MASS 10-K & 10-Q changes, risk factors and insider trading
908 Devices Inc. · Nasdaq · Laboratory Analytical Instruments · CIK 1555279 · All filings on SEC.gov
At a glance
What changed in the latest 10-K
Risk Factors
New heading “If our information technology systems or our data (or those third parties with whom we work) are or were compromised, we could experience adverse consequences resulting from such compromise, including but not limited to regulatory investigations or actions; litigation; fines and penalties; disruptions of our business operations; reputational harm; loss of revenue or profits; loss of customers or sales; and other adverse consequences.”
New heading “We and the third parties with whom we work are subject to stringent and evolving U.S. and foreign laws, regulations, and rules, contractual obligations, industry standards, policies and other obligations related to data privacy and security. Our actual or perceived failure (or that of the third parties with whom we work) to comply with such obligations could lead to regulatory investigations or actions; litigation (including class claims) and mass arbitration demands; fines and penalties; disruptions of our business operations; reputational harm; loss of revenue or profits; loss of customers or sales; and other adverse business consequences.”
Removed heading “The sizes of the markets for our solutions may be smaller than estimated and new market opportunities may not develop as quickly as we expect, or at all, limiting our ability to successfully sell our products.”
Removed heading “If we market our products for clinical or diagnostic purposes, our products could become subject to onerous regulation by the U.S. Food and Drug Administration, or FDA, or other regulatory agencies in the future, which could increase our costs and delay or prevent commercialization of our products, thereby materially and adversely affecting our business, financial condition, results of operations, and prospects.”
Removed heading “If we experience a significant disruption in our information technology systems and infrastructure, or security breaches or compromises of data security, our business could be adversely affected.”
Removed heading “We are subject to various and evolving laws and regulations governing the privacy and security of personal data, and our failure to comply could result in fines or criminal penalties and damage our reputation and result in the loss of business.”
Removed heading “We are incurring significant increased costs to implement and maintain an effective system of internal controls, and our management is required to devote substantial time to public company compliance initiatives. If we are unable to absorb these increased costs or maintain management focus on development and sales of our product offerings and services, we may not be able to achieve our business plan.”
Largest changes
“We and the third parties with whom we work are subject to stringent and evolving U.S. and foreign laws, regulations, and rules, contractual obligations, industry standards, policies and other obligations related to data privacy and security. …”see in full comparison
“From time to time, we may divest, discontinue or suspend businesses and product lines that do not align with our strategy, such as our 2025 Desktop Portfolio divestiture. …”see in full comparison
“If our information technology systems or our data (or those third parties with whom we work) are or were compromised, we could experience adverse consequences resulting from such compromise, including but not limited to regulatory investigations or actions; litigation; fines and penalties; disruptions of our business operations; reputational harm; loss of revenue or profits; loss of customers or sales; and other adverse consequences.”see in full comparison
“All of these evolving compliance and operational requirements impose significant costs, such as costs related to organizational changes, implementing additional protection technologies, training employees and engaging consultants and legal advisors, which are likely to increase over time. In addition, such requirements may require us to modify our data processing practices and policies, utilize management’s time and/or divert resources from other initiatives and projects. …”see in full comparison
“In addition, any such access, disclosure or other loss or unauthorized use of information or data could result in legal claims or proceedings, regulatory investigations or actions, and other types of liability under laws that protect the privacy and security of personal information, including federal, state and foreign data protection and privacy regulations, violations of which could result in significant penalties and fines. …”see in full comparison
“We are subject to various and evolving laws and regulations governing the privacy and security of personal data, and our failure to comply could result in fines or criminal penalties and damage our reputation and result in the loss of business.”see in full comparison
Full comparison: every changed paragraph (118)
Uncertainties in global economic conditions that are beyond our control have in the past impacted our business and may in the future materially adversely affect our business, results of operations, financial condition and stock price. These adverse economic conditions include inflation, slower growth or recession, new or increased tariffs and other changes to fiscal and monetary policy, higher interest rates, high unemployment, decreased consumer confidence in the economy, armed hostilities, such as the ongoing military conflict between Russia and Ukraine,Ukraine or the ongoing hostilitiesconflicts in Israel and the GazaMiddle Strip,East, foreign currency exchange rate fluctuations, and other matters that influence consumer spending and preferences.
A pandemic, epidemic or outbreak of an infectious disease such as the COVID-19 pandemic may adversely affect our business.
Our global operations expose us to risks associated with public health crises and epidemics or pandemics, such as COVID-19. Such risks include significant volatility, uncertainty and worldwide economic disruption which may result in an economic slowdown of potentially extended duration that could impact our operations and supply chain. Future outbreaks of infectious disease, such as COVID 19, and any future variants or subvariants that may emerge, may disrupt operations of our customers and prospective customers including as a result of travel restrictions and/or business shutdowns, uncertainty in the financial markets or other harm to their business and financial results. These disruptions could reduce capital spend by our existing customers and potential new customers, and could result in further reductions to capital expenditure budgets, delayed purchasing decisions, longer sales cycles, extended payment terms or missed payments, and postponed or canceled projects, any of which would negatively impact our business and operating results, including sales and cash flows. Federal customers may divert funds to address their own supply chain or other challenges, which could delay the progression of customer trials and pilots of our products into larger enterprise-wide adoption, and could delay the purchase and deployment of both of our devices and consumables. In addition, the strain on certain domestic and international supply chains from public health crises and epidemics or pandemics, such as COVID-19,pandemics could result in production slowdowns, longer lead times and negative impacts on pricing for certain of our critical components, including, among other things, electronic and plastic components necessary to manufacture our products. Our suppliers may temporarily have to temporarily close a facility, face staffing shortages, production slowdowns and stoppages, be overwhelmed by unexpected demand or face disruptions in delivery systems which may require suppliers to locate shipping routes that avoid delivery bottlenecks, all of which could cause delays in delivery. If our suppliers are unable to deliver the components and subassemblies we require on a timely basis, we cannot guarantee that we will be able to locate alternative sources of supply for our products on acceptable terms, or at all. The long-term effects to the global economy and to us are difficult to assess or predict and may lead to a decline in the market prices of our products, risks to employee health and safety, risks to our ability to manufacture and distribute our products and services and reduced sales in geographic locations impacted.
As we continue to expand and develop our business, we expect to incur significant additional expenditures in the areas of sales, marketing, research and development, and customer service and support. Additionally, we may encounter unforeseen issues that require us to incur additional costs. We will have to generate and sustain increased revenue to achieve profitability and positive cash flow as a result of these increased expenditures. Accordingly, if we are not able to achieve or maintain profitability and we incur significant losses in the future, the market price of our common stock may decline, and you could lose part or all of your investment.
Our operating expenses are heavily based on our anticipated product revenue growth, especially as we continue to invest significant resources in building out our sales and marketing channels and the development of future products. As a result, any shortfall in product revenue in relation to our expectations could cause significant changes in our operating results from period-to-period and could result in negative cash flow from operations and a decrease in the price of our common stock.
Without the timely introduction of new products, services and enhancements, our offerings will likely become less competitive over time, in which case our competitive position and operating results could suffer. Accordingly, we focus significant efforts and resources on the development and identification of new technologies, products and markets to further broaden our offerings. In addition, the development cycle for our products and technologies can take multiple years and require significant investment, including substantial research and development, development of different engineering and manufacturing workflows, and adjustments to our data and analytics infrastructure. Even if these efforts are successful, the product or enhancement may not perform as expected. The ultimate success of our new products depends, in large part, on the accuracy of our assessments of the long-term needs of the industries and markets we serve, and it is difficult to quickly change the design or function of a planned new product if the market need does not develop as anticipated. As a result, to the extent we fail to accurately forecast the needs of our customers and timely introduce new and innovative products or services, or fail to obtain desired levels of market acceptance, our business may suffer and our operating results could be adversely affected. The challenge of identifying market trends and customer needs is even more demanding for markets that we have recently entered, such as the bioprocessing market, or that we intend to enter in the future, such as the GxP quality assurance market.future. There is no certainty that we will effectively identify these trends and needs or introduce products that are successful.
CompetitionIn addition, the time and cost of maintaining a specialized sales, marketing and customer service force for employeesa capableparticular product or service may be difficult to justify in light of selling expensive instruments within the pharmaceuticalrevenue projected to be generated by such additional personnel and biotechnology industries is intense.resources. We may not be able to attract and retain personnel or be able to build an efficient and effective sales organization, which could negatively impact sales and market acceptance of our products and limit our revenue growth and potential profitability.
In addition, the time and cost of maintaining a specialized sales, marketing and customer service force for a particular product or service may be difficult to justify in light of the revenue projected to be generated by such additional personnel and resources. We also intend to add additional channel partners in the life science market, and if we are unable to do so successfully, it will adversely impact our ability to increase the revenue from our Maverick, Rebel, ZipChip Interface and Maven and related sampling products.
The markets we serve are highly competitive, and we expect competition to intensify in the future. This competition may make it more difficult for us to sell our products, and may result in increased pricing pressure, reduced profit margins, increased sales and marketing expenses and failure to increase, or the loss of,of market share, any of which would likely seriously harm our business, operating results and financial condition.
We face substantial competition from very large and experienced enterprises, both public and privately held, including Agilent Technologies, Bruker Corporation, Danaher Corporation, Inficon, Teledyne, Endress & Hauser, PerkinElmer, Shimadzu Corporation, Thermo Fisher Scientific,Scientific and Waters Corp.Rigaku. Our competitors also include many smaller companies, including companies established to pursue new and emerging technologies. We also expect additional competition in the future from new and existing companies with whom we do not currently compete directly. As our industry evolves, our current and potential competitors may establish cooperative relationships among themselves or with third parties, including companies with whom we have partnerships and whose products interoperate with our own, thatwhich could acquire significant market share, which could adversely affect our business. Any of these competitive threats, alone or in combination with others, could seriously harm our business, operating results and financial condition.
Currently, we derive thesubstantially majorityall of our revenue from our handheld products in the field forensics market, and are seeking to grow the revenue we derive from our desktop products in the life science market. If we fail to maintain significant market acceptance in existing markets or fail to successfully increase our penetration in new and expanding markets, we will not generate expected revenue and our prospects may be harmed.
In 2024,2025, asubstantially majorityall of our revenue was derived from sales of our handheld products. Today, this market consists primarily of first responders, firefighters, local, state and federal law enforcement, as well as military, customs and homeland security customers. Continued market acceptance of the products we sell to these organizations is critical to our future success, and the adoption of our products by these organizations worldwide is a key part of our growth strategy. If market demand for our MX908 productproducts declines, if our products fail to maintain or achieve greater market acceptance, or if we fail to execute on our sales and customer service efforts in the field forensics market,efforts, we will not be able to grow our revenue sufficiently to achieve or maintain profitability.
We also are seeking to grow and derive a significant portion of our revenue from our desktop devices in the life science market, specifically the antibody therapeutics, cell and gene therapy and synthetic biology markets, including sales to biopharmaceutical companies and research institutions. We recently introduced our Maverick and Maven product lines and our future success will partially depend on our ability to successfully commercialize these product lines. The life sciences scientific community is comprised of a small number of early adopters and key opinion leaders who significantly influence the rest of the community. The success of life sciences products is due, in large part, to acceptance by the scientific community and their adoption of certain products as best practice in the applicable field of research.
The sizes of the markets for our solutions may be smaller than estimated and new market opportunities may not develop as quickly as we expect, or at all, limiting our ability to successfully sell our products.
The markets for our innovative new class of products are rapidly evolving, making it difficult to predict with any accuracy the sizes of the markets for our current and future solutions. Our estimates of the annual total addressable market for our current and future solutions are based on a number of internal and third party estimates and assumptions. In addition, our growth strategy involves launching new solutions and expanding sales of existing solutions into new markets in which we have limited or no experience. Sales of new or existing solutions into new market opportunities may take several years to develop and mature, and we cannot be certain that these market opportunities will develop as we expect. For example, new life sciences technology is often not adopted by the relevant market until a sufficient amount of research conducted using such technology has been published in peer-reviewed publications. While we believe our assumptions and the data underlying our estimates of the total annual addressable market for our solutions are reasonable, these assumptions and estimates may not be correct and the conditions supporting our assumptions or estimates, or those underlying the third party data we have used, may change at any time, thereby reducing the accuracy of our estimates. As a result, our estimates of the annual total addressable market for our solutions may be incorrect.
