Q2 2026 Cryoport Inc Earnings Call
Speaker #1: If at any time during this call you require immediate assistance, please press star zero for the operator. This call is being recorded on Thursday, August 6, 2026.
Speaker #1: I will now turn the conference call over to Mr. Todd Fromer from KCSA Strategic Communications. Please go ahead.
Speaker #2: Thank you, operator. Before we begin today, I would like to remind everyone that this conference call contains certain statements that address our operating performance, events, or developments that we expect or anticipate occurring in the future, which are forward-looking statements.
Todd Fromer: Thank you, operator. Before we begin today, I would like to remind everyone that this conference call contains certain forward-looking statements. All statements that address our operating performance, events, or developments that we expect or anticipate occurring in the future are forward-looking statements. These forward-looking statements are based on management's beliefs and assumptions and not on information currently available to our management team. Our management team believes that these forward-looking statements are reasonable as and when made. However, you should not place undue reliance on any such forward-looking statements because such statements speak only as of the date when made. We do not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information or future events or otherwise, except as required by law.
Todd Fromer: Thank you, operator. Before we begin today, I would like to remind everyone that this conference call contains certain forward-looking statements. All statements that address our operating performance, events, or developments that we expect or anticipate occurring in the future are forward-looking statements. These forward-looking statements are based on management's beliefs and assumptions and not on information currently available to our management team. Our management team believes that these forward-looking statements are reasonable as and when made. However, you should not place undue reliance on any such forward-looking statements because such statements speak only as of the date when made. We do not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information or future events or otherwise, except as required by law.
Speaker #2: These forward-looking statements are based on management's beliefs and assumptions and not on information currently available to our management team. Our management team believes that these forward-looking statements are reasonable as and when made.
Speaker #2: However, you should not place undue reliance on any such forward-looking statements because such statements speak only as of the date when made. We do not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as required by law.
Speaker #2: In addition, forward-looking statements are subject to certain risks and uncertainties that could cause actual results, events, or developments to differ materially from our historical experience and our present expectations or projections.
Todd Fromer: Forward-looking statements are subject to certain risks and uncertainties that could cause actual results, events, or developments to differ materially from our historical experience and our present expectations or projections. These risks and uncertainties include, but are not limited to, those described in items 1A, risk factors, and elsewhere in our annual report on Form 10-K filed with the Securities and Exchange Commission, and those described from time to time in other reports which we file with the Securities and Exchange Commission. As a reminder, Cryoport has uploaded their Q2 2026 in review document to the main page of their Cryoport, Inc. website. This document provides a review of Cryoport's financial and operational performance and a general business outlook.
Todd Fromer: Forward-looking statements are subject to certain risks and uncertainties that could cause actual results, events, or developments to differ materially from our historical experience and our present expectations or projections. These risks and uncertainties include, but are not limited to, those described in items 1A, risk factors, and elsewhere in our annual report on Form 10-K filed with the Securities and Exchange Commission, and those described from time to time in other reports which we file with the Securities and Exchange Commission. As a reminder, Cryoport has uploaded their Q2 2026 in review document to the main page of their Cryoport, Inc. website. This document provides a review of Cryoport's financial and operational performance and a general business outlook.
Speaker #2: These risks and uncertainties include, but are not limited to, those described in items 1A, risk factors, and elsewhere, in our annual report on Form 10-K filed with the Securities and Exchange Commission, and those described from time to time in other reports which we file with the Securities and Exchange Commission.
Speaker #2: As a reminder, Cryoport has uploaded their second quarter 2026 in-review document to the main page of the Cryoport Inc. website. This document provides a review of Cryoport's financial and operational performance, as well as a general business outlook.
Speaker #2: Before I turn the call over to Jerry, please note that because of the strategic partnership that has been established with DHL Group and the related sale of Cryo PDP to DHL in June of 2025, Cryo PDP's financials, which were previously a part of Cryoport's life science services reportable segment, are now presented as discontinued operations.
Todd Fromer: Before I turn the call over to Jerre, please note that because of the strategic partnership that has been established with DHL Group and the related sale of CRYOPDP to DHL in June 2025, CRYOPDP's financials, which were previously a part of Cryoport's Life Sciences Services reportable segment, are now presented as discontinued operations. Please note that unless otherwise indicated, all revenue figures discussed today will refer to continuing operations. This includes Cryoport's fiscal year 2026 revenue guidance. It is now my pleasure to turn the call over to Mr. Jerrell Shelton, Chief Executive Officer of Cryoport. Jerre, the floor is yours.
Todd Fromer: Before I turn the call over to Jerre, please note that because of the strategic partnership that has been established with DHL Group and the related sale of CRYOPDP to DHL in June 2025, CRYOPDP's financials, which were previously a part of Cryoport's Life Sciences Services reportable segment, are now presented as discontinued operations. Please note that unless otherwise indicated, all revenue figures discussed today will refer to continuing operations. This includes Cryoport's fiscal year 2026 revenue guidance. It is now my pleasure to turn the call over to Mr. Jerrell Shelton, Chief Executive Officer of Cryoport. Jerre, the floor is yours.
Speaker #2: Please note that, unless otherwise indicated, all revenue figures discussed today will refer to continuing operations. This includes Cryoport's fiscal year 2026 revenue guidance. It is now my pleasure to turn the call over to Mr. Jerrell Shelton, Chief Executive Officer of Cryoport.
Speaker #2: Jerry, the floor is yours.
Speaker #3: Thank you, Todd. Good afternoon, everyone. With me today are our Chief Financial Officer, Robert Stefanovich; our Chief Scientific Officer, Dr. Mark Sawicki; and our Vice President of Corporate Development and Investor Relations, Thomas Heinzen.
Jerrell Shelton: Thank you, Todd. Good afternoon, everyone. With me today is our Chief Financial Officer, Robert Stefanovich, our Chief Scientific Officer, Mark Sawicki, and our Vice President of Corporate Development and Investor Relations, Thomas Heinzen. We're pleased to report that our revenue momentum over the past several periods continued into the Q2, with our total revenue reaching $49 million. Our growth was led by Life Sciences Services segment, where revenue grew 15% year-over-year, driven by 25% growth in BioStorage/BioServices. Total revenue from the support of commercial cell and gene therapy grew 9% to $9.4 million. However, the services portion of our commercial cell and gene therapies revenue grew 26% year-over-year as the number of patients treated in community settings and on an outpatient basis continues to ramp.
