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1. Company Snapshot

1.a. Company Description

Cerus Corporation operates as a biomedical products company.The company focuses on developing and commercializing the INTERCEPT Blood System to enhance blood safety.Its INTERCEPT Blood System, a proprietary technology for controlling biological replication that is designed to reduce blood-borne pathogens in donated blood components intended for transfusion.


The company offers INTERCEPT Blood Systems for platelets and plasma, which is designed to inactivate blood-borne pathogens in platelets and plasma donated for transfusion; INTERCEPT Blood System for red blood cells to inactivate blood-borne pathogens in red blood cells donated for transfusion; and INTERCEPT Blood System for Cryoprecipitation that uses its plasma system to produce pathogen reduced cryoprecipitated fibrinogen complex for the treatment and control of bleeding, including massive hemorrhage associated with fibrinogen deficiency, as well as pathogen reduced plasma, cryoprecipitate reduced.It sells platelet and plasma systems through its direct sales force and distributors in the United States, Europe, the Commonwealth of Independent States, the Middle East, Latin America, and internationally.The company was incorporated in 1991 and is headquartered in Concord, California.

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1.b. Last Insights on CERS

Cerus Corporation's recent performance was negatively impacted by the lack of recent earnings releases, with the last update being the Q4 2024 earnings call on February 20, 2025. The absence of recent financial results and management's outlook may have contributed to investor uncertainty. Additionally, the company's focus on regulatory approvals, such as the CE mark approval for its next-generation INTERCEPT Illumination Device (INT200) on March 5, 2025, may not have been enough to offset the lack of recent financial updates.

1.c. Company Highlights

2. Cerus Corporation Delivers Strong Q3 2025 Results with Record Revenue

Cerus Corporation reported a robust third quarter in 2025, with product revenue reaching a record $52.7 million, representing a 15% year-over-year increase. The company's net loss attributable to Cerus was essentially at breakeven, compared to a loss of $2.9 million or $0.02 per share in Q3 2024. On a non-GAAP adjusted EBITDA basis, Cerus reported $5 million for Q3, marking its sixth consecutive quarter of positive non-GAAP adjusted EBITDA. The actual EPS came out at '-0.0001' relative to estimates at '-0.02'. The strong revenue growth was driven by a 21% increase in EMEA product revenues and an 11% rise in North American product revenues. IFC product revenue also saw a significant 70% increase from the prior year.

Publication Date: Dec -02

📋 Highlights
  • Record Product Revenue:: Q3 product revenue reached $52.7 million, a 15% YoY increase, driven by strong platelet demand and 70% growth in IFC revenue ($3.9 million).
  • Revised Full-Year Guidance:: Raised 2025 product revenue guidance to $202-204 million and expects IFC sales of $16-17 million for the year.
  • Non-GAAP Adjusted EBITDA:: Positive at $5 million for Q3, marking six consecutive quarters of profitability, up from $4.4 million in Q3 2024.
  • Operational Cash Flow:: Generated $1.9 million in cash from operations in Q3, with net cash used for the 9 months at $1.4 million, projecting continued positive operating cash flows.
  • Strategic Development Progress:: Completed enrollment in the U.S. Phase III RedeS trial and advancing INT200 installations, aiming to expand pathogen-inactivated blood components globally.

Revenue Growth and Guidance

The company's product revenue growth led to an upward revision of its full-year 2025 product revenue guidance to $202-204 million. Cerus also expects full-year 2025 IFC sales to be $16-17 million. The company's President and CEO, Obi Greenman, expressed confidence in Cerus' growth trajectory and its goal to achieve full-year positive non-GAAP adjusted EBITDA. As Greenman noted, the company is "focused on driving leverage in its P&L and expects a strong finish to the year with a marked pickup in INT200 installations in the fourth quarter."

Cash Flow and Liquidity

Cerus generated $1.9 million in cash from operations during Q3 and had net cash used of $1.4 million for the 9 months. The company's cash, cash equivalents, and short-term investments totaled $78.5 million, down from $80.5 million at the end of 2024. Cerus expects to continue generating positive operating cash flows throughout the remainder of the year.

Growth Initiatives and Margin Expansion

The company is focused on execution and innovation, including the rollout of the INT200 LED illuminator across Europe and the completion of enrollment in its U.S. Phase III RedeS trial. Cerus is advancing towards its goal of enabling a complete portfolio of pathogen-inactivated blood components worldwide. The company's push for the IFC business to move to a kit-based model is expected to drive margin expansion.

Valuation and Outlook

With a P/S Ratio of 1.79, Cerus' stock is trading at a reasonable valuation relative to its revenue. However, the EV/EBITDA ratio of -49.68 suggests that the market is pricing in significant future growth. Analysts estimate next year's revenue growth at 8.2%. Given Cerus' strong Q3 performance and its confidence in achieving full-year positive adjusted EBITDA, the company is well-positioned to drive growth and expansion in the coming quarters.