We believe our platform has potential applications across a wide range of markets and we have targeted certain markets in which we believe we have a higher probability of success or revenue opportunity or for which the path to commercialize products and realizing or achieving revenue is shorter. For example, we have entered into agreements regarding a specific government program opportunity to develop an aerosol vapor detector, and several engagements related to the evaluation of our products within the cell therapy and gene therapy markets.detector. We seek to continue to prioritize opportunities and allocate our resources among our programs to maintain a balance between advancing near-term opportunities and exploring additional markets for our technology. However, due to the significant resources required for the development of workflows for new markets, we must make decisions regarding which markets to pursue and the amount of resources to allocate to each. Our decisions concerning the allocation of research, development, collaboration, management and financial resources toward particular markets or workflows may not lead to the development of any viable product and may divert resources away from better opportunities. Similarly, our potential decisions to delay, terminate or collaborate with third parties in respect of certain markets may subsequently also prove to be suboptimal and could cause us to miss valuable opportunities. In particular, if we are unable to develop additional relevant products and applications for markets such as antibody therapeutics, cell therapy or the synthetic biology market, it could slow or stop our business growth and negatively impact our business, financial condition, results of operations, and prospects.
If we market our products for clinical or diagnostic purposes, our products could become subject to onerous regulation by the U.S. Food and Drug Administration, or FDA, or other regulatory agencies in the future, which could increase our costs and delay or prevent commercialization of our products, thereby materially and adversely affecting our business, financial condition, results of operations, and prospects.
We make our platform and devices, including our Maven, Maverick, MX908, ProtectIR, Rebel, ThreatID, XplorIR and ZipChip Interface, available to customers as research-use-only, or RUO, products. Products that are labeled as RUO are exempt from compliance with most FDA requirements, including premarket clearance or approval, manufacturing requirements, and others. A product labeled RUO but which is actually intended for clinical diagnostic use may be viewed by the FDA as adulterated and misbranded under the Federal Food, Drug, and Cosmetic Act, or FDCA, and subject to FDA enforcement action. The FDA has indicated that when determining the intended use of a product labeled RUO, the FDA will consider the totality of the circumstances surrounding distribution and use of the product, including how the product is marketed and to whom. The FDA could disagree with our assessment that our products are properly marketed as RUOs, or could conclude that products labeled as RUO are actually intended for clinical diagnostic use, and could take enforcement action against us, including requiring us to stop distribution of our products until we are in compliance with applicable regulations, which would reduce our revenue, increase our costs and adversely affect our business, prospects, results of operations and financial condition. In the event that the FDA requires us to obtain marketing authorization of our RUO products in the future, there can be no assurance that the FDA will grant any clearance or approval requested by us in a timely manner, or at all. Furthermore, although we currently market our products as RUO, we may in the future make the decision to market them for clinical or diagnostic purposes, or may develop other different products intended for clinical or diagnostic purposes, which would result in the application of a more onerous set of regulatory requirements.
Our future success depends on our ability to recruit, train, retain and motivate key personnel, including our senior management, research and development, manufacturing and sales, customer service and marketing personnel. In particular, Dr. Knopp, our Chief Executive Officer and one of our co-founders, and Dr. Brown, our Chief Product Officer and one of our co-founders, areis critical to our vision, strategic direction, culture and products. Each of our employees may terminate his or her relationship with us at any time and the loss of the services of such persons could have an adverse effect on our business. We rely on our senior management to manage our existing business operations and to identify and pursue new growth opportunities. The loss of any member of senior management could significantly delay or prevent the achievement of our business objectives and their replacement would likely involve significant time and expense.
As we continue to scale our business, we may find that certain of our products,products and certain customers or certain markets, including the biopharmaceutical market, may require a dedicated sales force or sales personnel with different experience than those whom we currently employ. Our continued growth will depend, in part, on attracting, retaining and motivating highly-trained sales personnel with the necessary scientific background and technical ability to understand our systems and effectively identify and sell to potential new customers. Identifying, recruiting and training additional qualified personnel will require significant time, expense and attention. In addition, the continued development of complementary software tools, such as our analysis tools and visualization software, requires us to compete for highly trained software engineers in the BostonNew England area and for highly trained customer service personnel globally.
We do not have fixed term employment contracts with any of our employees. As a result, our employees could leave our company with little or no prior notice and wouldmay be free to work for a competitor, subject to the terms of their confidentiality, non-solicitation and intellectual property assignment agreements. Because of the complex and technical nature of our products and the dynamic market in which we compete, any failure to attract, train, retain and motivate qualified personnel could materially harm our operating results and growth prospects.
Our products are integrated solutions with many different components that work together. As such, a quality defect in a single component can compromise the performance of the entire solution. As we continue to grow and introduce new products, and as our products incorporate increasingly sophisticated technology, it will be increasingly difficult to ensure our products are produced in the necessary quantities without sacrificing quality. There is no assurance that we or our third party manufacturers will be able to continue to manufacture our products so that they consistently achieve the product specifications and quality that our customers expect. Any future design issues, unforeseen manufacturing problems, such as contamination of our or such third party facilities, equipment malfunctions, aging components, quality issues with components and materials sourced from third party suppliers, or failures to strictly follow procedures or meet specifications, may have a material adverse effect on our brand, business, financial condition and operating results and could result in us or our third party manufacturers losing International Organization for Standardization, or ISO, quality management certifications. If we or our third party manufacturers fail to maintain ISO quality management certifications, our customers might choose not to purchase products from us. Furthermore, we or our third party manufacturers may not be able to increase manufacturing to meet anticipated demand or may experience downtime.
The risk of manufacturing defects or quality control issues is generally higher for new products, whether produced by us or a third party manufacturer, products that are transitioned from one manufacturer to another, particularly if manufacturing is transitioned or initiated with a manufacturer we have not worked with in the past, and products that are transferred from one manufacturing facility to another. We cannot assure investors that we and our third party manufacturers will be able to launch new products on time, transition manufacturing of existing products to new manufacturers, transition our manufacturing capabilities to a new location or transition manufacturing of any additional consumables in-house without manufacturing defects. An inability to manufacture products and components that consistently meet specifications, in necessary quantities and at commercially acceptable costs will have a negative impact and may have a material adverse effect on our business, financial condition and results of operations.
We rely on a limited number of suppliers for several key components utilized in the assembly of our products, and in some cases, such as the glass in our microfluidic chips, swab samplers, and sensors within our products, we rely on a single supplier for a particular component, subassembly or consumable. Although in many cases we use standard components for our products, in some cases, components may only be purchased from a limited number of suppliers.suppliers, Insuch particular, we are dependent on single suppliers for our Rebel and ZipChip autosampler subassemblies, our MX908 consumables,as the Raman spectrometer andfor opticalour probeVipIR product and fiberthe assemblies for Maverick, and our device subassembly for Maven. The IRinfrared detector for our FTIRoptical products is currently supplied by a single supplier.products. If, for any reason, our access to these products is limited or delayed, we would need to quickly identify and qualify an alternate source of products. Identifying and qualifying an alternate source may take time and involve additional expense, and there is no guarantee that the alternate source will perform as expected. If our customers experienced a shortage or delay in consumables, such as swab samplers, microfluidic chips, or assay kits,samplers or if these consumables do not perform at the levels our customers expect, our business could be materially and adversely impacted.
In addition, we maintain relatively low inventory and acquire components based upon anticipated annual demand. NeitherIn most cases, we nordo our contract manufacturersnot enter into long-term supply contracts for these components, and none of our third partythird-party suppliers is obligated to supply products to us for any specific period or in any specific quantities, except as may be provided in a particular purchase order. We are not a major customer of many of our suppliers, and these suppliers may therefore give other customers’ needs higher priority than ours. Our industry has experienced component shortages and delivery delays in the past, and we may experience shortages or delays of critical components in the future as a result of strong demand in the industry or other factors. Many of the other components required to build our systems are also occasionally in short supply. Therefore, ifIf shortages or delays arise, we may not be able to secure enough components at reasonable prices or of acceptable quality to build new products, resulting in an inability to meet customer demand or our own operating goals, which could adversely affect our customer relationships, business, operating results and financial condition. Additionally, damage to a manufacturing facility or other property of any of our suppliers, due to fire, flood or other natural disaster or casualty event may have a material adverse effect on our business, financial condition and results of operations.
Additionally, damage to a manufacturing facility or other property of any of our suppliers, due to fire, flood or other natural disaster or casualty event may have a material adverse effect on our business, financial condition and results of operations.
Developing our products is expensive, and the investment in product development may involve a long payback cycle. Our investment in research and development may not result in marketable products or may result in products that take longer to generate revenue, or generate less revenue, than we anticipate. Our future plans include significant investments in research and development of product opportunities for expansion of our handheld products and new application areas for our desktop products. We believe that we must continue to dedicate a significant amount of resources to our research and development efforts to maintain our competitive position. However, we may not receive significant revenue from these investments for several years, if at all.
If our information technology systems or our data (or those third parties with whom we work) are or were compromised, we could experience adverse consequences resulting from such compromise, including but not limited to regulatory investigations or actions; litigation; fines and penalties; disruptions of our business operations; reputational harm; loss of revenue or profits; loss of customers or sales; and other adverse consequences.
In the ordinary course of our business, we and the third parties with whom we work process, collect, receive, store, process, generate, use, transfer, disclose, make accessible, protect, secure, dispose of, transmit, and share (collectively, process) proprietary, confidential, and sensitive data, including personal data, intellectual property, and trade secrets (collectively, sensitive information). We rely on information technology systems to keep financial records, facilitate our research and development initiatives, manage our manufacturing operations, maintain quality control, fulfill customer orders, maintain corporate records, communicate with staff and external parties and operate other critical functions.
Cyber-attacks, malicious internet-based activity, online and offline fraud, and other similar activities threaten the confidentiality, integrity, and availability of our sensitive information and information technology systems, and those of the third parties with whom we work. Such threats are prevalent and continue to increase, are increasingly difficult to detect, and come from a variety of sources, including traditional computer “hackers,” threat actors, “hacktivists,” organized criminal threat actors, personnel (such as through theft or misuse), sophisticated nation states, and nation-state-supported actors. Some actors now engage and are expected to continue to engage in cyber-attacks, including without limitation nation-state actors for geopolitical reasons and in conjunction with military conflicts and defense activities. During times of war and other major conflicts, we, the third parties with whom we work, and our customers may be vulnerable to a heightened risk of these attacks, including retaliatory cyber-attacks, which could materially disrupt our systems and operations, supply chain, and ability to produce, sell and distribute our goods and services.
We and the third parties with whom we work are subject to a variety of evolving threats, including but not limited to social-engineering attacks (including through deep fakes, which may be increasingly more difficult to identify as fake, and phishing attacks), malicious code (such as viruses and worms), malware (including as a result of advanced persistent threat intrusions), denial-of-service attacks, credential stuffing attacks, credential harvesting, personnel misconduct or error, ransomware attacks, supply-chain attacks, software bugs, server malfunctions, software or hardware failures, loss of data or other information technology assets, adware, telecommunications failures, earthquakes, fires, floods, attacks enhanced or facilitated by AI, and other similar threats. In particular, severe ransomware attacks are becoming increasingly prevalent and can lead to significant interruptions in our operations, ability to provide our products or services, loss of sensitive data and income, reputational harm, and diversion of funds. Extortion payments may alleviate the negative impact of a ransomware attack, but we may be unwilling or unable to make such payments due to, for example, applicable laws or regulations prohibiting such payments. We, like others in our industry, have experienced and expect to continue to experience certain of these and other threats to our information systems and infrastructure.
It may be difficult and/or costly to detect, investigate, mitigate, contain, and remediate a security incident. Our efforts to do so may not be successful. Actions taken by us or the third parties with whom we work to detect, investigate, mitigate, contain, and remediate a security incident could result in outages, data losses, and disruptions of our business. Threat actors may also gain access to other networks and systems after a compromise of our networks and systems. For example, threat actors may use an initial compromise of one part of our environment to gain access to other parts of our environment, or leverage a compromise of our networks or systems to gain access to the networks or systems of third parties with whom we work, such as through phishing or supply chain attacks.
Remote work has increased risks to our information technology systems and data, as our personnel utilize network connections, computers and devices outside our premises or network, including working at home, while in transit and in public locations. Additionally, future or past business transactions (such as acquisitions or integrations) could expose us to additional cybersecurity risks and vulnerabilities, as our systems could be negatively affected by vulnerabilities present in acquired or integrated entities’ systems and technologies. Furthermore, we may discover security issues that were not found during due diligence of such acquired or integrated entities, and it may be difficult to integrate companies into our information technology environment and security program.
We rely on third parties to operate critical business systems to process sensitive information in a variety of contexts, including, without limitation, cloud-based infrastructure, data center facilities, encryption and authentication technology, employee email, delivery of products or services to customers, and other functions. Our ability to monitor these third parties’ information security practices is limited, and these third parties may not have adequate information security measures in place. If the third parties with whom we work experience a security incident or other interruption, we could experience adverse consequences. While we may be entitled to damages if the third parties with whom we work fail to satisfy their privacy or security-related obligations, any award may be insufficient to cover our damages, or we may be unable to recover such award. In addition, supply-chain attacks have increased in frequency and severity, and we cannot guarantee that third parties’ infrastructure in our supply chain or that of the third parties with whom we work have not been compromised.
