AZTA - Earnings call transcript Q3 2023

Due to licensing restrictions, you must log in to view earnings call transcripts.

Operator

Greetings, and welcome to the Azenta Q3 2023 Financial Results. [Operator Instructions] As a reminder, this conference is being recorded Tuesday, August 8, 2023.

I will now turn the conference over to Sara Silverman, Head of Investor Relations.

Sara Silverman

Thank you, operator, and good afternoon to everyone on the line today. We would like to welcome you to our earnings conference call for the third quarter of fiscal year 2023.

course a of during in press today the XXXX. issued number Act our be and website statements at earnings the of today. I the Investor meaning of used Private quarter supplementary that located market the the is investors.azenta.com third release remarks we that Litigation after was close of call, prepared Relations PowerPoint like Our slides to will addition available to forward-looking the the everyone will the Securities remind would during of be making within on that There are such many results cause factors identified statements. differ forward-looking may to other from in those or events financial actual section and our annual I with aforementioned on our release our including the earnings Harbor our the on presentation SEC, Form harbor on would quarterly the XX-Q. titled our on various reports slide refer Form PowerPoint you filings website of and XX-K Statement, to reports Safe the safe We occur should make today. no obligation data statements differ the that or presented statements forward-looking financial future from to update these events

upon financial but Azenta the business. GAAP GAAP performance, the an and may non-GAAP way when reconciliation of of operations of with complete considered not exclusion measures, We in measures the understanding are of used in an provide in themselves. non-GAAP to Non-GAAP relied results of aspects results GAAP. even to be number and We the which addition and accordance conjunction believe financial of to with with a the viewing measures, should more additional they GAAP measures provide refer presented our measures

Lindon Executive Chief Officer, is today me our President Robertson. Steve Officer, and Schwartz; with Chief and Financial call the On our

third our highlights Lindon with Steve for on quarter. and the provide into fiscal results more our open remarks a outlook XXXX. the of of call We look detailed Then fourth quarter will financial will from the

at the the your take prepared end We will of then questions remarks.

our over I Steve turn the CEO, like Schwartz. to With call would to that,

Stephen Schwartz

that strengthening everyone, business market report that thank us. across third a show and We're afternoon, Sara. you, results in to spoken up profitability. you we we're pleased set meaningful joining once and to our quarters over And you solid position actions us a with on growth Good Thank pleased of will reinvigorate for about few again. believe results units the outgrow our quarter revenue to strong to today, to evidence the and traction. We've report past

restructured more our added we new We to seeing say better aligning these will We decision-makers substantially aligned results October wherever the we've our to customer targeted expect steps taken sales right to X, beginning can align structure with we've and needs. that which operating our efficiency incredible and a improve resources. to our talent significantly were team, We're we're while approach recruited offerings reporting We've unequivocally patterns. the sales customer go-to-market ones. purchasing implement

operations next We've meet initiated our year. X and over of and demand. to actions objectives cost all leverage complete, the tranches committed to the track our bolstering These meaningful meet the calendar the operating One capability is of on reductions other X improving start while are since quarters. is any

cost as our on report in proud as recognize to initiatives. do important of in combination it stand-alone this of the an to that milestone status the a we important Today, and it's a growth cash trajectory. accomplishment that, for and of life But company. noteworthy before first demonstrate free sciences time positive the flow We're growth I QX, our allowed these return us reductions

as XX new and Generation by by who We're growth as business we'll targeted roughly of become performance pleased a strength the in we in Sequencing what's business to In Now Synthesis. are services, X%, on in well look Azenta coming continued where growth up organic strong rapidly we especially at make Genomics by was business, up this segment. delivered of sales opportunities in year-over-year. the Next challenging investments to strong speed see offerings, let's X% Gene led We've specialists added continue growth. more the environment. our macro for

sequential back Gene of X% a consecutive constructs delivered growth. manufacture to with our deliver We're because and Synthesis second a confident speed. of quarter winning all improvement that of with ability manner We're synthesis complex we've exceptional we're linear in expect from path growth long we our sustainable and the necessarily believe right a here, building growth we over a actions term. of business taken though pattern growth don't the to business, for do

year. PacBio over look Revio to we on the to this business NovaSeq forefront the Sequencing and platforms, newest technological last at Generation grew double Next business our Illumina, by advance as in the advancement market. remain ramping Our of proteomics continues We're and digits X offering

