Second Quarter 2022 Financial Results
Revenue for the second quarter was $242.7 million, representing an 11% increase over the same period in the prior year and was driven by the following:
Nucleic Acid Production revenue was $225.2 million for the second quarter, representing a 17% increase year-over-year and reflecting an estimated $177.6 million of COVID-19 related CleanCap revenue. The increase in Nucleic Acid Production revenue was the result of continued strong demand for our proprietary CleanCap analogs for COVID-19 vaccines and increased demand for mRNA products as this technology becomes incorporated into more therapeutic and vaccine development programs for a variety of indications. Biologics Safety Testing revenue was $17.5 million for the second quarter, representing a 4% decrease year-over-year. Net income and Adjusted EBITDA (non-GAAP) were $156.7 million and $188.5 million, respectively, for the second quarter of 2022, compared to $134.5 million and $164.4 million, respectively, for the second quarter of the prior year. Six Months Ended June 30, 2022 Financial Results
Revenue for the six months ended June 30, 2022 was $487.0 million, representing a 33% increase over the same period in the prior year and was driven by the following:
Nucleic Acid Production revenue was $448.9 million for the six months ended June 30, 2022, representing a 42% increase year-over-year and reflecting $349.6 million of COVID-19 related CleanCap revenue. Biologics Safety Testing revenue was $38.1 million for the six months ended June 30, 2022, representing a 6% increase year-over-year. Net income and Adjusted EBITDA (non-GAAP) were $303.6 million and $375.5 million, respectively, for the six months ended June 30, 2022, compared to $210.0 million and $265.3 million, respectively, for the same period last year. Updated Financial Guidance for 2022
Our updated financial guidance for the full year 2022 is based on expectations for our existing business and does not include the financial impact of potential new acquisitions, if any, or items that have not yet been identified or quantified. This guidance is subject to a number of risks, uncertainties and other factors, including those identified in “Forward-looking Statements” below. Total revenue for 2022 is projected to be in the range of $880.0 million to $910.0 million, reflecting overall growth of 10% to 14%. Adjusted EBITDA (non-GAAP) is now expected to be in the range of $640.0 million to $660.0 million. Adjusted fully diluted EPS (non-GAAP) is now expected to be in the range of $1.70 - $1.80 per share. Adjusted fully diluted EPS (non-GAAP) is based on the assumption that all the units of Maravai Topco Holdings, LLC (paired with the corresponding shares of Class B common stock) are converted to shares of Class A common stock. The net income included in the Adjusted fully diluted EPS (non-GAAP) has been adjusted to eliminate the net income attributable to non-controlling interest as a result of the assumed full conversion of the units of Maravai Topco Holdings, LLC (paired with the corresponding shares of Class B common stock) for shares of Class A common stock and is further adjusted for certain items that we do not believe directly reflect our core operations. All such adjustments have been tax effected at the midpoint of an assumed statutory tax rate of 24%. Maravai cannot provide guidance for the most closely comparable GAAP measures or reconciliations for the non-GAAP financial measures included in the updated 2022 guidance above because we are unable to provide a meaningful or accurate calculation or estimation of certain reconciling items without unreasonable effort. This is due to the inherent difficulty in forecasting and quantifying certain amounts that are necessary for such reconciliation, including net income attributable to noncontrolling interest, variations in effective tax rate, expenses to be incurred for acquisition activities, and the diluted weighted average number of shares of Class A common stock outstanding for the applicable period from potential proforma exchanges of outstanding Maravai Topco Holdings, LLC units (paired with shares of Class B common stock) for shares of Class A common stock. Thus, we are unable to present a quantitative reconciliation of the aforementioned forward-looking non-GAAP financial measures to their most directly comparable forward-looking GAAP financial measures because such information is not available. However, 2022 interest expense is expected to be in the range of $22.0 million to $25.0 million, 2022 depreciation and amortization is expected to be in the range of $30.0 million to $35.0 million, and 2022 stock-based compensation is expected to be in the range of $18.0 million to $20.0 million. MARAVAI LIFESCIENCES HOLDINGS, INC.
As adjusted to reflect the impact of the adoption of ASC 842. (1) Refers to the change in fair value of performance payments related to the acquisition of MyChem, LLC, which was completed in January 2022. (2) Refers to incremental costs incurred to execute and integrate completed acquisitions, and retention payments in connection with these acquisitions. (3) Refers to non-cash expense associated with stock-based compensation. (4) Refers to diligence, legal, accounting, tax and consulting fees incurred associated with acquisitions that were not consummated. (5) Refers to transaction costs related to the refinancing of our long-term debt and costs from our secondary offering that are not capitalizable or cannot be offset against proceeds from such transactions. (6) Refers to non-cash expense associated with adjustments to the indemnification asset recorded in connection with the acquisition of MyChem. (7) Refers to the gain related to the adjustment of our Tax Receivable Agreement liability primarily due to changes in our estimated state apportionment and the corresponding reduction of our estimated state tax rate. (8) Refers to the loss recognized during the period associated with certain working capital and other adjustments for the sale of Vector Laboratories, Inc., which was completed in September 2021, and the non-cash expense incurred on extinguishment of debt. (9) Represents additional corporate income taxes at an assumed effective tax rate of of 23.7% for the three and six months ended June 30, 2022 and 23.9% for the three and six months ended June 30, 2021, applied to additional net income attributable to Maravai LifeSciences Holdings, Inc. from the assumed proforma exchange of all outstanding shares of Class B common stock for shares of Class A common stock. (10) Represents income tax impact of non-GAAP adjustments and assumed proforma exchange of all outstanding Class B common stock for shares of Class A common stock at an assumed effective tax rate of 23.7% for the three and six months ended June 30, 2022 and 23.9% for the three and six months ended June 30, 2021. (11) Represents income tax benefits at Maravai LifeSciences Holdings, Inc. related to the income tax treatment of income derived from sales to foreign-domiciled customers. (12) Represents tax benefits due to the amortization of intangible assets and other tax attributes resulting from the tax basis step up associated with the purchase or exchange of Maravai Topco Holdings, LLC units and Class B common stock, net of payment obligations under the tax receivable agreement. Non-GAAP Financial Information