While we have implemented security measures designed to protect against security incidents, there can be no assurance that these measures will be effective. We take steps designed to detect, mitigate, and remediate vulnerabilities in our information systems (such as our hardware and/or software, including that of third parties with whom we work). We have not and may not in the future, however, detect and remediate all such vulnerabilities including on a timely basis. Further, we have and may in the future experience delays in developing and deploying remedial measures and patches designed to address identified vulnerabilities. Vulnerabilities could be exploited and result in a security incident.
Any of the previously identified or similar threats have in the past and may in the future cause a security incident or other interruption that have in the past and may in the future result in unauthorized, unlawful, or accidental acquisition, modification, destruction, loss, alteration, encryption, disclosure of, or access to our sensitive information or our information technology systems, or those of the third parties with whom we work. For example, through a social engineering scheme, a threat actor obtained limited unauthorized access to certain components of our information systems. The actor then leveraged such access in an effort to perpetrate further unauthorized activity such as by sending unauthorized emails to a limited number of external recipients. We, however, identified the unauthorized activity and implemented measures designed to contain it and mitigate its effects.
A security incident or other interruption could disrupt our ability (and that of third parties with whom we work) to provide our products and services. For example, if operations at our facilities were disrupted due to a compromise in our information systems, it may cause a material disruption in our business if we are not capable of restoring functionality on an acceptable timeframe.
We may expend significant resources or modify our business activities to try to protect against security incidents. Additionally, certain data privacy and security obligations (such as contracts) have required us to implement and maintain specific security measures or industry-standard or reasonable security measures designed to protect our information technology systems and sensitive information.
Security incidents or perceived security incidents, may lead to material adverse consequences, such as government enforcement actions (for example, investigations, fines, penalties, audits, and inspections); additional reporting requirements and/or oversight; restrictions on processing sensitive information (including personal data); litigation (including class claims); indemnification obligations; negative publicity; reputational harm; monetary fund diversions; diversion of management attention; interruptions in our operations (including availability of data); financial loss; and other similar harms. Security incidents and attendant material consequences may prevent or cause customers to stop using our products and services, deter new customers from using our products and services, and negatively impact our ability to grow and operate our business. Additionally, applicable data privacy and security obligations may require us, or we may voluntarily choose, to notify relevant stakeholders, including affected individuals, customers, regulators, and investors, of security incidents, or to take other actions, such as providing credit monitoring and identity theft protection services. Such disclosures and related actions can be costly, and the disclosure or the failure to comply with such applicable requirements could lead to adverse consequences.
Our contracts may not contain limitations of liability, and even where they do, there can be no assurance that limitations of liability in our contracts are sufficient to protect us from liabilities, damages, or claims related to our data privacy and security obligations. We cannot be sure that our insurance coverage will be adequate or sufficient to protect us from or to mitigate liabilities arising out of our privacy and security practices, that such coverage will continue to be available on commercially reasonable terms or at all, or that such coverage will pay future claims.
In addition to experiencing a security incident, third parties may gather, collect, or infer sensitive information about us from public sources, data brokers, or other means that reveals competitively sensitive details about our organization and could be used to undermine our competitive advantage or market position. Additionally, sensitive information of the Company or our customers could be leaked, disclosed, or revealed as a result of or in connection with use of generative AI technologies by our employees, personnel, or vendors.
Furthermore, as a contractor supporting defense customers, we are subject to certain additional regulatory compliance requirements relating to data privacy and cybersecurity. We also may be subject to the Department of Defense Cybersecurity Maturity Model Certification (“CMMC”), requirements in the future, which require all contractors to receive specific certifications relating to specified cybersecurity standards in order to be eligible for contract awards. In addition, CMMC certification requirements may be required in modifications to existing contracts. To the extent we are unable to achieve certification in advance of applicable contract awards that specify the requirement, we will be unable to bid on such contract awards or on follow-on awards for existing work with the Department of Defense, depending on the level of standard as required for each solicitation, or be ineligible to receive option awards under existing contracts that specify the certification requirement, which could adversely impact our revenue and profitability. In addition, any obligations that may be imposed on us under the CMMC may be different from or in addition to those otherwise required by applicable laws and regulations, which may cause additional expense for compliance.
We and the third parties with whom we work are subject to stringent and evolving U.S. and foreign laws, regulations, and rules, contractual obligations, industry standards, policies and other obligations related to data privacy and security. Our actual or perceived failure (or that of the third parties with whom we work) to comply with such obligations could lead to regulatory investigations or actions; litigation (including class claims) and mass arbitration demands; fines and penalties; disruptions of our business operations; reputational harm; loss of revenue or profits; loss of customers or sales; and other adverse business consequences.
In the United States, federal, state, and local governments have enacted numerous data privacy and security laws, including data breach notification laws, personal data privacy laws, consumer protection laws (e.g., Section 5 of the Federal Trade Commission Act), and other similar laws (e.g., wiretapping laws). Numerous U.S. states have enacted comprehensive privacy laws that impose certain obligations on covered businesses, including providing specific disclosures in privacy notices and affording residents with certain rights concerning their personal data. As applicable, such rights may include the right to access, correct, or delete certain personal data, and to opt-out of certain data processing activities, such as targeted advertising, profiling, and automated decision-making. The exercise of these rights may impact our business and ability to provide our products and services. Certain states also impose stricter requirements for processing certain personal data, including sensitive information, such as conducting data privacy impact assessments. Certain of these state laws allow for statutory fines for noncompliance. For example, the California Consumer Privacy Act of 2018 (CCPA) applies to personal data of consumers, business representatives, and employees who are California residents, and requires businesses who are subject to the CCPA to provide specific disclosures in privacy notices and respond to requests of such individuals to exercise certain privacy rights. The CCPA also provides for fines and allows private litigants affected by certain data breaches to recover significant statutory damages. Similar laws are being considered in several other states, as well as at the federal and local levels, and we expect more states to pass similar laws in the future.
Outside the United States, an increasing number of laws, regulations, and industry standards govern data privacy and security. For example, the European Union’s General Data Protection Regulation (EU GDPR) and the United Kingdom’s GDPR (UK GDPR) (collectively, GDPR) impose strict requirements for processing personal data. Under the GDPR, companies may face temporary or definitive bans on data processing and other corrective actions; fines of up to 20 million Euros under the EU GDPR, 17.5 million pounds sterling under the UK GDPR or, in each case, 4% of annual global revenue, whichever is greater; or private litigation related to processing of personal data brought by classes of data subjects or consumer protection organizations authorized at law to represent their interests.
In the ordinary course of business, we transfer personal data from Europe and other jurisdictions to the United States or other countries. Europe and other jurisdictions have enacted laws requiring data to be localized or limiting the transfer of personal data to other countries. In particular, the European Economic Area (EEA) and the United Kingdom (UK) have significantly restricted the transfer of personal data to the United States and other countries whose privacy laws it generally believes are inadequate. Other jurisdictions may adopt or have already adopted similarly stringent data localization and cross-border data transfer laws. Although there are currently various mechanisms that may be used to transfer personal data from the EEA and UK to the United States in compliance with law, such as the EEA standard contractual clauses, the UK’s International Data Transfer Agreement / Addendum, and the EU-U.S. Data Privacy Framework and the UK extension thereto (which allows for transfers to relevant U.S.-based organizations who self-certify compliance and participate in the Framework), these mechanisms are subject to legal challenges, and there is no assurance that we can satisfy or rely on these measures to lawfully transfer personal data to the United States.
If there is no lawful manner for us to transfer personal data from the EEA, the UK or other jurisdictions to the United States, or if the requirements for a legally-compliant transfer are too onerous, we could face significant adverse consequences, including the interruption or degradation of our operations, the need to relocate part of or all of our business or data processing activities to other jurisdictions (such as Europe) at significant expense, increased exposure to regulatory actions, substantial fines and penalties, the inability to transfer data and work with partners, vendors and other third parties, and injunctions against our processing or transferring of personal data necessary to operate our business. Additionally, companies that transfer personal data out of the EEA and UK to other jurisdictions, particularly to the United States, are subject to increased scrutiny from regulators, individual litigants, and activist groups. Some European regulators have ordered certain companies to suspend or permanently cease certain transfers out of Europe for allegedly violating the GDPR’s cross-border data transfer limitations. Globally, regulators (including in the U.S.), have enacted and may in the future enact further prohibitions or restrictions on certain cross-border data transfers that may impact our operations.
Our personnel use generative artificial intelligence technologies to perform their work, and the disclosure and use of personal data in artificial intelligence technologies is subject to various privacy laws and other privacy obligations. Governments have passed and are likely to pass additional laws and regulations regulating artificial intelligence technologies. Our use of this technology could result in additional compliance costs, regulatory investigations and actions, and lawsuits. If we are unable to use artificial intelligence technologies, it could make our business less efficient and result in competitive disadvantages.
We are also bound by contractual obligations related to data privacy and security, and our efforts to comply with such obligations may not be successful. In addition, we are subject to industry standards adopted by industry groups and may in the future become subject to additional such obligations. For example, we are subject to the Payment Card Industry Data Security Standard (“PCI DSS”). The PCI DSS requires companies to adopt certain measures to ensure the security of cardholder information, including using and maintaining firewalls, adopting proper password protections for certain devices and software, and restricting data access. Noncompliance with PCI DSS can result in penalties ranging from $5,000 to $100,000 per month by credit card companies, litigation, damage to our reputation, and revenue losses. We also rely on vendors to process payment card data, who may be subject to PCI DSS, and our business may be negatively affected if our vendors are fined or suffer other consequences as a result of PCI DSS noncompliance.
We publish and may in the future publish privacy policies, marketing materials, whitepapers, and other statements, such as statements related to compliance with certain certifications or self-regulatory principles, concerning data privacy, and security. Regulators are increasingly scrutinizing these statements, and if these policies, materials or statements are found to be deficient, lacking in transparency, deceptive, unfair, misleading, or misrepresentative of our practices, we may be subject to investigation, enforcement actions by regulators or other adverse consequences.
Obligations related to data privacy and security (and consumers’ data privacy expectations) are quickly changing, becoming increasingly stringent, and creating uncertainty. Additionally, these obligations may be subject to differing applications and interpretations, which may be inconsistent or conflict among jurisdictions. Preparing for and complying with these obligations requires us to devote significant resources, which may necessitate changes to our services, information technologies, systems, and practices and to those of any third parties that process personal data on our behalf.
We may at times fail (or be perceived to have failed) in our efforts to comply with our data privacy and security obligations. Moreover, despite our efforts, our personnel or third parties with whom we work may fail to comply with such obligations, which could negatively impact our business operations. If we or the third parties with whom we work fail, or are perceived to have failed, to address or comply with applicable data privacy and security obligations, we could face significant consequences, including but not limited to: government enforcement actions (e.g., investigations, fines, penalties, audits, inspections, and similar); litigation (including class-action claims) and mass arbitration demands; additional reporting requirements and/or oversight; bans or restrictions on processing personal data; orders to destroy or not use personal data; and imprisonment of company officials. In particular, plaintiffs have become increasingly more active in bringing privacy-related claims against companies, including class claims and mass arbitration demands. Some of these claims allow for the recovery of statutory damages on a per violation basis, and, if viable, carry the potential for monumental statutory damages, depending on the volume of data and the number of violations. Any of these events could have a material adverse effect on our reputation, business, or financial condition, including but not limited to: loss of customers; interruptions or stoppages in our business operations; inability to process personal data or to operate in certain jurisdictions; limited ability to develop or commercialize our products; expenditure of time and resources to defend any claim or inquiry; adverse publicity; or substantial changes to our business model or operations.
If we experience a significant disruption in our information technology systems and infrastructure, or security breaches or compromises of data security, our business could be adversely affected.
