Celularity Announces Full Year 2024 Operating and Financial Results

Rhea-AI Summary

Celularity (NASDAQ: CELU) reported strong financial results for FY2024, with net revenues reaching $54.2 million, marking a significant 138.1% increase from the previous year. The growth was primarily driven by a 168.7% increase in wound care product sales, contributing $22.2 million to the revenue increase. Operating expenses decreased by 57% to $92.6 million, mainly due to the absence of goodwill and IPR&D impairments. The company's loss from operations improved substantially, decreasing by 80.1% to $38.4 million. The Biovance® product line showed particularly strong performance, and the company received recommendation letters from the FDA Tissue Reference Group for additions to their placental-derived biomaterial products portfolio.

Positive

• Net revenues increased 138.1% to $54.2 million year-over-year
• Wound care product sales grew 168.7%
• Operating loss decreased by 80.1% to $38.4 million
• Operating expenses reduced by 57% to $92.6 million
• Received FDA Tissue Reference Group recommendation letters for portfolio expansion

Negative

• Still operating at a loss of $38.4 million
• Cash and cash equivalents decreased to $738,000 from previous year
• Total liabilities increased to $123.8 million from $102.9 million
• Accumulated deficit grew to $899.7 million

Insights

Financial Analyst

Celularity achieved 138% revenue growth in 2024 but still operates at a $38.4M loss with concerning liquidity position.

Celularity's 138.1% revenue growth to $54.2 million in 2024 represents a significant improvement, primarily driven by their wound care product line, which grew 168.7%. This demonstrates strong market traction in their commercial biomaterials segment, particularly the Biovance product line. Most impressively, they've achieved this while reducing operating expenses by 57%, narrowing their operating loss by $153.9 million to $38.4 million.

However, the balance sheet reveals serious concerns. With only $738,000 in cash and cash equivalents as of December 31, 2024, Celularity faces imminent liquidity challenges. Their current liabilities of $53.7 million far exceed current assets of $20.6 million, creating a $33.1 million working capital deficit. The company has accumulated significant debt, with $42.3 million in related-party debt and accounts payable increasing to $23.3 million.

The dramatic improvement in operating loss came partly from non-recurring accounting adjustments—specifically the absence of $220.1 million in impairment charges that occurred in 2023. The core business still burns substantial cash, and while product margins have improved (cost of product sales decreased 42.9% while product revenue grew 168.7%), selling, general, and administrative expenses increased by 16%.

The $899.7 million accumulated deficit against just $8.8 million in total stockholders' equity signals a precarious financial position. Without significant additional financing or accelerated revenue growth, Celularity will likely face severe funding challenges in 2025.

Net revenues for the year ending December 31, 2024, totaled $54.2 million, an increase of $31.4 million, or 138.1%, compared to the previous year.

FLORHAM PARK, N.J., May 09, 2025 (GLOBE NEWSWIRE) -- Celularity Inc. (Nasdaq: CELU) (“Celularity” or the “Company”), a regenerative and cellular medicine company, today announced operating and financial results for the year ended December 31, 2024.

“We built momentum through 2024 and ended the year with a strong finish, as reflected in higher net revenues from the sale of our commercial-stage advanced biomaterial products," said Dr. Robert Hariri, M.D., Ph.D., CEO and Chairman. “Sales growth was notably strong for our Biovance® product line, which we believe will continue to contribute to an improving revenue outlook for the next several quarters. We were also extremely pleased to receive recommendation letters from the U.S. Food and Drug Administration Tissue Reference Group regarding important additions to our portfolio of human placental-derived advanced biomaterial products, which serves as a testament to our commitment to innovate in the wound care sector along with our development of next-generation 510(k) products. At the same time, we continued to act opportunistically and explore opportunities in the rapidly evolving landscape of cellular and regenerative medicine. We believe Celularity will gain additional momentum in 2025 as we leverage our unique business model and world-class technical infrastructure and human capital.”

Highlights of Full Year 2024 Operating and Financial Results

Net Revenues

Net revenues for the year ended December 31, 2024, was $54.2 million, an increase of $31.4 million, or 138.1%, compared to the prior year period. This growth was primarily due to a $22.2 million increase in product sales in wound care applications, which increased 168.7% over the prior year.

Operating Expenses

Total operating expenses for the year ended December 31, 2024, were $92.6 million, a decrease of $122.5 million, or 57.0%, compared to 2023. The decrease in operating expenses is attributable to the absence of goodwill and in-process research and development, or IPR&D, impairments in 2024. Loss from operations for the year ending December 31, 2024, was $38.4 million, a decrease of $153.9 million, or 80.1%, compared to the previous year, driven by higher revenue and lower operating expenses which improved our gross margin.

Results of Operations
Comparison of Year Ended December 31, 2024 to December 31, 2023

(in thousands)		Year Ended December 31,												Percent
		2024				2023				Change				Change
Revenues:
Product sales, net		$	35,336			$	13,149			$	22,187				168.7%
Services			5,140				5,441				(301)				(5.5)%
License, royalty and other			13,744				4,181				9,563				228.7%
Total revenues			54,220				22,771				31,449				138.1%
Operating expenses:
Cost of revenues (excluding amortization of acquired intangible assets)
Product sales			4,924				8,628				(3,704)				(42.9)%
Services			1,172				1,650				(478)				(29.0)%
License, royalty and other			8,893				5,738				3,155				55.0%
Research and development			17,386				30,465				(13,079)				(42.9)%
Selling, general and administrative			58,643				50,576				8,067				16.0%
Change in fair value of contingent consideration liability			(193)				(104,339)				104,146				(99.8)%
Goodwill impairment			—				112,347				(112,347)				(100.0)%
IPR&D impairment			—				107,800				(107,800)				(100.0)%
Amortization of acquired intangible assets			1,753				2,193				(440)				(20.1)%
Total operating expenses			92,578				215,058				(122,480)				(57.0)%
Loss from operations		$	(38,358)			$	(192,287)			$	153,929				(80.1)%

