Form: 10-Q

Quarterly report pursuant to Section 13 or 15(d)

November 7, 2024

0001124524--12-312024Q3false0000http://fasb.org/us-gaap/2024#OperatingExpenseshttp://fasb.org/us-gaap/2024#OperatingExpenseshttp://fasb.org/us-gaap/2024#OperatingExpenses00011245242022-01-252022-01-2500011245242024-01-252024-01-2500011245242023-01-012023-03-310001124524cyrx:RepurchaseProgramsMember2023-09-300001124524us-gaap:CommonStockMember2024-07-012024-09-300001124524us-gaap:CommonStockMember2024-01-012024-09-300001124524us-gaap:CommonStockMember2023-07-012023-09-300001124524us-gaap:CommonStockMember2023-01-012023-09-300001124524us-gaap:RetainedEarningsMember2024-09-300001124524us-gaap:AdditionalPaidInCapitalMember2024-09-300001124524us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-09-300001124524us-gaap:RetainedEarningsMember2024-06-300001124524us-gaap:AdditionalPaidInCapitalMember2024-06-300001124524us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-06-3000011245242024-06-300001124524us-gaap:RetainedEarningsMember2023-12-310001124524us-gaap:AdditionalPaidInCapitalMember2023-12-310001124524us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-12-310001124524us-gaap:RetainedEarningsMember2023-09-300001124524us-gaap:AdditionalPaidInCapitalMember2023-09-300001124524us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-09-300001124524us-gaap:RetainedEarningsMember2023-06-300001124524us-gaap:AdditionalPaidInCapitalMember2023-06-300001124524us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-06-3000011245242023-06-300001124524us-gaap:RetainedEarningsMember2022-12-310001124524us-gaap:AdditionalPaidInCapitalMember2022-12-310001124524us-gaap:AccumulatedOtherComprehensiveIncomeMember2022-12-310001124524us-gaap:USTreasurySecuritiesMember2024-09-300001124524us-gaap:MutualFundMember2024-09-300001124524us-gaap:CorporateDebtSecuritiesMember2024-09-300001124524us-gaap:USTreasurySecuritiesMember2023-12-310001124524us-gaap:MutualFundMember2023-12-310001124524us-gaap:CorporateDebtSecuritiesMember2023-12-310001124524cyrx:PreferredClassCMemberus-gaap:PreferredStockMember2024-09-300001124524us-gaap:CommonStockMember2024-09-300001124524cyrx:PreferredClassCMemberus-gaap:PreferredStockMember2024-06-300001124524us-gaap:CommonStockMember2024-06-300001124524cyrx:PreferredClassCMemberus-gaap:PreferredStockMember2023-12-310001124524us-gaap:CommonStockMember2023-12-310001124524cyrx:PreferredClassCMemberus-gaap:PreferredStockMember2023-09-300001124524us-gaap:CommonStockMember2023-09-300001124524cyrx:PreferredClassCMemberus-gaap:PreferredStockMember2023-06-300001124524us-gaap:CommonStockMember2023-06-300001124524cyrx:PreferredClassCMemberus-gaap:PreferredStockMember2022-12-310001124524us-gaap:CommonStockMember2022-12-310001124524us-gaap:EmployeeStockOptionMembercyrx:Plan2018Member2024-09-300001124524srt:MinimumMemberus-gaap:EmployeeStockOptionMember2024-01-012024-09-300001124524srt:MaximumMemberus-gaap:EmployeeStockOptionMember2024-01-012024-09-300001124524srt:MinimumMemberus-gaap:EmployeeStockOptionMember2023-01-012023-09-300001124524srt:MaximumMemberus-gaap:EmployeeStockOptionMember2023-01-012023-09-300001124524us-gaap:EmployeeStockOptionMember2023-01-012023-09-300001124524us-gaap:RestrictedStockUnitsRSUMember2023-12-310001124524us-gaap:SellingGeneralAndAdministrativeExpensesMember2024-07-012024-09-300001124524us-gaap:RestrictedStockUnitsRSUMember2024-07-012024-09-300001124524us-gaap:CostOfSalesMember2024-07-012024-09-300001124524cyrx:EngineeringAndDevelopmentMember2024-07-012024-09-300001124524us-gaap:SellingGeneralAndAdministrativeExpensesMember2024-01-012024-09-300001124524us-gaap:CostOfSalesMember2024-01-012024-09-300001124524cyrx:EngineeringAndDevelopmentMember2024-01-012024-09-300001124524us-gaap:SellingGeneralAndAdministrativeExpensesMember2023-07-012023-09-300001124524us-gaap:RestrictedStockUnitsRSUMember2023-07-012023-09-300001124524us-gaap:CostOfSalesMember2023-07-012023-09-300001124524cyrx:EngineeringAndDevelopmentMember2023-07-012023-09-300001124524us-gaap:SellingGeneralAndAdministrativeExpensesMember2023-01-012023-09-300001124524us-gaap:RestrictedStockUnitsRSUMember2023-01-012023-09-300001124524us-gaap:CostOfSalesMember2023-01-012023-09-300001