We rely on information technology systems to keep financial records, facilitate our research and development initiatives, manage our manufacturing operations, maintain quality control, fulfill customer orders, maintain corporate records, communicate with staff and external parties and operate other critical functions. Our information technology systems and infrastructure are potentially vulnerable to breakdown or damage or interruption or otherwise may sustain damage from malicious intrusion and computer viruses, data breaches, phishing attacks, cybercriminals, system malfunction, natural disasters and catastrophes (including hurricanes and earthquakes), terrorism, war and telecommunication and electrical failures, or other disruptive events. Cyberattacks and other malicious internet-based activity continue to increase and cloud-based platform providers of services have been and are expected to continue to be targeted. We, like others in our industry, have experienced and expect to continue to experience threats to our information systems and infrastructure. In addition to traditional computer hackers, malicious code (such as viruses and worms), phishing attacks and social engineering, business email compromise, employee theft or misuse, denial-of-service attacks and sophisticated nation-state and nation-state supported actors now engage in attacks (including advanced persistent threat intrusions). Because the techniques used by threat actors who may attempt to penetrate and sabotage our computer systems or those of our vendors or partners change frequently and may not be recognized until launched against a target, we may be unable to anticipate these techniques. Therefore, despite significant efforts to create security barriers to such threats, it is virtually impossible for us to entirely mitigate these risks. If our security measures or those of our vendors and partners are meaningfully compromised as a result of third party action, employee or customer error, malfeasance, stolen or fraudulently obtained log-in credentials, hostile foreign governments, industrial espionage, wire fraud or otherwise, our reputation and customer trust could be damaged, our business, results of operations and financial condition may be harmed and we could incur significant liability. If we were to experience a prolonged system disruption in our information technology systems and infrastructure or those of certain of our vendors, it could negatively impact our ability to serve our customers, which could adversely impact our business. If operations at our facilities were disrupted, it may cause a material disruption in our business if we are not capable of restoring functionality on an acceptable timeframe. In addition, our information technology systems (and those of our vendors and partners) are potentially vulnerable to data security compromises or breaches, whether by internal bad actors (e.g., employees) or external bad actors (attacks of which are becoming increasingly sophisticated, including social engineering and phishing scams), which could lead to the exposure of personal data, sensitive data and confidential information to unauthorized persons. Further, it is possible that unauthorized access to our data may be obtained through inadequate use of security controls by suppliers or other vendors. We rely on such third parties to implement effective security measures and identify and correct for any failures, deficiencies or breaches. Such data security compromises or breaches to our data, whether stored on our systems or on those of third parties, could lead to the loss of trade secrets or other intellectual property, or could lead to the exposure of personal information (including sensitive personal information) of our employees, customers and others, any of which could have a material adverse effect on our business, reputation, financial condition and results of operations.
In addition, any such access, disclosure or other loss or unauthorized use of information or data could result in legal claims or proceedings, regulatory investigations or actions, and other types of liability under laws that protect the privacy and security of personal information, including federal, state and foreign data protection and privacy regulations, violations of which could result in significant penalties and fines. In addition, although we seek to detect and investigate all data security incidents, breaches or compromises, these events can be difficult to detect and any delay in identifying such breaches, incidents or compromises may lead to increased harm and legal exposure of the type described above.
The cost of investigating, mitigating and responding to potential data security breaches or compromises and complying with applicable breach notification obligations to individuals, regulators, partners and others can be significant. Our insurance policies, including our cybersecurity coverage, may not be adequate to compensate us for the potential costs and other losses arising from such disruptions, failures or security breaches. In addition, such insurance may not be available to us in the future on economically reasonable terms, or at all. Further, defending a suit, regardless of its merit, could be costly, divert management attention and harm our reputation.
We are subject to various and evolving laws and regulations governing the privacy and security of personal data, and our failure to comply could result in fines or criminal penalties and damage our reputation and result in the loss of business.
Privacy and data security are significant issues in the United States, Europe and many other jurisdictions where we operate or collect personal information. We are subject to data privacy and security laws and regulations in various jurisdictions that apply to the collection, storage, use, sharing and security of personal data, including health information, and impose significant compliance obligations. In addition, numerous other federal and state laws, including state security breach notification laws, state health information privacy laws and federal and state consumer protection and privacy laws, govern the collection, use, disclosure and security of personal information.
At the federal level, failing to take appropriate steps to keep consumers’ personal information secure may constitute unfair acts or practices in or affecting commerce in violation of Section 5(a) of the Federal Trade Commission (FTC) Act, 15 U.S.C § 45(a). The FTC expects a company’s data security measures to be reasonable and appropriate in light of the sensitivity and volume of consumer information it holds, the size and complexity of its business and the cost of available tools to improve security and reduce vulnerabilities.
In addition, certain state laws govern privacy and security of personal information. For example, in California, the California Consumer Protection Act, or CCPA, which went into effect on January 1, 2020, established a comprehensive privacy framework for covered businesses by creating an expanded definition of personal information, establishing new data privacy rights for consumers in the State of California, imposing special rules on the collection of consumer data from minors, and creating a new and potentially severe statutory damages framework for violations of the CCPA and for businesses that fail to implement reasonable security procedures and practices to prevent data breaches. In addition, a ballot initiative, the California Privacy Rights Act, or CPRA, has been in effect since January 1, 2023 and has imposed additional obligations on companies covered by the legislation. The CPRA significantly modified the CCPA, including by expanding consumers’ rights with respect to certain sensitive personal information.
Management's Discussion & Analysis (MD&A)
New heading “Recurring revenue”
New heading “Contract revenue”
New heading “Research and development expenses”
New heading “Income from Transition Services Agreement, net”
New heading “Income from transition services agreement, net”
New heading “Income tax benefit”
Removed heading “Benefit for Income Taxes”
Largest changes
“As of March 31, 2023, the Company had transferred substantially all its cash, cash equivalents and marketable securities away from the Lender and deposited the funds with new financial institutions. As a result of the transfer of the Company’s cash, cash equivalents and marketable securities, the Company was in default, of its financial covenants under the 2022 Revolver. The Company recorded a loss on extinguishment of $0.5 million in the three months ended March 31, 2023, which was included in interest expense in the consolidated statements of operations.”see in full comparison
On August 4, 2023,see in full comparisonwethe Company entered intoa Default Waiver and First Amendment to Loan and Security Agreement with the Lender, orthe Amended 2022 Revolver,inbywhichand between theLenderCompany,waivedasits rightsborrower, andremediesSVB,againstas lender. On September 15, 2025, theCompanyAmended 2022 Revolver was extended to February 2, 2026, andamendedon February 5, 2026, the Amended 2022Revolver.Revolver was extended to April 2, 2026. The Amended 2022 Revolver provides for a revolving line of credit of up to $10.0 million. The Company is permitted to make interest-only payments on the revolving line of credit throughNovemberApril3,2,2025,2026, at which time all outstanding indebtedness shall be immediately due and payable. The outstanding principal amount of any advance shall accrue interest at a floating rate per annum equal to the greater of (i) four and one-half percent (4.50%) and (ii) the “prime rate” as published in The Wall Street Journal for the relevant period minus one-half percent (0.50%). The Company’s obligations under the Amended 2022 Revolver are secured by substantially all of the Company’s assets, excluding its intellectual property, which is subject to a negative pledge.The revolving line of credit under the Amended 2022 Revolver terminates on November 3, 2025. As of December 31, 2024 and 2023, there were no balances outstanding under the Amended 2022 Revolver.
“Interest expense decreased by $0.2 million for the year ended December 31, 2024 from $0.2 million for the year ended December 31, 2023. The decrease was primarily due to costs incurred in March 2023 related to the write-off of deferred financing costs on our 2022 Revolver, which was in default and later amended in August 2023.”see in full comparison
“In addition, while the United States Federal Reserve has recently begun to lower interest rates, it has over the past couple of years raised, and may again raise, interest rates in response to concerns about inflation. Inflation, together with increased interest rates, may cause our customers to reduce or delay orders for our goods and services thereby causing a decrease in or change in timing of sales of our products and services. The impact of future inflation and interest rate fluctuations on the results of our operations cannot be accurately predicted.”see in full comparison
“The 2022 Revolver also contained certain financial covenants, including a requirement that the amount of unrestricted and unencumbered cash minus advances under the 2022 Revolver was not less than the amount equal to the greater of (i) $10.0 million or (ii) nine (9) months of cash burn. …”see in full comparison
Full comparison: every changed paragraph (93)
We have developed an innovative suite of purpose-built handheld and desktop devices for point-of-need chemical analysis. Leveraging complementary analytical technologies including our proprietary mass spectrometry, or Mass Spec, microfluidics,and FTIR, an optical spectroscopy technology and analytics and machine learning technologies, we make devices that are significantly smaller and more accessible than conventional laboratory instruments. Our devices are used at the point-of-need to interrogate unknown and invisible materials and provide quick, actionable answers to directly address somevital ofhealth and safety applications, including the most critical problems in forensics, bioprocessing, pharma/biopharma, life science researchfentanyl and adjacentillicit markets.drug crisis, toxic carcinogen exposure, and global security threats.
Front-line workers rely upon our Mass Spec handheld devices to combat the opioid crisis and detect counterfeit pharmaceuticals and illicit materials in the air or on surfaces at levels 1,000 times below their lethal dose. First responders also utilize our handheld devices to detect and identify thousands of hazardous bulk materials. Our desktop devices are accelerating development and production of biotherapeutics by identifying and quantifying extracellular species in bioprocessing critical to cell health and productivity. They sit alongside or are directly connected to bioreactors and fermenters producing drug candidates, functional proteins, cell and gene therapies, and synthetic biology derived products. We believe the insights and answers our devices provide accelerate workflows, reduce costs, and offer transformational opportunities for our end users. The term “products” as used in this “Management’s Discussion and Analysis of Financial Condition and Results of Operations” refers to the MX908, ThreatID, ProtectIR, XplorIR, Rebel, ZipChip Interface, Maverick, MavenVipIR and related sampling devices.
On April 29, 2024, we entered into an Equity Purchase Agreement, or the Purchase Agreement, with RedWave, CAM3 HoldCo, LLC, a Connecticut limited liability company, or Seller Entity, each of the holders of outstanding equity interests of Seller Entity, or the Beneficial Sellers, and the other parties thereto, pursuant to which we purchased all of the outstanding equity interests of RedWave, and the transaction closed on the same day. The purchase price included an initial payment of $45.0 million in cash and 1,497,171 unregistered shares of the Company’s common stock, which reflects closing adjustments relating to working capital, cash and debt adjustments. The cash consideration is subject to additional working capital, cash, debt, and transaction expense adjustments. RedWave is a leading provider of portable Fourier Transform Infrared, or FTIR, spectroscopic analyzers for rapid chemical identification of bulk materials. FTIR, an optical spectroscopy technology, is highly regarded for its specific substance identification abilities across a broad range of bulk materials. This acquisition provides us with an expanded portfolio of handheld chemical analysis devices for forensic workflows that quickly detect and identify unknown solids, liquids, vapors, and aerosols at the point of need. In addition, RedWave bolsters our desktop portfolio withprovided a line of accessories for pharma Process Analytical Technology, or PAT, and industrial Quality Control applications.
On March 4, 2025, the Company completed the sale of its Desktop Portfolio to Repligen. The Company has determined the sale of the Desktop Portfolio represents a strategic shift that will have a major effect on its business and therefore met the criteria for classification as discontinued operations in the first quarter of 2025. Accordingly, the Desktop Portfolio is reported as discontinued operations in accordance with ASC 205-20, Discontinued Operations. The related assets and liabilities of the Desktop Portfolio are classified as assets and liabilities of discontinued operations in the consolidated balance sheets and the results of operations from the Desktop Portfolio as discontinued operations in the consolidated statements of operations. Applicable amounts in prior years have been recast to conform to this discontinued operations presentation. The Company recognized a gain on the sale of the Desktop Portfolio upon closing.
Since our inception, we have incurred significant operating losses. Our ability to generate revenue sufficient to achieve profitability will depend on the successful further development and commercialization of our products. We generated revenue of $59.6$56.2 million and $50.2$47.7 million for the years ended December 31, 20242025 and 2023,2024, respectively, and incurred net losses from continuing operations of $72.2$33.3 million and $36.4$53.1 million for those same years. As of December 31, 2024,2025, we had an accumulated deficit of $242.8$223.3 million. We expect to continue to incur net losses as we focus on growing commercial sales of our products in both the United States and international markets, including growing our sales teams, scaling our manufacturing operations, continuing research and development efforts to develop new products and further enhance our existing products. Further, we expect to incur additional costs associated with operating as a public company. As a result, we may need additional funding for expenses related to our operating activities, including selling, general and administrative expenses and research and development expenses.
We believe that our existing cash and cash equivalents,equivalents will enable us to fund our operating expenses, capital expenditure requirements and debt service payments for at least the next 12 months. We have based this estimate on assumptions that may prove to be wrong, and we could exhaust our available capital resources sooner than we expect. See “Liquidity and Capital Resources.”
In November 2024, we announced an organizational restructuring to strengthen operational efficiencies. As part of the organizational restructuring, and to reduce our annual cash burn, we implemented an approximately 11% workforce reduction to rationalize our bioprocessing and life science instrumentation investments in sales, marketing and research and development during the current slower growth market environment. InWe addition,incurred throughoutapproximately $1.5 million and $0.7 million of expenses related to this organizational restructuring for the years ended December 31, 2025 we are planning to transition manufacturing operations from Massachusetts to North Carolina and Connecticut.2024, respectively.
During the first half of 2025, we transitioned manufacturing operations from Boston, Massachusetts to Danbury, Connecticut. In June 2025, we abandoned our Boston facility in connection with transitioning the manufacturing operations and moved our corporate headquarters to Burlington, Massachusetts. We recorded a $1.0 million restructuring charge for the lease abandonment, including our remaining right-of-use asset, utilities and other costs. We made full payment of such charges in June 2025, including the rents. The organizational and facility restructurings were substantially completed in June 2025 and there were no amounts outstanding as of December 31, 2025.