Nanopore we our Plasmid-EZ in sequencing also Generation services, technology. quarter, multiomic new in several and This Next viral business, AAV packaging Oxford Gene launched including which provides plasmid Synthesis, efficient using Sequencing

led In grew again by storage. year-over-year, business, we in once the growth Solutions Repository X% Sample double-digit

location be also which XX,XXX this but facility highly sample area. new in define our foot announced flagship Greater square measure in terms Indianapolis. in capacity by differentiated relative that after footage rather will automation, this be a enabled in This not square in sample Boston capability. will later the We our We capacity will be size state-of-the-art year, we'll the of location that opening bio-repository bio-repository second-largest

base start We're time. our will terms advancements in partnership. and this project for initial is reinforces once this will announced report establish size grow a support over that us with customers of to the lupus received for again as the our discovery. and also we've but notable of trials, Lupus Research healthy it samples ability in of Alliance This samples collaboration pleased support research collection active in small which to We case to

the Moving to segment. products

X% business. softness year-over-year continued consumables an on the As expected, the basis, business organic products in declined reflecting

reflecting growth Instruments our in delivered which stores over large, was However, few the year-over-year quarter-over-quarter, A backlog excluding from of quarters. to grew record strong the and growth. systems, business segment performance the store contributor automated business, we've accumulated the Consumables XX% the organic products rest stemming the XX% and past XX% significant

record another in QX quarter deliver to expect as well. We

flat essentially quarter-to-quarter going was news an take X to just to XX ago. seeing uncertainty. we're continue The opportunities due softness see months some increase quarter-to-quarter, funnel, to budget as our in is but to convert revenue we compared it's that longer good to sales BioStorage sales as into these to

we're The dynamic precious sample efficiency, in by that world. higher better dependable management in we effectively of quarter, the demands samples management the toward manage move economics biosample automated safer sample to as Azenta a each sample bring the around billions the management continues which, more to business with handling individual landscape changing and now connectivity measure assets, to the and way, market

will to The for us the workflow be years, in automation automated sample clear increasing large-scale we're paradigm systems as to large-scale is freezer support retired handling manual uniquely coming the means It's fronts favor demand clear, positioned only high-volume for and management. safe of that over shift. and sample this

the the all past automated cryogenics, over will samples end, that temperatures, XX we've market we're quarters, orders add management million for storage meet than that is the system including won ready future, to of sample and at more X capacity. sample Toward demand. Automation automated

high while normalize. relatively that said, strong business, we're our sales we slower. our And was investments recent instruments is good levels see sales how this is we the by in in tied a a we visibility to into inventory channel and acquisition consumables may are limited temporary, indicator encouraged what customers. have That will workflow these of quarter performing consumables, effect continue. Ziath consumables, instruments our long continue In at future our to our of into And in well. tend Instrument expect automation growth levels support that inventory closely as once be be

a job chain provided delivering solution received the on team revenue, the that quarter. did and $XX shipped Finally, great orders cold several B of Medical within were and million additional

