Core Insights - Bio-Techne Corp. has launched an expanded menu of RNAscope in situ hybridization probes to enhance spatial biology research and the development of next-generation therapeutics and diagnostics [1][2] - The new RNAscope probe portfolio includes over 70,000 unique probes across more than 450 species, aimed at providing spatial precision with advanced sensitivity and specificity [1][5] Company Developments - The latest development is expected to significantly enhance Bio-Techne's Diagnostics and Spatial Biology segment [2] - Since the announcement on February 20, Bio-Techne shares have dipped by 0.9%, closing at $64.92, but the company is focused on advancing translational research and precision medicine [3] - Bio-Techne has a market capitalization of $10.26 billion and an earnings yield of 2.9%, which is favorable compared to the industry's -30.1% yield [4] Product and Technology Insights - RNAscope technology is the most referenced in the spatial biology industry, providing a single-cell view of disease pathology and therapeutic response [5] - The expanded RNAscope probe portfolio is designed to accelerate the validation of new RNA biomarkers from single-cell genomics and spatial discovery programs [5][6] - The probes are available for purchase on Bio-Techne's website and can be used with R&D Systems antibodies to illuminate changes in cell phenotypes [6] Industry Prospects - The global spatial genomics and transcriptomics market was valued at $232.5 million in 2022 and is projected to grow at a compound annual growth rate of 12.2% through 2030 [8] - Demand for spatial genomics and transcriptomics is increasing, particularly in drug discovery and development for neurodegenerative disorders and cancer [10] Recent Updates - Bio-Techne has also released the GMP Transposase mRNA for the TcBuster non-viral genome engineering system, supporting the development of immune cell and stem cell-based therapies [11]

Core Insights - Bio-Techne has launched an expanded menu of RNAscope™ in situ hybridization probes, enhancing spatial biology research and the development of next-generation therapeutics and diagnostics [1][3] - The RNAscope technology is recognized as the most referenced in the spatial biology industry, providing detailed insights into disease pathology and therapeutic responses [2] - The expanded RNAscope probe portfolio now includes over 70,000 unique probes across more than 450 species, facilitating the validation of new RNA biomarkers [1][3] Company Overview - Bio-Techne Corporation is a global leader in life sciences, generating approximately $1.2 billion in net sales in fiscal 2024 and employing around 3,100 people worldwide [4] - The company focuses on providing innovative tools and bioactive reagents for research and clinical diagnostics, aiding in drug discovery and accurate clinical testing [4] - The RNAscope probe portfolio has over 12,000 citations in clinical and translational research, underscoring its significance in advancing biomarker validation [4]

Core Insights - Bio-Techne Corporation has officially released GMP Transposase mRNA for the TcBuster™ non-viral genome engineering system, aimed at supporting the development of immune cell- and stem cell-based therapies [1][2] Product Overview - The TcBuster System is designed for introducing large genetic modifications in various cell types, facilitating gene-edited cell therapies such as CAR-T or TCR generation [2][4] - The new GMP transposase enhances the TcBuster system, allowing for the simultaneous delivery of multiple genes while maintaining high editing efficiency and a safer insertional profile [3][4] Competitive Advantages - The non-viral TcBuster system offers significant benefits over traditional lentivirus-based methods, including reduced time to market and lower costs due to the elimination of viral clearance processes [3][4] - Bio-Techne has established a reliable supply chain for both RUO and GMP grade reagents, supporting scalable manufacturing from research to clinical and commercial stages [3] Market Applications - The TcBuster system is compatible with various cell types, including immune and stem cells, and can be utilized for applications such as autologous CAR-T or TCR manufacturing, allogeneic NK therapies, and engineering bioprocessing cell lines for therapeutic biologics production [4] Company Background - Bio-Techne Corporation is a global life sciences company that generated approximately $1.2 billion in net sales in fiscal 2024 and employs around 3,100 people worldwide [6]