For the year ended December 31, 2024, we incurred approximately $0.7 million of expenses related to this organizational restructuring. These expenses were substantially for cash payments of severance and employee benefits and were paid as of December 31, 2024.
This organizational restructuring was substantially completed in December 2024 and there were no related accrued liabilities on the consolidated balance sheets as of December 31, 2024. The Company has not yet incurred any facility or other exit costs for transitioning manufacturing operations from Massachusetts to North Carolina and Connecticut, however we expect to incur costs related to moving our manufacturing operations in 2025.
In addition, while the United States Federal Reserve has recently begun to lower interest rates, it has over the past couple of years raised, and may again raise, interest rates in response to concerns about inflation. Inflation, together with increased interest rates, may cause our customers to reduce or delay orders for our goods and services thereby causing a decrease in or change in timing of sales of our products and services. The impact of future inflation and interest rate fluctuations on the results of our operations cannot be accurately predicted.
Challenging capital market conditions and the limited availability of financing alternatives, together with inflationary and interest rates pressures, may contribute to more cautious spending by our customers. Certain of our pharmaceutical and biotechnology customers, including bioprocessing customers, may evaluate their inventory levels, cash on hand and path to profitability, and institute cost controls and take other actions to reduce or delay purchases of our products and services. We cannot accurately predict the full impact of current macroeconomic factors on the budgets and capital expenditures of our customers, or the timing of the normalization of customer purchasing patterns.
We are closely monitoring the ongoing military conflict between Russia and Ukraine,Ukraine andor the ongoing hostilities in Israel, Lebanon, and the Gaza Strip and other locationsconflicts in the Middle East. Although we do not directly source any material products or supplies from Russia, Ukraine, Israel, LebanonUkraine or the GazaMiddle Strip,East, our customers in Europe and the Middle East could be impacted by extended conflicts or an escalation of these conflicts into neighboring countries.
We are also closely monitoring increases or changes in tariffs on parts and components imported into the U.S., as well as reciprocal tariffs recently implemented by non-U.S. countries where we export our finished products. We do not expect these tariffs to materially impact our business or results of operations in the 2026 fiscal year. Nonetheless, we will continue to review and assess how any current or future tariffs may affect our business.
Our financial performance has largely been driven by, and in the future will continue to be impacted by, the rate of sales of our handheld and desktop devices. Management focuses on device sales as an indicator of current business success and a leading indicator of likely future recurring revenue from consumablesconsumables, accessories, software and services. We expect our device sales to continue to grow as we increase penetration in our existing markets and expand into, or offer new features and solutions that appeal to, new markets.
We plan to grow our device sales in the coming years through multiple strategies including expanding our sales efforts domestically and globally and continuing to enhance the underlying technology and applications for bioprocessing and life sciences research related to our Maverick, Rebel, ZipChip Interface, and Maven and related samplinghandheld devices. We regularly solicit feedback from our customers and focus our research and development efforts on enhancing our devices and enabling our customers to use additional applications that address their needs, which we believe in turn helps to drive additional sales of our devices and consumables.
Our sales process varies considerably depending upon the type of customer to whom we are selling. Our handheld device orders relate to our MX908, ThreatID, ProtectIR, XplorIR and XplorIR,VipIR, as well as components for the Aerosol and Vapor Chemical Agent DetectorsDetectors, (“AVCAD”)or AVCAD, sold to our channel partner. Historically, our handheld devices have been used by municipal, state, federal and foreign governments and governmental agencies. Our sales process with government customers is often long and involves multiple levels of approvals, testing and, in some cases, trials. Device orders from a government customer are typically large orders and can be impacted by the timing of their capital budgets. As a result, the revenue for our handheld devices can vary significantly from period-to-period and has been and may continue to be concentrated in a small number of customers in any given period.
Recurring revenue
Our desktop devices are typically used by the pharmaceutical, biotechnology and academia markets. Our sales cycles within these markets tend to vary based on the size of the customer and the number of devices they purchase. Our shortest sales cycles are typically for small laboratories and individual researchers where, in some cases, we receive purchase orders from these customers within three months. Our sales process with other institutions can be longer with most customers submitting purchase orders within six to twelve months. Given the variability of our sales cycle, we have in the past experienced, and likely will in the future experience, fluctuations in our desktop device sales on a period-to-period basis.
We regularly assess trends relating to recurring revenue which includes consumablesconsumables, accessories, software and services based on our product offerings, our customer base and our understanding of how our customers use our products. Recurring revenue was 39%35% and 33% of total revenue for the years ended December 31, 20242025 and 2023,2024, respectively. Our recurring revenue as a percentage of total revenue will vary based upon new device placements in the period. As our device installed base expands, recurring revenue on an absolute basis is expected to increase and over time should be an increasingly important contributor to our revenue.
Recurring revenue is primarily from service revenue, software and accessories. Consumable revenue is mainly related to single-use swab samplers for MX908 to be used in liquid and solid materials analysis, but there are a number of other applications that the MX908 can be used for that do not require consumables. ThreatID, ProtectIR, XplorIR and VipIR do not have consumables.
Revenue from the sales of consumables will vary by type of device. We expect that recurring revenue as a percentage of the original device price to be higher for our desktop devices (Rebel, ZipChip Interface, Maverick, Maven and related sampling devices) than for our handheld devices (MX908, ThreatID, ProtectIR, and XplorIR). While we sell single-use swab samplers for MX908 to be used in liquid and solid materials analysis, there are a number of other applications that the MX908 can be used for that do not require consumables. ThreatID, ProtectIR, and XplorIR do not have consumables. Rebel and ZipChip Interface require consumables kits for all areas of operations. Currently, Rebel customers, who are actively utilizing the device, are consuming on average approximately half a 200-sample kit per month. With continuous operation, the Rebel is capable of consuming approximately one 200-sample kit per day. Maverick devices require consumables, probes and standards for all areas of operations. Maven and related sampling devices require consumable sets of buffers, probes and biosensors for all areas of operations.
Our revenue is derived from sales of our devices, consumablesconsumables, accessories, software and services. There will be fluctuations in the mix between devices and consumablesrecurring from period-to-period. Over time, as our device installed base grows and we see adoption of Rebel,grows, we expect consumablesservice revenue to constitute a larger percentage of total revenue. However, the percentage will be subject to fluctuation based upon our handheld sales in a period. In addition, our selling price and, consequently, our margins, are higher for those devices and consumablesrecurring revenue that we sell directly to customers as compared to those that we sell through channel partners. While we expect the mix of direct sales as compared to sales through channel partners to remain relatively constant in the near term, we aremay currently evaluatingconsider increasing our direct sales capabilities in certain geographies.geographies based upon identified opportunities.
Future device and consumablerecurring selling prices and gross margins may fluctuate due to a variety of factors, including the introduction by others of competing products and solutions. We aim to mitigate downward pressure on our average selling prices by increasing the value proposition offered by our devicesdevices, consumables, accessories and consumables,software, primarily by expanding the applications for our devices and increasing the quantity and quality of data that can be obtained using our consumables.
We generate product and service revenue from the sale of our devices and recurring revenue from the sale of consumables and contract revenue. Device sales accounted for 61% and 67% of our total revenue for the years ended December 31, 2024 and 2023, respectively. Consumables and contract revenue accounted for 39% and 33% of our total revenue for the years ended December 31, 2024 and 2023, respectively.
OurProduct currentand deviceService offerings include:Revenue
We generate product and service revenue from the sale of our devices and recurring revenue from the sale of consumables, accessories, software and services. Device sales accounted for 65% and 66% of our total revenue for the years ended December 31, 2025 and 2024, respectively. Recurring revenue accounted for 35% and 33% of our total revenue for the years ended December 31, 2025 and 2024, respectively. Our current device offerings include MX908, ThreatID, ProtectIR, XplorIR, VipIR and AVCAD components.
We sell our devices directly to customers and through channel partners. Each of our device sales drives various streams of recurring revenue comprised of consumableconsumable, accessory and accessorysoftware product sales and service revenue. Our consumables consist primarily of accessories and swabs for MX908.
Our consumables consist of:
Rebel and ZipChip Interface consumables can only be used with our devices and there are no alternative after-market options that can be used as a substitute. Each chip is used for a defined number of samples (or runs). We recognize revenue from the sale of consumables as the consumable products are shipped.
Contract revenue
Our revenue is comprised of sales of our handheld and desktop devices and related consumables, accessories, software and service contracts and contract revenue to end-users in the government, pharmaceuticals/biotechnologypharmaceutical and academiaindustrial markets as follows (in thousands):
We sell our products primarily in the United States; however, we arewill continuingcontinue to expand our global sales efforts as we see traction in our products and assess global market needs. The majority of our international sales are through contractuala arrangementsdistribution with channel partners.channel.
CostProduct cost of product revenue primarily consists of costs for raw material parts and associated freight, shipping and handling costs, royalties, contract manufacturer costs, salaries and other personnel costs, overhead, amortization of intangibles and other direct costs related to those sales recognized as product revenue in the period.
Cost of servicerevenue andfor contract revenueservices primarily consists of salaries and other personnel costs, travel related to services provided, facility costs associated with training, warranties and other costs of servicing equipment on a return-to-factory basis and at customer sites. CostContract cost of contract revenue primarily consists of salaries and other personnel costs, materials, travel and other direct costs related to the contract revenue recognized in the period. The contract cost of revenue will vary based upon the type of contract, including whether it is primarily for development services or for both materials and development services.
We expect that our cost of revenue will increase or decrease to the extent that our revenue increases and decreases and depending on how many contracts we have ongoing at any given point in time and the stage of those contracts.
We expect that our gross profit margin for product and service will increase over the long term as our sales and production volumes increase and our cost per unit decreases due to efficiencies of scale. We intend to use our design, engineering and manufacturing capabilities to further advance and improve the efficiency of our manufacturing, which we believe will reduce costs and increase our gross margin. We expect that our gross profit margin for contract will remain consistent for our contracts that are cost reimbursement contracts.
Research and development expenses
Selling, general and administrative expenses consist primarily of salaries and other personnel costs, and stock-based compensation for our sales and marketing, finance, legal, human resources and general management, as well as professional services, such as legal, audit and accounting services.services, and director and officer insurance costs as well as investor and public relations expenses associated with operating as a public company.
We expect selling, general and administrative expenses, and amortization of intangibles to stabilize in future periods as we executed our strategic transformation in the fiscal year 2025.
Beginning in the first quarter of 2025, general and administrative expenses also include rent expenses and passthrough costs, reimbursable by Repligen, incurred in performing duties under the Transition Services Agreement by and between the Company and Repligen, dated as of March 4, 2025, or the TSA.
We expect, but cannot guarantee, that annual selling, general and administrative expenses will not increase significantly over the next 12 to 14 months.
Interest income consists of interest earned on our invested cash, cash equivalents and marketable securities balances.
Income from Transition Services Agreement, net
Income from transition services agreement, net represents service charges provided to Repligen to facilitate the transition of the Desktop Portfolio, net of directly identifiable personnel related costs, pursuant to the TSA. The scope of transition services includes the provision of certain manufacturing services, research and development support and certain administrative functions related to the Desktop Portfolio. The Company is continuing to provide certain general and administrative functions under the TSA.
Interest expense consists of interest expense associated with outstanding borrowings under our loan and security agreements and the amortization of deferred financing costs and debt discounts associated with such arrangements.
Other income (expense), net consists of interest income from our cash and cash equivalents, miscellaneous other income and expense unrelated to our core operations.operations, interest expense associated with the amortization of deferred financing costs and debt discounts associated with our loan and security agreements.
We recognized an income tax benefit of $0.3$0.1 million and $0.2no millionincome tax benefit during the years ended December 31, 20242025 and 2023,2024, respectively. The income tax benefit recognized during the year ended December 31, 20242025 primarily resulted from a reduction in the deferredforeign tax liabilitiesrefunds recordedreceived as part of our acquisitiondivesture of 908 Devices GmbH.
As of December 31, 2024,2025, the Company had gross federal and state operating loss carryforwards of $127.9$147.0 million and $92.5$94.5 million, respectively,respectively. whichThe federal operating loss carryforward may be available to offset future taxable income and begin to expire in 2032 and 2025, respectively,2032, of which $93.5$112.6 million of federal gross operating losses do not expire. As of December 31, 2024,2025, the Company also had U.S. federal and state research and development tax credit carryforwards of $8.6$9.1 million and $4.8$4.9 million, respectively, which may be available to offset future tax liabilities and begin to expire in 2032 and 2030, respectively.
