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    RPID
    Earnings call· Jun 2026(Q2 FY26)

    RAPID MICRO BIOSYSTEMS Q2 FY26 earnings call RPID

    Aug 7, 2026 Source

    Executive summary

    Rapid Micro Biosystems Q2 FY26 — Record Consumables and Gross Margin Expansion

    Rapid Micro Biosystems delivered a strong Q2 FY26, surpassing revenue guidance with record consumable sales and significant gross margin expansion driven by operational efficiencies. The company is seeing increasing adoption of its GrowthDirect platform, expanding its installed base and recurring revenue, and is confident in its path to positive cash flow by the end of 2028, supported by strategic partnerships and industry tailwinds. Management reaffirmed full-year revenue and placement guidance while raising validation targets.

    Highlights

    5

    • Total revenue increased 11% to $8.1 million, exceeding guidance.

    • Consumable revenue and units reached new quarterly records, growing over 20% year-over-year.

    • Gross margin reached a record 15% in Q2, reflecting strong execution against margin expansion strategy.

    • Full-year validation guidance was increased to at least 27 systems.

    • Recurring revenue increased 14% to $5 million, driven by installed base expansion and utilization.

    Concerns

    3

    • Q2 product margin was slightly below expectations at negative 3% due to timing of softer revenue.

    • Adjusted EBITDA loss for Q2 was $10.3 million, compared to a loss of $10.1 million in Q2 last year.

    • Cash usage was higher in the first half of the year due to 100% cash collection from Q4 2025 placements in the prior quarter and inventory stocking.

    Guidance & targets

    22
    CategoryTargetConfidence
    Full-year 2026 Total Revenue
    $37M to $41M
    high materiality
    High
    Full-year 2026 System Placements
    30 to 38
    high materiality
    High
    Full-year 2026 Validations
    at least 27 systems
    medium materiality
    High
    Q3 2026 Revenue
    at least $9.5M
    medium materiality
    High
    Q3 2026 System Placements
    at least 7
    medium materiality
    High
    Q3 2026 Gross Margin Percentage
    at least 20%
    medium materiality
    High
    Q4 2026 Gross Margin Percentage
    mid to high 20% range
    medium materiality
    High
    Full-year 2026 Total Gross Margin
    approximately 20%
    medium materiality
    High
    Full-year 2026 Product Margin
    mid to high single digits
    low materiality
    High
    Full-year 2026 Service Margin
    between 45% and 50%
    low materiality
    High
    Full-year 2026 Operating Expenses
    $51M and $53M
    medium materiality
    High
    Full-year 2026 Non-Cash Expenses
    $8M
    low materiality
    High
    Full-year 2026 Capital Expenditures
    $1M
    low materiality
    High
    Full-year 2026 Interest Income
    $1M
    low materiality
    High
    Full-year 2026 Interest Expense
    $2M
    low materiality
    High
    Cash Usage Reduction (Efficiency Program)
    $1M
    medium materiality
    High
    Cash Usage Reduction (Efficiency Program)
    $3M annually
    medium materiality
    High
    Access to Debt Tranche (Trinity Capital)
    $10M
    high materiality
    High
    Access to Debt Tranche (Trinity Capital)
    another $10M
    high materiality
    Medium
    Positive Cash Flow
    positive cash flow
    high materiality
    High
    Average Annual Revenue Growth
    greater than 20%
    high materiality
    High
    Gross Margin
    50% or more
    high materiality
    High

    Operational metrics

    41
    Total Revenue
    $8.1Mup 11% YoY
    Q2 FY26

    Exceeded guidance provided in May.

    Total Revenue (Prior Period)
    $7.3M
    Q2 FY25

    Total revenue in the prior year period.

    Product Revenue
    $5.3Mup 10% YoY
    Q2 FY26

    Includes systems and consumables.

    Product Revenue (Prior Period)
    $4.8M
    Q2 FY25

    Product revenue in the prior year period.

    Consumable Growth
    >20%YoY
    Q2 FY26

    Driven by new customers moving into routine use and existing customers increasing pull-through.

    Service Revenue
    $2.8Mup 13% YoY
    Q2 FY26

    Contributed to stronger than expected service revenue growth.

    Service Revenue (Prior Period)
    $2.5M
    Q2 FY25

    Service revenue in the prior year period.

