MaxCyte, Inc. (NASDAQ:MXCT) Q3 2023 Earnings Call Transcript

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The safety profile looks great and the clinical evidence was extraordinarily strong. So our sense is that once that product gets approved, I think that’s going to check a big box in the industry. And they’re going to be looking upon us as the company that’s going to be able to help accelerate and move those non-viral cell therapy assets into the clinic and through the clinic. And again, as we’ve mentioned, we continue to see an expansion of cell therapies in the new indication areas like autoimmune, for instance, we’re seeing a lot of that in the past few months. We’re also — and that will require no doubt, more volume of cells to be delivered to patients on a longer period more of a chronic therapy. And I think that fits well with the scale and the efficiency of our system.

Steven Mah: Great. Thanks for that color. And one more question. when you brought the guide down in October, you mentioned inventory destocking of process assemblies. Some of the Bob production companies recently said on earnings that they’re seeing a bottom with regards to destocking headwinds. Could you comment on what you’re seeing out there? And if you have any customer visibility that suggests maybe there could be an uptick as activity picks up as this excess inventory gets used? Thank you.

Douglas Swirsky: Thanks for the question. This is DJ. So part of the challenge in answering that is we’ve got seven weeks left in the year, and we don’t want to start providing guidance for 2024, talking about how we see that year starting off. But what we can say is that we’ve taken a very conservative view on PA sales just because we wanted to make sure that we would be comfortably providing this revised guidance and meet it and possibly exceed it. So we’re very close to our customers. We’ve got a good sense that we’ve got a good number here for you. And a big part of that is PA. And so if you look at the breakdown of why we’re confident with the revised guidance, we have very good visibility into the lease revenue. We’ve got seven weeks left in the year to execute against a good number of opportunities, of which only a fraction would need to close in order for us to be comfortable with our number.

And of course, on the PA side, as we mentioned on the October call, we’ve really brought that down. We haven’t factored into any recovery. We haven’t factored in any of the seasonality that we’ve seen where you do get some purchases later in the year. We’re just basically going off the daily run rate that we saw in Q3, which was depressed, and that gives us some comfort. But to fully answer your question, I think which are need to delve into what happens seven weeks from now and in turn 2024. We’re just not in a position to provide really too much information there.

Steven Mah: Okay. Fair enough. Thanks for the questions.

Operator: Thank you I’m showing no further questions. I’ll now hand the call back over to Douglas Doerfler for any closing remarks.

Doug Doerfler: Thank you, Justin, and thanks, everyone, for joining us today and your questions. We look forward to providing an update on the fourth quarter call. So thank you all very much. Have a great Thanksgiving. Thank you.

Operator: Ladies and gentlemen, thank you for participating. This concludes today’s program. You may now disconnect.

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