Our product revenue is comprised of revenue from sales of devices and related accessoriesaccessories, software and consumables and service as follows:
Product revenue increased by $3.7$7.8 million, or 9%,22%, for the year ended December 31, 2024,2025, compared to the year ended December 31, 2023.2024. The increase was primarily related to $9.8$11.3 million in product revenue from our FTIR products, led by our recently acquiredlaunched FTIRVipIR products.and our XplorIR device, but also partly due to the impact of ownership for the full period in 2025 compared to eight months in 2024. This increase was offset in part by a $3.2$2.1 million decrease in MX908 related handheld product revenue, mainly due to fewer device placements, and a $1.8$1.5 million decrease fromin program product revenue related to our AVCAD program, pursuant to which we had component shipments under our subcontract agreement with a commercial entity that holds a U.S. government prime contract, as well as a $0.9 million decrease in desktop product revenue, mainly due to the mix of devices and three fewer desktop device placements, for the year ended December 31, 2024.2025.
Product cost of revenue increased by $3.2$4.9 million, or 17%,28%, for the year ended December 31, 2024,2025, compared to the year ended December 31, 2023.2024. The increase in product cost of revenue was primarily related to a $2.3 millionan increase in production costs related to the higher product revenues, $1.7 million in higher intangible amortization and $1.1$2.3 million in higher personnel related costs, partly related to our RedWave acquisition.and TheseKAF increasesacquisitions, were$0.8 offsetmillion in parthigher byintangible a $1.3 million increase in laboramortization, and overhead$0.3 absorptionmillion related to the level of production buildsseverance and aretention $0.9 million decrease in materials and supplies consumed in production related activities.costs.
Product gross profit increased by $0.5$2.8 million, or 2%,16%, and gross profit margin decreased by 3% for the year ended December 31, 2024,2025, as compared to the year ended December 31, 2023.2024. The increase in product gross profit was primarily due to the higher product revenue volume, netoffset by the impact of favorablelower timingmargin international sales, product mix related to VipIR that is at a lower margin due to initial launch and sale of productiondemonstration andunits, loweran material costs, offset in part by increasesincrease in intangible amortization and otherhigher productionpersonnel related costs for the year ended December 31, 2024.2025, which drove the decrease in gross profit margin.
Our service and contract revenue is comprised of revenue from sales of extended warranty and service plans andplans, customer training and contract services as follows:
Service and contract revenue increased by $5.7 million, or 57%, for the year ended December 31, 2024, compared to the year ended December 31, 2023. The increase was primarily related to an increase in handheld service revenues related to extended service contracts and training for MX908 devices and to a lesser extent our recently acquired FTIR products, as well as a $0.6 million increase in desktop service revenue. During the year ended December 31, 2024, we recognized contract revenue with three new commercial entities. Contract revenue for the year ended December 31, 2023 was related to activities under our subcontract agreement with a commercial entity that holds a U.S. government prime contract, which was concluded in the second quarter of 2023.
Service and contract cost of revenue increased by $1.7$0.7 million, or 25%,6%, for the year ended December 31, 2024,2025, compared to the year ended December 31, 2023.2024. The increase in service cost of revenue was primarily related to a $0.8$1.0 million increase in personnelhandheld service revenues related to training performed and otherextended operatingservice costs,contracts partlyfor our FTIR devices, offset by a decrease in service revenues related to our RedWaveMX908, acquisition,primarily from a $0.4federal milliondefense increasecustomer that had a funding-related pause in materialtheir costssupport andof contracttheir trainers,installed andbase. aContract revenue was $0.1 million increasefor relatedboth tothe stock-basedyear compensation.ended December 31, 2025 and 2024.
Service and contract grosscost profitof increasedrevenue decreased by 114%,$0.4 andmillion, grossor profit margin increased by thirteen percentage points7%, for the year ended December 31, 2024, as2025, compared to the year ended December 31, 2023,2024. primarilyThe due to an increasedecrease in service volumecost of revenue was primarily related to extendeda service$0.7 contractsmillion decrease in material costs and trainingcontract revenue,trainers, leveraging our investmentsoffset in personalpart andby service$0.2 infrastructure.million in higher personnel costs.
Service and contract gross profit increased by 17%, and gross profit margin increased by six percentage points for the year ended December 31, 2025, as compared to the year ended December 31, 2024, primarily due to an increase in service volume related to training and extended service contracts, leveraging our investments in personal and service infrastructure.
Our research and development expenses were $25.5$15.6 million for the year ended December 31, 2024,2025, an increase of $3.6$0.6 million from research and development expenses of $21.9$15.0 million for the year ended December 31, 2023.2024. The increase was mainlypartly due to the increased expenses from the RedWave acquisition and was due primarily to a $2.0 million increase in personnel and related costs, a $0.8 million increase in stock-based compensation, a $0.5 million increase in project spendexpenditure related to materials and consulting,consulting and a $0.4 million increase in severance and retention costs, offset in part by a $0.2 million decrease in facility related costs and a $0.2 million increasedecrease in depreciation and occupancy related expenses, mainly related to our facilities in Connecticut and North Carolina.depreciation.
Our selling, general and administrative expenses were $38.5 million for the year ended December 31, 2025, a decrease of $0.9 million from selling, general and administrative expenses of $39.5 million for the year ended December 31, 2024. The decrease was primarily due to $2.2 million in lower consulting, legal and accounting related costs incurred with the RedWave acquisition during the year ended December 31, 2024, a $0.4 million decrease in travel and related costs, a $0.4 million decrease in consulting, legal and audit fees, a $0.3 million decrease in directors and officers insurance, and a net decrease in all other expenses of $0.4 million. These cost decreases were offset in part by a $1.1 million increase in non-cash stock-based compensation, a $0.9 million increase related to facility shut down and moving costs, and a $0.8 million increase in payroll and related costs, mainly related to a $0.6 million charge for transaction bonuses earned with the Desktop Portfolio divestiture.
What changed in the latest 10-Q
Risk Factors
Our business, financial condition and operating results are affected by a number of factors, whether currently known or unknown, including risks specific to us or the industry in which we operate as well as risks that affect businesses in general. In addition to the information set forth in this Quarterly Report on Form 10-Q, you should consider carefully the factors discussed in Part I, Item 1A, “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025, filed with the SEC on March 9, 2026. The risks and uncertainties disclosed in such Annual Report could materially adversely affect our business, financial condition, cash flows or results of operations and thus our stock price. There have been no material changes to our previously disclosed risk factors.
These risk factors may be important to understanding other statements in this Quarterly Report and should be read in conjunction with the unaudited condensed consolidated financial statements and related notes in Part I, Item 1, “Financial Statements” and Part I, Item 2,“Management’s Discussion and Analysis of Financial Condition and Results of Operations” of this Quarterly Report. Because of such risk factors, as well as other factors affecting our financial condition and operating results, past financial performance should not be considered to be a reliable indicator of future performance, and investors should not use historical trends to anticipate results or trends in future periods.
Largest changes
“Our business, financial condition and operating results are affected by a number of factors, whether currently known or unknown, including risks specific to us or the industry in which we operate as well as risks that affect businesses in general. In addition to the information set forth in this Quarterly Report on Form 10-Q, you should consider carefully the factors discussed in Part I, Item 1A, “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025, filed with the SEC on March 9, 2026. …”see in full comparison
“These risk factors may be important to understanding other statements in this Quarterly Report and should be read in conjunction with the unaudited condensed consolidated financial statements and related notes in Part I, Item 1, “Financial Statements” and Part I, Item 2,“Management’s Discussion and Analysis of Financial Condition and Results of Operations” of this Quarterly Report. …”see in full comparison
“Our operations and financial results are subject to various risks and uncertainties. A detailed discussion of the risks that affect our business is included in the section titled “Item 1A. Risk Factors” of the 2025 Form 10-K. There have been no material changes to our risk factors during the three months ended March 31, 2026 from those discussed in our 2025 Form 10-K.”see in full comparison
Full comparison: every changed paragraph (3)
Our business, financial condition and operating results are affected by a number of factors, whether currently known or unknown, including risks specific to us or the industry in which we operate as well as risks that affect businesses in general. In addition to the information set forth in this Quarterly Report on Form 10-Q, you should consider carefully the factors discussed in Part I, Item 1A, “Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025, filed with the SEC on March 9, 2026. The risks and uncertainties disclosed in such Annual Report could materially adversely affect our business, financial condition, cash flows or results of operations and thus our stock price. There have been no material changes to our previously disclosed risk factors.
These risk factors may be important to understanding other statements in this Quarterly Report and should be read in conjunction with the unaudited condensed consolidated financial statements and related notes in Part I, Item 1, “Financial Statements” and Part I, Item 2,“Management’s Discussion and Analysis of Financial Condition and Results of Operations” of this Quarterly Report. Because of such risk factors, as well as other factors affecting our financial condition and operating results, past financial performance should not be considered to be a reliable indicator of future performance, and investors should not use historical trends to anticipate results or trends in future periods.
Our operations and financial results are subject to various risks and uncertainties. A detailed discussion of the risks that affect our business is included in the section titled “Item 1A. Risk Factors” of the 2025 Form 10-K. There have been no material changes to our risk factors during the three months ended March 31, 2026 from those discussed in our 2025 Form 10-K.
Management's Discussion & Analysis (MD&A)
New heading “Comparison of the six months ended June 30, 2026 and 2025”
New heading “Revenue, Cost of Revenue and Gross Profit”
New heading “Service and contract”
New heading “Operating Expenses”
New heading “Other expense (income), net”
Removed heading “Research and development expenses”
Largest changes
Full comparison: every changed paragraph (72)
We have developed an innovative suite of purpose-built handheld devices for point-of-need chemical analysis. Leveraging complementary analytical technologies including our proprietary mass spectrometry,spectrometry or (“Mass Spec,Spec”) and FTIR, an optical spectroscopy technology andspectroscopy, analytics and machine learning technologies, we make devices that are significantly smaller and more accessible than conventional laboratory instruments. Our devices are used at the point-of-need to interrogate unknown and invisible materials and provide quick, actionable answers to directly address vital health and safety applications, including the fentanyl and illicit drug crisis, toxic carcinogen exposure, and global security threats.
Front-line workers rely upon our Mass Spec handheld devices to combat the opioid crisis and detect counterfeit pharmaceuticals and illicit materials in the air or on surfaces at levels 1,000 times below their lethal dose. First responders also utilize our handheld devices to detect and identify thousands of hazardous bulk materials. The term “products” as used in this “Management’s Discussion and Analysis of Financial Condition and Results of Operations” refers to the MX908, ThreatID, ProtectIR, XplorIR, VipIRVipIR, NIRLab and related devices.
On March 4, 2025, the Company completed the sale of its Desktop Portfolio to Repligen. The Company has determined the sale of the Desktop Portfolio represents a strategic shift that will have a major effect on its business and therefore met the criteria for classification as discontinued operations in the first quarter of 2025. Accordingly, the Desktop Portfolio is reported as discontinued operations in accordance with ASC 205-20, Discontinued Operations. The related assets and liabilities of the Desktop Portfolio are classified as assets and liabilities of discontinued operations in the consolidated balance sheets and the results of operations from the Desktop Portfolio asare classified within discontinued operations in the consolidated statements of operations. Applicable amounts in prior years have been recast to conform to this discontinued operations presentation. The Company recognized a gain on the sale of the Desktop Portfolio upon closing.
Applicable amounts in prior years have been recast to conform to this discontinued operations presentation. The Company recognized a gain on the sale of the Desktop Portfolio upon closing.
Since our inception, we have incurred significant operating losses. Our ability to generate revenue sufficient to achieve profitability will depend on the successful further development and commercialization of our products. We generated revenue from continuing operations of $13.4$29.5 million and $11.8$24.8 million for the threesix months ended MarchJune 31,30, 2026 and 2025, respectively, and incurred net losses from continuing operations of $12.0$23.8 million and $9.8$22.7 million for those same periods. As of MarchJune 31,30, 2026, we had an accumulated deficit of $235.3$247.2 million. We expect to continue to incur net losses as we focus on growing sales of our products in both the United States and international markets, scaling our manufacturing operations, continuing research and development efforts to develop new products and further enhance our existing products. As a result, we may need additional funding for expenses related to our operating activities, including selling, general and administrative expenses and research and development expenses.
We believe that our existing cash and cash equivalentsequivalents, marketable securities and revenue from product and service will enable us to fund our operating expenses, capital expenditure requirements and debt service payments for at least the next 12 months. We have based this estimate on assumptions that may prove to be wrong, and we could exhaust our available capital resources sooner than we expect. See “Liquidity and Capital Resources.”
Our handheld device orders relate to our MX908, ThreatID, ProtectIR, XplorIRXplorIR, VipIR and VipIR,NIRLab, as well as components for the Aerosol and Vapor Chemical Agent Detectors,Detectors or(“AVCAD”) AVCAD, sold to our channel partner.program. Historically, our handheld devices have been used by municipal, state, federal and foreign governments and governmental agencies. Our sales process with government customers is often long and involves multiple levels of approvals, testing and, in some cases, trials. Device orders from a government customer are typically large orders and can be impacted by the timing of their capital budgets. As a result, the revenue for our handheld devices can vary significantly from period-to-period and has been and may continue to be concentrated in a small number of customers in any given period.