    Recurring Revenue
    $5Mup 14% YoY
    Q2 FY26

    Reflects continued expansion of installed base and strong system utilization.

    Recurring Revenue (Prior Period)
    $4.4M
    Q2 FY25

    Recurring revenue in the prior year period.

    Non-Recurring Revenue
    $3M
    Q2 FY26

    Primarily comprised of systems and validation revenue.

    Non-Recurring Revenue (Prior Period)
    $2.8M
    Q2 FY25

    Non-recurring revenue in the prior year period.

    Gross Margin
    $1.2M
    Q2 FY26

    Record gross margin in dollars.

    Gross Margin (Prior Period)
    $0.3M
    Q2 FY25

    Gross margin in the prior year period.

    Gross Margin Percentage
    15%
    Q2 FY26

    Record gross margin percentage, in line with guidance.

    Gross Margin Percentage (Prior Period)
    4%
    Q2 FY25

    Gross margin percentage in the prior year period.

    Product Margin
    -3%improved 8 percentage points
    Q2 FY26

    Includes systems, software, and consumables. Slightly below expectations due to timing of softer revenue.

    Product Margin (Prior Period)
    -11%
    Q2 FY25

    Product margin in the prior year period.

    Consumable Margin Improvement
    17YoY
    Q2 FY26

    Reflecting continued progress on margin expansion initiatives.

    Service Margin
    49%improved 17 percentage points
    Q2 FY26

    Record quarterly margin for service business.

    Service Margin (Prior Period)
    32%
    Q2 FY25

    Service margin in the prior year period.

    Total Operating Expenses
    $13.5M
    Q2 FY26

    Mainly due to non-recurring corporate expenses.

    Total Operating Expenses (Prior Period)
    $12.4M
    Q2 FY25

    Total operating expenses in the prior year period.

    R&D Expenses
    $3.3M
    Q2 FY26

    Part of total operating expenses.

    Sales and Marketing Expenses
    $3.4M
    Q2 FY26

    Part of total operating expenses.

    G&A Expenses
    $6.8M
    Q2 FY26

    Part of total operating expenses.

    Depreciation and Amortization Expense
    $0.7M
    Q2 FY26

    Non-cash expense.

    Stock-Based Compensation Expense
    $1.3M
    Q2 FY26

    Non-cash expense.

    Capital Expenditures
    de minimis
    Q2 FY26

    Minimal capital expenditures in the quarter.

    Interest Income
    $0.1M
    Q2 FY26

    Reported for the quarter.

    Interest Expense
    $0.6M
    Q2 FY26

    Reported for the quarter.

    Net Loss
    $12.9M
    Q2 FY26

    Compared to $11.9M in Q2 2025.

    Net Loss Per Share
    $0.27
    Q2 FY26

    In both Q2 FY26 and Q2 FY25.

    Adjusted EBITDA Loss
    $10.3M
    Q2 FY26

    Compared to a loss of $10.1M in Q2 FY25. Non-GAAP metric.

    Cash, Cash Equivalents, and Short-Term Investments
    $20M
    Q2 FY26

    Balance at the end of the second quarter.

    System Placements
    4
    Q2 FY26

    Number of Growth Direct systems placed.

    System Validations Completed
    9vs 2 in Q2 FY25
    Q2 FY26

    Validation activity exceeded expectations.

    Installed Base
    200
    Q2 FY26

    Significant milestone achieved with the 200th Growth Direct system placement.

    Fully Validated Systems Globally
    169
    Q2 FY26

    Strong validation pipeline entering the second half of the year.

    Consumable Shipment Milestone
    10 millionth
    Q3 FY26

    Expected to ship in the third quarter, highlighting growing adoption.

    Cash Collection from Q4 2025 Placements
    100%
    Q4 FY25

    Collected in Q4 2025, rather than Q1 2026 as normally expected, impacting H1 2026 cash usage.

    Consumable Pull-Through Per Validated System
    high single digitYoY growth
    Q2 FY26

    Indicates increasing utilization of installed systems.

    Industry KPIs

    4
    MetricValueDetails
    Revenue EPS guidance$37M-$41MUSD
    M a contribution synergiesContributed to system placements
    Reshoring US manufacturing tailwindMeaningful contributor to growth
    Instruments vs consumables services mix>20%%

    Deals & partnerships

    1
    Millipore SigmaDistribution and collaboration agreement

    Strategic review meeting held in Europe to advance commercial, supply chain, gross margin improvement, and technology initiatives. Leveraging Millipore Sigma's manufacturing, supply chain, and technical expertise. Opening new geographies and customer types.

