

Andrew Burch

I would think on quarters the add efforts commercial it's the for And execution on, have past I few fruit. undertaken our been true. in that

So good way. forward-leaning just some really the customer commercial getting and of team a front the more with we and saw CleanCap other in opportunity in base traction offerings that

William Martin

the think or pandemic, Kevin pay, to take-or-pay I committing committed this reticence necessarily of material. how about is which of the arrangements, funnel, that's but not some the last type in positive talked but was we able for within but to quarter. not upside the the orders, said, reason, an these dissipate year that sort as largely was it consequence it there are also And with still needing take take and execute people may we

Conor Noel McNamara

half, second a the half what Got in the $XX EBITDA is this that as start we revenue, to is it. follow-on, margins make guys relates as you that then on of as or for Should tailwinds And that roughly And Great. would half we the I said of half. just beyond line much you good million be million second Or guidance, to about at it expect do did would $XX think place that any that XXXX? different? what second second first to a then there implies year? half XXXX versus mean, looking the headwinds to roughly a in quarter in we'll

Kevin Herde

to Yes, the And strong a I EBITDA you as Conor. up type the year. we half in pull you that expect, in quarter revenue had as Obviously, see the level, got year, the saw for revenue performance can certainly 'XX. think here out than that the our I what we the of that will lower around We up move right, that's and slightly in margin guidance margin exiting and and average XX%. into think we're exactly of fourth first we

Operator

Our Goldman Sachs. the question from of Matt comes next with Sykes line

Elizabeth Koslosky

Matt. on This for Koslosky is Evie

So trending customer basically, within different conversations commentary is you're modalities in the slide? there where terms called The recovery seeing you first on positive the the bioprocessing one, others? to how that more of are out relative one modality

Kevin Herde

be distribution back there gets so normal had this into cell interesting was are slow you the for the in that are for normal proportion getting I The BST, some And where say to in, production. an the to of where the they that's -- down, there lines. cell some Well, and returning multiple are would versus have we I for of technical but but different mean, expressed on, would yes, platforms be distortion, would weeds, that people using into we sales, question. CHO E. back platform modalities I coli say, that in recovered, example, can

get, so of And clicks couple a in of are Cygnus really or further we that's also CDMOs particular, than distributors. many since the customers

they're specific kits expression you're [ level or in don't using we -- of map ] many the if unfortunately, line certain for a how -- or for have program that's there's -- what things that, of they're which into a a like visibility that certain asking. we So cell

Elizabeth Koslosky

Yes.

of more modalities. in in types like think comment each vaccines terms of modalities, of those those and -- comments versus like within are trending customer therapy I how cell mRNA

Andrew Burch

jump on that. Yes. I'll It's Drew. Maybe in

I say between the can't we've marked a seen think mRNA. I -- difference and cell therapy

near grow over say, over few our with in X,XXX the underway, data on growth and There's the initiate in We're of with -- we've past think us consistent those that. engaged excited We're forecasted smaller fronts, underway both more editing, clinical to trials have year, kind mRNA, quite but you to would of I have Flanders upcoming customer traction. signed by a gene saw numbers dialogues In or XX% are excited a data, years. number I to for are got the dialogues, customer grown production terms out bit about trials customer both the the both for and X. clinical preclinical trials. X,XXX of clinical

portfolio. say So balanced across overall, of would a it's the I optimism kind

Elizabeth Koslosky

XXXX confident and XXXX how in in of consideration this necessary revenue growth the super That's the And target? to Great. target guide, with reach $XXX Okay. step-up then through the XXXX into of new your XXXX taking helpful. million in are you order

Kevin Herde

sure. Yes,

look you like if that that's expansion be building you're CAGR focused the in -- to I those on R&D, cetera. math making at we X be with business a looking and of there, commercial, targets we're that think et certainly, things at continue this I mind, why Flanders just would think out, investments innovation,

that And unfamiliar is a growth I target with. not we're think that

XX%. 'XX grew at back growth look from you business we to to our If core 'XX,

under versus So and think today, sit X.X here forward we Maravai as years. we I previous as those look

programs, and opportunities a alluded lot more we lot products a excitement lot as and a it have more lot dollars space, more, a more customers involved. to, and around into Trey flowing and have capabilities, the You in

our something said, what So goal for continue I XXXX having certainly, starting to now on delivering been But is footprint there and business strategically. focused growth. we it's out we we on, right build to that think returning that really just put be the focused as our out get to

Operator

last this And line Knight for with the our Paul from KeyBanc. question, of comes

Paul Knight

for Yes. Thanks the time.

they are biotechnology As dedicated capping they really And various are agnostic? Or we to one at technology? do look look alternatives? at firms, they

William Martin

Yes.

the best the when anyone insightful question, technology looking they that for program think anyone. at be When a is way. ideally should new I or in starting time. discovery, by That's

whether be in caps. certainly it partner, in my on given mentioned partner. they moment as at a are and efficiently a depends we the the really So favorites, workflow the They have co-transcriptional I -- time. that or have that extent, agnostic their I themselves standard may have incorporates think a to comments, you're, then customer, are a we producing If as

think adding with the And development, about partly the of clinical that menu though, quite new MX most they the of to sorry say, reason being have dedicated But continue efficient so are and is technologies at that customers, their quick. people best the and a all options We're is that. Sorry. we recent Planes should incorporate to would CleanCap always stage going given who also excited we're overhead. that we to innovating try example. I

Paul Knight

committed have right? can Phase I'm they stage I, what, Phase commit they II, are really limited to guessing they last -- -- the What's they

Andrew Burch

switch case they think into trials, bit see to people usually clinical commit the point, greatest -- are degree their that's going programs to entering we but little the programs. of are to new think a later. hard as to help I go that maybe the continue clinic. that options customers I going Trey's We switching products as optimize and are to work The bring

excited CleanCap there X' to [ in approved ] production. CleanCap moving that CleanCap SA products all GMP have we're that OMe MX a so and And move are along -- point. been methyl into of in have CleanCap we and that interest AU at bit are all quite AG, nicely, is this

And size so all. one there's fits not

try innovation to as much customers to bring programs achieve. to to can as continue help they their possibly achieve We

Debra Hart

with for coming several us Well, be We'll joining just conferences would months. Great. we like over everyone that, the to at thank today.

I catch And up have So you in there. person with follow-up great feel night. any us you of Hope questions. to hope to with some free contact a

Operator

call. This concludes today's conference

disconnect. now may You

Maravai LifeSciences (MRVI) 22 Feb 242023 Q4 Earnings call transcript