We regularly assess trends relating to recurring revenue which includes consumables, accessoriesaccessories, software, software subscription and services based on our product offerings, our customer base and our understanding of how our customers use our products. Recurring revenue was 30% and 37%36% of total revenue for the threesix months ended MarchJune 31,30, 2026 and 2025, respectively. Our recurring revenue as a percentage of total revenue will vary based upon new device placements in the period. As our device installed base expands, recurring revenue on an absolute basis is expected to increase and over time should be an increasingly important contributor to our revenue.
Recurring revenue is primarily from service revenuerevenue, accessories and accessories.software subscription. Consumable revenue is mainly related to single-use swab samplers for MX908 to be used in liquid and solid materials analysis, but there are a number of other applications that the MX908 can be used for that do not require consumables. ThreatID, ProtectIR, XplorIRXplorIR, VipIR and VipIRNIRLab do not have consumables.
Our revenue is derived from sales of our devices, consumables, accessoriesaccessories, software and services. There will be fluctuations in the mix between devices and recurring from period-to-period. Over time, as our device installed base grows, we expect service revenue to constitute a larger percentage of total revenue, provided that our customers remain under a service contract. However, the percentage will be subject to fluctuation based upon our handheld sales in a period. In addition, our selling price and, consequently, our margins, are higher for those devices and recurring revenue that we sell directly to customers as compared to those that we sell through channel partners. While we expect the mix of direct sales as compared to sales through channel partners to remain relatively constant in the near term, we may consider increasing our direct sales capabilities in certain geographies based upon identified opportunities.
During the three and six months ended MarchJune 31,30, 2026 and 2025, our product placements (units recognized as revenue) were as follows:
The number of product placements vary considerably from period-to-period due to the type and size of our customers and concentrations among larger government customers as described above. We expect continued fluctuations in our period-to-period number of product placements. Placements are reported for devices with a selling price of greater than $25,000 and therefore exclude NIRLab placements.
We generate product and service revenue from the sale of our devices and recurring revenue from the sale of consumables, accessoriesaccessories, software, software subscriptions and services. Device sales accounted for 70%69% and 63% of our total revenue for the threesix months ended MarchJune 31,30, 2026 and 2025, respectively. Recurring revenue accounted for 30% and 37%36% of our total revenue for the threesix months ended MarchJune 31,30, 2026 and 2025, respectively. Our current device offerings include MX908, ThreatID, ProtectIR, XplorIR, VipIRVipIR, NIRLab and AVCAD components.
We sell our devices directly to customers and through channel partners. Each of our device sales drives various streams of recurring revenue comprised of consumableconsumable, andaccessory, accessorysoftware, productsoftware salessubscriptions and service revenue. Our consumables consist primarily of accessories and swabs for MX908.
We also offer our customers extended warrantywarranty, service plans and servicesoftware plans.subscriptions. Our extended warranty and service plans are offered for periods beyond the standard one-year warranty that all of our customers receive. These extended warranty and service plans generally have fixed fees and terms ranging from one additional year to four additional years. We recognize revenue from the sale of extended warranty and service plans over the respective coverage period, which approximates the service effort provided by us. Our software subscription to our proprietary target library and companion software application, which together represent a single combined performance obligation, are recognized over the coverage period.
We expect consumablesconsumables, accessories, software, software subscriptions and service revenue to increase in future periods as our installed base grows and we are able to generate recurring sales.
Contract agreements are arrangements whereby we provide engineering services for the development of our technology platform for specific programs or new and expanding applications of our technologies for future commercial endeavors. Our contract agreements are with the U.S. government and commercial entities (who may be contracting with the government). Contracts typically include compensation for labor effort and materials incurred related to the deliverables under the contract. Our contract revenue was related to two and one customer during the threesix months ended MarchJune 31,30, 2025.2026 and 2025, respectively.
During the three and six months ended MarchJune 31,30, 2026 and 2025, our revenue was comprised of revenue from the following sources:
Our product and service revenue is comprised of sales of our devices and related consumables, accessoriesaccessories, software and service contracts to end-users in the government, pharmaceutical and industrial markets as follows:
Research and development expenses
Beginning in the first quarter of 2025, general and administrative expenses also include rent expense and passthrough costs, reimbursable by Repligen, incurred in performing duties under the TSA. The TSA was completed in the second quarter of 2026.
Income from transition services agreement, net represents service charges provided to Repligen to facilitate the transition of the Desktop Portfolio, net of directly identifiable personnel related costs. The scope of transition services includes the provision of certain manufacturing services, research and development support and certain administrative functions related to the Desktop Portfolio. In addition, the TSA by and between the Company and Repligen, dated as of March 4, 2025, or the TSA, provided Repligen with access to the Company’s former facility in Boston, Massachusetts. The services and obligations under the TSA were substantially completed, and access to the Company’s facility was terminated,completed as of June 30, 2025. The Company is continuing to provide certain general and administrative functions under the TSA.2026.
Comparison of the three months ended MarchJune 31,30, 2026 and 2025
The following table summarizes our results of operations for the three months ended MarchJune 31,30, 2026 and 2025:
Our product revenue is comprised of revenue from sales of devices and related accessories,consumables, softwareaccessories and consumablessoftware as follows:
Product revenue increased by $2.2$3.4 million, or 26%,35%, for the three months ended MarchJune 31,30, 2026, compared to the three months ended MarchJune 31,30, 2025. The increase was primarily related to a $1.3$2.6 million increase in product revenue from our mass spec products related to higher device shipments in the quarter within our federal and defense and state and local customers. The increase was also related to an increase of $0.9 million related to our FTIR products, driven by our VipIR placements, offseta $0.6 million increase from our mass spec products related to accessories in partthe byquarter and a decrease$0.2 inmillion internationalincrease shipmentsrelated ofto our ProtectIRrecently product.acquired NIRLab product revenues.
Product cost of revenue increased by $0.4$1.1 million, or 9%,20%, for the three months ended MarchJune 31,30, 2026, compared to the three months ended MarchJune 31,30, 2025. The increase in product cost of revenue was primarily related to a $0.7$1.3 million increase in shipments and related warranty costs and $0.3$0.1 million in personnel related costs related to ouran acquired precision machining shop in July 2025, offset in part by $0.3 million in lower facility related costs, $0.2 million in reductionincrease in charges for excess and obsolete inventoryinventory. These increases were offset in part by $0.2 million in lower facility related costs and a $0.2$0.1 million reduction in all other manufacturing costs.
Product gross profit increased by $1.8$2.3 million, or 47%,54%, and gross profit margin increased by seven percentage points for the three months ended MarchJune 31,30, 2026, as compared to the three months ended MarchJune 31,30, 2025. The increased product gross profit was primarily due to the higher product revenue volume, a shift in channel mix with less international product sales that are at a lower gross margin, as well as the decreased facility costs related to the shutdown of the Boston facility as of June 30, 2025 and lower operating costs for the three months ended MarchJune 31,30, 2026, which drove the increase in gross profit margin.
Our service and contract revenue is comprised of revenue from sales of extended warranty and service plansplans, software subscriptions and customer training as follows:
Service and contract revenue decreased by $0.6$0.4 million, or 19%,10%, for the three months ended MarchJune 31,30, 2026, compared to the three months ended MarchJune 31,30, 2025. The decrease was primarily related to a $0.9 million decrease in mass spec service revenue, driven by a $0.7 million decrease in extended service contracts for MX908 devices mainly related to a funding-related pause in service coverage by a United States defense customer which began to impact our service revenues in the fourth quarter of 2025. The decrease was offset in part by a $0.2 million increase in service revenue related to our FTIR products.products and $0.3 million related to our recently acquired NIRLab service and subscription revenues. Contract revenue for the three months ended MarchJune 31,30, 2026 was zero$0.1 million compared to less than $0.1 million in the three months ended MarchJune 31,30, 2025.
Service and contract cost of revenue decreased byless $0.2than $0.1 million, or 11%,1%, for the three months ended MarchJune 31,30, 2026, compared to the three months ended MarchJune 31,30, 2025. There was a decrease in service cost of revenue of $0.1 million and a decrease of $0.1 million in contract cost of revenue during the three months ended March 31, 2026. The decrease in service cost of revenue was primarily related to a reduction in third party contractors and materials spent on extended service contracts during the three months ended MarchJune 31,30, 2026, compared to the three months ended MarchJune 31,30, 2025.
Service and contract gross profit decreased by $0.4$0.3 million, or 25%,16%, and gross profit margin decreased by four percentage points for the three months ended MarchJune 31,30, 2026, as compared to the three months ended MarchJune 31,30, 2025, primarily due to a decrease in service volume related to extended service contracts, resulting in reduced leverage of our investments in personnel and service infrastructure.
Our research and development expenses were $3.5$3.6 million for the three months ended MarchJune 31,30, 2026, a decrease of $0.4$0.8 million from research and development expenses of $3.8$4.4 million for the three months ended MarchJune 31,30, 2025. The decrease was primarily due to a $0.4$0.3 million reduction in facility costs related to the shutdown of the Boston facility as of June 30, 2025.2025, a $0.3 million reduction in personnel and related costs and a $0.2 million reduction in program spend related to materials and consulting expenses.
Our selling, general and administrative expenses were $9.9$11.1 million for the three months ended MarchJune 31,30, 2026, aan decreaseincrease of $0.3$0.8 million from selling, general and administrative expenses of $10.2$10.3 million for the three months ended MarchJune 31,30, 2025. The decreaseincrease was due primarily to a $0.6$0.8 million increase in personnel and related costs and a $0.7 million charge for transactionlegal bonusesand earnedaccounting inexpenses connectionrelated withto the saleNIRLAB of the Desktop Portfolio in the three months ended March 31, 2025 and a net decrease in all other expenses of $0.2 million,acquisition, offset in part by $0.4a $0.8 million reduction in higherfacility legalcosts, mainly related to facility shut down and moving costs incurredexpensed within the NIRLABsecond acquisitionquarter duringof the three months ended March 31, 2026.2025.
The change in fair value of contingent consideration was $6.4 million for the three months ended MarchJune 31,30, 2026, ana increasedecrease of $3.9$0.4 million, compared to the $2.5$6.8 million charge in the three months ended MarchJune 31,30, 2025. The change in fair value for the three months ended June 30, 2026, consisted of a $1.3 million decrease related to the RedWave acquisition valuation and a $0.9 million increase related to the NIRLAB acquisition, which was not recorded in the prior comparative period. The increase in fair value wasfor the three months ended June 30, 2026, primarily duerelated to the increase in the Company’s publicly quoted share price duringand the impact to the NIRLAB contingent consideration, offset in part by a change in the final projections and backlog for FTIR revenues, net of the higher stock price. The increase in fair value for the three months ended MarchJune 31,30, 20262025, related to both the increase in the Company’s publicly quoted share price, and due to a lesser extent an increase in the projections for FTIR revenue.revenue, including the recent product launch of VipIR.
Interest income increaseddecreased by $0.1$0.3 million for the three months ended MarchJune 31,30, 2026 from $0.8$1.2 million for the three months ended MarchJune 31,30, 2025. The increasedecrease was due to the higherlower cash, cash equivalent and marketable securities balances, primarily due to the average balance during the three months ended MarchJune 31,30, 2026, compared to the three months ended MarchJune 31,30, 2025, offset in part by lower interest rates.2025.
Income from the transition services agreement, net was zero for the three months ended MarchJune 31,30, 2026 compared to $0.4$1.2 million for the three months ended MarchJune 31,30, 2025.
Other expense, net for the three months ended MarchJune 31,30, 2026 did not change materially from the three months ended MarchJune 31,30, 2025 to the three months ended March 31, 2026.2025.
Income tax benefit (expense), net was a net benefit of less than $0.1 million for the three months ended June 30, 2026, compared to a net income tax expense net of less than $0.1 million for the three months ended June 30, 2025. The change of $0.1 million was primarily due to the amortization of intangible assets acquired from our NIRLAB acquisition. We have recorded a full valuation allowance against our net United States deferred tax assets, and our income tax benefit (expense), net for these periods primarily related to state and foreign income taxes.
Comparison of the six months ended June 30, 2026 and 2025
The following table summarizes our results of operations for the six months ended June 30, 2026 and 2025:
Revenue, Cost of Revenue and Gross Profit
Product
Our product revenue is comprised of revenue from sales of devices and related consumables, accessories and software as follows:
Product revenue increased by $5.6 million, or 31%, for the six months ended June 30, 2026, compared to the six months ended June 30, 2025. The increase was primarily related to a $3.4 million increase in product revenue from our FTIR products, driven by our VipIR placements, a $2.0 million increase in product revenue from our mass spec products mainly related to higher device shipments within our federal and defense and state and local customers and a $0.2 million increase related to our recently acquired NIRLAB product revenues.