Medical's geographic our of business in We We emerging biological in time. remain meaningful capabilities footprint over of markets leverage Azenta synergy development support opportunities to management. fast-growing activities sample continue in confident B

the strategy. disciplined conclude an give capital call, our on I'll we update deployment Before

which future $X additions November new completed allowed last We're year, X/X XX% date. announced us As to evaluate important of shares the today, element an strong product repurchase And in we've in of our exciting development. of continue growth pipeline and offerings which to new demand, our share a approximately outstanding investing strategic have more capacity billion we healthy to of pipeline for see remains we than targets, which an of of we service and retire has strategy. acquisition we in potential

we team made on and by move operational our our we've As the remarks, actions, execution top line EPS. sustaining I strength as of quarter, remains and positive EBITDA where performance contributed momentum execution emphasize want and progress this to our to conclude both the Encouraged of laser-focused I towards our XXXX. the results my this

balance portfolio growth Our into the enthusiasm that new and combined support that markets sheet new will products expansion innovation in continued markets, will our and services, from bring stems of our geographies existence. strong into incredibly existing with

We turn you over now we the And Lindon. and call and to as for interest thank to deliver shareholders. I'll work support your our customers to value

Lindon Robertson

back refer Thank our you, available you to the Steve. I deck on website. now slide

Turning to Slide X for some highlights.

oversupplied on areas of revenue which was the Solutions organic strong XX% area the business, and in genomics. market. basis. $XXX and each Repository quarter and key Instruments up reflects systems, of X% This to large, The store was an experience growth year-over-year an million, offsetting in Third up continues of Sample automated softness Consumables

business, year-over-year. Excluding the actually X% growth our organic C&I up was

provider. Our to B results as quarter. multiomic that sales sample-based prior solution value traction, marketing and the continue our and I solutions above we to provided customers our alignment the subscribe prior a critical gaining high are guidance should above and bring and Medical highlight actions And

in the share we higher earnings are have quarter $X.XX and actions The in in was the was revenue the Non-GAAP taken cost the improvement level per quarter, with in adjusted showing combined recent EBITDA through X.X%. of profitability.

exclude soft supporting organic full year, This XX% balance Sample to guidance fourth stores for growth we fiscal now range when business projection. you and and X% the Solutions. revenue down later. More growth of we quarter, X% to fiscal quarter organic the large, If includes support by flat business, are automated the the this will our strength a section, will led to the C&I into the in is approximately We guidance of about for in of see the year-over-year. Repository the XX% year get

X Slide results our a like to would the to I turn deeper to for at look quarter. take Now

sequentially $XXX As I year-over-year already up up XX% was revenue and total million, mentioned, XX% quarter-to-quarter.

the by from P&L SG&A increase primarily GAAP on was left the quarter-to-quarter a were side. year-over-year, higher expenses added the at SG&A operating basis, expense we On structure driven Looking acquisitions. by B earn-out the of took accrual the contingent to We the $XX driven primarily QX. QX. Medical $X.X decrease in related that in million remaining we reduced consideration million in the

similar the earnings trend $XX income operations previous generated the for Below interest quarters. loss loss of share income compared million this GAAP of following a quarter. continuing $X.XX a line, was of operating net we $X.XX in to quarter, last per

to results. the XX% showing the revenue the by right with versus benefit higher non-GAAP products the XX.X%, certain Now reduction both cost was margin The was looking actions, margin Gross which second our adjustments over in cost from segments X nonrecurring came quarter, at points higher and segment. improvement.

million of sales year-over-year the The expenses of benefit the were expenses while in actions up million Operating accruals. year-over-year primarily $X was offset related compensation the and the cost of was remainder R&D line increase Roughly $XX million operating quarter-to-quarter. performance-based $XX was by Medical acquisitions, to On were operating expense commissions driven and the higher a net $XX at reduction investments but actions. basis, cost million. revenue-driven million, B sales reduction the with also up $XX realized

share the earnings in the Adjusted $X.XX see was quarter per and in was the again cost margin model actions Non-GAAP as share. X.X% are once as realized. increases revenue leverage we EBITDA per reduction