This press release contains financial measures that have not been calculated in accordance with accounting principles generally accepted in the U.S. (GAAP). These non-GAAP measures include: Adjusted EBITDA and Adjusted fully diluted Earnings Per Share (EPS). We define Adjusted EBITDA as net income before interest, taxes, depreciation and amortization and adjustments to exclude, as applicable: (i) adjustments to acquisition contingent consideration; (ii) incremental costs incurred to execute and integrate completed acquisitions, and associated retention payments; (iii) charges for in-process research and development associated with completed acquisitions; (iv) non-cash expenses related to share-based compensation; (v) gain or loss on the sale of businesses; (vi) gain on sale and leaseback transactions; (vii) expenses incurred for acquisitions that were not consummated (including legal, accounting and professional consulting services); (viii) transaction costs incurred for the initial public offering, secondary public offerings, and debt refinancings; (ix) non-cash expense incurred on loss on extinguishment of debt; (x) loss or (income) recognized during the applicable period due to changes in the tax receivable agreement liability; and (xi) non-cash expense recorded for acquisition related tax adjustments. We define Adjusted Net Income as tax-effected earnings before the adjustments described above, and the tax effects of those adjustments. We define Adjusted Diluted EPS as Adjusted Net Income divided by the diluted weighted average number of shares of Class A common stock outstanding for the applicable period, which assumes the proforma exchange of all outstanding units of Maravai Topco Holdings, LLC (paired with shares of Class B common stock) for shares of Class A common stock. These non-GAAP measures are supplemental measures of operating performance that are not prepared in accordance with GAAP and that do not represent, and should not be considered as, an alternative to net income, as determined in accordance with GAAP. We use these non-GAAP measures to understand and evaluate our core operating performance and trends and to develop short-term and long-term operating plans. We believe the measures facilitate comparison of our operating performance on a consistent basis between periods and, when viewed in combination with our results prepared in accordance with GAAP, help provide a broader picture of factors and trends affecting our results of operations. These non-GAAP financial measures have limitations as an analytical tool, and you should not consider them in isolation, or as a substitute for analysis of our results as reported under GAAP. Because of these limitations, they should not be considered as a replacement for net income, as determined by GAAP, or as a measure of our profitability. We compensate for these limitations by relying primarily on our GAAP results and using non-GAAP measures only for supplemental purposes. The non-GAAP financial measures should be considered supplemental to, and not a substitute for, financial information prepared in accordance with GAAP. Conference Call and Webcast
Maravai’s management will host a conference call today at 2:00 p.m. PT/ 5:00 p.m. ET to discuss its financial results for the second quarter of fiscal year 2022. Approximately 10 minutes before the call, dial (877) 407-0890 or (201) 389-0918 and reference Maravai LifeSciences. The call will also be available via live or archived webcast on the "Investors" section of the Maravai web site at https://investors.maravai.com/ . About Maravai
Maravai is a leading life sciences company providing critical products to enable the development of drug therapies, diagnostics and novel vaccines and to support research on human diseases. Maravai’s companies are leaders in providing products and services in the fields of nucleic acid synthesis and biologics safety testing to many of the world's leading biopharmaceutical, vaccine, diagnostics, and cell and gene therapy companies. For more information about Maravai LifeSciences, visit www.maravai.com . Forward-looking Statements
This press release contains, and our officers and representatives may from time-to-time make, “forward-looking statements” within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Investors are cautioned that statements in this press release which are not strictly historical statements constitute forward-looking statements, including, without limitation, statements regarding our financial guidance for 2022; our expectations for growth and profitability; our ability to make investments in research and development, capacity and people; our predictions regarding demand for our products; growth opportunities; and future innovations, constitute forward-looking statements and are identified by words like “believe,” “expect,” “may,” “will,” “should,” “seek,” “anticipate,” or “could” and similar expressions. Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Therefore, you should not rely on any of these forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following:
Certain of our products are used by customers in the production of vaccines and therapies, some of which represent relatively new and still-developing modes of treatment. Unforeseen adverse events, negative clinical outcomes, development of alternative therapies or increased regulatory scrutiny of these vaccines and therapies and their financial cost may damage public perception of the safety, utility, or efficacy of these vaccines and therapies or other modes of treatment and may harm our customers’ ability to conduct their business. Such events may negatively impact our revenue and have an adverse effect on our performance. Continued demand for our COVID-19 related products and services, which currently comprise a significant portion of our revenue, may decrease as populations are vaccinated, the COVD-19 pandemic subsides or antiviral therapeutic alternatives are developed successfully. We are dependent on our customers’ spending on and demand for outsourced nucleic acid production and biologics safety testing products and services. A reduction in spending or demand could have a material adverse effect on our business, financial condition, results of operations, cash flows and prospects. We compete with life science, pharmaceutical and biotechnology companies who are substantially larger than we are and potentially capable of developing new approaches that could make our products, services and technology obsolete. We depend on a limited number of customers for a high percentage of our revenue. If we cannot maintain our current relationships with customers, fail to sustain recurring sources of revenue with our existing customers, or if we fail to enter into new relationships, our future operating results will be adversely affected. We rely on a limited number of suppliers or, in some cases, sole suppliers, for some of our raw materials and may not be able to find replacements or immediately transition to alternative suppliers. Such other factors as discussed throughout the “Risk Factors” section of our Annual Report on Form 10-K for the year ended December 31, 2021, our Quarterly Report on Form 10-Q for the quarter-ended March 31, 2022, as well as other documents on file with the Securities and Exchange Commission. Any forward-looking statement made by us in this release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.

