23andMe May Disappear as Public Stock Altayb / Getty Images Battered 23andMe Holding Co. (NASDAQ: ME), its shares driven down to penny stock levels, may disappear from the public markets completely. That is if its CEO can take the company private. If not, 23andMe may run out of money.CEO Anne Wojcicki has told a special committee of the 23andMe board that she will begin to look for funding to buy out public investors. According to an SEC filing, “Ms. Wojcicki also indicated that she wishes to maintain con ...

23ME-01473, antibody targeting ULBP6: Data will be presented on the discovery and biology of ULBP6, and the potential to restore natural killer and T cell-mediated anti-tumor immunity by targeting ULBP6 23ME-00610, antibody targeting CD200R1: Preclinical data will be presented on targeting the CD200R1 pathway in T cells and natural killer cells using 23ME-00610 as a single agent, or in combination with other anti-tumor therapies SAN DIEGO, April 05, 2024 (GLOBE NEWSWIRE) -- 23andMe Holding Co. (NASDAQ:ME) ( ...

If you're an individual investor who wants to invest like a billionaire fund manager, I've got good news. Following billionaires is relatively easy because the U.S. Securities and Exchange Commission makes anyone who manages over $100 million in assets report their trading activity every quarter.In the last three months of 2023, several prominent billionaires bought shares of 23andMe (ME -8.17%) even though the stock has been plunged from its previous peak.Before plowing any of your hard-earned money into t ...

23ME-01473 (‘1473) seeks to restore anti-tumor immunity through NK and T cells by blocking the immunosuppressive effects of soluble ULBP6 ‘1473 also induces Fc receptor-mediated killing of ULBP6-expressing cancer cells through enhanced effector function SOUTH SAN FRANCISCO, Calif., March 20, 2024 (GLOBE NEWSWIRE) -- 23andMe Holding Co. (NASDAQ:ME), a leading human genetics and biopharmaceutical company, today announced the first participant has been dosed in a Phase 1 clinical trial evaluating 23ME-01473 (‘ ...

SOUTH SAN FRANCISCO, Calif., March 06, 2024 (GLOBE NEWSWIRE) -- 23andMe Holding Co. (NASDAQ:ME), a leading human genetics and biopharmaceutical company, released three new genetic reports for 23andMe+ members on breast, colorectal and prostate cancer. The reports are based on statistical models known as polygenic risk scores (PRS), developed by 23andMe through its proprietary research database. These PRS reports calculate the likelihood of an individual developing one of these cancers, based on thousands of ...

What’s next for 23andMe? Most people know the biotech company as a genetic testing service. Stories of people sending their cheek swabs off in the mail only to discover that a parent who raised them wasn’t their biological one have become a kind of millennial horror genre. Of course, most 23andMe experiences aren’t that dramatic: the company says over 14 million people have used the service in hopes of learning more about their ancestry.But this month, 23andMe revealed it is facing major financial troubles, ...

23andMe Co-Founder and CEO Anne Wojcicki speaks onstage during TechCrunch Disrupt SF 2017 at Pier 48 on September 19, 2017 in San Francisco, California.Shares of the genetic testing company 23andMe sank 21% Thursday, a day after the company reported dismal third-quarter fiscal 2024 results and discussed splitting itself in two to help juice its stock price.23andMe reported revenue of $45 million for the quarter, down from the $67 million it reported in the same period last year. The company said its net los ...

Shares of 23andMe Holding Co. fell 15.8% Thursday after the DNA-testing company fiscal third-quarter sales declined 33%, weighed down by lower consumer services and research revenue. The stock’s performance puts 23andMe ME, -17.19% shares on pace for their biggest daily percentage decline since Nov. 9, 2023, they fell 21.96%, according to Dow Jones Market Data. The stock is also on pace for its fourth-worst daily percentage decline. 23andMe’s third-quarter revenue was $44.7 million, down from $66.9 milli ...

