Codexis, Inc. (NASDAQ:CDXS) Q2 2022 Earnings Conference Call August 4, 2022 4:30 PM ET

Company Participants

Brendan Strong - Argot Partners

John Nicols - President and Chief Executive Officer

Ross Taylor - Chief Financial Officer

Stephen Dilly - Board Member

Conference Call Participants

Steven Mah - Cowen and Company

Matthew Hewitt - Craig-Hallum

Ramakanth Swayampakula - H.C. Wainwright

Operator

Welcome to the Codexis Second Quarter 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] Please note, this event is being recorded.

And now I'll turn the call over to Brendan Strong from Argot Partners. Please go ahead.

Brendan Strong

Thank you, operator. With me today are John Nicols, Codexis' President and CEO; Ross Taylor, Codexis' Chief Financial Officer; and Dr. Stephen Dilly, current Board Member and incoming President and CEO of Codexis. During this call, management will be making a number of forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including our guidance for 2022 revenues, product revenues and gross margin on product revenues, prospects for our Life Sciences Tools, food sector and Biotherapeutics product businesses and our expectations regarding the sales of one of our proprietary enzymes to Pfizer for the manufacture of their COVID-19 antiviral therapeutic, PAXLOVID.

To the extent that statements contained in this call are not descriptions of historical facts regarding Codexis, they are forward-looking statements reflecting the beliefs and expectations of management as of the statement date, August 4, 2022. You should not place undue reliance on these forward-looking statements because they involve known and unknown risks, uncertainties and other factors that are, in some cases, beyond Codexis' control and that could materially affect actual results.

Additional information about factors that could materially affect actual results can be found in Codexis' annual report on Form 10-K filed with the Securities and Exchange Commission on February 28, 2022, and on Form 10-Q filed with the SEC on May 9, 2022, including under the caption Risk Factors and in Codexis' other periodic reports filed with the SEC. Codexis expressly disclaims any intent or obligation to update these forward-looking statements, except as required by law.

I'll now turn the call over to John.

John Nicols

Thank you, Brendan. Good afternoon, everyone. First, it's great to spend this time with all of you today. Those who have been following us for a while know that for the last five-plus years, we have been on a very strong, sustained growth trajectory with a remarkable track record of financial and strategic execution. Our confidence and optimism for our business remains steadfast, as you will hear us reiterate many times on today's call. At the same time, as we outlined a few weeks ago, our R&D revenue is not building as quickly as we originally anticipated, which led to our first significant downward guidance revision in recent memory.