Financial Performance - Consolidated net sales increased by 9% to $297.0 million for the quarter ended December 31, 2024, and by 7% to $586.5 million for the six months ended December 31, 2024 compared to the same prior year periods [110]. - Organic revenue for the quarter ended December 31, 2024 increased by 9%, driven by strong performance in the Diagnostics and Spatial Biology portfolio and improving biopharma end market conditions [112]. - Consolidated net earnings for the quarter ended December 31, 2024 rose to $34.9 million, up from $27.5 million in the prior year, while net earnings for the six months decreased to $68.5 million from $78.5 million due to restructuring costs [111]. - Non-GAAP adjusted net earnings for the quarter ended December 31, 2024, were $68.1 million, compared to $63.7 million for the same quarter in 2023, representing a growth of 6.5% [127]. - The diluted earnings per share - adjusted for the quarter ended December 31, 2024, was $0.42, compared to $0.40 for the same quarter in 2023, reflecting a 5% increase [127]. Expenses and Margins - Gross margins for the quarter and six months ended December 31, 2024 were 65.3% and 64.3%, respectively, compared to 64.8% and 65.8% for the same prior year periods [113]. - Selling, general and administrative expenses increased by 5% to $121.5 million for the quarter and by 9% to $240.6 million for the six months ended December 31, 2024, primarily due to restructuring charges [117]. - Research and development expenses rose by 9% to $25.0 million for the quarter and by 4% to $48.9 million for the six months ended December 31, 2024, attributed to strategic growth investments [118]. Segment Performance - Protein Sciences segment net sales increased by 7% to $211.6 million for the quarter and by 3% to $416.1 million for the six months ended December 31, 2024 [120]. - Diagnostics and Spatial Biology segment net sales grew by 12% to $84.1 million for the quarter and by 13% to $167.3 million for the six months ended December 31, 2024 [122]. Taxation - The effective income tax rate was 18.6% for the quarter and 17.5% for the six months ended December 31, 2024, compared to 17.7% and 5.4% for the same prior year periods [124]. - The forecasted consolidated income tax rate for the remainder of fiscal 2025 is expected to range from 23% to 27% [125]. - The non-GAAP adjusted tax rate for the quarter ended December 31, 2024, was 21.5%, compared to 22.0% for the same quarter in 2023 [129]. Cash Flow and Investments - The company generated cash of $148.2 million from operating activities in the six months ended December 31, 2024, an increase from $142.5 million in the same period of 2023, primarily due to favorable timing of payments [135]. - Capital expenditures for fixed assets for the six months ended December 31, 2024, were $16.0 million, down from $28.5 million in the same period of 2023, with expectations of approximately $20 million for the remainder of fiscal 2025 [137]. - The company had cash and cash equivalents of $177.5 million as of December 31, 2024, up from $152.9 million as of June 30, 2024 [131]. - The company paid cash dividends of $25.4 million during the six months ended December 31, 2024, slightly up from $25.2 million in the same period of 2023 [143]. - The company invested $15.0 million into Spear Bio during the six months ended December 31, 2024, with no comparable activity in fiscal 2024 [138]. - The company has $700 million available on its line-of-credit as of December 31, 2024, under a Credit Agreement maturing on August 31, 2027 [132]. - The second part of the forward contract for acquiring Wilson Wolf, estimated at approximately $1 billion, is forecasted to occur between fiscal 2026 and fiscal 2028 [133]. Compliance and Controls - As of December 31, 2024, the Company's disclosure controls and procedures were deemed effective by the CEO and CFO [161]. - There were no changes in internal controls over financial reporting during Q2 of fiscal 2025 that materially affected the Company's reporting [162]. - The Company has not materially changed its exposure to market risk from interest rates and currency exchange rates since the last Annual Report [158]. Legal Matters - As of February 6, 2025, the Company is not involved in any legal proceedings that could materially impact its business or financial condition [164]. Non-GAAP Measures - The Company is reassessing non-GAAP adjustments to ensure they remain relevant and meaningful for performance evaluation [154]. - The Company encourages readers to review reconciliations of adjusted financial measures to GAAP measures in the consolidated financial statements [155].

Core Insights - Bio-Techne reported second-quarter fiscal 2025 adjusted earnings per share (EPS) of 42 cents, exceeding the Zacks Consensus Estimate by 10.5% and improving from 40 cents in the prior year [1][10] - The company's net sales reached $297.0 million, reflecting a 9% year-over-year increase and surpassing the Zacks Consensus Estimate by 4.1% [3][10] - The operating margin expanded significantly by 202 basis points to 16% during the reported quarter [6][10] Financial Performance - Adjusted EPS for the quarter was 42 cents, while GAAP EPS was reported at 22 cents, compared to 17 cents in the same quarter last year [2][10] - Gross profit increased by 9.8% to $193.9 million, with a gross margin of 65.3%, up 50 basis points despite a 7.4% rise in cost of sales [6][10] - Selling, general and administrative expenses rose by 5% to $121.4 million, while research and development expenses totaled $25 million, up 9.2% year over year [6][10] Segment Performance - In the Protein Sciences segment, revenues were $211.6 million, a 7% increase year over year, with an 8% organic growth [4][10] - The Diagnostics and Genomics segment saw sales improve by 12% to $84.1 million, maintaining a 12% organic growth [5][10] Capital Structure - At the end of the second quarter, Bio-Techne had cash and equivalents of $177.5 million, up from $152.9 million at the end of the first quarter [7] - Long-term debt obligations decreased to $300 million from $319 million at the end of the previous quarter [7] Operational Insights - Cumulative net cash provided by operating activities was $148.2 million, compared to $142.5 million a year ago [8] - Management indicated that the start of fiscal 2025 aligned with expectations, highlighting improvements in the biopharma end-market and strong results in the cell and gene therapy business [11][10]