Jerrell Shelton: Thank you, Todd. Good afternoon, everyone. With me today is our Chief Financial Officer, Robert Stefanovich, our Chief Scientific Officer, Mark Sawicki, and our Vice President of Corporate Development and Investor Relations, Thomas Heinzen. We're pleased to report that our revenue momentum over the past several periods continued into the Q2, with our total revenue reaching $49 million. Our growth was led by Life Sciences Services segment, where revenue grew 15% year-over-year, driven by 25% growth in BioStorage/BioServices. Total revenue from the support of commercial cell and gene therapy grew 9% to $9.4 million. However, the services portion of our commercial cell and gene therapies revenue grew 26% year-over-year as the number of patients treated in community settings and on an outpatient basis continues to ramp.
Speaker #3: We're pleased to report that our revenue momentum over the past several periods continued into the second quarter. With our total revenue reaching $49 million, our growth was led by life science services segment, where revenue grew 15% year over year, driven by 25% growth in biostorage of commercial cell and gene therapy grew 9% to $9.4 million.
Speaker #3: However, the services portion of our commercial cell and gene therapies revenue grew 26%. Year over year, as the number of patients treated in community settings and on an outpatient basis continues to ramp.
Speaker #3: Total revenue from supporting cell and gene therapy bioservices. clinical trials increased Total revenue from the support 12% to 13.4 million, for the quarter as our clients' clinical pipelines advanced and further matured.
Jerrell Shelton: Total revenue from supporting cell and gene therapy clinical trials increased 12% to $13.4 million for the quarter as our clients' clinical pipelines advanced and further matured. For the quarter, Life Sciences Services revenue represented 57% of our total revenue. In Q2, the number of commercial cell and gene therapies we support increased to 22 as our client Orca Bio received FDA approval for TREGZI. At quarter-end, our total clinical trial count was 779 clinical trials globally, a net increase of 51 clinical trials over the prior year, with 94 of them in phase III. Currently, we support approximately 70% of the cell and gene therapy industry's clinical trials. We believe this commanding position will enable us to drive further commercial growth as our therapies receive regulatory approval.
Jerrell Shelton: Total revenue from supporting cell and gene therapy clinical trials increased 12% to $13.4 million for the quarter as our clients' clinical pipelines advanced and further matured. For the quarter, Life Sciences Services revenue represented 57% of our total revenue. In Q2, the number of commercial cell and gene therapies we support increased to 22 as our client Orca Bio received FDA approval for TREGZI. At quarter-end, our total clinical trial count was 779 clinical trials globally, a net increase of 51 clinical trials over the prior year, with 94 of them in phase III. Currently, we support approximately 70% of the cell and gene therapy industry's clinical trials. We believe this commanding position will enable us to drive further commercial growth as our therapies receive regulatory approval.
Speaker #3: For the quarter, life science services revenue represented $57% of our total revenue. In the second quarter, the number of commercial cell and gene therapies we support increased to 22.
Speaker #3: As our client Orca Bio received FDA approval for TREXI at quarter-end, our total clinical trial count was 779 clinical trials globally, a net increase of 51 clinical trials over the prior year with 94 of them in phase three.
Speaker #3: Currently, we support approximately 70% of the cell and gene therapy industry's clinical trials we believe this commanding position will enable us to drive further commercial growth as our therapies receive regulatory approval.
Speaker #3: Based on the information we have today for the balance of 2026, we expect another 11 possible BLA MAA application filings. Five additional new therapy approvals and one additional approval for a label and/or geographic expansion.
Jerrell Shelton: Based on the information we have today for the balance of 2026, we expect another 11 possible BLA/MAA application filings, five additional new therapy approvals, and one additional approval for a label and/or geographic expansion. Our continued growth reflects the value of Cryoport's integrated end-to-end platform across the life sciences ecosystem, as well as the growing adoption of cell and gene therapies. During the quarter, our Life Sciences Products business generated solid results. This was driven by continued demand for MVE Biological Solutions industry-leading cryogenic systems. Specific contributors this quarter included strong demand for animal health customers, as well as improved general demand from the Americas region. MVE continues to be the market leader and a consistent cash flow generator, as well as providing support and synergies with our Life Sciences Services business.
Jerrell Shelton: Based on the information we have today for the balance of 2026, we expect another 11 possible BLA/MAA application filings, five additional new therapy approvals, and one additional approval for a label and/or geographic expansion. Our continued growth reflects the value of Cryoport's integrated end-to-end platform across the life sciences ecosystem, as well as the growing adoption of cell and gene therapies. During the quarter, our Life Sciences Products business generated solid results. This was driven by continued demand for MVE Biological Solutions industry-leading cryogenic systems. Specific contributors this quarter included strong demand for animal health customers, as well as improved general demand from the Americas region. MVE continues to be the market leader and a consistent cash flow generator, as well as providing support and synergies with our Life Sciences Services business.
Speaker #3: Our continued growth reflects the value of Cryoport's integrated end-to-end platform across the life sciences ecosystem as well as the growing adoption of cell and gene therapies.
Speaker #3: During the quarter, our life science product business generated solid results. This was driven by continued demand biological solutions, industry-leading cryogenic systems. Specific contributors this quarter included strong demand for animal health customers as well as improved general demand from the Americas region.
Speaker #3: MVE continues to be the market leader in a consistent cash flow generator as well as providing support and synergies for our life sciences services business.
Speaker #3: Along with our total revenue growth, we improved adjusted EBITDA from continuing operations by $1.3 million year over year achieving positive adjusted EBITDA of $400,000.
Jerrell Shelton: Along with our total revenue growth, we improved adjusted EBITDA from continuing operations by $1.3 million year-over-year, achieving +adjusted EBITDA of $400,000. This marks an important milestone in our pathway to profitability initiative. We believe these results will continue progressively over the coming quarters and that we're positioned to drive more efficiencies, more scale in our operations and continued margin expansion, thereby delivering sustainable, profitable growth. We also celebrated a number of operational milestones this quarter. For example, Cryoport Systems' IntegriCell cryopreservation services now has clinical processes running in both Houston, Texas, and Liège, Belgium. We were also selected by Verismo Therapeutics to support its two clinical trial CAR T-cell therapy programs. IntegriCell is just in the beginning to achieve its mission of bringing its standard-setting services to the cell therapy industry.
Jerrell Shelton: Along with our total revenue growth, we improved adjusted EBITDA from continuing operations by $1.3 million year-over-year, achieving +adjusted EBITDA of $400,000. This marks an important milestone in our pathway to profitability initiative. We believe these results will continue progressively over the coming quarters and that we're positioned to drive more efficiencies, more scale in our operations and continued margin expansion, thereby delivering sustainable, profitable growth. We also celebrated a number of operational milestones this quarter. For example, Cryoport Systems' IntegriCell cryopreservation services now has clinical processes running in both Houston, Texas, and Liège, Belgium. We were also selected by Verismo Therapeutics to support its two clinical trial CAR T-cell therapy programs. IntegriCell is just in the beginning to achieve its mission of bringing its standard-setting services to the cell therapy industry.
