HOLLISTER, Calif., Feb. 05, 2026 (GLOBE NEWSWIRE) -- Alpha Teknova, Inc. (“Teknova”) (Nasdaq: TKNO), a leading producer of critical reagents for the discovery, development, and commercialization of novel therapies, vaccines, and molecular diagnostics, today announced that the Company will report its financial results for the fourth quarter and full year ended December 31, 2025, on Thursday, February 26, 2026, following the close of market. Teknova will host a webcast and conference call on Thursday, Februar ...

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Revenue Performance - Revenue for the three months ended September 30, 2025, was $10.5 million, an increase of $0.9 million or 9.2% compared to $9.6 million for the same period in 2024[91]. - Lab Essentials revenue increased to $8.3 million, up $1.1 million or 16.0% from $7.2 million in the prior year, driven by higher average revenue per customer[97]. - Clinical Solutions revenue decreased to $1.7 million, down $0.3 million or 13.1% from $2.0 million in the prior year, attributed to lower average revenue per customer[98]. - Total revenue for the nine months ended September 30, 2025, was $30.5 million, an increase of $2.1 million or 7.2% compared to $28.5 million for the same period in 2024[107]. - Revenue from Lab Essentials increased by 9.8% to $24.2 million for the nine months ended September 30, 2025, compared to $22.1 million in 2024[108]. - Revenue from Clinical Solutions decreased by 6.1% to $4.9 million for the nine months ended September 30, 2025, down from $5.2 million in 2024[109]. Profitability and Loss - Gross profit for the three months ended September 30, 2025, was $3.2 million, a significant increase of $3.1 million or 3462.2% compared to $90, primarily due to the absence of non-recurring charges from the previous year[100]. - Gross profit for the nine months ended September 30, 2025, was $10.2 million, representing a 99.8% increase from $5.1 million in 2024, with a gross profit margin of 33.4% compared to 17.9% in 2024[112]. - Net loss for the nine months ended September 30, 2025, was $12.5 million, a reduction of 40.5% from a net loss of $21.0 million in 2024[106]. Operating Expenses - Operating loss for the three months ended September 30, 2025, was $4.0 million, a reduction of $3.4 million or 45.9% from a loss of $7.4 million in the same period of 2024[92]. - Total operating expenses decreased to $7.2 million, down $0.3 million or 4.0% from $7.5 million in the prior year[101]. - Operating expenses decreased by 11.9% to $22.6 million for the nine months ended September 30, 2025, down from $25.6 million in 2024[113]. - General and administrative expenses decreased to $4.6 million, down 6.5% from $5.0 million in the prior year, reflecting a general reduction in spending[102]. - Research and development expenses decreased to $0.5 million, down 13.6% from $0.6 million in the prior year[102]. - Research and development expenses were $1.7 million for the nine months ended September 30, 2025, a decrease of 22.6% from $2.2 million in 2024[113]. Cash Flow and Capital - As of September 30, 2025, the company had $29.6 million in net working capital, including $22.1 million in cash and cash equivalents[121]. - For the nine months ended September 30, 2025, net cash used in operating activities was $8.2 million, primarily due to a net loss of $12.5 million and non-cash charges of $8.5 million[126]. - The net cash provided by investing activities for the same period was $7.5 million, resulting from $22.0 million in maturities of short-term investments[128]. - The company reported a net cash decrease of $504,000 for the nine months ended September 30, 2025, compared to a decrease of $22.339 million in the same period of 2024[124]. - The company has a credit facility with loan commitments totaling up to $28.245 million, including a $23.245 million senior secured term loan and a $5.0 million working capital facility[122]. - Net cash provided by financing activities was $0.2 million for the nine months ended September 30, 2025, primarily from long-term debt proceeds of $1.1 million[130]. Tax and Other Expenses - The effective tax rate for the nine months ended September 30, 2025, was (1.0%), compared to 0.2% in 2024, primarily due to operating losses[119]. - Total other expenses, net for the nine months ended September 30, 2025, were not significant at $(0.014) million, compared to $(0.558) million in 2024, a decrease of 97.5%[118]. Future Outlook - The minimum net revenue requirement for the twelve months ending December 31, 2025, is set at $39.0 million, with a minimum cash requirement of $8.0 million[122]. - The company filed a "shelf" registration statement allowing for the offering of securities up to $225 million, providing flexibility for future capital needs[123]. - The company qualifies as an "emerging growth company," allowing it to take advantage of certain reporting exemptions under the JOBS Act[133].

