Cerus Corporation ((CERS)) has held its Q3 earnings call. Read on for the main highlights of the call.
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Cerus Corporation’s recent earnings call for the third quarter of 2025 painted a picture of robust growth and optimism despite some challenges. The company reported significant revenue growth, driven by strong demand for its INTERCEPT products and successful international expansion efforts. While there are hurdles such as gross margin pressures and regulatory delays in Europe, the overall sentiment remains positive, with raised revenue guidance and a continued focus on operational execution.
Record Product Revenue
Cerus Corporation achieved a record product revenue of $52.7 million for Q3 2025, marking a 15% increase compared to the previous year. This growth was primarily fueled by strong demand for platelet products and the increasing adoption of the INTERCEPT Fibrinogen Complex (IFC).
Increased Revenue Guidance
Reflecting its confidence in sustained momentum, Cerus has raised its full-year 2025 product revenue guidance to a range of $202 million to $204 million. This adjustment underscores the company’s positive outlook and its belief in continued success across its product franchises.
Strong IFC Growth
The INTERCEPT Fibrinogen Complex (IFC) saw a remarkable 70% increase in revenue compared to the previous year, reaching $3.9 million for the quarter. This surge in demand is attributed to hospitals recognizing the clinical and operational benefits of the product.
Positive Non-GAAP Adjusted EBITDA
Cerus reported its sixth consecutive quarter of positive non-GAAP adjusted EBITDA, amounting to $5 million for Q3 2025. This achievement highlights the company’s effective financial management and operational efficiency.
Expansion in Germany
Cerus has been selected by the German Red Cross Blood Service to support the INITIATE study, marking a significant step towards potential growth in Germany. This collaboration is expected to bolster the company’s international expansion efforts.
Gross Margin Pressure
Despite the positive revenue growth, Cerus faced gross margin pressures, with product gross margins for Q3 2025 at 53.4%, down from 56.9% the previous year. This decline is attributed to import tariffs, inflationary pressures, and increased production costs for IFC.
Regulatory Delay in Europe
Cerus is experiencing a regulatory delay in Europe, with the CE Mark decision on INTERCEPT RBCs expected to be postponed by at least six months. This delay is due to the transition of regulatory review responsibilities in the region.
Forward-Looking Guidance
Looking ahead, Cerus has raised its full-year 2025 product revenue guidance to $202 million to $204 million, driven by strong demand for its INTERCEPT portfolio. The company anticipates full-year IFC sales to be between $16 million and $17 million, with strategic shifts towards sales through kits. Despite challenges such as tariffs and inflation, gross margins are expected to remain in the 50% range. Cerus is also on track to achieve full-year positive adjusted EBITDA, with U.S. market penetration for INTERCEPT estimated in the mid-60% range and expected to grow further.
In summary, Cerus Corporation’s Q3 2025 earnings call reflects a positive outlook with significant revenue growth and strategic international expansion. While challenges such as gross margin pressures and regulatory delays exist, the company’s raised revenue guidance and focus on operational execution underscore its optimism for future success.