124524cyrx:EngineeringAndDevelopmentMember2023-01-012023-09-300001124524us-gaap:EMEAMember2024-07-012024-09-300001124524srt:AsiaPacificMember2024-07-012024-09-300001124524srt:AmericasMember2024-07-012024-09-300001124524cyrx:ForeignCustomersMember2024-07-012024-09-300001124524cyrx:BiostorageBioservicesMember2024-07-012024-09-300001124524cyrx:BiologisticsSolutionsMember2024-07-012024-09-300001124524us-gaap:EMEAMember2024-01-012024-09-300001124524srt:AsiaPacificMember2024-01-012024-09-300001124524srt:AmericasMember2024-01-012024-09-300001124524cyrx:ForeignCustomersMember2024-01-012024-09-300001124524cyrx:BiostorageBioservicesMember2024-01-012024-09-300001124524cyrx:BiologisticsSolutionsMember2024-01-012024-09-300001124524us-gaap:EMEAMember2023-07-012023-09-300001124524srt:AsiaPacificMember2023-07-012023-09-300001124524srt:AmericasMember2023-07-012023-09-300001124524cyrx:ForeignCustomersMember2023-07-012023-09-300001124524cyrx:BiostorageBioservicesMember2023-07-012023-09-300001124524cyrx:BiologisticsSolutionsMember2023-07-012023-09-300001124524us-gaap:EMEAMember2023-01-012023-09-300001124524srt:AsiaPacificMember2023-01-012023-09-300001124524srt:AmericasMember2023-01-012023-09-300001124524cyrx:ForeignCustomersMember2023-01-012023-09-300001124524cyrx:BiostorageBioservicesMember2023-01-012023-09-300001124524cyrx:BiologisticsSolutionsMember2023-01-012023-09-300001124524us-gaap:ConvertiblePreferredStockMember2024-09-300001124524cyrx:ClassCConvertiblePreferredStockMember2024-09-300001124524cyrx:ClassBConvertiblePreferredStockMember2024-09-300001124524us-gaap:ConvertiblePreferredStockMember2023-12-310001124524cyrx:ClassCConvertiblePreferredStockMember2023-12-310001124524cyrx:ClassBConvertiblePreferredStockMember2023-12-310001124524cyrx:PolarExpressMadridSpainMember2022-07-012022-07-310001124524us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-07-012024-09-300001124524us-gaap:AccumulatedOtherComprehensiveIncomeMember2024-01-012024-09-300001124524us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-07-012023-09-300001124524us-gaap:AccumulatedOtherComprehensiveIncomeMember2023-01-012023-09-300001124524us-gaap:RetainedEarningsMember2024-07-012024-09-300001124524us-gaap:RetainedEarningsMember2024-01-012024-09-300001124524us-gaap:RetainedEarningsMember2023-07-012023-09-300001124524us-gaap:RetainedEarningsMember2023-01-012023-09-300001124524cyrx:CellCoBioservicesMember2024-09-300001124524us-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMemberus-gaap:FairValueMeasurementsRecurringMember2024-09-300001124524us-gaap:FairValueInputsLevel2Memberus-gaap:ConvertibleNotesPayableMemberus-gaap:FairValueMeasurementsRecurringMember2024-09-300001124524us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2024-09-300001124524us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2024-09-300001124524us-gaap:ConvertibleNotesPayableMemberus-gaap:FairValueMeasurementsRecurringMember2024-09-300001124524cyrx:ContingentConsiderationMemberus-gaap:FairValueMeasurementsRecurringMember2024-09-300001124524us-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMemberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001124524us-gaap:FairValueInputsLevel2Memberus-gaap:ConvertibleNotesPayableMemberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001124524us-gaap:FairValueInputsLevel3Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001124524us-gaap:FairValueInputsLevel2Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001124524us-gaap:ConvertibleNotesPayableMemberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001124524cyrx:ContingentConsiderationMemberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001124524cyrx:ContingentConsiderationMember2023-12-310001124524srt:MinimumMember2024-09-300001124524srt:MaximumMember2024-09-300001124524cyrx:LeaseAgreementForAdministrativeGlobalSupplyChainCenterAndResearchAndDevelopmentCenterInSantaAnaCaliforniaMember2022-10-310001124524cyrx:NotesPayableMember2024-07-012024-09-300001124524cyrx:NotesPayableMember2024-01-012024-09-300001124524cyrx:NotesPayableMember2023-07-012023-09-300001124524cyrx:NotesPayableMember2023-01-012023-09-300001124524us-gaap:TrademarksAndTradeNamesMembercyrx:MveCryobiologicalStorageBusinessMember2024-01-012024-09-300001124524us-gaap:TrademarksAndTradeNamesMembercyrx:CellCoBioservicesMember2024-01-012024-09-300001124524cyrx:MveCryobiologicalStorageBusinessMember2024-01-012024-09-300001124524cyrx:MveCryobiologicalStorageBusinessMember2024-01-012024-06-300001124524cyrx:Tec4medMember2023-01-012023-12-310001124524cyrx:BluebirdExpressLlcMember2023-01-012023-12-310001124524cyrx:BluebirdExpressLlcMember2024-09-300001124524cyrx:PolarExpressMadridSpainMember2023-11-300001124524cyrx:CellMattersBasedInLiegeBelgiumMember2022-07-310001124524cyrx:RepurchaseProgram2022Membercyrx:SeniorNotes2026Member2023-07-012023-09-300001124524cyrx:RepurchaseProgram2022Membercyrx:SeniorNotes2026Member2023-01-012023-09-300001124524us-gaap:UseRightsMember2024-09-300001124524us-gaap:TechnologyBasedIntangibleAssetsMember2024-09-300001124524us-gaap:OrderOrProductionBacklogMember2024-09-300001124524us-gaap:NoncompeteAgreementsMember2024-09-300001124524us-gaap:CustomerRelationshipsMember2024-09-300001124524cyrx:AgentNetworkMember2024-09-300001124524us-gaap:UseRightsMember2023-12-310001124524us-gaap:TrademarksAndTradeNamesMember2023-12-310001124524us-gaap:TechnologyBasedIntangibleAssetsMember2023-12-310001124524us-gaap:OrderOrProductionBacklogMember2023-12-310001124524us-gaap:NoncompeteAgreementsMember2023-12-310001124524us-gaap:CustomerRelationshipsMember2023-12-310001124524cyrx:PatentsAndTrademarksMember2023-12-310001124524cyrx:AgentNetworkMember2023-12-310001124524cyrx:Acquisitions2023Memberus-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2024-09-300001124524cyrx:Acquisitions2022Memberus-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2024-09-300001124524cyrx:Acquisitions2021Memberus-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2024-09-300001124524us-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2024-09-300001124524cyrx:Acquisitions2023Memberus-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2023-12-310001124524cyrx:Acquisitions2022Memberus-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2023-12-310001124524cyrx:Acquisitions2021Memberus-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2023-12-310001124524us-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2023-12-310001124524cyrx:Acquisitions2023Memberus-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2024-01-012024-09-300001124524cyrx:Acquisitions2022Memberus-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2024-01-012024-09-300001124524cyrx:Acquisitions2021Memberus-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2024-01-012024-09-300001124524us-gaap:FairValueInputsLevel3Membercyrx:ContingentConsiderationMember2024-01-012024-09-300001124524cyrx:RepurchaseProgram2024Membercyrx:SeniorNotes2026Member2024-08-012024-08-310001124524cyrx:RepurchaseProgram2022Membercyrx:SeniorNotes2026Member2024-08-012024-08-310001124524cyrx:RepurchaseProgram2022Membercyrx:SeniorNotes2026Member2024-07-012024-07-310001124524cyrx:RepurchaseProgram2022Membercyrx:SeniorNotes2026Member2024-05-012024-05-310001124524cyrx:RepurchaseProgram2022Membercyrx:SeniorNotes2026Member2023-09-012023-09-300001124524us-gaap:EmployeeStockOptionMember2024-01-012024-09-300001124524cyrx:RepurchaseProgram2024Membercyrx:SeniorNotes2026Member2024-08-310001124524cyrx:RepurchaseProgram2022Membercyrx:SeniorNotes2026Member2024-08-310001124524cyrx:RepurchaseProgram2022Membercyrx:SeniorNotes2026Member2024-07-310001124524cyrx:RepurchaseProgram2022Membercyrx:SeniorNotes2026Member2024-05-310001124524cyrx:RepurchaseProgram2022Membercyrx:SeniorNotes2026Member2023-09-300001124524cyrx:CellCoBioservicesMembercyrx:NotesPayableMaturingOnSeptember2030Member2024-09-300001124524cyrx:CellCoBioservicesMembercyrx:NotesPayableMaturingOnJuly2027Member2024-09-300001124524cyrx:SciJa8Membercyrx:NotesPayableMaturingOnSeptember2038Member2023-10-310001124524cyrx:SciJa8Membercyrx:NotesPayableMaturingOnSeptember2031Member2023-10-310001124524cyrx:SciJa8Membercyrx:NotesPayableMaturingOnJuly2035Member2023-10-310001124524cyrx:SciJa8Member2023-10-310001124524cyrx:NotesPayableMember2023-12-310001124524us-gaap:ServiceMember2024-07-012024-09-300001124524us-gaap:ProductMember2024-07-012024-09-300001124524us-gaap:ServiceMember2024-01-012024-09-300001124524us-gaap:ProductMember2024-01-012024-09-300001124524us-gaap:ServiceMember2023-07-012023-09-300001124524us-gaap:ProductMember2023-07-012023-09-300001124524us-gaap:ServiceMember2023-01-012023-09-300001124524us-gaap:ProductMember2023-01-012023-09-300001124524cyrx:SeniorNotes2026Member2023-12-310001124524cyrx:SeniorNotes2025Member2023-12-310001124524cyrx:ForeignCustomersMemberus-gaap:RevenueFromContractWithCustomerMemberus-gaap:CustomerConcentrationRiskMember2024-07-012024-09-300001124524cyrx:ForeignCustomersMemberus-gaap:RevenueFromContractWithCustomerMemberus-gaap:CustomerConcentrationRiskMember2024-01-012024-09-300001124524cyrx:ForeignCustomersMemberus-gaap:RevenueFromContractWithCustomerMemberus-gaap:CustomerConcentrationRiskMember2023-07-012023-09-300001124524cyrx:ForeignCustomersMemberus-gaap:RevenueFromContractWithCustomerMemberus-gaap:CustomerConcentrationRiskMember2023-01-012023-09-300001124524us-gaap:RestrictedStockUnitsRSUMember2024-09-300001124524us-gaap:EmployeeStockOptionMember2024-09-300001124524cyrx:SeniorNotes2026Member2024-09-300001124524cyrx:SeniorNotes2025Member2024-09-300001124524cyrx:ClassCConvertiblePreferredStockMember2024-09-3000011245242023-09-300001124524cyrx:GlobalSupplyChainCenterMember2023-10-310001124524cyrx:Tec4medMember2023-11-300001124524cyrx:BluebirdExpressLlcMemberus-gaap:TrademarksAndTradeNamesMember2023-11-300001124524cyrx:BluebirdExpressLlcMemberus-gaap:NoncompeteAgreementsMember2023-11-300001124524cyrx:BluebirdExpressLlcMemberus-gaap:CustomerRelationshipsMember2023-11-300001124524cyrx:BluebirdExpressLlcMembercyrx:AgentNetworkMember2023-11-300001124524cyrx:Tec4medMember2023-11-012023-11-300001124524cyrx:GlobalSupplyChainCenterMember2023-10-012023-10-310001124524cyrx:CellMattersBasedInLiegeBelgiumMember2022-07-012022-07-310001124524cyrx:PolarExpressMadridSpainMember2022-07-310001124524cyrx:CellCoBioservicesMember2022-04-300001124524cyrx:BluebirdExpressLlcMember2023-01-012023-09-300001124524us-gaap:USTreasuryNotesSecuritiesMember2024-09-300001124524us-gaap:CorporateDebtSecuritiesMember2024-09-300001124524us-gaap:USTreasuryNotesSecuritiesMember2023-12-310001124524us-gaap:CorporateDebtSecuritiesMember2023-12-310001124524us-gaap:MoneyMarketFundsMemberus-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2024-09-300001124524us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:USTreasuryNotesSecuritiesMember2024-09-300001124524us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:MutualFundMember2024-09-300001124524us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:CorporateDebtSecuritiesMember2024-09-300001124524us-gaap:MoneyMarketFundsMemberus-gaap:FairValueMeasurementsRecurringMember2024-09-300001124524us-gaap:FairValueMeasurementsRecurringMemberus-gaap:USTreasuryNotesSecuritiesMember2024-09-300001124524us-gaap:FairValueMeasurementsRecurringMemberus-gaap:MutualFundMember2024-09-300001124524us-gaap:FairValueMeasurementsRecurringMemberus-gaap:CorporateDebtSecuritiesMember2024-09-300001124524us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2024-09-300001124524us-gaap:FairValueMeasurementsRecurringMember2024-09-300001124524us-gaap:MoneyMarketFundsMemberus-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001124524us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:USTreasuryNotesSecuritiesMember2023-12-310001124524us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:MutualFundMember2023-12-310001124524us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMemberus-gaap:CorporateDebtSecuritiesMember2023-12-310001124524us-gaap:MoneyMarketFundsMemberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001124524us-gaap:FairValueMeasurementsRecurringMemberus-gaap:USTreasuryNotesSecuritiesMember2023-12-310001124524us-gaap:FairValueMeasurementsRecurringMemberus-gaap:MutualFundMember2023-12-310001124524us-gaap:FairValueMeasurementsRecurringMemberus-gaap:CorporateDebtSecuritiesMember2023-12-310001124524us-gaap:FairValueInputsLevel1Memberus-gaap:FairValueMeasurementsRecurringMember2023-12-310001124524us-gaap:FairValueMeasurementsRecurringMember2023-12-310001124524us-gaap:RestrictedStockUnitsRSUMember2024-07-012024-09-300001124524us-gaap:EmployeeStockOptionMember2024-07-012024-09-300001124524cyrx:ConversionOf2026SeniorNotesMember2024-07-012024-09-300001124524cyrx:ConversionOf2025SeniorNotesMember2024-07-012024-09-300001124524cyrx:ClassCConvertiblePreferredStockMember2024-07-012024-09-300001124524us-gaap:RestrictedStockUnitsRSUMember2024-01-012024-09-300001124524us-gaap:EmployeeStockOptionMember2024-01-012024-09-300001124524cyrx:ConversionOf2026SeniorNotesMember2024-01-012024-09-300001124524cyrx:ConversionOf2025SeniorNotesMember2024-01-012024-09-300001124524cyrx:ClassCConvertiblePreferredStockMember2024-01-012024-09-300001124524us-gaap:RestrictedStockUnitsRSUMember2023-07-012023-09-300001124524us-gaap:EmployeeStockOptionMember2023-07-012023-09-300001124524cyrx:ConversionOf2026SeniorNotesMember2023-07-012023-09-300001124524cyrx:ConversionOf2025SeniorNotesMember2023-07-012023-09-300001124524cyrx:ClassCConvertiblePreferredStockMember2023-07-012023-09-300001124524us-gaap:RestrictedStockUnitsRSUMember2023-01-012023-09-300001124524us-gaap:EmployeeStockOptionMember2023-01-012023-09-300001124524cyrx:ConversionOf2026SeniorNotesMember2023-01-012023-09-300001124524cyrx:ConversionOf2025SeniorNotesMember2023-01-012023-09-300001124524cyrx:ClassCConvertiblePreferredStockMember2023-01-012023-09-300001124524us-gaap:ConvertibleDebtMember2024-07-012024-09-300001124524us-gaap:ConvertibleDebtMember2024-01-012024-09-300001124524us-gaap:ConvertibleDebtMember2023-07-012023-09-300001124524us-gaap:ConvertibleDebtMember2023-01-012023-09-3000011245242022-12-310001124524cyrx:BluebirdExpressLlcMemberus-gaap:TrademarksAndTradeNamesMember2023-11-012023-11-300001124524cyrx:BluebirdExpressLlcMemberus-gaap:NoncompeteAgreementsMember2023-11-012023-11-300001124524cyrx:BluebirdExpressLlcMemberus-gaap:CustomerRelationshipsMember2023-11-012023-11-300001124524cyrx:BluebirdExpressLlcMembercyrx:AgentNetworkMember2023-11-012023-11-300001124524cyrx:RamkumarMandalamMember2024-09-3000011245242024-10-310001124524cyrx:RepurchaseProgramsMember2024-09-300001124524cyrx:RepurchaseProgram2022Member2024-08-310001124524cyrx:RepurchaseProgram2022Member2022-03-310001124524us-gaap:RestrictedStockUnitsRSUMember2024-01-012024-09-300001124524cyrx:RamkumarMandalamMember2024-07-012024-09-300001124524cyrx:ContingentConsiderationMember2024-01-012024-09-300001124524cyrx:PreferredClassCMemberus-gaap:PreferredStockMember2024-07-012024-09-300001124524us-gaap:AdditionalPaidInCapitalMember2024-07-012024-09-300001124524cyrx:PreferredClassCMemberus-gaap:PreferredStockMember2024-01-012024-09-300001124524us-gaap:AdditionalPaidInCapitalMember2024-01-012024-09-300001124524cyrx:PreferredClassCMemberus-gaap:PreferredStockMember2023-07-012023-09-300001124524us-gaap:AdditionalPaidInCapitalMember2023-07-012023-09-300001124524cyrx:PreferredClassCMemberus-gaap:PreferredStockMember2023-01-012023-09-300001124524us-gaap:AdditionalPaidInCapitalMember2023-01-012023-09-300001124524cyrx:ContingentConsiderationMember2024-09-300001124524cyrx:NotesPayableMember2024-09-300001124524cyrx:LeaseAgreementForAdministrativeGlobalSupplyChainCenterAndResearchAndDevelopmentCenterInSantaAnaCaliforniaMember2022-10-012022-10-310001124524cyrx:MveCryobiologicalStorageBusinessMember2024-01-012024-09-300001124524us-gaap:TrademarksAndTradeNamesMember2024-09-300001124524cyrx:PatentsAndTrademarksMember2024-09-3000011245242023-12-310001124524cyrx:RepurchaseProgramsMembercyrx:SeniorNotes2026Member2024-07-012024-09-300001124524cyrx:RepurchaseProgramsMembercyrx:SeniorNotes2026Member2024-01-012024-09-3000011245242024-07-012024-09-3000011245242023-07-012023-09-3000011245242023-01-012023-09-300001124524cyrx:BluebirdExpressLlcMember2023-11-300001124524cyrx:CellMattersBasedInLiegeBelgiumMember2022-07-012023-09-300001124524cyrx:BluebirdExpressLlcMember2023-11-012023-11-300001124524cyrx:CellCoBioservicesMember2022-04-012022-04-300001124524cyrx:BluebirdExpressLlcMember2024-01-012024-09-300001124524us-gaap:USTreasuryNotesSecuritiesMember2024-09-300001124524us-gaap:CorporateDebtSecuritiesMember2024-09-3000011245242024-09-3000011245242024-01-012024-09-3000011245242023-01-012023-12-31iso4217:USDxbrli:sharesiso4217:EURxbrli:purecyrx:customercyrx:locationiso4217:USDxbrli:sharescyrx:itemcyrx:segment

