Quanterix Corporation Releases Operating Results for First Quarter 2019

64% Q1 revenue growth and 650 bps gross margin improvement

LEXINGTON, Mass.–(BUSINESS WIRE)–Quanterix
Corporation (NASDAQ:QTRX), a company digitizing biomarker analysis
to advance the science of precision health, today announced financial
results for the three months ended March 31, 2019.

“We’ve made strong progress over the past quarter, which now marks our
sixth consecutive quarter since the IPO of accelerated growth. In
addition, we are achieving important goals in neurology and now oncology
with the launch of our new SP-X™ Imaging and Detection System,” said
Kevin Hrusovsky, Chief Executive Officer, President and Chairman,
Quanterix. “There is mounting evidence supporting our Simoa technology’s
potential to transform virtually every category of medicine. The extreme
precision and sensitivity of our expanding portfolio of instruments and
platforms is fueling new insights on drug targets, disease progression
biomarkers and new opportunities for patient stratification for clinical
trials, transforming traditional approaches to drug development and
precision medicine.”

First Quarter 2019 Financial Highlights

Key financial results for the first quarter are shown below:

• Q1 revenue of $12.3M versus prior year Q1 of $7.5M, an increase of 64%.
• Q1 instrument revenue of $3.4M versus prior year Q1 of $2.0M, an
  increase of 70%.
• Q1 consumables revenue was $6.1M versus prior year Q1 of $2.7M, an
  increase of 124%.
• Q1 Service and Other revenue totaled $2.8M versus prior year Q1 of
  $2.5M, an increase of 11%.
• Q1 gross margin was 48.7%, a 650 basis point improvement over the
  42.2% in Q1 2018.

First Quarter 2019 Business Highlights

• Extended its footprint in oncology with the accelerated launch of its Simoa
  SP-X™ Imaging and Detection System, 10-Plex Simoa CorPlex Cytokine
  Panel, and broad menu of additional multiplex panels to further
  revolutionize cancer research, immunotherapy monitoring, and drug
  development.
• Expanded its leadership team with the
  hiring of Amol Chaubal as Chief Financial Officer (CFO), formerly
  the CFO of Global Operations at Smith & Nephew and North America CFO –
  Novartis Vaccines & Diagnostics, bringing with him more than 20 years
  of experience in diagnostics, pharmaceutical services and medical
  devices.
• Increased citations in peer-reviewed publications of scientific
  research further validating Simoa’s capabilities in oncology and
  neurology with several groundbreaking studies, including a seminal
  study in Nature,
  which used Simoa to show that the biomarker LIF can be a reliable
  marker to help monitor the progression of pancreatic cancer. This was
  widely covered for its potential to help diagnose the disease more
  quickly and efficiently, and was proposed as a promising new target to
  assist in drug development. Another
  study using Simoa was published in Nature showing that elevated
  Nf-L levels were present in blood 16 years before the diagnosis of
  Alzheimer’s disease, demonstrating promise as part of an earlier
  diagnostic work-up. In total, Quanterix increased its number of
  third-party, peer-reviewed publications by 61, its strongest quarter
  ever, to a total of more than 500.
• Presented at the 37^th Annual J.P. Morgan Healthcare
  Conference for the third year in a row, detailing Quanterix’
  significant growth in its first year since becoming a public company.
• Presented and sponsored exhibits at critical industry conferences on
  the vital role of biomarkers to advance disease detection and
  therapeutics, including the 14^th Annual Biomarkers
  Congress, Type 2 Immunity in Homeostasis and Disease, Molecular Med
  Tri-Con, 8^th Global Reverse Phase Protein Array Workshop,
  the 14^th International Conference on Alzheimer’s and
  Parkinson’s Diseases and American Association for Cancer Research
  Conference.
• Invited to speak at leading healthcare investor conferences including
  the 21^st
  Annual Needham Growth Conference, the 8^th
  Annual Leerink Partners Global Healthcare Conference, and the 39^th
  Annual Cowen and Company Health Care Conference.
• Served as lead sponsor of the Boston, Mass. screening of “VINCIBLE The
  Documentary” – an inspiring true story that profiles the lives of
  several young adult cancer survivors who have lost their youth to the
  devastating disease.