Speaker #3: This marks an important milestone in our pathway to profitability initiative. We believe these results will continue progressively over the coming quarters and that we are positioned to drive more efficiencies more scale in our operations and continued margin expansion, thereby delivering sustainable profitable growth.
Speaker #3: We also celebrated a number of operational milestones this quarter. For example, Cryoport Systems' IntegraCell Cryopreservation Services now has clinical processes running in both Houston, Texas, and Liège, Belgium.
Speaker #3: We were also selected by Verizmo Therapeutics to support its two clinical trial cure CAR-T cell therapy programs. IntegraCell is just in the beginning to achieve its mission of bringing its standard-setting services to the cell therapy industry.
Speaker #3: IntegraCell represents yet another standard-setting temperature control supply chain solution improvement provided by Cryoport that once fully adopted will support additional scaling of the cell therapy industry.
Jerrell Shelton: IntegriCell represents yet another standard-setting temperature control supply chain solution improvement provided by Cryoport that, once fully adopted, will support additional scaling of the cell therapy industry. Our capital investment program will curb as we launch our state-of-the-art BioStorage/BioServices operations and our new global supply chains in Paris, France in Q4, and we also open our new state-of-the-art global supply chain center in Santa Ana, California in Q4. These two new facilities add significantly to our global supply chain center network and our ability to deliver advanced temperature control global supply chain solutions for our life science clients worldwide. There was also significant completion of projects in our Life Sciences Products as MVE began shipping a number of new products, including our MVE Fusion 811 self-regenerating cryogenic freezer that operates without the need of cryogenic infrastructure and routine liquid nitrogen refills.
Jerrell Shelton: IntegriCell represents yet another standard-setting temperature control supply chain solution improvement provided by Cryoport that, once fully adopted, will support additional scaling of the cell therapy industry. Our capital investment program will curb as we launch our state-of-the-art BioStorage/BioServices operations and our new global supply chains in Paris, France in Q4, and we also open our new state-of-the-art global supply chain center in Santa Ana, California in Q4. These two new facilities add significantly to our global supply chain center network and our ability to deliver advanced temperature control global supply chain solutions for our life science clients worldwide. There was also significant completion of projects in our Life Sciences Products as MVE began shipping a number of new products, including our MVE Fusion 811 self-regenerating cryogenic freezer that operates without the need of cryogenic infrastructure and routine liquid nitrogen refills.
Speaker #3: Our capital investment program will curb as we launch our state-of-the-art bioservices operations and our new global supply chains are in Paris, France, in the fourth quarter, and we also open our new state-of-the-art global supply chain center in Santa Ana, California, in the fourth quarter.
Speaker #3: These two new facilities add significantly to our global supply chain center network and our ability to deliver advanced temperature control global supply chain solutions for our life science clients worldwide.
Speaker #3: There was also significant completion of projects in our life science products as MVE began shipping a number of new products, including our MVE Fusion 811 self-regenerating cryogenic freezer that operates without the need of cryogenic infrastructure in routine liquid nitrogen refills.
Speaker #3: We also began producing cryogenic freezers in China during the second quarter, shipping our first orders of models HE and OpenTops with the newly introduced CryoVerse Connect controllers.
Jerrell Shelton: We also began producing cryogenic freezers in China during Q2, shipping our first orders of models HE and open tops with newly introduced CryoVerse Connect controllers. These accomplishments are in line with our previously announced goal of making all products smart, that is receiving and generating data. We are also advancing our digital initiatives as we employ meaningful AI applications that improve our productivity and advance our enterprise technology strategy. Supplementing our use of machine learning technology, we are utilizing generative AI to automate routine tasks, analyze large data sets, manage risk, and expedite decision-making, all with a human in the loop. We are also providing our employees across the world with enterprise-approved generative AI tools for innovation purposes, and we have already begun to see measurable results.
Jerrell Shelton: We also began producing cryogenic freezers in China during Q2, shipping our first orders of models HE and open tops with newly introduced CryoVerse Connect controllers. These accomplishments are in line with our previously announced goal of making all products smart, that is receiving and generating data. We are also advancing our digital initiatives as we employ meaningful AI applications that improve our productivity and advance our enterprise technology strategy. Supplementing our use of machine learning technology, we are utilizing generative AI to automate routine tasks, analyze large data sets, manage risk, and expedite decision-making, all with a human in the loop. We are also providing our employees across the world with enterprise-approved generative AI tools for innovation purposes, and we have already begun to see measurable results.
Speaker #3: These accomplishments are in line with our previously announced goal of making all products smart. That is, receiving and generating data. We're also advancing our digital initiatives as we employ meaningful AI applications that improve our productivity and advance our enterprise technology strategy.
Speaker #3: Supplementing our use of machine learning technology, we're utilizing generative AI to automate routine tasks, analyze large data sets, manage risk, and expedite decision-making. All with a human in the loop.
Speaker #3: We are also providing our employees across the world with enterprise-approved generative AI tools for innovation purposes, and we've already begun to see measurable results.
Speaker #3: Today's report highlights our strong financial results, emphasizes the value of our integrated temperature control supply chain solutions platform, indicates our broad industry-leading revenue pipeline, and reports the great strides we have made in expanding our resources and capabilities through our strategic initiatives.
Jerrell Shelton: Today's report highlights our strong financial results, emphasizes the value of our integrated temperature control supply chain solutions platform, indicates our broad industry-leading revenue pipeline, and reports the great strides we have made in expanding our resources and capabilities through our strategic initiatives. Reflecting on our strong H1 performance, we are affirming our full year 2026 revenue guidance of $192 to $196 million. I sincerely believe that there is no organization that is better positioned than Cryoport to provide critical temperature control supply chain solutions leadership required to help scale the cell and gene therapy industry. Based on market feedback and demand, our comprehensive and proven portfolio of services and products are designed to help our clients bring life-saving therapies to patients around the world safely, reliably, and efficiently. That mission drives me and every one of my Cryoport teammates, a mission we could not deliver without you.
Jerrell Shelton: Today's report highlights our strong financial results, emphasizes the value of our integrated temperature control supply chain solutions platform, indicates our broad industry-leading revenue pipeline, and reports the great strides we have made in expanding our resources and capabilities through our strategic initiatives. Reflecting on our strong H1 performance, we are affirming our full year 2026 revenue guidance of $192 to $196 million. I sincerely believe that there is no organization that is better positioned than Cryoport to provide critical temperature control supply chain solutions leadership required to help scale the cell and gene therapy industry. Based on market feedback and demand, our comprehensive and proven portfolio of services and products are designed to help our clients bring life-saving therapies to patients around the world safely, reliably, and efficiently. That mission drives me and every one of my Cryoport teammates, a mission we could not deliver without you.