    Risks & headwinds

    3
    Product margin below expectationsQ2 FY26

    Q2 product margin was negative 3%, slightly below expectations.

    Mitigation: Due to timing of some softer revenue now expected in the second half.

    Higher cash usage in H1H1 FY26

    Cash usage was higher in the first half of the year.

    Mitigation: Caused by 100% cash collection from Q4 2025 placements in Q4 2025 (rather than Q1 2026) and increased inventory stocking to support 2026 manufacturing plan. These factors are not expected to have a meaningful impact in H2 2026.

    Delay in Millipore Sigma procurement contribution to gross marginH2 FY26

    Not expected to be significant contributors in H2 2026.

    Mitigation: Expected to contribute more in 2027, due to the time required for material validation and implementation.

    What to watch in Q3 FY26

    5

    Millipore Sigma Contribution

    second half
    CurrentContributed to system placements in H1 2026
    TargetMeaningfully increased contribution to system placements and revenue

    Why it matters

    The Millipore Sigma partnership is a key driver for growth, market expansion, and new customer acquisition.

    what we do expect is a meaningfully increased contribution from Merck Millipore in the second half.

    Q&A highlights

    7

    Why was the low end of guidance not raised despite positive commentary on Millipore Sigma's increased contribution in the second half?

    Management clarified that the initial low end of guidance did not include the full allocation of Millipore Sigma's commitment. While their contribution is expected to increase meaningfully in H2, it will not fully meet their annual obligation in the calendar year, but this increased contribution underpins confidence in the reaffirmed guidance.

    “The low end of our guide did not include the full allocation of the Merck commitment for the year. That being said, what we do expect is a meaningfully increased contribution from Merck Millipore in the second half.”

    asked by Thomas Flatton · answered by Robert Spignesi

    2 min read5 chapters

    Detailed Narrative

    01

    GrowthDirect System Adoption & Milestones

    Rapid Micro Biosystems achieved a significant milestone with the placement of its 200th GrowthDirect system during Q2 FY26. The company also expects to ship its 10 millionth consumable in Q3, highlighting increasing adoption and routine use of the platform. Validation activity exceeded expectations, with nine systems validated in Q2 compared to two in the prior year, and the company now expects to complete at least 27 validations for the full year, providing increased visibility into future consumable revenue growth.

    02

    Commercial Strategy & Millipore Sigma Partnership

    The company hosted its second North America Growth Direct Day, featuring peer-to-peer discussions on global deployments. A European event is planned for October with Merck Millipore Sigma, whose collaboration is gaining traction. Millipore Sigma contributed to system placements in H1 and is expected to increase its contribution meaningfully in H2 and into 2027, leveraging their broad reach and technical expertise to support commercial activities and margin expansion goals.

    03

    Industry Trends & Market Evolution

    Customer conversations indicate a growing focus on integrating the GrowthDirect platform into broader automation, digital, and data enablement strategies. Manufacturers are seeking to improve speed, consistency, accuracy, and productivity, viewing GrowthDirect as a critical enabling technology. Encouraging activity related to U.S. reshoring and biomanufacturing capacity expansion is also noted, expected to become a meaningful growth contributor starting in 2027.

    04

    Margin Expansion Initiatives

    Rapid Micro Biosystems delivered a record 15% gross margin in Q2, driven by ongoing cost reduction initiatives, manufacturing efficiencies, and service productivity improvements. The company anticipates continued sequential expansion, with Q3 gross margin expected to be at least 20% and Q4 in the mid to high 20% range. These improvements are crucial for achieving the long-term target of 50% gross margin exiting 2028 and significantly lowering cash usage.

    05

    Balance Sheet Management & Liquidity

    The company ended Q2 with approximately $20 million in cash. Management expects cash usage to decline meaningfully in H2, supported by revenue growth, margin expansion, and an efficiency program projected to save $1 million in H2 2026 and $3 million annually thereafter. Rapid Micro is on track to access a $10 million debt tranche later this year, with another $10 million potentially available in mid-2027, reinforcing its pathway to positive cash flow by the end of 2028.

    AI-generated summary of the company’s earnings call. Not investment advice.