Table of Contents

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

(Mark One)

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2024

TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from ______ to ______.

Commission File Number: 001-34632

Graphic

CRYOPORT, INC.

(Exact Name of Registrant as Specified in its Charter)

Nevada

88-0313393

(State or other jurisdiction of
incorporation or organization)

(I.R.S. Employer
Identification No.)

112 Westwood Place, Suite 350

Brentwood, TN 37027

(Address of principal executive offices, including zip code)

(949470-2300

(Registrant’s telephone number, including area code)

(Former name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

    

Trading Symbol(s)

    

Name of each exchange on which registered

Common Stock, $0.001 par value

CYRX

The Nasdaq Stock Market LLC (The Nasdaq Capital Market)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.  Yes      No  

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).   Yes      No  

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

Accelerated filer

Non-accelerated filer

  

Smaller reporting company

Emerging growth company

 

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

Indicate by check mark whether the Registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).   Yes      No  

As of October 31, 2024 there were 49,430,583 shares of the registrant's common stock outstanding.

Table of Contents

TABLE OF CONTENTS

 

Page

PART I. FINANCIAL INFORMATION

ITEM 1. Financial Statements

Condensed Consolidated Balance Sheets at September 30, 2024 (Unaudited) and December 31, 2023

3

Unaudited Condensed Consolidated Statements of Operations for the three and nine months ended September 30, 2024 and 2023

4

Unaudited Condensed Consolidated Statements of Comprehensive Loss for the three and nine months ended September 30, 2024 and 2023

5

Unaudited Condensed Consolidated Statements of Stockholders’ Equity for the three and nine months ended September 30, 2024 and 2023

6

Unaudited Condensed Consolidated Statements of Cash Flows for the nine months ended September 30, 2024 and 2023

7

Notes to Condensed Consolidated Financial Statements (Unaudited)

8

ITEM 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

27

ITEM 3. Quantitative and Qualitative Disclosures About Market Risk

37

ITEM 4. Controls and Procedures

37

PART II. OTHER INFORMATION

38

ITEM 1. Legal Proceedings

38

ITEM 1A. Risk Factors

38

ITEM 2. Unregistered Sales of Equity Securities and Use of Proceeds

38

ITEM 3. Defaults Upon Senior Securities

38

ITEM 4. Mine Safety Disclosures

38

ITEM 5. Other Information

38

ITEM 6. Exhibits

40

SIGNATURES

41

Table of Contents

Cryoport, Inc. and Subsidiaries

Condensed Consolidated Balance Sheets

(in thousands, except share data)

September 30, 

December 31, 

    

2024

    

2023

(unaudited)

ASSETS

Current Assets:

  

  

Cash and cash equivalents

$

44,665

$

46,346

Short-term investments

 

228,001

 

410,409

Accounts receivable, net

43,461

42,074

Inventories

 

23,552

 

26,206

Prepaid expenses and other current assets

 

10,658

 

10,077

Total current assets

 

350,337

 

535,112

Property and equipment, net

 

88,281

84,858

Operating lease right-of-use assets

30,113

32,653

Intangible assets, net

 

175,815

194,382

Goodwill

54,057

108,403

Deposits

 

1,493

1,680

Deferred tax assets

1,669

656

Total assets

$

701,765

$

957,744

LIABILITIES AND STOCKHOLDERS’ EQUITY

 

 

Current Liabilities:

 

 

Accounts payable and other accrued expenses

$

25,194

$

26,995

Accrued compensation and related expenses

 

11,275

11,409

Deferred revenue

 

1,091

1,308

Current portion of operating lease liabilities

5,834

5,371

Current portion of finance lease liabilities

 

470

286

Current portion of convertible senior notes, net of discount of $0.1 million

14,271

Current portion of notes payable

153

149

Current portion of contingent consideration

3,151

92

Total current liabilities

 

61,439

 

45,610

Convertible senior notes, net of discount of $2.6 million and $7.0 million, respectively

183,628

378,553

Notes payable

1,238

1,335

Operating lease liabilities, net of current portion

26,466

29,355

Finance lease liabilities, net of current portion

1,306

954

Deferred tax liabilities

3,526

2,816

Other long-term liabilities

569

601

Contingent consideration, net of current portion

5,021

9,497

Total liabilities

 

283,193

 

468,721

Commitments and contingencies

 

 

  

Stockholders’ Equity:

 

 

  

Preferred stock, $0.001 par value; 2,500,000 shares authorized:

 

 

  

Class A convertible preferred stock - $0.001 par value; 800,000 shares authorized; none issued and outstanding

 

 

Class B convertible preferred stock - $0.001 par value; 585,000 shares authorized; none issued and outstanding

 

 

Class C convertible preferred stock - $0.001 par value; 250,000 shares authorized; 200,000 issued and outstanding

32,275

26,275

Common stock, $0.001 par value; 100,000,000 shares authorized; 49,430,583 and 48,971,026 issued and outstanding at September 30, 2024 and December 31, 2023, respectively

49

49

Additional paid-in capital

 

1,141,122

 

1,131,183

Accumulated deficit

 

(738,498)

 

(642,419)

Accumulated other comprehensive loss

 

(16,376)

 

(26,065)

Total stockholders’ equity

 

418,572

 

489,023

Total liabilities and stockholders’ equity

$

701,765

$

957,744

See accompanying notes to condensed consolidated financial statements.

