PACB Earnings Prediction
The chart below shows how PACB performed 10 days before and after its earnings report, based on data from the past quarters. Typically, PACB sees a +1.64% change in stock price 10 days leading up to the earnings, and a -2.78% change 10 days following the report. On the earnings day itself, the stock moves by +1.56%. This data can give you a slight idea of what to expect for the next quarter's release.
PACB Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
39.22M
-32.79%
-1.86%
Gross Margin
13.84%
6.38%
-12.96%
Operating Margin
-162.34%
14.21%
3.14%
Net Margin
9.10%
106.47%
-105.99%
EPS
0.01
103.23%
-104.55%
No Data Available
PACB Earnings Analysis
Pacific Biosciences of California Inc Corporation (PACB.O) Earnings Conference Call
Positive
Earnings Surprise Report: Pacific Biosciences reported a positive earnings surprise with an EPS of $0.51, exceeding expectations of $-0.2.
Q4 Revenue Generation: In Q4 2024, the company generated $39.2 million in revenue, driven by the shipment of 23 Brevio systems and the early shipment of the Vega Benchtop platform.
Strong Revenue Performance: For the full year, revenue totaled $154 million, reflecting 97 Revio shipments, indicating strong demand for their products.
New Customer Acquisition: Approximately 45% of Revio shipments in 2024 were to new customers, showcasing the company's ability to attract users from other sequencing technologies.
Genomic Data Output Growth: The adoption of PacBio HiFi Longreach sequencing accelerated, with an 81% increase in genomic data output in 2024, up from 68% in 2023.
Consumable Revenue Growth: Consumable revenue grew 11% year-over-year to $70.4 million, representing a 23% compound annual growth rate since 2020.
2025 Revenue Growth Projection: The company anticipates 2025 revenue growth of 6% year-over-year at the midpoint of their guidance, reflecting a 16% compound annual growth rate since 2020.
Product Innovation Launches: PacBio launched two significant innovations in 2024: the Vega Benchtop platform and Spark Chemistry for Revio, enhancing their product offerings.
Positive Customer Feedback: Early customer feedback for the Vega platform has been positive, with plans for significant future purchases from key customers like Berry Genomics.
Affordable Genome Sequencing: The Revio system's Spark Chemistry allows for sequencing at a cost below $500 per genome, significantly lowering DNA input requirements.
Scientific Validation of Technology: PacBio's technology was cited in over 1,000 publications and preprints in 2024, indicating strong scientific interest and validation of their technology.
Operating Expense Reduction: The company successfully reduced annualized non-GAAP operating expenses by over $75 million, aligning spending with strategic priorities.
Debt Reduction and Maturity Extension: PacBio executed a convertible note exchange, reducing debt by $259 million and extending the maturity of their 2028 notes, enhancing financial flexibility.
Gross Margin Improvement Forecast: The company expects non-GAAP gross margin to improve to between 35% and 40% in 2025, reflecting operational efficiencies and cost reductions.
Negative
Q4 Revenue Decline: Revenue in Q4 2024 was $39.2 million, a 33% decrease from $58.4 million in Q4 2023.
Q4 Instrument Revenue Decline: Instrument revenue in Q4 2024 was $15.3 million, a 56% decrease from $35.1 million in Q4 2023, primarily due to lower Revio system shipments.
Americas Revenue Decline: Americas revenue decreased by 41% compared to Q4 2023, significantly affected by academic and NIH funding uncertainty.
Asia Pacific Revenue Decline: Asia Pacific revenue decreased by 33% over the prior year, with several countries facing government funding headwinds affecting capital expenditures.
Reduced Non-GAAP Net Loss: Non-GAAP net loss was $55.3 million in Q4 2024, compared to a loss of $72.5 million in Q4 2023, indicating ongoing financial challenges despite a smaller loss.
Impairment Charges Overview: The company recorded non-cash impairment charges totaling $90 million due to macroeconomic headwinds and a revised outlook on future cash flows.
2025 Revenue Guidance Slowdown: The guidance for 2025 revenue is between $155 million and $170 million, reflecting only a 6% growth at the midpoint, indicating a slowdown in growth expectations.
Funding Uncertainty Impact: The company anticipates continued uncertainty in funding, particularly from NIH, which may impact revenue growth in 2025.
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PACB Earning Call Sentiment
Pacific Biosciences of California, Inc. (NASDAQ:PACB) Q4 2024 Earnings Call Transcript
PACB.O
2.31%Positive
The earnings call reveals several concerning elements: significant revenue and instrument sales decline, weak guidance, and macroeconomic headwinds impacting NIH funding. Although there are positive developments like cost reductions and new product launches, the overall sentiment leans negative due to the financial performance and uncertain outlook. The Q&A section highlights management's inability to provide clear guidance on NIH impacts and margin contributions, adding to uncertainties. Given these factors, the stock is likely to experience a negative reaction over the next two weeks.