PART I. FINANCIAL INFORMATION [Item 1. Financial Statements](index=4&type=section&id=Item%201.%20Financial%20Statements) The unaudited condensed consolidated financial statements for December 31, 2023, reveal significant asset and cash declines, and a wider net loss, largely due to goodwill impairment [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet as of December 31, 2023, shows significant reductions in total assets, cash, goodwill, and stockholders' equity Key Balance Sheet Figures | Balance Sheet Item | Dec 31, 2023 ($ thousands) | Mar 31, 2023 ($ thousands) | | :--- | :--- | :--- | | Cash and cash equivalents | 242,418 | 386,849 | | Goodwill | 152,944 | 351,744 | | Total assets | 608,211 | 942,598 | | Total liabilities | 231,023 | 228,659 | | Total stockholders' equity | 377,188 | 713,939 | [Condensed Consolidated Statements of Operations and Comprehensive Loss](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations%20and%20Comprehensive%20Loss) The statements of operations for Q4 2023 show a 33% revenue decrease and a significantly wider net loss, driven by a goodwill impairment Key Operating Results (Three Months Ended Dec 31) | Metric ($ thousands, except EPS) | Three Months Ended Dec 31, 2023 | Three Months Ended Dec 31, 2022 | | :--- | :--- | :--- | | Revenue | 44,747 | 66,940 | | Gross Profit | 19,936 | 30,751 | | Goodwill Impairment | 198,800 | — | | Loss from Operations | (281,210) | (97,100) | | Net Loss | (277,976) | (91,961) | | Basic and Diluted EPS | ($0.58) | ($0.20) | Key Operating Results (Nine Months Ended Dec 31) | Metric ($ thousands, except EPS) | Nine Months Ended Dec 31, 2023 | Nine Months Ended Dec 31, 2022 | | :--- | :--- | :--- | | Revenue | 155,610 | 207,112 | | Gross Profit | 72,345 | 94,514 | | Goodwill Impairment | 198,800 | — | | Loss from Operations | (469,605) | (254,737) | | Net Loss | (457,870) | (247,558) | | Basic and Diluted EPS | ($0.97) | ($0.55) | [Condensed Consolidated Statements of Stockholders' Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Stockholders%27%20Equity) Stockholders' equity significantly decreased from **$713.9 million** to **$377.2 million**, primarily due to the cumulative net loss - The accumulated deficit grew significantly, increasing from **$(1,506.4) million** at March 31, 2023, to **$(1,964.3) million** at December 31, 2023, reflecting ongoing net losses[17](index=17&type=chunk) [Condensed Consolidated Statements of Cash Flows](index=8&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) For the nine months ended December 31, 2023, net cash used in operating activities increased, leading to a **$144.4 million** decrease in total cash Key Cash Flow Activities | Cash Flow Activity ($ thousands) | Nine Months Ended Dec 31, 2023 | Nine Months Ended Dec 31, 2022 | | :--- | :--- | :--- | | Net cash used in operating activities | (138,535) | (120,429) | | Net cash used in investing activities | (7,480) | (8,017) | | Net cash provided by financing activities | 1,584 | 7,171 | | **Net decrease in cash** | **(144,431)** | **(120,581)** | [Notes to the Condensed Consolidated Financial Statements](index=10&type=section&id=Notes%20to%20the%20Condensed%20Consolidated%20Financial%20Statements) The notes detail accounting policies and key disclosures, including reporting segments, a significant goodwill impairment, restructuring charges, and recent cybersecurity and Nasdaq listing issues - The company operates in two reporting segments: **Consumer and Research Services** and **Therapeutics**[28](index=28&type=chunk) - On November 10, 2023, the company received a deficiency letter from Nasdaq for failing to maintain a minimum bid price of at least **$1 per share**[45](index=45&type=chunk) - A non-cash, pre-tax goodwill impairment charge of **$198.8 million** was recognized during the three months ended December 31, 2023[89](index=89&type=chunk) [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=32&type=section&id=Item%202.%20Management%27s%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses financial performance, noting a 33% revenue decline, increased net loss due to goodwill impairment, and recent operational challenges, while affirming sufficient liquidity [Results of Operations](index=40&type=section&id=Results%20of%20Operations) Revenue for Q3 2023 decreased 33% to **$44.7 million**, with operating expenses surging due to a **$198.8 million** goodwill impairment, leading to a significantly widened net loss - Total revenue decreased by **33%** for the three months ended December 31, 2023, driven by a **$11.5 million** decrease in research services revenue and a **$10.7 million** decrease in consumer services revenue[198](index=198&type=chunk) - A goodwill impairment charge of **$198.8 million** was the primary driver of the significant increase in operating loss and net loss for the three and nine months ended December 31, 2023[218](index=218&type=chunk) - The company undertook reductions in force in June and August 2023, resulting in restructuring charges of **$8.4 million** for the nine-month period[216](index=216&type=chunk) [Adjusted EBITDA](index=45&type=section&id=Adjusted%20EBITDA) Total