Ginkgo shares rose 13.4% after earnings, with investors likely responding to sharply lower losses and the company’s first autonomous-lab sale to a pharma company. The positive reaction comes despite declining revenue: Q3 revenue fell 6% year over year, and nine-month revenue was down 37%.
- Q3 revenue was $28 million, down 6% year over year; the quarter-on-quarter increase was primarily due to a cumulative catch-up on a modified long-term contract.
- Q3 net loss from continuing operations improved 44% to $41 million, while adjusted EBITDA loss improved 58% to $22 million.
- R&D expense fell 48% to $27 million and G&A fell 32% to $9 million, primarily reflecting restructuring.
- Cash burn was $27 million in Q3 versus $28 million a year earlier. Ginkgo ended the quarter with $285 million in cash, cash equivalents and marketable securities, no bank debt, and $86 million in restricted cash and equivalents.
- Management reported its first autonomous-lab sale to a pharma company and new government wins, while also noting 22 cloud-lab customers this quarter.
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