3. NewsRoom

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Cerus: IFC Growth And RBC Optionality

Nov -24

Source: seekingalpha.com

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Connor Clark & Lunn Investment Management Ltd. Acquires 97,592 Shares of Cerus Corporation $CERS

Nov -21

Source: defenseworld.net

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Cerus Corporation (CERS) Q3 2025 Earnings Call Transcript

Nov -07

Source: seekingalpha.com

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Cerus Corporation Announces Record Results for Third Quarter 2025 and Raises Full Year 2025 Product Revenue Guidance

Nov -06

Source: businesswire.com

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Cerus Corporation Announces Abstracts and Industry Workshop on IFC at the 2025 AABB Annual Meeting

Oct -21

Source: businesswire.com

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Cerus Corporation to Release Third Quarter 2025 Financial Results on November 6, 2025

Oct -16

Source: businesswire.com

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The German National Blood Advisory Committee Issues Formal Recommendation for Improving the Safety of Platelet Transfusions

Aug -25

Source: businesswire.com

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Cerus Corporation (CERS) Q2 2025 Earnings Call Transcript

Aug -06

Source: seekingalpha.com

4. Business Breakdown

4.a. Revenues by Country

4.b. Revenues by Segment

5. Expected revenues mid-term growth (10.00%)

6. Segments

Blood Safety

Expected Growth: 10.0%

Cerus Corporation's Blood Safety segment growth is driven by increasing adoption of Intercept Blood System, expansion into new geographies, and rising demand for pathogen-reduced blood components. Growing concerns over blood-borne diseases and regulatory support for blood safety measures also contribute to the 10.0% growth.

7. Detailed Products

INTERCEPT Blood System

A pathogen reduction technology designed to inactivate pathogens, viruses, and bacteria in blood components, ensuring a safer blood supply.

INTERCEPT Platelet System

A system that inactivates pathogens and viruses in platelet components, reducing the risk of transfusion-transmitted infections.

INTERCEPT Plasma System

A system that inactivates pathogens and viruses in plasma components, reducing the risk of transfusion-transmitted infections.

CONTRAST Optimization System

A software solution that helps optimize contrast media dosing in medical imaging procedures.

8. Cerus Corporation's Porter Forces

Forces Ranking

Threat Of Substitutes

Cerus Corporation's products are moderately susceptible to substitutes, as customers have some alternatives, but they are not easily replaceable.

Bargaining Power Of Customers

Cerus Corporation's customers have limited bargaining power due to the company's strong brand reputation and limited availability of alternatives.

Bargaining Power Of Suppliers

Cerus Corporation's suppliers have moderate bargaining power, as the company relies on a few key suppliers, but has some flexibility to switch to alternative suppliers.

Threat Of New Entrants

Cerus Corporation faces a high threat of new entrants, as the industry has low barriers to entry and new companies can easily enter the market.

Intensity Of Rivalry

Cerus Corporation operates in a highly competitive industry, with many established players and intense competition for market share.

9. SWOT Analysis

Strength

Weaknesses

Opportunities

Threats

10. Capital Structure

10.a. Balance Sheet

10.b. Weighted Average Cost of capital

Value
Debt Weight 60.97%
Debt Cost 8.66%
Equity Weight 39.03%
Equity Cost 10.49%
WACC 9.37%
Leverage 156.22%

11. Quality Control: Cerus Corporation passed 3 out of 9 key points

12.a Historical Valuation

12.b Price/Earnings Ratio

12.c Margin Valuation

12.d Peers Valuation

Peers Group Analysis

Stock-Card
908 Devices

A-Score: 4.3/10

Value: 7.2

Growth: 2.9

Quality: 4.8

Yield: 0.0

Momentum: 10.0

Volatility: 0.7

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Silk Road Medical

A-Score: 3.8/10

Value: 6.2

Growth: 5.6

Quality: 5.0

Yield: 0.0

Momentum: 5.0

Volatility: 1.0

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Avanos Medical

A-Score: 3.6/10

Value: 8.9

Growth: 2.3

Quality: 4.5

Yield: 0.0

Momentum: 0.5

Volatility: 5.7

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Cerus

A-Score: 3.5/10

Value: 5.6

Growth: 6.9

Quality: 3.4

Yield: 0.0

Momentum: 2.5

Volatility: 2.3

1-Year Total Return ->

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TELA Bio

A-Score: 3.3/10

Value: 7.8

Growth: 5.8

Quality: 3.6

Yield: 0.0

Momentum: 1.0

Volatility: 1.3

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Co-Diagnostics

A-Score: 2.4/10

Value: 7.8

Growth: 2.4

Quality: 4.1

Yield: 0.0

Momentum: 0.0

Volatility: 0.0

1-Year Total Return ->

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Peers Metrics

12.e Scoring Insights

12.f DCF BETA

Parameters

Short Term Growth

Short term Time

Long-Term Growth

WACC

Target Price

2.04$

Current Price

2.04$

Potential

-0.00%

Expected Cash-Flows