Cerus Posts Lower Than Expected Q3 Loss; Raises FY21 Sales Guidance

Cerus Corporation CERS reported Q3 sales of $42.1 million, +44% Y/Y, beating the consensus of $37.27 million.
Product revenue reached $36.13 million, +53%, benefited from increased demand for INTERCEPT platelet products in the U.S.
Government contract revenue increased 7% to $5.97 million.
Product gross margin declined to 51.3% compared to 53.6% in the prior year.
The decline was tied to higher sales to U.S. customers who primarily use the Company's single-dose platelet kits, which provide a lower gross margin percentage than our double dose kits that are more frequently used internationally.
The Company posted a lower than expected EPS loss of $(0.07), beating the $(0.10) loss.
The Company had cash, cash equivalents, and short-term investments of $120 million.
FY21 Guidance: Cerus increased product revenue guidance to $127 million - $129 million, from the prior outlook of $118 million - $122 million.
The revised guidance represents approximately 38% - 40% Y/Y growth.
Price Action: CERS shares are up 11.8% at $7.59 during the premarket session on the last check Wednesday.