million declined an headwinds store The XX% shipped. let's for $XX Medical, Slide of of revenue B on products solid continued $XX led rest and disclosed experienced driven in from X%. results. orders organic-based a by XX% of acquisitions installations. business turn orders the the organic basis. the was business review The delivery Products record revenue Now declined the business XX% of year-over-year, on plus system from Life segment quarter, a we Science acquisitions for by million of automated contributed large, segment up an Total additional and The segment basis, the organic previously year-over-year to quarter quarter. $XX which was over C&I booked up with X our was million

an the third adjustments improvement margin of in reduction revenue, of was supported gross result XX.X%. was products cost absorption, Products EBITDA segment cost nonrecurring drives by which higher items quarter The initiatives and in period. adjusted These the improved the sequential the benefits cost for X.X%.

Sample review services results. to $XX of services our generated a segment please and an X% million, quarter X% was X% quarter The growth Slide continue of growth Next, the accumulate to revenue year-over-year once up segment with increase quarter-to-quarter. in genomics for we third up Repository led organic X%, turn for of revenue The X by samples core storage again X% Solutions of double-digit and as stored.

The X% XX% second reflecting Synthesis, a in growth grew growth showing sequentially, genomics the COVID recovery fiscal to comparing to XXXX. the in albeit year-to-year. X% compared X% with against growth, reported year Gene market in period year-over-year the constraints quarter X% China business a which We up and year-over-year. impacted was NGS saw every and of compared region highest with prior by continued

down quarter-to-quarter. margin, year-over-year, gross The up point X point services delivered X though business XX.X%

was improved services and for margin X.X% sequentially. EBITDA adjusted point quarter X Third

Azenta's on Slide balance X. Now let's sheet review

had and marketable restricted both term of June term. of XX, As short cash we long cash, $X.X securities, and billion

debt no outstanding. have We

quarter, We committing July X, X this to returned repurchase million third fiscal And $X $XX for fiscal began have we had year. expended to Against end $XXX a year-to-date be objective, shares. XX calendar another the of in expended the the we for shares. end by that since million significant fashion to first additional the by of million share in quarter, million this billion shareholders

complete on end keep commitment and you will buyback confirm We $X track updated this the we billion calendar can year. remain to of by the

of have cash deployment for billion return balance the to shareholders. operations, earmarked, billion available roughly still in With $X $X and the to investments repurchases we of

underscore Our shareholders. disciplined generating value to deployment track continue and for capital record long-term plans for

in million. Let's performance. turn expenditures $XX quarter current the profit performance cash resulting to $X $X period was the operations the improved Cash of flow Slide with X to address cash performance. improving The million, cash was aligns for flow from free million. Capital

the for our final to guidance. slide turn Let's

to Fourth mix Our expected to the by million others QX sequentially in guidance approximately to This $XXX is reflects space. a as midpoint million B approximately orders with backlog a of highlighted of XX% B the the and the excluding in growth in midpoint. balance Medical, million a be supporting our be of business, an year-over-year strong of basis. Medical $XX softer up of market, million revenue quarter as-reported at $XXX reflects confirmed on $X range

rest quarter portfolio C&I, approximately to if the be revenue continue. is midpoint. at organic we expected expect softness the C&I We in X% And year-over-year to exclude the the fourth the for of

acquisitions We million of tailwind $XX a estimate foreign a to exchange approximately to be growth. be X% of XX points and the revenue or from tailwind

expected Medical, We products Medical, to range be range expect of $XX revenue million excluding million is $XX products the revenue, of $XX in the Including total $XX million. B to to segment in B million. to be

share $X anticipated midpoint. expected in is the in of million be and positive of $XX million to range per $X revenue approximately services expect approximately million, to $X.XX the be earnings We at $X.XX. to EBITDA to adjusted is range $XX the margin minus Non-GAAP million be to X% or to

the expect also million is We savings second previously, affect calendar million reductions actions XXXX. our by to prior achieve a QX of made and sales. the And were also first effort said primarily annualized $XX underway, we end in cost additional $XX and spend the million in outlined spending fiscal to announced we support by to implemented annualized the our those actions second we investments quarter. reduction quarter of of $X had to in the This phase cost of of did we As year. have show round the

