LEXINGTON - T2 Biosystems, Inc. (NASDAQ: NASDAQ:TTOO), has announced the extension of its supplier agreement with Vizient, Inc. until March 31, 2026. The extension is said to provide Vizient members continued access to T2 Biosystems' technology for the rapid detection of sepsis-causing pathogens. According to InvestingPro data, the company currently trades at $0.37, near its 52-week low of $0.35, with a market capitalization of just $7.68 million.
The agreement covers the T2Dx Instrument and the T2Bacteria and T2Candida Panels, which are the only FDA-cleared products capable of detecting sepsis-causing pathogens directly from whole blood. Vizient is the largest member-driven healthcare performance improvement company in the United States, with a purchasing volume of around $140 billion annually and representing over 65 percent of the nation's acute care hospitals. Despite this strategic partnership, InvestingPro analysis reveals concerning financial metrics, including a negative gross profit margin of -247.83% and rapidly depleting cash reserves. For comprehensive analysis and 16 additional ProTips, consider an InvestingPro subscription.
John Sperzel, Chairman and CEO of T2 Biosystems, expressed confidence in the value their products bring to patients suspected of sepsis. The company's technology aims to enable faster targeted antimicrobial treatment.
T2 Biosystems specializes in the development of diagnostic tools to improve patient care and reduce healthcare costs. Their products utilize T2 Magnetic Resonance (T2MR) technology. The company is also working on future products, including the T2Resistance Panel, the T2Lyme Panel, and an expanded T2Candida Panel.
The press release included forward-looking statements, cautioning that actual results could differ due to various risks and uncertainties. These statements are based on the company's expectations as of the date of the press release.
This news is based on a press release statement from T2 Biosystems, Inc. and does not constitute an endorsement of the company or its products. For a detailed assessment of T2 Biosystems' financial health and future prospects, access the comprehensive Pro Research Report available exclusively on InvestingPro, covering over 1,400 US equities with expert analysis and actionable insights.
In other recent news, T2 Biosystems, Inc., a Lexington, Massachusetts-based medical device company, reported a 34% increase in revenue for the third quarter of 2024, reaching $2.0 million. This growth was primarily driven by the FDA-cleared T2Bacteria Panel, which saw a 173% surge in sales. The company also secured 11 T2Dx instrument contracts, contributing to a 78% rise in international sales. Despite these positive developments, T2 Biosystems is facing a potential delisting from The Nasdaq Capital Market due to non-compliance with the exchange's minimum bid price requirement.
In terms of strategic partnerships, T2 Biosystems has expanded its reach through an exclusive commercial distribution agreement with Cardinal Health (NYSE:CAH) targeting over 6,000 US hospitals, and new distribution agreements in Malaysia and Indonesia. Another noteworthy collaboration is with Precision Inc. for an AI decision support platform. These recent developments are expected to contribute to the company's revenue growth starting in 2025.
While the company reported a net loss of $10.1 million for the third quarter, this was an improvement from the $15.4 million loss in the previous year. On the regulatory front, T2 Biosystems is planning to submit the T2Resistance Panel for FDA clearance in Q1 2025. The company's financial challenges are reflected in its concerning metrics, including a negative gross profit margin of -248% and a current ratio of 0.4, indicating potential liquidity issues.
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