Product cost of revenue increased by $1.5 million, or 15%, for the six months ended June 30, 2026, compared to the six months ended June 30, 2025. The increase in product cost of revenue was primarily related to a $1.9 million increase in shipments and related warranty costs and $0.2 million in personnel related costs, offset in part by $0.4 million in lower facility related costs, $0.2 million from reduced severance and retention costs driven by the facility move in 2025 and a $0.2 million reduction in all other manufacturing costs.
Product gross profit increased by $4.1 million, or 51%, and gross profit margin increased by six percentage points for the six months ended June 30, 2026, as compared to the six months ended June 30, 2025. The increased product gross profit was primarily due to the higher product revenue volume, a shift in channel mix with less international product sales that are at a lower gross margin, as well as the decreased facility and personnel costs related to the shutdown of the Boston facility as of June 30, 2025, which drove the increase in gross profit margin.
Service and contract
Our service and contract revenue is comprised of revenue from sales of extended warranty and service plans, software subscriptions and customer training as follows:
Service and contract revenue decreased by $1.0 million, or 14%, for the six months ended June 30, 2026, compared to the six months ended June 30, 2025. The decrease was primarily related to a $1.6 million decrease in extended service contracts for MX908 devices mainly related to a funding-related pause in service coverage by a United States defense customer which began to impact our service revenues in the fourth quarter of 2025. The decrease was offset in part by a $0.3 million increase in service revenue related to our FTIR products and $0.3 million related to our recently acquired NIRLab service and subscription revenues. Contract revenue for the six months ended June 30, 2026 was $0.1 million compared to $0.1 million in the six months ended June 30, 2025.
Service and contract cost of revenue decreased by $0.2 million, or 7%, for the six months ended June 30, 2026, compared to the six months ended June 30, 2025. The decrease in service cost of revenue was primarily related to a reduction in third party contractors and materials spent on extended service contracts during the six months ended June 30, 2026, compared to the six months ended June 30, 2025, and to a lesser extend a decrease in costs to perform contract revenue.
Service and contract gross profit decreased by $0.8 million, or 20%, and gross profit margin decreased by four percentage points for the six months ended June 30, 2026, as compared to the six months ended June 30, 2025, primarily due to a decrease in service volume related to extended service contracts, resulting in reduced leverage of our investments in personnel and service infrastructure.
Operating Expenses
Our research and development expenses were $7.1 million for the six months ended June 30, 2026, a decrease of $1.2 million from research and development expenses of $8.2 million for the six months ended June 30, 2025. The decrease was primarily due to a $0.8 million reduction in facility costs related to the shutdown of the Boston facility as of June 30, 2025, a $0.2 million reduction in personnel and related costs and a $0.2 million reduction in program spend related to materials and consulting expenses.
Our selling, general and administrative expenses were $21.0 million for the six months ended June 30, 2026, an increase of $0.5 million from selling, general and administrative expenses of $20.6 million for the six months ended June 30, 2025. The increase was due primarily to a $1.1 million increase for legal and accounting transaction expenses related to the NIRLAB acquisition, offset in part by a $0.6 million reduction in facility costs mainly related to the Boston facility shut down and moving costs and a net decrease in all other expenses of $0.1 million.
The change in fair value of contingent consideration was $12.8 million for the six months ended June 30, 2026, an increase of $3.5 million, compared to the $9.3 million charge in the six months ended June 30, 2025. The change in fair value consisted of a $2.6 million increase related to the RedWave acquisition and a $0.9 million increase related to the NIRLAB acquisition. The increase in fair value for the six months ended June 30, 2026, primarily related to the increase in the Company’s publicly quoted share price, and to a lesser extent a change in the final projections and backlog for FTIR revenues. The increase in fair value for the six months ended June 30, 2025, related to both the increase in the Company’s publicly quoted share price, and due to an increase in the projections for FTIR revenue, including the second quarter product launch of VipIR.
Other Income
Interest income decreased by $0.1 million for the six months ended June 30, 2026 from $2.0 million for the six months ended June 30, 2025. The decrease was primarily due to the lower interest rates during the six month ended June 30, 2026, offset in part by higher cash, cash equivalent and marketable securities balances during the six months ended June 30, 2026, compared to the six months ended June 30, 2025.
Income from the transition services agreement, net was zero for the six months ended June 30, 2026 compared to $1.6 million for the six months ended June 30, 2025.
Other expense (income), net
MASS insider buying and selling (Form 4)
Since 2026-04-11, insiders reported open-market purchases in 0 Form 4 filings and open-market sales in 30 filings (6 insiders, 35 trade dates, 947,941 shares, about $8.7M; 19 of these filings say the sales were made under a Rule 10b5-1 trading plan). Net open-market shares: -947,941 (purchases minus sales); net value about -$8.7M.Totals add up every open-market (code P and S) line in those filings, using the prices reported in the filings. Awards, option exercises, tax withholding and gifts are listed below but not counted.
| Trade date | Insider | Transaction | Shares | Price | Value |
|---|---|---|---|---|---|
| 2026-09-29 | Awm Investment Company, Inc. |
Open-market sale | 18,000 | $11.52 | $207.3K |
| 2026-09-24 | Awm Investment Company, Inc. |
Open-market sale | 24,000 | $11.36 | $272.6K |
| 2026-09-23 | Awm Investment Company, Inc. |
Open-market sale | 1,000 | $11.25 | $11.2K |
| 2026-09-17 | Kenneweg John |
Option exercise |
5,257 | $0.96 | $5.0K |
| 2026-09-17 | Kenneweg John |
Open-market sale |
5,257 | $10.22 | $53.7K |
| 2026-09-16 | Kenneweg John |
Option exercise |
21,399 | $0.96 | $20.5K |
| 2026-09-16 | Kenneweg John |
Open-market sale |
21,399 | $10.11 | $216.3K |
| 2026-09-15 | Kenneweg John |
Option exercise |
1,000 | $0.96 | $960 |
| 2026-09-15 | Kenneweg John |
Open-market sale |
1,000 | $10.00 | $10.0K |
| 2026-09-02 | Brown Christopher D. |
Open-market sale |
30,000 | $10.58 | $317.4K |
| 2026-08-25 | Griffith Joseph H. Iv |
Open-market sale |
11,459 | $10.95 | $125.5K |
| 2026-08-21 | Awm Investment Company, Inc. |
Open-market sale | 41,578 | $10.61 | $441.1K |
| 2026-08-20 | Awm Investment Company, Inc. |
Open-market sale | 8,422 | $10.52 | $88.6K |
| 2026-08-17 | Knopp Kevin J. |
Open-market sale |
20,000 | $10.35 | $207.0K |
| 2026-08-13 | Knopp Kevin J. |
Open-market sale |
7,622 | $10.06 | $76.7K |
| 2026-08-12 | Knopp Kevin J. |
Open-market sale |
2,747 | $10.07 | $27.7K |
| 2026-08-11 | Brown Christopher D. |
Open-market sale |
8,358 | $9.23 | $77.1K |
| 2026-08-11 | Knopp Kevin J. |
Open-market sale |
30,170 | $10.16 | $306.5K |
| 2026-08-11 | Knopp Kevin J. |
Open-market sale |
115,748 | $9.83 | $1.1M |
| 2026-08-10 | Brown Christopher D. |
Open-market sale |
9,442 | $9.03 | $85.3K |
| 2026-08-10 | Knopp Kevin J. |
Open-market sale |
348 | $9.06 | $3.2K |
| 2026-08-05 | Brown Christopher D. |
Open-market sale |
20,000 | $8.49 | $169.8K |
| 2026-08-04 | Awm Investment Company, Inc. |
Open-market sale | 50,000 | $8.36 | $418.0K |
| 2026-08-01 | Vann Brandi C |
Option exercise | 5,192 | — | — |
| 2026-07-02 | Knopp Kevin J. |
Open-market sale |
222 | $9.07 | $2.0K |
| 2026-07-02 | Brown Christopher D. |
Open-market sale |
2,200 | $9.02 | $19.8K |
| 2026-06-30 | Brown Christopher D. |
Open-market sale |
20,000 | $8.84 | $176.8K |
| 2026-06-26 | Knopp Kevin J. |
Open-market sale |
2,798 | $9.09 | $25.4K |
| 2026-06-25 | Knopp Kevin J. |
Open-market sale |
16,388 | $9.10 | $149.1K |
| 2026-06-25 | Leonhart Michele M. |
Option exercise | 6,486 | — | — |
| 2026-06-24 | Knopp Kevin J. |
Open-market sale |
40,535 | $9.14 | $370.5K |
| 2026-06-23 | Brown Christopher D. |
Open-market sale |
9,900 | $9.04 | $89.5K |
| 2026-06-23 | Knopp Kevin J. |
Open-market sale |
3,422 | $9.06 | $31.0K |
| 2026-06-23 | Awm Investment Company, Inc. |
Open-market sale | 3,050 | $9.00 | $27.4K |
| 2026-06-22 | Awm Investment Company, Inc. |
Open-market sale | 4,668 | $8.99 | $42.0K |
| 2026-06-10 | Leonhart Michele M. |
Option exercise | 14,083 | — | — |
| 2026-06-10 | Hrusovsky E Kevin |
Option exercise | 14,083 | — | — |
| 2026-06-10 | Hunt Anthony |
Option exercise | 14,083 | — | — |
| 2026-06-10 | Eloi Fenel M |
Option exercise | 14,083 | — | — |
| 2026-06-10 | Crandell Keith |
Option exercise | 14,083 | — | — |
| 2026-06-10 | Spoto Mark |
Option exercise | 14,083 | — | — |
| 2026-06-04 | Brown Christopher D. |
Open-market sale |
100 | $9.00 | $900 |
| 2026-06-04 | Awm Investment Company, Inc. |
Open-market sale | 39,782 | $8.97 | $356.8K |
| 2026-06-03 | Brown Christopher D. |
Open-market sale |
20,000 | $8.73 | $174.6K |
| 2026-06-02 | Awm Investment Company, Inc. |
Open-market sale | 2,500 | $8.95 | $22.4K |
| 2026-05-28 | Awm Investment Company, Inc. |
Open-market sale | 170,442 | $8.66 | $1.5M |
| 2026-05-28 | Griffith Joseph H. Iv |
Open-market sale |
6,940 | $9.03 | $62.7K |
| 2026-05-28 | Brown Christopher D. |
Open-market sale |
30,000 | $9.00 | $270.0K |
| 2026-05-27 | Awm Investment Company, Inc. |
Open-market sale | 1,500 | $8.25 | $12.4K |
| 2026-05-27 | Awm Investment Company, Inc. |
Open-market sale | 15,000 | $8.25 | $123.8K |
| 2026-05-11 | Awm Investment Company, Inc. |
Open-market sale | 5,000 | $8.25 | $41.2K |
| 2026-05-08 | Kenneweg John |
Open-market sale | 18,255 | $8.11 | $148.0K |
| 2026-05-08 | Awm Investment Company, Inc. |
Open-market sale | 3,025 | $8.20 | $24.8K |
| 2026-05-07 | Awm Investment Company, Inc. |
Open-market sale | 12,819 | $8.20 | $105.1K |
| 2026-05-06 | Awm Investment Company, Inc. |
Open-market sale | 57,365 | $8.06 | $462.4K |
| 2026-05-06 | Awm Investment Company, Inc. |
Open-market sale | 5,000 | $8.00 | $40.0K |
| 2026-05-06 | Brown Christopher D. |
Open-market sale |
20,000 | $7.23 | $144.6K |
| 2026-05-01 | Kenneweg John |
Open-market sale | 7,787 | $6.83 | $53.2K |
| 2026-05-01 | Kenneweg John |
Option exercise | 26,042 | — | — |
| 2026-04-10 | Mccallion Kevin J. |
Option exercise |
2,693 | $1.05 | $2.8K |
Well-known investors holding MASS (13F)
| Investor | Quarter | Shares | Reported value | % of their 13F | Change vs prior quarter |
|---|---|---|---|---|---|
| ARK Investment Management (Cathie Wood) | 2026-06-30 | 2,027,920 | $17.6M | 0.11% | Added 4% |
| First Eagle Investment Management | 2026-06-30 | 929,985 | $8.1M | 0.01% | Added 16% |
| Renaissance Technologies | 2026-06-30 | 191,900 | $1.7M | 0.0% | Reduced 17% |
| AQR Capital Management (Cliff Asness) | 2026-06-30 | 103,909 | $904.0K | 0.0% | No change |
| Millennium Management (Israel Englander) | 2026-06-30 | 142,422 | $871.6K | — | Sold out |
| D. E. Shaw & Co. | 2026-06-30 | 75,446 | $656.4K | 0.0% | New position |
| Citadel Advisors (Ken Griffin) | 2026-06-30 | 62,747 | $545.9K | 0.0% | Reduced 57% |
| Two Sigma Investments | 2026-06-30 | 44,127 | $270.1K | — | Sold out |