Rapid Micro (RPID) Q1 2026 Earnings Transcript

Motley Fool Transcribing, The Motley Fool Thu, May 14, 2026 at 10:09 PM GMT+7 26 min read Image source: The Motley Fool. President and Chief Executive Officer — Robert Spignesi Need a quote from a Motley Fool analyst? Email pr@fool.com Rob Spignesi, President and Chief Executive Officer; and Sean Wirtjes, Chief Financial Officer. This afternoon, we issued a press release announcing our first quarter results. A copy of the release is available on the company s website at rapidmicrobio.com under Investors in the News and Events section. Before we begin, I d like to remind you that many statements made during this call may be considered forward-looking statements within the meaning of federal securities laws, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Any statements contained in this call that relate to expectations or predictions of future events, results or performance are forward-looking statements, including, but not limited to, statements relating to Rapid Micro s financial condition, assumptions regarding future financial performance, anticipated future cash usage, statements related to the company s term loan facility, guidance for the second quarter and full year 2026, including revenue, expenses, gross margins, system placements and validation activities, expectations for and planned activities related to Rapid Micro s business development and growth, including the expected benefits from our distribution and collaboration agreement with MilliporeSigma, customer interest and adoption of the Growth Direct system and the impact of the Growth Direct system on their businesses and operations and statements regarding the potential impact of general macroeconomic conditions on our business and that of our customers. Actual results may differ materially from those expressed or implied in the forward-looking statements due to a variety of factors, including our ability to meet publicly announced guidance, the impact of our existing and any future indebtedness on our ability to operate our business, our ability to assess any future tranches under our debt facility and to comply with all its obligations thereunder; our ability to deliver products to customers and recognize revenue and market and macroeconomic conditions. For a more detailed list and description of the risks and uncertainties associated with Rapid Micro s business, please refer to the Risk Factors section of our most recent quarterly report on Form 10-Q filed with the Securities and Exchange Commission as updated from time to time in our subsequent filings with the SEC. We urge you to consider these factors, and you should be aware that these statements should be considered estimates only and are not a guarantee of future performance. This conference call contains time-sensitive information and is accurate only as of the live broadcast today, May 13, 2026. Rapid Micro disclaims any intention or obligation, except as required by law, to update or revise any financial projections or forward-looking statements, whether because of new information, future events or otherwise. And with that, I ll turn the call over to Rob. Robert Spignesi: Thank you, Mike. Good afternoon, everyone. I ll begin today s call with a brief overview of our first quarter performance and then discuss our priorities for the year before turning the call over to Sean for a more detailed review of our first quarter results and our Q2 and full year 2026 outlook. Today, we reported total revenue of $8 million, representing 11% year-over-year growth, driven by continued momentum across system placements and recurring revenue. During the quarter, we placed 6 Growth Direct systems. And as of March 31, we had 196 systems placed globally, including 160 fully validated systems. Placement activity in the quarter was led by multisystem follow-on order from Samsung Biologics, highlighting continued success with larger key customers. Product revenue increased 36% in the first quarter, driven by a record quarter for consumables, which grew more than 30%, reflecting increased utilization in a growing installed base. Service revenue was in line with the guidance we provided in March. Recurring revenue increased 28%, driven by strong growth across both consumables and service contract revenue and represented 63% of total revenue in the quarter. First quarter gross margin was 5%, consistent with our guidance, representing an 8 percentage point improvement from the fourth quarter of 2025. With that overview, I ll now turn to our priorities and review our progress thus far in 2026, starting with accelerating Growth Direct system placements. We re off to a solid start in 2026. Our commercial team is expanding the funnel with continued momentum in multisystem opportunities and strong engagement, including global rollout discussions with large customers. In early April, we hosted a Japan Growth Direct Day event in Tokyo that

Rapid Micro (RPID) Q1 2026 Earnings Transcript

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Rapid Micro (RPID) Q1 2026 Earnings Transcript

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