On August 4, 2021 NanoString Technologies, Inc. (NASDAQ:NSTG), a leading provider of life science tools for discovery and translational research, reported financial results for the second quarter ended June 30, 2021 (Press release, NanoString Technologies, AUG 4, 2021, View Source [SID1234585710]).

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Second Quarter Financial Highlights

Product and service revenue of $33.6 million, 59% year-over-year growth
Instrument revenue of $11.8 million, 21% year-over-year growth. Instrument revenue includes $7.4 million of GeoMx Digital Spatial Profiler (DSP) instrument revenue
Consumables revenue of $18.0 million, 115% year-over-year growth. Consumables revenue includes $3.8 million GeoMx DSP consumables revenue
Service revenue of $3.8 million, 29% year-over-year growth
Cash, cash equivalents and short-term investments of $398.0 million at June 30, 2021
"The momentum behind our spatial biology franchise continues to increase with each quarter. We generated record orders for GeoMx DSP systems in the second quarter and the launch of our Whole Transcriptome Atlases have driven a steady increase in GeoMx consumable pull-through. Our Spatial Molecular Imager has been garnering strong interest from a diverse set of researchers, including both existing GeoMx users and single cell researchers who are just beginning to embrace spatial biology," said Brad Gray, president & CEO of NanoString. "Meanwhile, our nCounter franchise achieved a major milestone with our one thousandth instrument placement and we’re proud of the continued scientific contribution from nCounter, with customers generating more than 300 new peer-reviewed publications in the second quarter."

GeoMx DSP

GeoMx Installed Base: Grew installed base to approximately 190 GeoMx DSP Systems at June 30, 2021, as compared to approximately 65 at June 30, 2020
GeoMx Mouse Whole Transcriptome Atlas: Began commercial shipments of the GeoMx Mouse Whole Transcriptome Atlas in the second quarter, which provides high throughput RNA profiling in the primary model organism for discovery research
GeoMx Technology Access Program (TAP): Generated approximately 90 new GeoMx TAP orders in the second quarter, of which over 70% utilized GeoMx Whole Transcriptome Atlas products
GeoMx Publications: Increased cumulative peer-reviewed publications to approximately 60 as of June 30, 2021, with approximately 10 new publications during the quarter
nCounter

nCounter Installed Base: Grew installed base to approximately 1,015 nCounter Analysis Systems at June 30, 2021, as compared to approximately 890 systems at June 30, 2020
nCounter Publications: Surpassed 4,600 cumulative peer-reviewed publications utilizing nCounter technology at June 30, 2021
Stem Cell Characterization Panel Launch: Launched the nCounter Stem Cell Characterization Panel for the analysis and optimization of stem cell lines used in the development of potential novel therapeutics
Parker Institute for Cancer Immunotherapy Collaboration: Announced a collaboration with Parker Institute for Cancer Immunotherapy, which will utilize nCounter technology to characterize cellular therapy regimens that may improve patient outcomes across all cancer types
2021 Outlook

The company updated its revenue outlook for 2021, with results expected as follows:

GeoMx DSP revenue of $48 to $50 million, as compared to previous guidance of $45 to $50 million, based on strong consumable utilization at NGS-enabled sites
nCounter revenue, inclusive of all service revenue, of $95 to $97 million, as compared to previous guidance of $95 to $100 million, reflecting strong demand in North America partially offset by a slower pace of pandemic recovery in EMEA and APAC
Total product and service revenue of $143 to $147 million, as compared to previous guidance of $140 to $150 million
The company reiterated its full-year outlook on gross margin, operating expenses and adjusted EBITDA.

Second Quarter Financial Results

We have elected to present selected non-GAAP, or adjusted, financial measures, including Adjusted EBITDA. These adjusted financial measures are calculated excluding certain items that may make it more challenging to compare our GAAP operating results across periods. Such items may include collaboration revenue, stock-based compensation, depreciation and amortization, or one-time charges such as transaction related fees and expenses or restructuring charges and severance costs. A reconciliation of adjusted financial measures to the nearest comparable GAAP financial measure can be found in the notes and table at the end of this press release.

Supplemental Information

As a supplement to the table above, we have posted to the investor relations section of our website, at www.nanostring.com, supplemental financial data that includes our adjusted financial measures as compared to the nearest comparable GAAP financial measures, for the second quarter and the six months ended June 30, 2021 and for each quarter of and the full year of 2020.

Conference Call

Management will host a conference call today beginning at 1:30 pm PT / 4:30 pm ET to discuss these results and answer questions. Investors and other interested parties can register for the call in advance by visiting View Source After registering, an email confirmation will be sent, including dial-in details and unique conference call codes for entry. Registration is open throughout the call, but to ensure connection for the full call, registration in advance is recommended. The link to the webcast and audio replay will be made available at the Investor Relations website: www.nanostring.com. A replay of the call will be available beginning August 4, 2021 at 7:30pm ET through midnight ET on August 11, 2021. To access the replay, dial (800) 585-8367 or (416) 621-4642 and reference Conference ID: 3414117. The webcast will also be available on our website for one year following the completion of the call.