v3.25.2
Segments
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segments Segments
The Company’s financial performance is reported in two segments. A description of each segment follows:
•Nucleic Acid Production: focuses on the manufacturing and sale of highly modified nucleic acids products to support the needs of customers’ research, therapeutic and vaccine programs. This segment also provides research products for labeling and detecting proteins in cells and tissue samples.
•Biologics Safety Testing: focuses on the manufacturing and sale of host cell protein, bioprocess impurity detection, viral clearance prediction kits and associated products. This segment also provides services for custom antibody development, assay development, antibody affinity extraction and mass spectrometry that are utilized by our customers in their biologic drug manufacturing spectrum.
The Company has determined that adjusted earnings before interest, tax, depreciation and amortization (“Adjusted EBITDA”) is the profit or loss measure that the CODM uses to make resource allocation decisions and evaluate segment performance. Adjusted EBITDA assists management in comparing the segment performance on a consistent basis for purposes of business decision-making by removing the impact of certain items that management believes do not directly reflect the Company’s core operations and, therefore, are not included in measuring segment performance. The Company defines Adjusted EBITDA as net loss before interest, taxes, depreciation and amortization, certain non-cash items and other adjustments that we do not consider in our evaluation of ongoing operating performance from period to period. Corporate costs, net of eliminations, are managed on a standalone basis and are not allocated to segments.
The following schedules include revenue, expenses, and Adjusted EBITDA for each of the Company’s reportable segments for the periods presented (in thousands):
Three Months Ended June 30, 2025
Nucleic Acid ProductionBiologics Safety TestingTotal
Revenue
$31,085$16,312$47,397
Less:
Cost of revenue (1)
24,4073,002
Selling and marketing (1)
6,367745
General and administrative (1)
5,1791,186
Research and development (1)
2,496516
Other segment items (2)
(94)3
Adjusted EBITDA
(7,270)10,860$3,590
Reconciliation of total reportable segments’ Adjusted EBITDA to loss before income taxes
Amortization(7,200)
Depreciation(5,957)
Interest expense(6,815)
Interest income3,030 
Corporate costs, net of eliminations(14,000)
Other adjustments:
Acquisition contingent consideration(140)
Acquisition integration costs(831)
Stock-based compensation
(6,789)
Merger and acquisition related expenses(92)
Acquisition related tax adjustment(4,153)
Executive leadership transition costs (3)
(2,007)
Goodwill impairment
(30,449)
Property and equipment impairment
(1,052)
Other(1,260)
Loss before income taxes
(74,125)
Income tax benefit
4,288 
Net loss
$(69,837)
Six Months Ended June 30, 2025
Nucleic Acid ProductionBiologics Safety TestingTotal
Revenue
$59,835$34,412$94,247
Less:
Cost of revenue (1)
49,2295,803
Selling and marketing (1)
12,1351,575
General and administrative (1)
9,6942,399
Research and development (1)
4,9941,101
Other segment items (2)
(47)3
Adjusted EBITDA
(16,170)23,531$7,361
Reconciliation of total reportable segments’ Adjusted EBITDA to loss before income taxes
Amortization(14,230)
Depreciation(11,650)
Interest expense(13,593)
Interest income6,255 
Corporate costs, net of eliminations(28,320)
Other adjustments:
Acquisition contingent consideration(140)
Acquisition integration costs(1,598)
Stock-based compensation
(17,192)
Merger and acquisition related expenses(1,270)
Acquisition related tax adjustment(4,082)
Executive leadership transition costs (3)
(2,007)
Goodwill impairment
(42,884)
Property and equipment impairment
(1,052)
Other(2,414)
Loss before income taxes
(126,816)
Income tax benefit
4,126 
Net loss
$(122,690)
Three Months Ended June 30, 2024
Nucleic Acid ProductionBiologics Safety TestingTotal
Revenue
$54,586$14,837$69,423
Less:
Cost of revenue (1)
23,8543,102
Selling and marketing (1)
5,728702
General and administrative (1)
4,8861,158
Research and development (1)
2,658509
Other segment items (2)
71
Adjusted EBITDA
17,4539,365$26,818
Reconciliation of total reportable segments’ Adjusted EBITDA to loss before income taxes
Amortization(6,869)
Depreciation(5,556)
Interest expense(11,939)
Interest income7,086 
Corporate costs, net of eliminations(13,829)
Other adjustments:
Acquisition contingent consideration1,195 
Acquisition integration costs(1,224)
Stock-based compensation
(13,763)
Acquisition related tax adjustment(2,554)
Restructuring costs (4)
8 
Other(228)
Loss before income taxes
(20,855)
Income tax benefit
2,435 
Net loss
$(18,420)
Six Months Ended June 30, 2024
Nucleic Acid ProductionBiologics Safety TestingTotal
Revenue
$100,602$33,000$133,602
Less:
Cost of revenue (1)
48,4784,856
Selling and marketing (1)
10,1211,379
General and administrative (1)
9,3272,435
Research and development (1)
5,1211,038
Other segment items (2)
141
Adjusted EBITDA
27,54123,291$50,832
Reconciliation of total reportable segments’ Adjusted EBITDA to loss before income taxes
Amortization(13,738)
Depreciation(10,342)
Interest expense(22,803)
Interest income14,296 
Corporate costs, net of eliminations(30,048)
Other adjustments:
Acquisition contingent consideration1,195 
Acquisition integration costs(3,722)
Stock-based compensation
(25,820)
Merger and acquisition related expenses(30)
Acquisition related tax adjustment(2,441)
Restructuring costs (4)
(11)
Other(632)
Loss before income taxes
(43,264)
Income tax benefit
2,164 
Net loss
$(41,100)
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(1)Expenses are adjusted to remove the impact of certain items that management believes do not directly reflect our core operations, and, therefore, are not included in measuring segment performance.
(2)Other segment items for each reportable segment include realized and unrealized (losses) gains on foreign exchange transactions.
(3)For both the three and six months ended June 30, 2025, stock-based compensation benefit of $3.3 million primarily related to forfeited stock awards in connection with the Executive Leadership Transition is included on the stock-based compensation line item.
(4)For the three months ended June 30, 2024, there was an immaterial amount of stock-based compensation expense in connection with the restructuring included in the stock based-compensation line item. For the six months ended June 30, 2024, stock-based compensation benefit of $1.2 million related to forfeited stock awards in connection with the restructuring is included on the stock-based compensation line item.
There was no intersegment revenue during the three and six months ended June 30, 2025 and 2024.
The Company does not allocate assets to its reportable segments as they are not included in the review performed by the CODM for purposes of assessing segment performance and allocating resources.