guidance to the range year, includes to which range XX% and to million, growth year-over-year $XXX narrowed full Medical. to million $XXX of the B million have in approximately we XX% from revenue expect deliver $XXX our For

encouraged are we closing, progress In this by made quarter. the we have

business drive the We continue see fiscal the toward growth we further to further expect move across into improvement and profitability as and year. next to

world's and We strong best-in-class are team serving premier a customers, the a science have enabling life breakthroughs sheet, portfolio, tremendous faster. balance

committed shareholders. for and long-term delivering We are sustainable are value to the winning

now turn questions. the will operator call to I the over for

Operator

of with And first from Johnson come question Instructions] Stephens. line your the Jacob will [Operator

Hannah Hefley

for businesses? to cross-selling Products, of around and this Hannah Jacob. remind customers? is you're combining you the mean can between This on these And for conversely, then the us realigning segments SRS SRS Science X does genomic what Life your and synergies Since effort services

Stephen Schwartz

is I'll Sure. Hannah, to this Steve. be do glad that.

really the on we So to evolve automated. need the we business sample management continue side, more and as be from repositories standpoint, the more see repository to

we're internal bringing to when now a we this customer, a sample capability of that automated site. own go what off we but management our just their the is likely And we will site. stores on stores to them about samples talk to customers also assets, their not operations. archival So approach is of put And take happens automated to with management collections. We'll

offering And the automated stores have. the is we of them bring that to and so that the a combination we repository services

a And also in perform natural can a and -- effective way a a develop them natural to by it's manage continues for help break so we management customers. automated means which stores the we more it's that asset to drive point, without to workflows way

So the time it's really portfolio was aligned get and 'XX, a start really this units management way fiscal evolution the a sample become so moving. we that this for And us natural one. play. is It's when these appropriate product to business a of services

for responsible of the you also ability people end on measurements, clinical preliminary the who trial. these sell and that the samples management business standpoint the customer a sample to the the omics across where build user inside same capabilities as From are the customers, and the across to capability knowledge developing ability manage the these set the to omics to there's we've been we business, have will, the of our and samples management customers people and both connect skill if

one, So mentioned, bit skills help this is as a But to a us sales different that the these resources have capability we've the natural been requires inside particular little sales cross-sell. do we adding company. to

cross-sell has are management been connect who move you'll able It the sample will of specialists and as more more So into have the capabilities. effective to effective. this both the we XXXX. we become as And see omics

Hannah Hefley

like China, Can strong the the seeing as talk growth just it about of some you to you trends you're China? looks then it quarter. during in relates And saw

Stephen Schwartz

Yes.

other in we're China. from and off to quarter, it's start capabilities companies. So from close genomics in were the have very different attention bit good hearing fourth going the been strong They been but gotten what here third in strong to The well a little we've from pay we've quarter growth as strong. it, in to China a

when growth, here was start XX%, as as really fourth say so QX the momentum good seeing And well. close growth we're quarter to I strong something and we

Operator

the question David next from line your And with Saxon comes of Needham.

David Saxon

I'd And here, that love thinking Has impacting portfolio. destocking quarter, Congrats follow-up quarter. C&I the of the question for all hear Steve, multipart I about signs sorry at start point stability customers. the then that wasn't on to to the the changed but with the if have that for portfolio. how seeing a think any you're of Lindon. last said you could I'll And recovery, maybe part part early in I'll you're that all?

