Core Insights - NeuralCloud is enhancing its global wellness and B2B health practitioner delivery model through high-fidelity cardiac signal processing and digital health integration [1] - The partnership positions MaxYield™ as a central AI engine for next-generation smart rings and consumer cardiac monitoring within the broader INTRINSICA platform [1]

Core Insights - Ginkgo Bioworks has been awarded a four-year contract worth up to $47 million by the Environmental Molecular Sciences Laboratory to develop a High-Throughput Automated Phenotyping Platform [1][5] - The platform aims to enhance the U.S. Department of Energy's capabilities in generating reproducible microbial data, thereby supporting the bioeconomy and biotechnology innovation [1][4] Group 1: Contract and Collaboration - The contract is part of a competitive procurement process and will support the Microbial Molecular Phenotyping Capability [1][5] - Ginkgo Automation will utilize its Catalyst scheduling software and modular Reconfigurable Automation Carts to automate workflows from media preparation to multimodal analytics [2][3] Group 2: Technological Features - The HTPAPP is designed to support BSL2 operations, remote planning, and laboratory integration, allowing for adaptability as scientific needs evolve [2][9] - Key features include a modular architecture, integrated transport, and software-enabled interleaving of diverse protocols to maximize efficiency [2][9] Group 3: Strategic Importance - The project aligns with the recent AI Action Plan aimed at boosting U.S. scientific innovation through AI-enabled cloud laboratories [4] - The platform is expected to increase throughput and reproducibility of phenotyping campaigns, capturing multimodal analytical measurements suitable for AI and machine learning applications [5][9] Group 4: Company Overview - Ginkgo Bioworks specializes in engineering biology, offering customizable R&D solutions across various sectors including therapeutics, diagnostics, and agriculture [8] - The company also provides laboratory automation solutions to enhance research efficiency and data generation for AI models [8]

Core Viewpoint - The article emphasizes a sell rating on Ginkgo Bioworks (DNA), highlighting a significant decline in its share price over the past two years [1]. Company Summary - Ginkgo Bioworks is identified as a cell programming and biosecurity company [1]. - The company has experienced a notable decrease in its stock value, which is a central theme of the analysis [1]. Analyst Background - The author has a background in finance and accounting, with experience in investment management and portfolio management [1]. - The author has been active in the markets for several years, focusing primarily on long/short equities [1].

Financial Data and Key Metrics Changes - In Q3 2025, Ginkgo reported a cash position of $462 million with no bank debt, reflecting a significant reduction in quarterly cash burn by 75% from $114 million in Q3 2024 to $28 million in Q3 2025 [4][11] - Total adjusted EBITDA for Q3 2025 was negative $56 million, down from negative $20 million in Q3 2024, primarily due to a $21 million shortfall related to a Google Cloud contract and a $45 million non-cash revenue from a prior customer agreement [10][12] Business Line Data and Key Metrics Changes - Cell engineering revenue was $29 million in Q3 2025, a 61% decrease compared to Q3 2024, with a 5% decrease in revenue-generating programs attributed to ongoing program rationalization [6][8] - Biosecurity revenue generated $9 million in Q3 2025, with a segment gross margin of 19% [7] Market Data and Key Metrics Changes - The company reaffirmed its overall revenue guidance for 2025, projecting total revenue between $167 million and $187 million, with cell engineering revenue expected to be between $117 million and $137 million, and biosecurity revenue expected to be at least $40 million [12] Company Strategy and Development Direction - Ginkgo aims to deliver robotics and software for autonomous labs at customer sites, expand its frontier autonomous lab in Boston, and provide best-in-class CRO services leveraging in-house robotic infrastructure [2][3] - The company is focusing on AI's impact on biotechnology, particularly through reasoning models and automation, to enhance laboratory efficiency and reduce costs [13][20] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in navigating the macro environment while continuing to execute core objectives, emphasizing the importance of investing in automation and AI tooling for future growth [12][40] - The management highlighted the need for the U.S. to invest in robotic infrastructure to compete with China's growing biotech sector [19][20] Other Important Information - Ginkgo has made significant strides in reducing costs while maintaining a strong cash position, allowing for future investments in growth [4][40] - The company is actively building a community around AI models trained on biological data through initiatives like the Antibody Developability Competition [24][26] Q&A Session Summary Question: Impact of U.S. government shutdown on Ginkgo's business - Management indicated that the shutdown has not significantly impacted the company, as grants and funding continue to flow [41] Question: Development and rollout path for the rack system - Management expressed excitement about the scalability and productization of the rack system, aiming for broader adoption in the next 18 months [42][44] Question: Ideal revenue mix by 2030 - The company envisions an 80-20 revenue mix favoring tools over services by 2030, with a focus on becoming a dominant provider of general-purpose R&D infrastructure [50][51] Question: Details on the Google Cloud contract reset - Management provided insights on favorable terms negotiated with Google, reducing future commitments and extending the contract period [52][53] Question: AI's role in R&D landscape - Management discussed the potential of AI and robotics to transform drug discovery and laboratory operations, enabling researchers to pursue multiple hypotheses simultaneously [56][58]