Adjusted EBITDA loss increased to **$47.7 million**, with Consumer and Research Services widening its loss, while Therapeutics improved its loss due to cost reductions Segment Adjusted EBITDA | Segment Adjusted EBITDA ($ thousands) | Three Months Ended Dec 31, 2023 | Three Months Ended Dec 31, 2022 | | :--- | :--- | :--- | | Consumer and Research Services | (20,620) | (8,313) | | Therapeutics | (16,528) | (21,471) | | Unallocated Corporate | (10,587) | (13,488) | | **Total Adjusted EBITDA** | **(47,735)** | **(43,272)** | [Liquidity and Capital Resources](index=47&type=section&id=Liquidity%20and%20Capital%20Resources) As of December 31, 2023, the company's cash and cash equivalents totaled **$242.4 million**, which management believes is sufficient for at least the next 12 months, supplemented by an available ATM stock offering program - The company's cash and cash equivalents balance was **$242.4 million** as of December 31, 2023[235](index=235&type=chunk) - Management believes current cash is sufficient to fund operations for at least **12 months** from the filing date[235](index=235&type=chunk) - An at-the-market (ATM) offering program allows the company to sell up to **$150.0 million** of its Class A common stock, though no sales had been made as of the report date[236](index=236&type=chunk)[237](index=237&type=chunk) [Item 3. Quantitative and Qualitative Disclosures About Market Risk](index=52&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) The company assesses its exposure to market risks, including interest rate and foreign currency risks, as not material, with hypothetical changes having no significant financial impact - The company does not believe it has any material exposure to changes in interest rates due to the short-term nature of its cash equivalents[265](index=265&type=chunk) - Foreign currency risk is currently not material as substantially all revenue and expenses are denominated in U.S. dollars[266](index=266&type=chunk) [Item 4. Controls and Procedures](index=52&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective as of December 31, 2023, with no material changes to internal control over financial reporting - The CEO and CFO concluded that the company's disclosure controls and procedures were effective at the reasonable assurance level as of December 31, 2023[269](index=269&type=chunk) - No material changes to the company's internal control over financial reporting occurred during the quarter ended December 31, 2023[271](index=271&type=chunk) PART II. OTHER INFORMATION [Item 1. Legal Proceedings](index=54&type=section&id=Item%201.%20Legal%20Proceedings) This section refers to Note 11, disclosing multiple class-action claims filed against the company following the October 2023 cybersecurity incident - The company is subject to multiple class-action lawsuits filed in response to the October 2023 cybersecurity incident[273](index=273&type=chunk)[277](index=277&type=chunk) [Item 1A. Risk Factors](index=54&type=section&id=Item%201A.%20Risk%20Factors) This section updates key risk factors, including ongoing litigation from the October 2023 cyberattack, Nasdaq listing non-compliance, and potential future goodwill impairments - The company faces ongoing risks from the October 2023 cyberattack, including litigation costs and potential reputational damage[275](index=275&type=chunk)[278](index=278&type=chunk) - The company is not in compliance with the Nasdaq minimum bid price requirement, which could lead to the delisting of its Class A common stock[279](index=279&type=chunk)[281](index=281&type=chunk) - A goodwill impairment charge of **$198.8 million** was recorded as of December 31, 2023, with future declines potentially leading to further impairments[282](index=282&type=chunk)[283](index=283&type=chunk) [Item 2. Unregistered Sales of Equity Securities, Use of Proceeds, and Issuer Purchases of Equity Securities](index=55&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%2C%20Use%20of%20Proceeds%2C%20and%20Issuer%20Purchases%20of%20Equity%20Securities) The company reported no unregistered sales of equity securities, use of proceeds, or issuer purchases of equity securities during the period - None[284](index=284&type=chunk) [Item 5. Other Information](index=56&type=section&id=Item%205.%20Other%20Information) No directors or officers adopted, modified, or terminated Rule 10b5-1 or non-Rule 10b5-1 trading arrangements during the fiscal quarter ended December 31, 2023 - No directors or officers adopted, modified, or terminated a Rule 10b5-1 trading arrangement during the quarter[287](index=287&type=chunk)

23andMe stock is down over 95% from its peak, cutting its value from $6 billion to $345 million. The genetic-testing company is facing financial and strategic challenges, and was hacked last year. The startup's backers, including Sequoia Capital, have taken big hits to their investments. NEW LOOK Sign up to get the inside scoop on today’s biggest stories in markets, tech, and business — delivered daily. Read preview Thanks for signing up! Access your favorite topics in a personalized feed while ...