CORRECTION: Maravai Lifesciences Reports Second Quarter 2022 Financial Results

(marketscreener.com) Presenter SpeechMatthew Sykes Hello, everyone. My name is Matthew Sykes, I'm the Life Science Tools and Diagnostics analyst at Goldman Sachs, and the pleasure of welcoming Maravai Life Sciences here this afternoon. Kevin Herde, the Executive Vice President and CFO. Kevin, thank you very much for joining us today.Presenter SpeechKevin Herde Great....https://www.marketscreener.com/quote/stock/MARAVAI-LIFESCIENCES-HOLD-115395180/news/Transcript-Maravai-LifeSciences-Holdings-Inc-Presents-at-Goldman-Sachs-43rd-Annual-Global-Health-40724306/?utm_medium=RSS&utm_content=20220614

Transcript : Maravai LifeSciences Holdings, Inc. Presents at Goldman Sachs 43rd Annual Global Healthcare Conference, Jun-14-2022 02:40 PM

Maksim Labkouski/iStock via Getty Images
Maravai LifeSciences (NASDAQ: MRVI ) rose 6.3% after a report that the life sciences company is working with a banker after takeover interest. Two U.S. companies are said to be interested in Maravai ( MRVI ), according to a Betavile "uncooked" alert. Not clear if the bidders will formalize offers for the company. The latest report comes after Betaville last month said MRVI was weighing a new buyout offer from German laboratory supplier Sartorius AG. In February, Maravai ( MRVI ) shares jumped after Reuters reported that Sartorius made an $11 billion acquisition offer for the U.S.-based company. However, Maravai ( MRVI ) turned down the all-cash offer of $42 per share as insufficient. On Thursday, Maravai LifeSciences Holdings reported Q1 non-GAAP EPS of $0.54 beats by $0.10, revenue of $244.29M beats by $12M. To ensure this doesn’t happen in the future, please enable Javascript and cookies in your browser.