Speaker #3: Reflecting on our strong first-half performance, we are affirming our full-year 2026 revenue guidance of $192 to $196 million. I sincerely believe that there is no organization that is better positioned than Cryoport to provide critical temperature control supply chain solutions leadership required to help scale the cell and gene therapy industry.
Speaker #3: Based on market feedback and demand, our comprehensive improvement portfolio of services and products is designed to help our clients bring life-saving therapies to patients around the world safely, reliably, and efficiently.
Speaker #3: That mission drives me, and every one of my Cryoport teammates. A mission we could not deliver without you. Thank you for your continued confidence in Cryoport and for being a part of this exciting journey with us.
Jerrell Shelton: Thank you for your continued confidence in Cryoport and for being a part of this exciting journey with us. We will now open the floor for your questions.
Jerrell Shelton: Thank you for your continued confidence in Cryoport and for being a part of this exciting journey with us. We will now open the floor for your questions.
Speaker #3: We'll now open the floor for your questions.
Speaker #1: Thank you. Ladies and gentlemen, we'll now begin the question-and-answer session. Should you have a question, please press the star followed by the one on your touchstone phone.
Operator: Ladies and gentlemen, we will now begin the question and answer session. Should you have a question, please press the star followed by the one on your touchtone phone. You will hear a prompt that your hand has been raised. Should you decline from the polling process, please press the star followed by the two. If you are using a speakerphone, please lift the handset before pressing any keys. One moment, please, for your first question. Your first question comes from Puneet Souda from Leerink Partners. Please go ahead.
Operator: Ladies and gentlemen, we will now begin the question and answer session. Should you have a question, please press the star followed by the one on your touchtone phone. You will hear a prompt that your hand has been raised. Should you decline from the polling process, please press the star followed by the two. If you are using a speakerphone, please lift the handset before pressing any keys. One moment, please, for your first question. Your first question comes from Puneet Souda from Leerink Partners. Please go ahead.
Speaker #1: You will hear prompts that your hand has been raised. Should you decline from the polling process, please press the star followed by the two.
Speaker #1: If you are using a speakerphone, please lift the handset before pressing any keys. One moment, please, for your first question. And your first question comes from Puneet Souda from Leerink Partners.
Speaker #1: Please go ahead.
Speaker #2: Hi. This is Philip Bond for Puneet. Thanks for the question. My first question is just on guidance. The first-half revenue around $97 million and Q2 beat consensus, yet your reiterating full-year guide at $192 to $196 million I just want to ask, what is the implied second-half shape?
Philip Boyd: Hi, this is Philip Boyd for Puneet. Thanks for the question. My first question is just on guidance. The H1 revenue around $97 million and Q2 beat consensus, yet you're reiterating full year guide at $192 to 196 million. I just want to ask, what is the implied H2 shape, and is holding the range more conservatism or is there a specific H2 headwind that you're contemplating here?
Philip Boyd: Hi, this is Philip Boyd for Puneet. Thanks for the question. My first question is just on guidance. The H1 revenue around $97 million and Q2 beat consensus, yet you're reiterating full year guide at $192 to 196 million. I just want to ask, what is the implied H2 shape, and is holding the range more conservatism or is there a specific H2 headwind that you're contemplating here?
Speaker #2: And is holding the range more conservatism or is there a specific second-half headwind that you're contemplating here?
Speaker #3: Yeah. Thank you for the question. It's understandable. And I'll answer part of it, and then I'll ask Robert to supplement with any comments he has.
Jerrell Shelton: Yeah, thank you for the question. It's understandable. I'll answer part of it and then I'll ask Robert to supplement with any comments he has. Given the geopolitical situation, the macroeconomics that are associated with that, we think it's prudent to hold our guidance to where it is today. There are just a lot of uncertainties in the world. We're moving very well. We are very pleased with our performance. We know that our plans are being implemented. The industry is continuing to progress, we feel very good about that. We think that at this point it's prudent just to hold our guidance as to where it is. Robert, would you like to comment further?
Jerrell Shelton: Yeah, thank you for the question. It's understandable. I'll answer part of it and then I'll ask Robert to supplement with any comments he has. Given the geopolitical situation, the macroeconomics that are associated with that, we think it's prudent to hold our guidance to where it is today. There are just a lot of uncertainties in the world. We're moving very well. We are very pleased with our performance. We know that our plans are being implemented. The industry is continuing to progress, we feel very good about that. We think that at this point it's prudent just to hold our guidance as to where it is. Robert, would you like to comment further?
Speaker #3: But given the geopolitical situation, the macroeconomics that are associated with that, we think it's prudent to hold our guidance to where it is today.
Speaker #3: There's just a lot of uncertainties in the world. We're moving very well. We are very pleased with our performance. We know that our plans are being implemented.
Speaker #3: The industry is continuing to progress, and we feel very good about that. But we think that at this point, it's prudent just to hold our guidance as to where it is.
Speaker #3: Robert, would you like to comment further?
Speaker #4: Yeah, I mean, Jerry covered most of it. I think, look, the key assumptions underlying our 2026 outlook really have remained largely unchanged. The fundamentals, as Jerry outlined, for our business continue to be very strong.
Robert Stefanovich: Yeah, Jerry covered most of it. I think, look, the key assumptions underlying our 2026 outlook really have remained largely unchanged. The fundamentals, as Jerry outlined, for our business continue to be very strong. We see robust demand for our Life Sciences Services and life science products businesses. We've seen it throughout the H1 of the year. We expect those trends to continue into the balance of 2026.
Robert Stefanovich: Yeah, Jerry covered most of it. I think, look, the key assumptions underlying our 2026 outlook really have remained largely unchanged. The fundamentals, as Jerry outlined, for our business continue to be very strong. We see robust demand for our Life Sciences Services and life science products businesses. We've seen it throughout the H1 of the year. We expect those trends to continue into the balance of 2026.
Speaker #4: And we see robust demand for our life science services and life science products businesses. We've seen it throughout the first half of the year, and we expect those trends to continue.
Speaker #4: Into the balance of 2026.
Speaker #2: Got it. That makes a lot of sense. I also wanted to ask about products growth. I think in the previous quarter, you affirmed high single-digit growth for products.
Philip Boyd: Got it. That makes a lot of sense. I also wanted to ask about products growth. I think in the previous quarter you affirmed high single-digit growth for products this year. Products obviously flat in Q2, up 7% in the H1, so high singles for the year implies roughly 9% to 11% growth in the H2, if my math is correct. I just want to ask, is that still the view or is mid-single digits more of a realistic range now?
Philip Boyd: Got it. That makes a lot of sense. I also wanted to ask about products growth. I think in the previous quarter you affirmed high single-digit growth for products this year. Products obviously flat in Q2, up 7% in the H1, so high singles for the year implies roughly 9% to 11% growth in the H2, if my math is correct. I just want to ask, is that still the view or is mid-single digits more of a realistic range now?