Financial Performance - Ginkgo's Q3 2025 total revenue was $39 million, a decrease of 56% year-over-year compared to $89 million in Q3 2024[34] - Cell Engineering revenue in Q3 2025 was $29 million, a 61% decrease compared to $75 million in Q3 2024, which includes $45 million of non-cash deferred revenue from Motif[23, 34] - Biosecurity revenue in Q3 2025 was $9 million, a 32% decrease compared to $14 million in Q3 2024[34] - Total Adjusted EBITDA for Q3 2025 was $(56) million, compared to $(20) million in Q3 2024[34] - Ginkgo reaffirms its full year 2025 total revenue guidance of $167-187 million[43] - Ginkgo's cash, cash equivalents, and marketable securities remain strong at $462 million as of Q3 2025[17] - Quarterly cash burn continues to improve, with a 73% decrease from the prior quarter[14] Strategic Focus - Ginkgo is expanding its business model into life science tools and services[54, 96] - Ginkgo believes AI models will impact biotechnology in two ways and is well-positioned to provide tools in both[48, 51, 93, 115] - Ginkgo continues to offer research solutions on top of its in-house robotics, winning new deals in Agriculture and with the US Government[49, 52, 94, 116] - Ginkgo is expanding its frontier autonomous lab in Boston as a showcase[50, 53, 95, 117, 118]

Revenue Generation - Ginkgo's revenue is generated primarily through cell engineering services, with a focus on license and collaboration agreements for engineered organisms [170]. - Ginkgo's cell engineering revenue includes transactions with Platform Ventures and Legacy Structured Partnerships, involving upfront non-cash consideration and R&D services [174]. - Total revenue for the nine months ended September 30, 2025, was $136.8 million, compared to $183.2 million for the same period in 2024, reflecting a decrease of $46.4 million [196]. - Cell Engineering revenue for Q3 2025 was $29.4 million, down from $75.1 million in Q3 2024, a decrease of $45.7 million, largely due to the recognition of $45.4 million in non-cash revenue from a terminated contract in Q3 2024 [197]. - Biosecurity revenue for Q3 2025 was $9.5 million, down from $14.0 million in Q3 2024, a decrease of $4.5 million, primarily due to lower revenue from U.S. government programs [201]. Expenses and Cost Management - R&D expenses decreased in the first half of 2025 compared to the first half of 2024, attributed to a restructuring plan initiated in Q2 2024 [181]. - The company expects R&D expenses to stabilize or decline in 2025, depending on technology advances and market penetration [181]. - General and Administrative (G&A) expenses were lower in the first half of 2025 compared to the first half of 2024, primarily due to a restructuring plan initiated in Q2 2024, with expectations for G&A expenses to remain consistent or decline in 2025 [183]. - Research and development expenses decreased to $69.4 million for the three months ended September 30, 2025, down from $77.0 million in 2024, a reduction of 10.0% [209]. - General and administrative expenses were $45.0 million for the three months ended September 30, 2025, down from $52.3 million in 2024, a decrease of 13.9% [211]. - The company recorded restructuring charges of $10.7 million for the nine months ended September 30, 2025, down from $20.0 million in 2024, a decrease of 46.5% [214]. Financial Performance - The net loss for Q3 2025 was $80.8 million, compared to a net loss of $56.4 million in Q3 2024, an increase in loss of $24.4 million [196]. - The company reported a net loss of $232.0 million for the nine months ended September 30, 2025, with non-cash charges of $129.1 million [233]. - Interest income, net for Q3 2025 was $5.7 million, down from $9.3 million in Q3 2024, a decrease of $3.5 million [196]. - Interest income, net for the nine months ended September 30, 2025, was $17.9 million, compared to $31.3 million in 2024, a decrease of 42.5% [217]. - Gain on investments was $3.7 million for the three months ended September 30, 2025, compared to a loss of $6.9 million in 2024 [218]. Cash Flow and Liquidity - As of September 30, 2025, the company had cash and cash equivalents and marketable securities totaling $461.9 million, expected to fund operations for at least the next 12 months [230]. - For the nine months ended September 30, 2025, net cash used in operating activities was $123.4 million, compared to $277.2 million for the same period in 2024 [232]. - Cash used in investing activities for the nine months ended September 30, 2025, was $335.4 million, primarily due to purchases of marketable debt securities totaling $401.8 million [237]. - Net cash provided by financing activities for the nine months ended September 30, 2025, was $9.6 million, mainly from an ATM offering [239]. - As of September 30, 2025, the company had cash equivalents and marketable debt securities totaling $419.6 million [242]. Strategic Initiatives - In Q3 2024, Ginkgo launched new cell engineering tools, including Datapoints and lab automation solutions, aimed at providing large biological datasets for AI model training [173]. - The Foundry and Codebase are key components of Ginkgo's platform, enhancing laboratory automation and data generation capabilities [155]. - Ginkgo's automation solutions, including Reconfigurable Automation Cart systems, enable high throughput experimentation and are expected to resolve 80-90% of system errors remotely [161]. - The company aims to build a robust early warning system for biological threats as part of its biosecurity mission [162]. - The company plans to continue R&D activities and potentially acquire companies or assets to advance its objectives [234]. Market Conditions - Inflation has not had a material effect on the company's financial condition or results of operations during the reported periods [244]. - The company anticipates expenditures will exceed revenue for at least the next 12 months [232].