Stephen Schwartz

Yes.

and are in that again their third that continues, could I healthy to there I C&I dramatically customers David, think have a second the not wish the selling same. destocking pretty we're so not. different. So It's It's There is quarter. large. are in they've business, customers you but product we there managed -- the And quarter inventory still I mean I it's but be much tell to

we'll Indeed, we're the soon. although expected of a we'd And that destocking seen it's soft, pretty out similar a we maybe bottom get from So this hopeful still had it's situation. that standpoint.

the look we inventory it's once but that quarter that similar have the that off. been ago. had haven't So environment, -- almost seen that has anticipate a a the uptick would a similar burned customers anticipate Still we we'll will business, healthy we

David Saxon

And Steve. guess Okay. a I Great. quick to follow-up just that,

it's sound like ]. worse if doesn't correct? [ it that all Is at So

Stephen Schwartz

Not really, David.

in us, see a we we the that . opportunity in automation you precisely thing because that continues, that fact And The and business harbinger the for that's interesting put that And business for workflow as tell a different me do instruments was consumables Let for indicator into being we an the for our an dynamic. we was there's quarter. workflows. healthier put one for automation continued place. automated forward adapted consumables instruments as place think move are more strong that

for So in similar quarter. that a a us. -- out business we're anticipating XXXX as do we hopeful the similar the But ultimately before pick we see And that that's will we do a of get saw up. guide third that sign we're fourth quarter we good

David Saxon

next P&L, is next until of Okay. you -- Super the I color Why benefit some mean see if started phase implies just -- second Lindon, doesn't strong, year, It that's EBITDA, to obviously you're get second pretty benefit that why reduction or the if then, on like kind conservatism forward helpful. some these was quarter sound investments? that And from contraction. cost you'll next of fourth that of the guess I initiatives. X.X%. pulling into that? early quarter. I Any some

Lindon Robertson

good are questions. these No,

there was in So highlighted X.X% the our going forward. EBITDA we've remarks. as There reoccur on improvement that cost and adjustment in the won't quarter, there's also performance substantial in the

as in results of X.X that itself to points that won't of pressure couple of think a So pressure, X points reoccur. of the points

the get setting the aside, completely investments increases. with of got being in on making quarters, some the working are reductions the by phase But across we end as it's we're cost lot performance, the go calendar right, of on while the we cost reduction first year. P&L. it's revenue And actions, a we absorption that you're the the It's the momentum. that exactly also And

we're looking before, those our structures. that It's thoughtful acquired the next the as on would very being structures and phase those said we've in about we're of the benefits you're It's I when of careful years with phase, integration. reduction. manufacturing emphasize, of locations, this next we for over integrating So about being primarily some

we time, the we're that give will end you year. for calendar an and believe the deliver to we'll that some now, we But of track So update. by on take think

point I do there's C&I that want helpful, question. because think be data I will to go a per back David's to the

think C&I showed The one as good gave throughout. our down the growth being we And for outlier is of C&I it's I The portfolio -- points. it you business. of some rest the all the data was actually quarter, than XX% basis. on of down put revenue an million our year-over-year on to XX% third pinpoint as-reported it's it, little -- less a in And a bit about the $XX just of portfolio.

So like aside C&I because I fragmented many that, if space. as past, what differentiates I've the set having you love which in profit It's would times it's to and It's said us. business a revenue emphasize, highly we multiplier. the not a

glad down good, We because markets like is are at when but profit provides and are as have and bit you XX%. it we revenue it us additional leverage comes it get it

some We we that as will had. -- we continue to leaning business take actions on

where market really had is marketing portfolio XX% with growth accepting the if it. our rest remarkably different organic of and we really the in the that, market. out Steve value the more and in our this is than the pleased how other taking couldn't actions is But market, sales across you of is and be and the standing the we that believe said, emphasized with remove And quite that remarks, his

the in really we C&I, back while marketplace. take going we're The So XX%. it's to to through the just that us on believe work a

for questions. David, you thank So your

the spot they're key items release. to on think I the in

Operator

with next ISI. question of Kumar the from Your Vijay Evercore line comes Instructions] [Operator

Vijay Kumar

Congrats here and numbers, Steve, good on my these end markets, one some of here. genomics. execution starting with maybe first

imply down. on mentioned up the NGS was side Sanger service You up Synthesis Does Gene -- X%, it XX%.