Speaker #2: This year, products obviously flat in Q2, up 7% in the first half. So high singles for the year implies roughly 9% to 11% growth in the second half.
Speaker #2: If my math is correct. I just want to ask, is that still the view, or is mid-single-digits more of a realistic range?
Speaker #3: I think it's probably in the upper single digits. The our the product growth was flat this year because we did have a strong second quarter last year.
Jerrell Shelton: I think it's probably in the upper single digits. The product growth was flat this year because we did have a strong Q2 last year, it didn't yield. It's in line with our plan. We're performing very well. Remember, MVE is the world's leading cryogenic systems manufacturer. There's no one that comes even close to MVE. The market has turned, it is more solid, it's more predictable than it was maybe a year ago or so. We're very confident in MVE's performance and happy with its performance for the Q2. It's on plan and it's doing well. Robert, do you want to add anything else?
Jerrell Shelton: I think it's probably in the upper single digits. The product growth was flat this year because we did have a strong Q2 last year, it didn't yield. It's in line with our plan. We're performing very well. Remember, MVE is the world's leading cryogenic systems manufacturer. There's no one that comes even close to MVE. The market has turned, it is more solid, it's more predictable than it was maybe a year ago or so. We're very confident in MVE's performance and happy with its performance for the Q2. It's on plan and it's doing well. Robert, do you want to add anything else?
Speaker #3: And so it didn't yield. But it's in line with our plan. We're performing very well. And remember, MVE is the world's leading cryogenic systems manufacturer.
Speaker #3: There's no one that comes even close to MVE. So in the market, it has turned. It is more solid. It's more predictable than it was maybe a year ago or so.
Speaker #3: But we're very confident in MVE's performance and happy with its performance for the second quarter. It's on plan, and it's doing well. Robert, do you want to add anything else?
Speaker #4: Well, I think you covered it. And I think the outlook, I think, for MVE and the products business continues to be solid. As a reminder, the MVE business has always been a strong cash generator.
Robert Stefanovich: No, I think you covered it. I think the outlook, I think for MVE and the products business continues to be solid. As a reminder, the MVE business has always been a strong cash generator, profitable, driving adjusted EBITDA, and we expect that to continue.
Robert Stefanovich: No, I think you covered it. I think the outlook, I think for MVE and the products business continues to be solid. As a reminder, the MVE business has always been a strong cash generator, profitable, driving adjusted EBITDA, and we expect that to continue.
Speaker #4: Profitable. Driving adjusted EBITDA. And we expect that to continue.
Speaker #2: Awesome. Thank you.
Philip Boyd: Awesome. Thank you.
Philip Boyd: Awesome. Thank you.
Speaker #1: Thank you. And your next question comes from Anna Snapagaski from KeyBank. Please go ahead.
Operator: Thank you. Your next question comes from Anna Snopkowski from KeyBanc. Please go ahead.
Operator: Thank you. Your next question comes from Anna Snopkowski from KeyBanc. Please go ahead.
Speaker #5: Hi. This is Anna Snapkowski on for Paul Knight. Congrats on the great quarter, and achieving positive adjusted EBITDA. My first question is around China.
Anna Snopkowski: Hi, this is Anna Snopkowski on for Paul Knight. Congrats on the great quarter and achieving positive adjusted EBITDA. My first question is around China. I saw you shipped your first freezer in China for China. Do you think you could just talk through your broader China strategy and how demand is trending there?
Anna Snopkowski: Hi, this is Anna Snopkowski on for Paul Knight. Congrats on the great quarter and achieving positive adjusted EBITDA. My first question is around China. I saw you shipped your first freezer in China for China. Do you think you could just talk through your broader China strategy and how demand is trending there?
Speaker #5: I saw you shipped your first freezer in China for China. Do you think you could just talk through your broader China strategy and how demand is trending there?
Speaker #3: Well, China is a very important market for us. It's a market I don't think anyone in the life sciences can ignore. And we do have a solid product strategy in China.
Jerrell Shelton: Well, China is a very important market for us. It's a market that I don't think anyone in the life sciences can ignore. We do have a solid product strategy in China. The idea of producing that product for China was to produce it within country so that we could avoid any kind of a tariff situation and improve our competitive position both in dewars and freezers. This completed our line. It strengthened us in China. We have put a new emphasis on China within China with our business development operations, and we're very pleased with the way that's progressing. I don't think it's going to have a huge impact immediately. It will take time like everything else does in the life sciences. It's all on plan and it's coming along very well and is strategically very important.
Jerrell Shelton: Well, China is a very important market for us. It's a market that I don't think anyone in the life sciences can ignore. We do have a solid product strategy in China. The idea of producing that product for China was to produce it within country so that we could avoid any kind of a tariff situation and improve our competitive position both in dewars and freezers. This completed our line. It strengthened us in China. We have put a new emphasis on China within China with our business development operations, and we're very pleased with the way that's progressing. I don't think it's going to have a huge impact immediately. It will take time like everything else does in the life sciences. It's all on plan and it's coming along very well and is strategically very important.
Speaker #3: The idea of producing that product for China was to produce it within country so that we could avoid any kind of a tariff kind of situation and improve our competitive position both in doers and freezers.
Speaker #3: This completed a line it strengthened us in China we have put a new emphasis on China within China with our business development operations. And we're very pleased with the way that's progressing.
Speaker #3: I don't think it's going to have a huge impact immediately. It will take time, like everything else does in the life sciences. But it's all on plan, and it's coming along very well, and it's strategically very important.
Speaker #3: Now, on the service side of the business, we have yet to determine exactly our strategy. Mark and I will be working on that in more depth.
Jerrell Shelton: Now, on the service side of the business, we have yet to determine exactly our strategy. Mark and I will be working on that in more depth, and as we develop that, we'll report on it to you.
Jerrell Shelton: Now, on the service side of the business, we have yet to determine exactly our strategy. Mark and I will be working on that in more depth, and as we develop that, we'll report on it to you.
Speaker #3: And as we develop that, we'll report on it to you.
Speaker #4: Yeah. Maybe just to add, currently, you look at revenue from China is somewhere around 2% to 3% of our total revenue. So there's really only upside going forward longer term.
Robert Stefanovich: Yeah. Maybe just to add, currently you look at revenue from China is somewhere around 2% to 3% of our total revenue. There's really only upside going forward longer term.
Robert Stefanovich: Yeah. Maybe just to add, currently you look at revenue from China is somewhere around 2% to 3% of our total revenue. There's really only upside going forward longer term.
Speaker #5: Great. Thank you. And then my second question is just around margins. It seems like you hit your targets maybe a little earlier than expected.