Financial Data and Key Metrics Changes - Adjusted EPS for Q2 was $0.42, compared to $0.40 in the prior year, with GAAP EPS at $0.22 versus $0.17 last year [42] - Q2 revenue reached $297 million, marking a 9% year-over-year increase on both reported and organic bases [43] - Adjusted gross margin was 70.5%, up from 69.7% last year, driven by favorable product mix and productivity initiatives [47] - Adjusted operating margin for Q2 was 30.1%, up 110 basis points sequentially and flat compared to the prior year [47] Business Line Data and Key Metrics Changes - Biopharma sales increased mid-teens, with notable strength in bulk GMP and reagent orders [12] - Academic end markets delivered mid-single-digit revenue growth, despite a challenging comparison from the prior year [14] - Protein sciences segment reported sales of $211.6 million, with organic revenue increasing 8% [52] - Diagnostics and spatial biology segment sales were $84.1 million, with both reported and organic growth increasing 12% [54] Market Data and Key Metrics Changes - Sales in the Americas grew low double digits, driven by strong demand from cell therapy customers [15] - EMEA region also grew low double digits, with the automated protein analysis portfolio growing over 20% [15] - Sales in China declined low single digits due to a challenging economic environment, but expectations for modest positive growth in Q3 remain [17][18] Company Strategy and Development Direction - Company focuses on three major challenges: enabling discovery of novel biological insights, supporting development of advanced therapeutics, and enabling precision diagnostics [11] - Continued emphasis on M&A as a priority for capital allocation, particularly in areas related to analytical platforms and advanced therapeutics [51][83] - The company is optimistic about the long-term modernization of healthcare in China and aims to play a key role in this evolution [19] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in ongoing recovery in biopharma markets, particularly from large pharma customers [58] - Anticipated organic growth for Q3 is in the upper range of mid-single digits, with expectations for a return to growth in China [61] - Management noted that the recent strength in large pharma spending is a positive sign for broader R&D funding in 2025 [58] Other Important Information - The company launched four new designer proteins during Q2, bringing the total to six, with expectations for a steady cadence of new launches [33] - The spatial biology business continues to progress with the launch of the comet system, which is expected to have high consumable pull-through [35][36] Q&A Session Summary Question: Can you elaborate on the pull forward seen in cell and gene therapy GMP products? - Management noted that large orders were pulled into Q2 from Q3, indicating strong traction in cell and gene therapy [71] Question: What are the growth expectations for GMP reagents next quarter? - Management indicated that while growth may not match the previous quarter's surge, underlying growth remains strong [150] Question: How did Wilson Wolf perform in the quarter? - Management reported consistent growth in Wilson Wolf's core business, with expectations for solid double-digit growth in 2025 [165] Question: What is the outlook for the academic market given NIH concerns? - Management stated that NIH exposure is minimal, with academic growth rates improving despite external noise [95][82]

Techne (TECH) came out with quarterly earnings of $0.42 per share, beating the Zacks Consensus Estimate of $0.38 per share. This compares to earnings of $0.40 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 10.53%. A quarter ago, it was expected that this maker of medical testing and diagnostic products would post earnings of $0.38 per share when it actually produced earnings of $0.42, delivering a surprise of 10.53%.Over the ...

Kelderman added, "The Bio-Techne growth vectors empower the discovery of novel biological insights, the development and manufacturing of advanced therapeutics and, enable precision diagnostics. Our portfolio plays a key role in the healthy aging of global populations. The combination of this unique portfolio with the talented Bio-Techne team positions the Company for continued differentiated financial performance." Exhibit 99.1 BIO-TECHNE RELEASES SECOND QUARTER FISCAL 2025 RESULTS Minneapolis/February 5, 2 ...

MINNEAPOLIS, Feb. 5, 2025 /PRNewswire/ -- Bio-Techne Corporation (NASDAQ: TECH) announced that its Board of Directors has decided to pay a dividend of $0.08 per share for the quarter ended December 31, 2024. The quarterly dividend will be payable February 28, 2025, to all common shareholders of record on February 17, 2025. Future cash dividends will be considered by the Board of Directors on a quarterly basis. Bio-Techne Corporation (NASDAQ: TECH) is a global life sciences company providing innovative tools ...

MINNEAPOLIS, Feb. 5, 2025 /PRNewswire/ -- Bio-Techne Corporation (NASDAQ: TECH) today reported its financial results for the second quarter ending December 31, 2024.Second Quarter FY2025 Highlights Second quarter organic revenue increased by 9% (9% reported) to $297.0 million. GAAP earnings per share (EPS) was $0.22 versus $0.17 one year ago. Delivered adjusted EPS of $0.42 compared to $0.40 one year ago. Improving biopharma end-market conditions combined with continued momentum of our cell and gene therapy ...