Is was being why new up color that on So any can of Sanger us So et driven by XX%, sort products, strength cetera? talk was you that. NGS driving down? NGS what's

business capital think sensitivity And storage talk peers sort about have a about trends spoken of you your on of and B cautiousness bookings from budgets. Any within cautiousness? Can biopharma, CapEx Medical? some I the

Stephen Schwartz

But you how the Gosh, one, curious got. I'm questions Yes. Thanks, was that Vijay. let first if try. me many

few So a things.

You had it right.

of X business, we a for the X% healthy consecutive really synthesis increase up where So us, been. is, quarters look we've from think,

we'd from trend. I we a resolve delivery And recall, you think think I standpoint. issues a downward to had had

feel we a So position we're in there. good

aggressive to as seen we've color we've some we delivery but -- chase We we've in communicated down. lot to those. not -- just the a some price resolved business we synthesis of people, issues And as we pressure on that, did been put that had

deliver quality, high And We really complicated for continue speed. we to extremely high things do customers.

really China about in been we're has So confident also business synthesis The that. healthy. pretty

growth in until And also On is you business, of the business slug allows strong just NGS, that a to business making us will of investments But to we period term. One allow anticipate customer that the customer and there. couple same growth NGS over grow continue study. about is -- another investments aggressive to for -- had we make followed we to they so that a once across-the-board digestion tools, there. pieces I'll XX% continue new to that a solid long give capability. the Vijay, will we on winning good in win a we be us project particular a back NGS every a have in healthy continue quarter, good We're business. And while, by come be from that the

The Sanger flat. business was

to so idea, So you X. Sanger was just give an

flat. put was there, So when indeed, do arithmetic Sanger you the when -- you

was of announced things in that and is Sanger. NGS some where plasmid will we Plasmid-EZ the of the capability I say One the business, the do measurement the formerly as we

into -- measurements Sanger business. now, of the put doing customers, the those some into don't put NGS the don't but we're business they same So that We we those per se.

relatively It was small.

when business you've year-over-year otherwise of in have it's NGS us been what a past, -- But bit then we big growth there, not little into -- remind the Vijay, So have the grow X a for the next X% And to would X% that you the swinger when business. question? here. put and Sanger Sanger seen me if

Vijay Kumar

capital peers with your the in bookings some biopharma on cautiousness side, Steve, on just of spending. talking Sorry, given the

Stephen Schwartz

Yes.

to just an Vijay, saw give So we the business, cryo flat on idea.

So been when different an trend. past from upward we've the

equivalent that's for some business we're requires are people we And automated but presume softness prior regard. example, some things mentioned we I that know -- in that cryo, been of delayed. seeing the So calls, there's again, seeing to of those have on

year we so we from the be at this year. anticipated of had it beginning. To time flat had different fiscal have plans that about the the the started is And when we growth

we're So seeing. indeed, but we that what in softness that's projects we'll delayed. be there -- position win, as we're just some being some believe And in come, they there's and are a to

large, automated we backlog. stores, business to On see significant be have that We strong. the pretty very continuing

see the large, up so stores, to next business we get quarters, continue to flat, to growing can deliver. that sure to to if side make of we'll few We're we But grows, going to need factory operational the so continue improvements for significantly. And make for our that capacity the cryo we're business automated can time And we customers. deliver. work to that on continue in capability

Vijay Kumar

Steve. helpful, maybe here a one Lindon. That's And for quick

outlook I came think slightly. B Medical up

slightly. for base the us talk I into through business base QX? the assumptions business is midpoint, Can just you think down at your