Anna Snopkowski: Great. Thank you. My second question is just around margins. It seems like you hit your targets maybe a little earlier than expected. What is your view on EBITDA margins in the back half of the year? Thank you.
Anna Snopkowski: Great. Thank you. My second question is just around margins. It seems like you hit your targets maybe a little earlier than expected. What is your view on EBITDA margins in the back half of the year? Thank you.
Speaker #5: So what is your view on EBITDA margins in the back half of the year? Thank you.
Speaker #4: Yeah. I think if you look at the EBITDA margins, you're right. We did come ahead a little bit earlier than initially expected. Yeah. Our objective now is really to continue to build on the progress we've made, achieving positive EBITDA obviously in the second quarter was an important milestone.
Robert Stefanovich: I think if you look at the EBITDA margins, you're right, we did come ahead a little bit earlier than initially expected. Our objective now is really to continue to build on the progress we've made. Achieving positive EBITDA, obviously in Q2, was an important milestone, and we believe that demonstrated our strategy is working. As the utilization of our network of global supply chain centers increases, we do expect to achieve additional operating leverage, and with that, expect to see a further increase in adjusted EBITDA going forward. I think one other thing maybe to point out, if you look at the operational performance, is also the strength of our cash generation.
Robert Stefanovich: I think if you look at the EBITDA margins, you're right, we did come ahead a little bit earlier than initially expected. Our objective now is really to continue to build on the progress we've made. Achieving positive EBITDA, obviously in Q2, was an important milestone, and we believe that demonstrated our strategy is working. As the utilization of our network of global supply chain centers increases, we do expect to achieve additional operating leverage, and with that, expect to see a further increase in adjusted EBITDA going forward. I think one other thing maybe to point out, if you look at the operational performance, is also the strength of our cash generation.
Speaker #4: And we believe that demonstrated our strategy is working. As the utilization of our network of global supply chain centers increases, we do expect to achieve additional operating leverage and with that expect to see further increase in adjusted EBITDA going forward.
Speaker #4: I think one other thing maybe to point out, if you look at the operational performance is also the strength of our cash generation. During the first half of 2026, as you see in our 10Q, we generated a product approximately $5 million in positive net cash from operating activities.
Robert Stefanovich: During H1 2026, as you see in our 10-Q, we generated approximately $5 million in positive net cash from operating activities, and that represents a $17 million improvement compared to H1 2025. We believe the combination of improving adjusted EBITDA operating cash flow and increasing utilization provides clear evidence of that path to sustainable profitability that's taking shape.
Robert Stefanovich: During H1 2026, as you see in our 10-Q, we generated approximately $5 million in positive net cash from operating activities, and that represents a $17 million improvement compared to H1 2025. We believe the combination of improving adjusted EBITDA operating cash flow and increasing utilization provides clear evidence of that path to sustainable profitability that's taking shape.
Speaker #4: And that represents a $17 million improvement compared to the first half of 2025. So we believe the combination of improving adjusted EBITDA, operating cash flow, and increasing utilization provides clear evidence of that path to sustainable profitability that's taking shape.
Speaker #5: Great. Thank you.
Anna Snopkowski: Great. Thank you.
Anna Snopkowski: Great. Thank you.
Speaker #1: Thank you. And your next question comes from Asubu Nambi from Guggenheim Securities. Please go ahead.
Operator: Your next question comes from Subhalaxmi Nambi from Guggenheim Securities. Please go ahead.
Operator: Your next question comes from Subhalaxmi Nambi from Guggenheim Securities. Please go ahead.
Speaker #6: Hi. This is Ethan on for Subu. How have smaller biotechs versus larger pharma been performing with respect to trial starts and funding so far?
[Analyst] (William Blair): Hi, this is Ethan on for Subbu. How have smaller biotechs versus larger pharma been performing with respect to trial starts and funding so far? Can you give the split between new trial starts, completions, and terminations in the quarter?
[Analyst] (William Blair): Hi, this is Ethan on for Subbu. How have smaller biotechs versus larger pharma been performing with respect to trial starts and funding so far? Can you give the split between new trial starts, completions, and terminations in the quarter?
Speaker #6: And can you give the split between new trial starts completions and terminations in the quarter?
Speaker #3: Mark.
Jerrell Shelton: Mark?
Jerrell Shelton: Mark?
Speaker #4: Yeah. Well, I'll let Tom give you comments on the starts and terminations. But look, both small biotech and big pharma are putting money into the space.
Mark Sawicki: Well, I'll let Tom give you comments on the starts and terminations, but both small biotech and big pharma are putting money into the space. The financing situation has improved. What we're seeing, though, is most of that money is going into phase II and phase III programs. Phase I's a little bit softer, but they're going for the bets and really trying to push the bulk of their pipeline through to commercial launch. Which is good for us because obviously we see substantial economic benefit from commercialization activity. So we view that as a very positive sign, and that's evidenced by the increase in our phase II and phase III trials for the quarter. Tom, you want to comment on that?
Mark Sawicki: Well, I'll let Tom give you comments on the starts and terminations, but both small biotech and big pharma are putting money into the space. The financing situation has improved. What we're seeing, though, is most of that money is going into phase II and phase III programs. Phase I's a little bit softer, but they're going for the bets and really trying to push the bulk of their pipeline through to commercial launch. Which is good for us because obviously we see substantial economic benefit from commercialization activity. So we view that as a very positive sign, and that's evidenced by the increase in our phase II and phase III trials for the quarter. Tom, you want to comment on that?
Speaker #4: The financing situation is improved. What we're seeing, though, is most of that money is going into phase two and phase three programs. Phase one's a little bit softer, but they're going for the bets and really trying to push the bulk of their pipeline through to commercial launch, which is good for us because obviously, we see substantial economic benefit from commercialization activity and so we view that as a very positive sign.
Speaker #4: And that's evidenced by the increase in our phase two and phase three trials for the quarter. Tom, you want to comment on that?
Speaker #2: Sure. Ethan, in Q2, there were 29 ads and 16 removed of those 16 removed. Six were terminated, and 10 were completed. So pretty good stats.
Thomas Heinzen: Sure. Ethan, in Q2, there were 29 adds and 16 removed. Of those 16 removed, six were terminated and 10 were completed. Pretty good stats.
Thomas Heinzen: Sure. Ethan, in Q2, there were 29 adds and 16 removed. Of those 16 removed, six were terminated and 10 were completed. Pretty good stats.
Speaker #6: Thanks, guys.
[Analyst] (William Blair): Thanks, guys.
[Analyst] (William Blair): Thanks, guys.
Speaker #1: Thank you. And your next question comes from Richard Baldry from Roth Capital. Please go ahead.
Operator: Thank you. Your next question comes from Richard Baldry from Roth Capital. Please go ahead.