3

Table of Contents

Cryoport, Inc. and Subsidiaries

Condensed Consolidated Statements of Operations

(in thousands, except share and per share data)

(unaudited)

Three Months Ended

Nine Months Ended

September 30, 

September 30, 

    

2024

    

2023

    

2024

    

2023

    

Life Sciences Services revenue

$

39,278

$

36,022

$

114,104

$

107,062

Life Sciences Products revenue

17,386

20,135

54,749

68,933

Total revenue

56,664

56,157

168,853

175,995

Cost of services revenue

21,220

20,803

63,927

59,887

Cost of products revenue

 

10,059

11,088

 

32,576

40,037

Total cost of revenue

31,279

31,891

96,503

99,924

Gross margin

 

25,385

24,266

 

72,350

76,071

 

 

Operating costs and expenses:

 

 

  

 

 

Selling, general and administrative

 

37,654

 

36,023

 

111,921

 

108,066

Engineering and development

 

4,157

 

5,152

 

13,555

 

13,291

Impairment loss

63,809

Total operating costs and expenses

 

41,811

 

41,175

 

189,285

 

121,357

 

 

 

 

  

Loss from operations

 

(16,426)

 

(16,909)

 

(116,935)

 

(45,286)

Other income (expense):

 

 

 

 

  

Investment income

3,059

2,848

8,468

7,962

Interest expense

 

(889)

 

(1,357)

 

(3,472)

 

(4,197)

Gain on extinguishment of debt, net

17,326

5,679

18,505

5,679

Other income (expense), net

 

(1,616)

 

(3,059)

 

(1,398)

 

242

Total other income, net

17,880

 

4,111

22,103

 

9,686

Income (loss) before provision for income taxes

 

1,454

 

(12,798)

 

(94,832)

 

(35,600)

Provision for income taxes

 

(649)

 

(471)

 

(1,247)

 

(1,598)

Net income (loss)

$

805

$

(13,269)

$

(96,079)

$

(37,198)

Paid-in-kind dividend on Series C convertible preferred stock

(2,000)

(2,000)

(6,000)

(6,000)

Net loss attributable to common stockholders

$

(1,195)

$

(15,269)

$

(102,079)

$

(43,198)

Net loss per share - basic and diluted

$

(0.02)

$

(0.31)

$

(2.07)

$

(0.89)

Weighted average shares outstanding – basic and diluted

 

49,417,757

 

48,904,102

 

49,261,717

 

48,660,646

See accompanying notes to condensed consolidated financial statements.

4

Table of Contents

Cryoport, Inc. and Subsidiaries

Condensed Consolidated Statements of Comprehensive Loss

(unaudited, in thousands)

Three Months Ended

Nine Months Ended

September 30, 

September 30, 

    

2024

    

2023

    

2024

    

2023

    

Net income (loss)

$

805

$

(13,269)

$

(96,079)

$

(37,198)

Other comprehensive income (loss), net of tax:

 

 

 

 

Net unrealized gain on available-for-sale debt securities

 

1,964

 

624

 

3,219

 

3,076

Reclassification of realized (gain) loss on available-for-sale debt securities to earnings

7,843

758

6,224

1,389

Foreign currency translation adjustments

 

3,006

 

(995)

 

246

 

(4,017)

Other comprehensive income

 

12,813

 

387

 

9,689

 

448

Total comprehensive income (loss)

$

13,618

$

(12,882)

$

(86,390)

$

(36,750)

See accompanying notes to condensed consolidated financial statements.

5

Table of Contents

Cryoport, Inc. and Subsidiaries

Condensed Consolidated Statements of Stockholders’ Equity

(In thousands, except share data)

(unaudited)

Class A

Class B

Class C

Other

Total

Preferred Stock

Preferred Stock

Preferred Stock

Common Stock

Additional

Accumulated

Comprehensive

Stockholders’

    

Shares

    

Amount

    

Shares

    

Amount

    

Shares

    

Amount

    

Shares

    

Amount

    

Paid–In Capital

    

Deficit

    

Loss

    

Equity (Deficit)

  

  

  

  

  

  

  

  

  

  

Balance at June 30, 2023

 

$

 

$

200,000

$

22,275

 

48,879,018

$

49

$

1,123,180

$

(566,761)

$

(34,488)

$

544,255

Net loss

 

 

 

 

 

 

 

 

(13,269)

 

 

(13,269)

Other comprehensive loss, net of taxes

 

 

 

 

 

 

 

 

 

387

 

387

Stock-based compensation expense

 

 

 

 

 

 

 

5,976

 

 

 

5,976

Paid-in-kind preferred stock dividend

2,000

(2,000)

Vesting of restricted stock units

12,499

Proceeds from exercise of stock options

 

 

 

 

 

72,200

 

 

179

 

 

 

179

Balance at September 30, 2023

$

$

200,000

$

24,275

48,963,717

$

49

$

1,127,335

$

(580,030)

$

(34,101)

$

537,528

Balance at June 30, 2024

 

$

 

$

200,000

$

30,275

 

49,412,294

$

49

$

1,138,263

$

(739,303)

$

(29,189)

$

400,095

Net income

 

 

 

 

 

 

 

 

805

 

 

805

Other comprehensive loss, net of taxes

 

 

 

 

 

 

 

 

 