Lindon Robertson

being services ahead us stores. up being a see the range look we And expected a $X QX, of So lot $X there's on in be products million. down to we is large, million this, flat course, our up still see of it, our about of we what deliveries specific around yes, to at million and automated if you finished very of base actually quarter-to-quarter. And and look $X off business

million. quarter-to-quarter that up we've being touch a $X but just flat got relatively business So of

not it's everybody, history the guide is in a It's that emphasize range I in range million, have a And number, it. a of in scheduled $XX B we orders on to quarter. the Medical, we've So the this I around got firm based centered -- mean here here. our would single of

So were that this of projected QX, almost at they in -- to and we quarter pleased million $X we what were had this shipped. time above able booked get last

$X in less I'll to million previous quarters, quarter And $X close was we're final, $X from the other that that done the had we quarters, to $X range XX than X days. that -- In million. million, the say, million

$X but that's the being in million, -- so range standout. our been QX far history it as So short out with stood them,

guide. $XX as And for orders, to million look that expect get more be ship we'll to we we'll if solid a So well.

Operator

Riley. comes line Yuan the B. Zhi question next of with from Your

Yuan Zhi

on recent any in operations in on the Congrats question. Can on I'm China Then XQ? strong impact I comment curious quarter. the has for follow-up the demand you if and services. flood a a genomic have

Lindon Robertson

Yuan, So the that's not very impacts us. pay China. lot business an of appreciate And been aspect a question. attention of to specific We for

as of a on of in the remind it genomics has synthesis China. of delivery And has also the China. operating an as but Sanger, in in providing for terms our just business to unusual NGS us done Synthesis people, Just across tremendous business well Gene development inside not globally services Suzhou, significant center the successful China, ground

not mentioned, that are not in we're asked called seeing Steve you the we out only impact seeing people As China. have that not really softness about, but that

watching we're it. bullish we're So But now, on China. right fairly

the appreciate color and the So question.

Yuan Zhi

Synthesis, XX%. Gene share or share, does of -- to I'm in quarter curious, the see And to growth the sector? just can glad genomic I'm more And the NGS, losing the and provide gaining market the your the color are how you peers? compare whether X%, market on you that it. Got services

Lindon Robertson

though to each doesn't think I of space, have would really share. able grew space region tough us have if than We genomics I highlight in a fragmented you we've -- a to publications seen saw mentioned gain we business would at whether the down. I of tremendous space that, look to were other But a genomics. numbers lot somewhat And services this amount announcements our the highlight that -- saw in that in life I one. growth China remarks, total faster areas. sciences as It's across

now. be size you're have in But do we of Come that this We to grow double ask get these believe and we're teens, may would high of would the and the we growth in when fun me growth a year-over-year, we're single-digit, rates level and where little I'll I you're of it. digits, challenges. seeing into little share it our seeing through that softness. up but be share, on We're a areas taking anticipate question. answering back based when market particular question the the business able

Operator

back Lindon I'll the are pending. you. And further closing questions there to remarks. for Thank turn call Robertson no

Lindon Robertson

in tuning add couldn't announcement. appreciate ones year-to-date. and everybody business to color be the always our with has more really that the Yes. We to and -- We help questions are shown the delighted insightful progress

this year, on realignment driving seeing think been our our our and marketing, that the we when I last what's our people at recall, that have business, our disappointed sales you of time focus investments reported As some we know we're And results. we been But assessment, then, point. momentum. since

a of you a about has if the in revenue, the bit. highlighted, handsome our a I XX% that's XX% got take growth which other C&I, As out is market struggling

and see that that continue to take some we And With we've the done costs continue calendar phase November. is. course, an on look year, you as be second the path, end of of end fiscal so that at year, out of which so to this comes the said, in the before committed that, by XX, first down or forward to And we'll we'll you, finishes our year giving of we'll update. September week the which traditionally

out. that report So

So you the for forward tuning in but thank today. look we you in Appreciate some seeing in it. to conferences, meanwhile

Operator

very your much conclude does your We thank conference you for that today. and that line. call And ask for disconnect participation the please you

Azenta (AZTA) 8 Aug 232023 Q3 Earnings call transcript