Operator: Thank you. Your next question comes from Richard Baldry from Roth Capital. Please go ahead.
Speaker #7: Thanks. It was good to see your first sort of commercial client on the Imperacell side. Can you talk a little bit more about maybe pipelines, prospects for more ads there, what the gating factors will be, sort of how you see the growth in that part of the business picking up over 27 and beyond?
Richard Baldry: Thanks. It was good to see your first sort of commercial client on the IntegriCell side. Can you talk a little bit more about maybe pipelines prospects for more adds there, what the gating factors will be, sort of how you see the growth in that part of the business picking up over 2027 and beyond?
Richard Baldry: Thanks. It was good to see your first sort of commercial client on the IntegriCell side. Can you talk a little bit more about maybe pipelines prospects for more adds there, what the gating factors will be, sort of how you see the growth in that part of the business picking up over 2027 and beyond?
Speaker #4: Yeah, so obviously, we did onboard our first clients and we are seeing them starting to ramp modestly. Now, I want to remind everybody, the first two sites that we've set up for IntegraCell—the Houston, Texas site and the Liège, Belgium site—are proofing sites, right, for the larger initiative.
Mark Sawicki: Yeah. Obviously, we did onboard our first clients, and we are seeing them starting to ramp modestly. Now, I want to remind everybody, the first two sites that we've set up for IntegriCell, the Houston, Texas site and Liege, Belgium site, are proofing sites, right, for the larger initiative. It does take some time for the industry to adopt the standard-setting services, and we really do believe that IntegriCell is a cutting-edge service offering that's really going to help the industry standardize. We have made significant progress out of both those sites. As we mentioned, we announced the relationship with Verismo at the end of last month. While we don't anticipate it being a significant revenue contributor for 2026, we do believe that this will be a significant contributor to our overall revenue in the future.
Mark Sawicki: Yeah. Obviously, we did onboard our first clients, and we are seeing them starting to ramp modestly. Now, I want to remind everybody, the first two sites that we've set up for IntegriCell, the Houston, Texas site and Liege, Belgium site, are proofing sites, right, for the larger initiative. It does take some time for the industry to adopt the standard-setting services, and we really do believe that IntegriCell is a cutting-edge service offering that's really going to help the industry standardize. We have made significant progress out of both those sites. As we mentioned, we announced the relationship with Verismo at the end of last month. While we don't anticipate it being a significant revenue contributor for 2026, we do believe that this will be a significant contributor to our overall revenue in the future.
Speaker #4: And so it does take some time for the industry to adopt the standard setting services. And we really do believe that IntegraCell is a cutting-edge service offering that's really going to help the industry standardize.
Speaker #4: We have made significant progress out of both those sites as we mentioned. We announced the relationship with Verismo at the end of last month.
Speaker #4: And so, while we don't anticipate it being a significant revenue contributor for '26, we do believe that this will be a significant contributor to our overall revenue in the future.
Speaker #4: And we do believe that it'll continue to ramp modestly through '26. And be a significant contributor in the future.
Mark Sawicki: We do believe that it'll continue to ramp modestly through 2026 and be a significant contributor in the future.
Mark Sawicki: We do believe that it'll continue to ramp modestly through 2026 and be a significant contributor in the future.
Speaker #3: Rich, the reason it's going to be what Mark just explained is because this is a standard-setting service that will provide an ability for the industry to scale.
Jerrell Shelton: Rich, the reason it's going to be what Mark just explained is that this is a standard setting service that will provide an ability for the industry to scale, and it will provide better economics for the industry. The drivers are there. It's just a matter of time for the industry to adopt. Changing things in our industry takes a long time. It's very complicated. You have to go through a lot of regulatory hurdles, and you have to make a lot of adjustments into SOPs and other quality requirements and so forth. Just reinforcing what Mark said, it's important, but it will take time.
Jerrell Shelton: Rich, the reason it's going to be what Mark just explained is that this is a standard setting service that will provide an ability for the industry to scale, and it will provide better economics for the industry. The drivers are there. It's just a matter of time for the industry to adopt. Changing things in our industry takes a long time. It's very complicated. You have to go through a lot of regulatory hurdles, and you have to make a lot of adjustments into SOPs and other quality requirements and so forth. Just reinforcing what Mark said, it's important, but it will take time.
Speaker #3: And it will provide better economics. For the industry. So it's got the drivers are there. It's just a matter of time for the industry to adopt.
Speaker #3: Changing things in our industry takes a long time. It's very complicated. You have to go through a lot of regulatory hurdles, and you have to make a lot of adjustments to SOPs and other quality requirements, and so forth.
Speaker #3: So just reinforcing what Mark said, this is an important it's important, but it will take time.
Speaker #1: Thank you. And if there are any other questions, please press star one. Your next question comes from Mackie Tosh from Stephens. Please go ahead.
Operator: Thank you. If there are any other questions, please press star one. Your next question comes from Mac Etoch from Stephens. Please go ahead.
Operator: Thank you. If there are any other questions, please press star one. Your next question comes from Mac Etoch from Stephens. Please go ahead.
Speaker #8: Hey. Good afternoon. And thank you for taking my questions. Maybe the first. Orca, it's good to see an allogeneic approval there. I guess my questions are really around the Fusion 800 freezer nut that's been on the market for a few months, a few quarters now.
Mac Etoch: Hey, good afternoon, thank you for taking my questions. Maybe the first, Orca, it's good to see an allogeneic approval there. I guess my question's really around the Fusion 800 freezer node that's been on the market for a few months, a few quarters now. I just want to get a flavor for how the pipeline looks or how the interest has trended for that product.
Mac Etoch: Hey, good afternoon, thank you for taking my questions. Maybe the first, Orca, it's good to see an allogeneic approval there. I guess my question's really around the Fusion 800 freezer node that's been on the market for a few months, a few quarters now. I just want to get a flavor for how the pipeline looks or how the interest has trended for that product.
Speaker #8: I just want to get a flavor for how the pipeline looks or how the interest is trended for that product.
Speaker #3: MVE is doing well in the pipeline is improved. From recent times, the industry is stable. And the outlook is good. MVE is on very, very solid ground.
Jerrell Shelton: MVE is doing well, and the pipeline has improved from recent times. The industry is stable and the outlook is good. MVE's on very solid ground. We just completed some of our strategic planning exercises, and MVE's future is impressive.
Jerrell Shelton: MVE is doing well, and the pipeline has improved from recent times. The industry is stable and the outlook is good. MVE's on very solid ground. We just completed some of our strategic planning exercises, and MVE's future is impressive.
Speaker #3: We just completed some of our strategic planning exercises and MVE's future is impressive.
Speaker #4: Yeah. Let me just add a little bit to that. So going to the Fusion, we view the Fusion as a significant future product offering that is really going to open up the ability of community care hospitals to be able to support cell and gene therapies.