12,813

 

12,813

Stock-based compensation expense

 

 

 

 

 

 

 

4,838

 

 

 

4,838

Paid-in-kind preferred stock dividend

 

 

 

 

2,000

 

 

 

(2,000)

 

 

 

Vesting of restricted stock units

14,122

Proceeds from exercise of stock options

 

 

 

 

 

4,167

 

 

21

 

 

 

21

Balance at September 30, 2024

$

$

200,000

$

32,275

49,430,583

$

49

$

1,141,122

$

(738,498)

$

(16,376)

$

418,572

Balance at December 31, 2022

 

$

 

$

200,000

$

18,275

 

48,334,280

$

48

$

1,114,896

$

(542,832)

$

(34,549)

$

555,838

Net loss

 

 

 

 

 

 

 

 

(37,198)

 

 

(37,198)

Other comprehensive loss, net of taxes

 

 

 

 

 

 

 

 

 

448

 

448

Stock-based compensation expense

 

 

 

 

 

 

 

16,960

 

 

 

16,960

Paid-in-kind preferred stock dividend

6,000

(6,000)

Vesting of restricted stock units

 

 

 

 

 

221,623

 

 

 

 

 

Proceeds from exercise of stock options

 

 

 

 

407,814

 

1

 

1,479

 

 

 

1,480

Balance at September 30, 2023

$

 

$

200,000

$

24,275

 

48,963,717

$

49

$

1,127,335

$

(580,030)

$

(34,101)

$

537,528

Balance at December 31, 2023

 

$

$

200,000

$

26,275

48,971,026

$

49

$

1,131,183

$

(642,419)

$

(26,065)

$

489,023

Net loss

 

 

 

 

 

 

 

 

(96,079)

 

 

(96,079)

Other comprehensive income, net of taxes

 

 

 

 

 

 

 

 

 

9,689

 

9,689

Stock-based compensation expense

 

 

 

 

 

 

 

15,291

 

 

 

15,291

Paid-in-kind preferred stock dividend

6,000

(6,000)

Vesting of restricted stock units

 

 

 

 

 

338,876

 

 

 

 

 

Proceeds from exercise of stock options

 

 

 

 

120,681

 

 

648

 

 

 

648

Balance at September 30, 2024

$

 

$

200,000

$

32,275

 

49,430,583

$

49

$

1,141,122

$

(738,498)

$

(16,376)

$

418,572

See accompanying notes to condensed consolidated financial statements.

6

Table of Contents

Cryoport, Inc. and Subsidiaries

Condensed Consolidated Statements of Cash Flows

(unaudited, in thousands)

For the Nine Months Ended

September 30, 

    

2024

    

2023

Cash Flows From Operating Activities:

 

  

 

  

Net loss

$

(96,079)

$

(37,198)

Adjustments to reconcile net loss to net cash used in operating activities:

 

 

  

Impairment loss

63,809

Depreciation and amortization

 

22,863

 

20,038

Amortization of debt discount

 

1,622

 

1,928

Non-cash operating lease expense

4,391

3,403

Unrealized (gain) loss on investments in equity securities

 

(1,445)

 

2,255

Realized loss on investments in equity securities

 

48

 

Realized loss on available-for-sale investments

3,989

62

Gain on extinguishment of debt

(18,505)

(5,679)

Stock-based compensation expense

 

15,291

 

16,960

Loss on disposal of property and equipment

 

295

 

277

Gain on insurance settlement

(2,642)

Change in credit losses

18

(135)

Insurance proceeds for operations

1,212

Change in contingent consideration

(1,329)

(205)

Changes in operating assets and liabilities:

Accounts receivable

 

(1,075)

 

1,088

Inventories

 

2,716

 

(1,572)

Prepaid expenses and other current assets

 

454

 

(2,298)

Deposits

 

195

 

(652)

Operating lease liabilities

(4,281)

(3,009)

Accounts payable and other accrued expenses

 

(3,022)

 

(36)

Accrued compensation and related expenses

 

(192)

 

2,013

Deferred revenue

 

(223)

 

1,141

Net deferred tax liability

(383)

(190)

Net cash used in operating activities

 

(10,843)

 

(3,239)

 

 

  

Cash Flows From Investing Activities:

 

 

  

Purchases of property and equipment

 

(12,035)

 

(27,212)

Insurance proceeds for loss of fixed assets

976

Software development costs

(2,761)

(4,830)

Purchases of short-term investments

(50,721)

Acquisitions

(295)

Sales/maturities of short-term investments

 

239,978

 

82,487

Patent and trademark costs

(830)

(616)

Net cash provided by investing activities

 

173,336

 

50,805

 

 

  

Cash Flows From Financing Activities:

 

 

  

Proceeds from exercise of stock options

 

648

 

1,480

Cash paid to repurchase of 2026 Senior Notes

(163,772)

(25,003)

Repayment of notes payable

(113)

(26)

Repayment of finance lease liabilities

(306)

(123)

Net cash used in financing activities

 

(163,543)

 

(23,672)

 

 

Effect of exchange rates on cash and cash equivalents

 

(631)