Maravai LifeSciences gains after speculation on takeover interest

04/08/2022 | 04:03pm EDT
Message :
*Required fields
(Reuters) -     GTCR LLC and Clayton, Dubilier & Rice (CD&R) are among private equity firms that have expressed interest in acquiring U.S. medical device manufacturer Merit Medical Systems Inc, according to people familiar with the matter. GTCR has informed Merit Medical it would be willing to pay $72 to $75 per share, one of the sources said. Merit Medical shares were trading at around $61 before Reuters reported on March 9 that the company was exploring a sale. Other private equity firms could also express interest in Merit Medical and there is no certainty that any deal will be reached, the sources said. Should there be a deal, it could come as early as May, the sources added, asking not to be identified because the matter is confidential. Spokespeople for GTCR and CD&R declined to comment. A Merit Medical spokesperson did not immediately respond to requests for comment. Merit Medical manufactures and sells devices and instruments used in cardiology, radiology, oncology, critical care and endoscopy. The South Jordan, Utah-based company previously attracted the interest of activist hedge fund Starboard Value LP, which clinched an agreement in 2020 to shake up Merit's board of directors. Both GTCR and CD&R are prolific investors in health and medical device businesses and have been seeking to capitalize on a wave of consolidation sweeping the industry. One of GTCR's portfolio companies, vaccine reagent provider Maravai LifeSciences Holdings Inc, turned down an $11 billion acquisition offer from laboratory supplies vendor Sartorius AG in February, sources told Reuters at the time. It remains possible that the companies will negotiate a deal. (Reporting by Chibuike Oguh in New York; Editing by Chizu Nomiyama)
By Chibuike Oguh

Exclusive-Buyout firms GTCR, CD&R circle Merit Medical -sources

By Chibuike Oguh
04/08/22 AT 3:37 PM
GTCR LLC and Clayton, Dubilier & Rice (CD&R) are among private equity firms that have expressed interest in acquiring U.S. medical device manufacturer Merit Medical Systems Inc, according to people familiar with the matter. GTCR has informed Merit Medical it would be willing to pay $72 to $75 per share, one of the sources said. Merit Medical shares were trading at around $61 before Reuters reported on March 9 that the company was exploring a sale. Other private equity firms could also express interest in Merit Medical and there is no certainty that any deal will be reached, the sources said. Should there be a deal, it could come as early as May, the sources added, asking not to be identified because the matter is confidential. Spokespeople for GTCR and CD&R declined to comment. A Merit Medical spokesperson did not immediately respond to requests for comment. Merit Medical manufactures and sells devices and instruments used in cardiology, radiology, oncology, critical care and endoscopy. The South Jordan, Utah-based company previously attracted the interest of activist hedge fund Starboard Value LP, which clinched an agreement in 2020 to shake up Merit's board of directors. Both GTCR and CD&R are prolific investors in health and medical device businesses and have been seeking to capitalize on a wave of consolidation sweeping the industry. One of GTCR's portfolio companies, vaccine reagent provider Maravai LifeSciences Holdings Inc, turned down an $11 billion acquisition offer from laboratory supplies vendor Sartorius AG in February, sources told Reuters at the time. It remains possible that the companies will negotiate a deal. © Copyright Thomson Reuters 2022. All rights reserved. Join the Discussion

Exclusive-Buyout Firms GTCR, CD&R Circle Merit Medical -sources

TriLink manufactures oligonucleotides, modified nucleoside triphosphates, mRNA and long RNA.

TriLink BioTechnologies

TriLink BioTechnologies 's second expansion provides these innovators with a single qualified and complete production partner for their nucleic acid and small molecule research and clinical programs , '' said Carl Hull , CEO of Maravai LifeSciences .

Maravai LifeSciences Expands TriLink BioTechnologies CleanCap® mRNA Capping Capacity and Adds New Plasmid DNA Manufacturing — Maravai

Berkeley Lights

dosist

CareFusion

TaylorMade Golf

NuVasive

Life Technologies

Dell Technologies

PepsiCo

Harris Bank

Affymetrix

Eksigent Technologies

Stratagene

Amersham Biosciences

Chemdex

Pharmacia

Funding Date

Pre-Money Valuation

Post-Money Valuation

Amount Raised

Shares Authorized

Issuance Price

Dividend Rate

Liquidation Preferences

Liquidation Price

Participation

Conversion Price

Anti Dilution

General Voting

Board Voting

Par Value

Private Equity

Debt

Maravai Life Sciences (NASDAQ: MRVI) was formed in March 2014 as a partnership between Carl Hull and Eric Tardif and GTCR. Maravai's mission is to build a transformative company in the in vitro diagnostics and life sciences tools markets by acquiring outstanding businesses in these spaces and accelerating their growth.

Maravai Life Sciences

Public

Thompson Street Capital Partners

Wells Fargo Success Story

3M Success Story

Platform Overview

Maravai Life Sciences

Maravai Life Sciences’s Customers

Work for Maravai Life Sciences?

Compete with Maravai Life Sciences?

Work for Maravai Life Sciences?

Discover the right solution for your team