Mark Sawicki: Yeah, let me just add a little bit to that. Going to the Fusion, we view the Fusion as a significant future product offering that is really going to open up the ability of community care hospitals to be able to support cell and gene therapies. We have engaged the industry from that perspective. There's a significant amount of interest as it relates to that, but obviously, this ties into a broader strategy for a lot of these companies, and we're working hand-in-hand with them to support that, and Fusion will play a big role in that.
Mark Sawicki: Yeah, let me just add a little bit to that. Going to the Fusion, we view the Fusion as a significant future product offering that is really going to open up the ability of community care hospitals to be able to support cell and gene therapies. We have engaged the industry from that perspective. There's a significant amount of interest as it relates to that, but obviously, this ties into a broader strategy for a lot of these companies, and we're working hand-in-hand with them to support that, and Fusion will play a big role in that.
Speaker #4: We have engaged the industry from that perspective. There's a significant amount of interest as it relates to that. But obviously, this ties into a broader strategy for a lot of these companies.
Speaker #4: And we're working hand in hand with them to support that. And Fusion will play a big role in that.
Speaker #8: I appreciate that. And then maybe Jerry, you mentioned AI as a efficiency approver or improvement tool. I just want to get a sense for how y'all are viewing the potential impact across the business as it stands today.
Mac Etoch: I appreciate that. Maybe, Jerre, you mentioned AI as an efficiency improvement tool. I just want to get a sense for how you all are viewing the potential impact across the business as it stands today.
Mac Etoch: I appreciate that. Maybe, Jerre, you mentioned AI as an efficiency improvement tool. I just want to get a sense for how you all are viewing the potential impact across the business as it stands today.
Speaker #3: There's no question that AI is going to have a big impact on all industry and certainly we're no exception. And we already are seeing improvements in efficiency and we're seeing time frames collapse and we will continue to see that.
Jerrell Shelton: There's no question that AI is going to have a big impact on all industry, and certainly we're no exception. We already are seeing improvements in efficiency and we're seeing timeframes collapse, and we will continue to see that. I was just talking to their enterprise technology group today about their initiatives and about the next set of priorities. We're focused on either improving efficiency or effectiveness. We're very targeted. We have a successful AI initiative going on, and you'll hear more about it each quarter, and I'm very optimistic about it. It's a fantastic technology.
Jerrell Shelton: There's no question that AI is going to have a big impact on all industry, and certainly we're no exception. We already are seeing improvements in efficiency and we're seeing timeframes collapse, and we will continue to see that. I was just talking to their enterprise technology group today about their initiatives and about the next set of priorities. We're focused on either improving efficiency or effectiveness. We're very targeted. We have a successful AI initiative going on, and you'll hear more about it each quarter, and I'm very optimistic about it. It's a fantastic technology.
Speaker #3: I was just talking with our enterprise technology group today about their initiatives and about the next set of priorities. We're focused on either improving efficiency or effectiveness.
Speaker #3: We're very targeted. So we have a successful AI initiative going on and you'll hear more about it each quarter. And I'm very optimistic about it.
Speaker #3: It's a fantastic technology.
Speaker #8: Appreciate the color.
Mac Etoch: Appreciate the color.
Mac Etoch: Appreciate the color.
Speaker #1: Thank you. And there are no further questions at this time. Mr. Shelton, you can continue your conference.
Operator: Thank you. There are no further questions at this time. Mr. Shelton, you can continue your conference.
Operator: Thank you. There are no further questions at this time. Mr. Shelton, you can continue your conference.
Speaker #3: So this concluding? Okay. So thank you, operator. Ladies and gentlemen, thank you for your questions and our discussions. As our financial and operating results show, we delivered an excellent second quarter, generating growth across our key revenue streams, improving profitability, and achieving the important objective of delivering positive adjusted EBITDA for the quarter as we march down our pathway to profitability.
Jerrell Shelton: That's concluding?
Jerrell Shelton: That's concluding?
Mark Sawicki: Yes.
Mark Sawicki: Yes.
Jerrell Shelton: Okay. Thank you, operator. Ladies and gentlemen, thank you for your questions and our discussions. As our financial and operating results show, we delivered an excellent Q2, generating growth across our key revenue streams, improving profitability, and achieving the important objective of delivering positive adjusted EBITDA for the quarter as we march down our pathway to profitability. With our accomplishments to date, we are well positioned to further expand margins, enhance operating efficiency, and deliver sustainable, profitable long-term growth for our shareholders. Moving forward, we will remain focused on executing our strategy, driving continued financial performance, and capitalizing on the significant opportunities before us. We expect upcoming growth catalyst will drive us to new heights with the advancement of our global supply chain center network and our recent launches of new products and services. We thank you all for joining us today.
Jerrell Shelton: Okay. Thank you, operator. Ladies and gentlemen, thank you for your questions and our discussions. As our financial and operating results show, we delivered an excellent Q2, generating growth across our key revenue streams, improving profitability, and achieving the important objective of delivering positive adjusted EBITDA for the quarter as we march down our pathway to profitability. With our accomplishments to date, we are well positioned to further expand margins, enhance operating efficiency, and deliver sustainable, profitable long-term growth for our shareholders. Moving forward, we will remain focused on executing our strategy, driving continued financial performance, and capitalizing on the significant opportunities before us. We expect upcoming growth catalyst will drive us to new heights with the advancement of our global supply chain center network and our recent launches of new products and services. We thank you all for joining us today.
Speaker #3: With our accomplishments to date, we are well positioned to further expand margins, enhance operating efficiency, and deliver sustainable, profitable long-term growth for our shareholders.
Speaker #3: Moving forward, we will remain focused on executing our strategy, driving continued financial performance, and capitalizing on the significant opportunities before us. We expect upcoming growth catalyst will drive us to new heights with the advancement of our global supply chain center network and our recent launches of new products and services.
Speaker #3: We thank you all for joining us today. We appreciate your continued interest and support, and we look forward to sharing our further progress with you when we report on our third quarter financial results.
Jerrell Shelton: We appreciate your continued interest and support, and we look forward to sharing our further progress with you when we report on our Q3 financial results. We wish everyone a good evening. Thank you.
Jerrell Shelton: We appreciate your continued interest and support, and we look forward to sharing our further progress with you when we report on our Q3 financial results. We wish everyone a good evening. Thank you.
Speaker #3: We wish everyone a good evening. Thank you.
Operator: This concludes your conference call for today. We thank you very much for your participation, and you may now disconnect. Have a great day, everybody.
Operator: This concludes your conference call for today. We thank you very much for your participation, and you may now disconnect. Have a great day, everybody.
Speaker #1: This concludes your conference call for today. We thank you very much for your participation. And you may now disconnect. Have a great day, everybody.