Revenue Performance - Total revenue for Q3 2025 was $39 million, a decrease of 56% compared to $89 million in the same period last year, primarily due to a $45 million non-cash revenue release in the prior year[5] - Cell Engineering revenue in Q3 2025 was $29 million, down 61% from $75 million in the prior year, with a similar non-cash revenue impact[5] - Biosecurity revenue for Q3 2025 was $9 million, compared to $14 million in the same period last year[5] - Total revenue for the three months ended September 30, 2025, was $38,837,000, a decrease of 56.4% compared to $89,046,000 for the same period in 2024[19] - Cell Engineering revenue decreased to $29,380,000 in Q3 2025 from $75,089,000 in Q3 2024, representing a decline of 60.8%[27] - Biosecurity revenue for the three months ended September 30, 2025, was $9,457,000, down 32.4% from $13,957,000 in Q3 2024[27] Financial Losses - GAAP net loss for Q3 2025 was $(81) million, compared to $(56) million in the prior year[5] - The net loss for the three months ended September 30, 2025, was $80,755,000, compared to a net loss of $56,403,000 for the same period in 2024, indicating a worsening of 43.0%[19] - The company reported a basic net loss per share of $1.45 for Q3 2025, compared to a loss of $1.08 per share in Q3 2024[19] - Net loss for the nine months ended September 30, 2025, was $232,012 thousand, compared to a loss of $439,495 thousand for the same period in 2024, representing a 47% improvement[32] - The company incurred total segment operating losses of $41,616,000 for Q3 2025, compared to $11,363,000 in Q3 2024, indicating a significant increase in losses[27] Cash and Cash Equivalents - Cash, cash equivalents, and marketable securities as of September 30, 2025, totaled $462 million[5] - Cash and cash equivalents at the end of the period were $111,065,000, down from $616,214,000 at the end of Q3 2024, reflecting a decrease of 82.0%[24] - Net cash used in operating activities for the nine months ended September 30, 2025, was $123,381,000, compared to $277,150,000 for the same period in 2024[23] Operating Expenses - Total operating expenses for the three months ended September 30, 2025, were $128,854,000, a reduction of 10.6% compared to $144,250,000 in Q3 2024[19] - Research and development expenses for the three months ended September 30, 2025, were $69,353,000, down from $77,006,000 in Q3 2024, a decrease of 9.5%[19] Future Projections - Ginkgo expects total revenue for 2025 to be between $167 million and $187 million, with Cell Engineering revenue projected at $117 million to $137 million and Biosecurity revenue at least $40 million[11] Strategic Initiatives - Ginkgo announced a project agreement with BARDA valued at up to $22.2 million for innovations in monoclonal antibody biomanufacturing[5] - The company is expanding its frontier autonomous lab in Boston as a showcase for its capabilities[5] - Ginkgo's AI-enabled cloud lab technology is positioned to accelerate U.S. scientific innovation, aligning with the recent AI Action Plan from President Trump[3] Adjusted Financial Metrics - Adjusted EBITDA for Q3 2025 was $(56) million, down from $(20) million in the prior year[5] - Adjusted EBITDA for the nine months ended September 30, 2025, was $(131,219) thousand, an improvement from $(236,216) thousand in 2024, indicating a 44% reduction in losses[32] Other Financial Metrics - Stock-based compensation increased to $61,429 thousand for the nine months ended September 30, 2025, compared to $94,636 thousand in 2024, reflecting a 35% decrease[32] - Restructuring charges for the nine months ended September 30, 2025, totaled $10,692 thousand, down from $20,015 thousand in 2024, marking a 47% reduction[32] - Interest income, net, decreased to $(17,906) thousand for the nine months ended September 30, 2025, from $(31,275) thousand in 2024, a decline of 43%[32] - Depreciation and amortization expenses for the nine months ended September 30, 2025, were $45,327 thousand, slightly down from $47,368 thousand in 2024, a decrease of 4%[32] - The company recognized $7.5 million in non-cash revenue during the nine months ended September 30, 2025, due to the release of deferred revenue from a customer agreement[32] - Merger and acquisition-related expenses for the nine months ended September 30, 2025, were $(4,478) thousand, compared to $6,110 thousand in 2024, indicating a significant change in expenses[32] - The company reported a loss on deconsolidation of a subsidiary amounting to $7,013 thousand for the nine months ended September 30, 2024[32] - Change in fair value of convertible notes resulted in a gain of $5,685 thousand for the nine months ended September 30, 2025, compared to a gain of $1,127 thousand in 2024[32]