Conference Call

In conjunction with this announcement, Quanterix Corporation will host a
conference call on May 9, 2019, at 4:30 p.m., EDT to discuss the
Company’s financial results and business outlook. To access this call,
dial (833) 686-9351 for domestic callers, or (612) 979-9890 for
international callers. Please reference the following conference ID:
8955828.

A live webcast will be accessible on the Investors section of Quanterix’
website: http://www.quanterix.com.
The webcast will be available on the Company’s website for one year
following completion of the call.

Financial Highlights (in thousands)
Quarterly Statement of Operations
				Q1 2019					Q1 2018
Product Revenue				$9,547					$4,745
Service and other revenue				2,790					2,507
Collaboration revenue				0					269
Total revenue				$12,337					$7,521
Cost of product revenue				$4,248					$2,773
Cost of service revenue				2,082					1,576
Gross profit				$6,007					$3,172
Research and development				$3,684					$3,573
Selling, general and administrative				10,381					6,055
Stock comp expenses included in operating expenses				1,299					707
Total operating expenses				$15,364					$10,335
Interest income (expense), net				$21					($24	)
Other income (expense), net				(47	)				(15	)
Loss before income tax				($9,383	)				($7,202	)
Other income (expense), net				22					0
Net loss				($9,405	)				($7,202	)

Quanterix Balance Sheet
				03/31/2019					12/31/2018
Cash and cash equivalents				$33,972					$44,429
AR				7,303					6,792
Inventory				7,742					5,945
Prepaid and other				2,502					2,330
Total current assets				$51,519					$59,496
Restricted Cash				$1,019					$1,000
Property and equipment, net				8,582					2,923
Intangible assets and goodwill				3,506					3,656
Other non-current assets				550					536
Total assets				$65,176					$67,611
Accounts payable / accrued expenses				$11,039					$12,688
Deferred revenue				5,484					5,437
Current portion of long term debt				75					0
Lease incentive obligation				461					0
Total current liabilities				$17,059					$18,125
Deferred revenue, net of current portion				$431					$520
Long term debt				7,572					7,623
Lease incentive obligation, net of current portion				4,804					0
Other non-current liabilities				1,095					278
Total Liabilities				$30,961					$26,546
Total stockholder equity				$34,215					$41,065
Total liabilities and shareholders equity				$65,176					$67,611

About Quanterix
Quanterix is a company that’s digitizing
biomarker analysis with the goal of advancing the science of precision
health. The company’s digital health solution, Simoa, has the potential
to change the way in which healthcare is provided today by giving
researchers the ability to closely examine the continuum from health to
disease. Quanterix’ technology is designed to enable much earlier
disease detection, better prognoses and enhanced treatment methods to
improve the quality of life and longevity of the population for
generations to come. The technology is currently being used for research
applications in several therapeutic areas, including oncology,
neurology, cardiology, inflammation and infectious disease. The company
was established in 2007 and is located in Lexington, Massachusetts. For
additional Information, please visit https://www.quanterix.com.

Forward-Looking Statements
This press release contains
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. Words such as “may,” “will,” “expect,”
“plan,” “anticipate,” “estimate,” “intend” and similar expressions (as
well as other words or expressions referencing future events, conditions
or circumstances) are intended to identify forward-looking statements.
Forward-looking statements in this news release are based on Quanterix’
expectations and assumptions as of the date of this press release. Each
of these forward-looking statements involves risks and uncertainties.
Factors that may cause Quanterix’ actual results to differ from those
expressed or implied in the forward-looking statements in this press
release are discussed in Quanterix’ filings with the U.S. Securities and
Exchange Commission, including the “Risk Factors” sections contained
therein. Except as required by law, Quanterix assumes no obligation to
update any forward-looking statements contained herein to reflect any
change in expectations, even as new information becomes available.

Contacts

Quanterix, Inc.
Amol Chaubal, CFO, 617-301-9495
achaubal@quanterix.com

PAN Communications
Lindsay Poole, 617-502-4300
quanterix@pancomm.com