CELULARITY INC.
CONSOLIDATED BALANCE SHEETS
(In thousands, except share and per share amounts)

		December 31,
		2024				2023
Assets
Current assets:
Cash and cash equivalents		$	738			$	227
Accounts receivable, net of allowance of $6,294 and $5,837 as of December 31, 2024 and 2023, respectively			13,557				10,046
Notes receivable			—				2,072
Inventory			5,409				5,753
Prepaid expenses and other current assets			857				1,695
Total current assets			20,561				19,793
Property and equipment, net			61,600				67,828
Goodwill			7,347				7,347
Intangible assets, net			9,248				11,001
Right-of-use assets - operating leases			10,830				10,990
Restricted cash			10,239				9,936
Inventory, net of current portion			12,587				16,657
Other long-term assets			270				337
Total assets		$	132,682			$	143,889
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable		$	23,296			$	14,144
Accrued expenses and other current liabilities			19,842				7,580
Accrued R&D software			—				3,500
Acquisition-related contingent consideration			650				—
Short-term debt - unaffiliated (includes debt measured at fair value of $2,485 and $17,223 as of December 31, 2024 and 2023, respectively)			2,485				19,331
Short-term debt - related parties			3,876				19,909
Deferred revenue			3,531				2,834
Total current liabilities			53,680				67,298
Deferred revenue, net of current portion			2,724				3,186
Acquisition-related contingent consideration, net of current portion			1,413				1,606
Long-term debt - related parties			35,927				—
Long-term lease liabilities			26,548				26,177
Warrant liabilities			3,264				4,359
Deferred income tax liabilities			9				9
Other liabilities			280				294
Total liabilities			123,845				102,929
Commitments and Contingencies (Note 12)
Stockholders’ equity:
Preferred stock, $0.0001 par value, 10,000,000 shares authorized, none issued and outstanding as of December 31, 2024 and 2023			—				—
Common stock, $0.0001 par value, 730,000,000 shares authorized, 22,546,671 and 19,378,192 issued and outstanding as of December 31, 2024 and 2023, respectively			2				19
Additional paid-in capital			908,523				882,732
Accumulated deficit			(899,683)				(841,791)
Accumulated other comprehensive loss			(5)				—
Total stockholders’ equity			8,837				40,960
Total liabilities and stockholders’ equity		$	132,682			$	143,889

About Celularity

Celularity Inc. (Nasdaq: CELU) is a regenerative and cellular medicine company developing and commercializing advanced biomaterial products and allogeneic, cryopreserved, placental-derived cell therapies, all derived from the postpartum placenta. Celularity believes that by harnessing the placenta’s unique biology and ready availability, it can develop therapeutic solutions that address significant unmet global needs for effective, accessible, and affordable therapies.

For more information, visit www.celularity.com.

Forward Looking Statements
This press release includes “forward-looking statements” (as defined under Federal securities laws).
These forward-looking statements include, without limitation, statements regarding: (i) our future sales or sales growth; (ii) our expectations for future financial results, including levels of net sales; (iii) our expectations regarding new products including our 510K products; and (iv) future demand for our products. All statements other than statements of historical facts are “forward-looking statements,” including those relating to future events. In some cases, you can identify forward-looking statements by terminology such as “anticipate,” “believe,” “can,” “could,” “continue,” “expect,” “improving,” “may,” “observed,” “potential,” “promise,” “should,” and similar expressions (as well as other words or expressions referencing future events, conditions or circumstances). Forward-looking statements are based on Celularity’s current expectations and assumptions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks,” and changes in circumstances that may differ materially from those contemplated by the forward-looking statements, which are neither statements of historical fact nor guarantees or assurances of future performance. Many factors could cause actual results to differ materially from those described in these forward-looking statements, including those risk factors set forth under the caption “Risk Factors” in Celularity’s annual report on Form 10-K for the year ended December 31, 2024 filed with the Securities and Exchange Commission (SEC) on May 8, 2025, and other filings with the SEC. If any of these risks materialize or underlying assumptions prove incorrect, actual results could differ materially from the results implied by these forward-looking statements. There may be additional risks that Celularity does not presently know, or that Celularity currently believes are immaterial, that could also cause actual results to differ from those contained in the forward-looking statements. In addition, these forward-looking statements reflect Celularity’s current expectations, plans, or forecasts of future events and views as of the date of this communication. Subsequent events and developments could cause assessments to change. Accordingly, forward-looking statements should not be relied upon as representing Celularity’s views as of any subsequent date, and Celularity undertakes no obligation to update forward-looking statements contained herein, whether because of any new information, future events, changed circumstances or otherwise, except as otherwise required by law.

Contact

Carlos Ramirez
Senior Vice President, Celularity Inc.
Carlos.ramirez@celularity.com

FAQ

What was Celularity's (CELU) revenue growth in 2024?

Celularity's net revenues grew by 138.1% to $54.2 million in 2024, compared to the previous year.

How much did CELU's wound care product sales increase in 2024?

Celularity's wound care product sales increased by 168.7%, contributing $22.2 million more compared to 2023.

What was Celularity's operating loss in FY 2024?

Celularity reported an operating loss of $38.4 million in 2024, an 80.1% improvement from the previous year.

How much cash does Celularity (CELU) have as of December 31, 2024?

As of December 31, 2024, Celularity had $738,000 in cash and cash equivalents.

What were CELU's total operating expenses in 2024?

Celularity's total operating expenses were $92.6 million in 2024, a 57% decrease from 2023.