Core Insights - Ginkgo Bioworks has been awarded a contract valued at up to $22.2 million by BARDA to develop innovations for the biomanufacturing of monoclonal antibodies (mAbs) aimed at combating filoviruses like Ebola and Sudan viruses [2][4] Group 1: Project Overview - The project aims to produce an anti-filovirus mAbs cocktail, specifically 1C3 and 1C11, which were discovered and developed by Emory University [2] - Ginkgo will lead a consortium that includes Advanced BioScience Laboratories (ABL), Isolere Bio by Donaldson, NeuImmune, Inc., and ProteoNic BV to enhance the entire mAb production process [2][3] Group 2: Importance and Goals - The initiative is crucial for national biosecurity and public health preparedness, emphasizing the need for rapidly scalable and cost-effective mAb manufacturing [3] - The collaboration aims to protect the U.S. population from high-threat pathogens, with a focus on developing effective medical countermeasures against filoviral infections [3] Group 3: Partner Contributions - ABL will provide product production capabilities, aiming to redefine efficacy standards against infectious diseases [3] - Isolere Bio by Donaldson will contribute to bioprocessing solutions that enhance efficiency and reduce costs for essential medicines [3] - NeuImmune will leverage its proprietary geCHO BioDesign platform to advance novel antibodies for treating filoviral infections [3] - ProteoNic will utilize its 2G UNic® vector technology to develop an efficient production process for the mAbs [3] Group 4: Background and Funding - This project builds on Ginkgo Bioworks' history of collaboration with the U.S. government in synthetic biology and biomanufacturing innovation [4] - The funding for this initiative comes from federal sources, specifically the U.S. Department of Health and Human Services and BARDA [4]

Core Insights - Ginkgo Bioworks has extended its strategic partnership with Bayer to enhance research and development of biological products for agriculture, building on their collaboration that began in 2017 [1][2] - The partnership focuses on innovative microbial nitrogen fixation, with Bayer retaining commercialization rights for the resulting products as alternatives to synthetic fertilizers [1][2] Company Developments - Ginkgo Bioworks is expanding its agricultural biologicals platform, which includes a dedicated R&D site in West Sacramento, aimed at biological crop protection, nitrogen fixation, and carbon sequestration [2] - The company is committed to developing advanced biological solutions that address diverse market needs across various crops and geographies [3][4] Industry Context - Bayer emphasizes the importance of collaboration with innovators to tackle future agricultural challenges, suggesting that biological solutions can complement traditional chemical methods [3] - Ginkgo Bioworks aims to enhance food production and security globally through its innovative biological tools and partnerships [4]

Core Points - Ginkgo Bioworks Holdings, Inc. plans to host a presentation and Q&A session on November 6, 2025, to review its business performance for Q3 2025 [1][2] - The presentation will be accessible via Ginkgo's investor relations website, and a replay will be available afterward [2] - Ginkgo Bioworks focuses on making biology easier to engineer, offering customizable R&D solutions, laboratory automation, and biosecurity technologies [3] Company Overview - Ginkgo Bioworks builds tools for biological engineering, providing R&D packages that include protein engineering and nucleic acid design [3] - The company also offers modular laboratory automation to enhance scientists' productivity [3] - Ginkgo Biosecurity is developing infrastructure to address biological threats globally [3]