Core Insights - Alpha Teknova, Inc. reported a 9% increase in revenue for Q3 2025, marking the fifth consecutive quarter of year-over-year growth, driven primarily by a 16% increase in Lab Essentials product sales [5][13] - The company is focused on long-term sustainable growth, with operational improvements expected to enhance efficiency and reduce costs by 2026 [6][7] - Despite challenges in the biotech funding environment, 75% of revenue from catalog products and custom products across various market segments has shown low double-digit growth [11][20] Financial Performance - Total revenue for Q3 2025 was $10.5 million, up from $9.6 million in Q3 2024 [13] - Lab Essentials revenue reached $8.3 million, a 16% increase from $7.2 million in the previous year, attributed to higher average revenue per customer [13] - Clinical Solutions revenue decreased by 13% to $1.7 million, down from $2 million in 2024, due to lower average revenue per customer [14] Operational Efficiency - The company has made significant investments in distributor management, purchasing integration, and price optimization, leading to double-digit growth in catalog products [6] - Key operational projects aimed at improving efficiency include transitioning to electronic batch records and automating dispensing lines, expected to be operational by 2026 [6][7] - Alpha Teknova aims to scale to over $200 million in annualized revenue without significant additional capital investments [7] Market Outlook - The company anticipates modest growth in custom biopharma products, which represent about 25% of total revenue, while expecting low double-digit growth in the remaining 75% of revenue [20] - The long-term outlook for end markets remains positive, with a focus on supporting the introduction of novel therapies and diagnostics [24] - The company is actively pursuing potential acquisitions and collaborations to enhance capabilities and accelerate growth [7] Guidance and Expectations - Alpha Teknova reiterated its total revenue guidance for 2025 at $39 million to $42 million, expecting to finish slightly below the midpoint due to softness in clinical solutions demand [18] - The gross margin for Q3 2025 was reported at 30.7%, up from 0.9% in 2024, primarily due to higher revenue and operational improvements [15] - The company expects to achieve adjusted EBITDA positivity with annualized revenue in the range of $50 million to $55 million [22]

Financial Data and Key Metrics Changes - Revenue for Q3 2025 was $10.5 million, a 9% increase from $9.6 million in Q3 2024, marking the fifth consecutive quarter of year-over-year growth [5][10] - Gross profit for Q3 2025 was $3.2 million, compared to $0.1 million in Q3 2024, with a gross margin of 30.7%, up from 0.9% in the prior year [12] - Net loss for Q3 2025 was $4.3 million or negative $0.08 per diluted share, an improvement from a net loss of $7.6 million or negative $0.15 per diluted share in Q3 2024 [13] Business Line Data and Key Metrics Changes - Lab Essentials revenue was $8.3 million in Q3 2025, a 16% increase from $7.2 million in Q3 2024, driven by higher average revenue per customer [10][11] - Clinical Solutions revenue was $1.7 million in Q3 2025, a 13% decrease from $2.0 million in Q3 2024, attributed to lower average revenue per customer [11] Market Data and Key Metrics Changes - Approximately 25% of total revenue is derived from custom products purchased by biopharma customers, with the remaining 75% growing in the low double digits [8][16] - The company has seen a steady increase in demand for custom reagents in market segments such as animal health, life science tools, and diagnostics [8] Company Strategy and Development Direction - The company is focused on long-term, sustainable growth, aiming for $200 million in annualized revenue without significant additional capital investments [6] - Investments in distributor management, purchasing integration, and price optimization are expected to drive operational efficiency and revenue growth [6][9] - The company is pursuing potential tuck-in acquisitions and collaborations to enhance capabilities and accelerate growth [7] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term outlook for end markets, despite current softness in demand for clinical solutions from biopharma customers [19] - The company expects modest growth in custom biopharma products and low double-digit growth in the remaining revenue segments [16][18] Other Important Information - The company reiterated its 2025 total revenue guidance of $39 million to $42 million, expecting to finish slightly below the midpoint of that range [15] - Capital expenditures for Q3 2025 were $0.4 million, with free cash outflow remaining at $2.4 million, consistent with Q3 2024 [15] Q&A Session Summary Question: How have customer conversations trended regarding MFN Pharma Tariffs? - Management noted optimism but indicated that actual purchasing actions have not yet been observed, with limited conversations about ramping up spending [21][22] Question: Update on the RUO Plus initiative? - The initiative is performing well, providing flexibility for customers not ready for GMP, and is seen as a pathway to migrate them to GMP in the future [24] Question: Expected product mix and interest in custom portfolio? - Management highlighted that 75% of the business is growing double digits, with increased interest in tools and diagnostics, indicating a strong performance across all market segments [29][30] Question: Insights on clinical solutions customer acquisition? - Management confirmed ongoing customer acquisition, with a focus on larger-sized customers, and noted that the mix may change but remains positive [36][38] Question: Gross margin improvement trajectory? - Management indicated that gross margin improvements are expected to continue, driven by high fixed costs and ongoing efficiency projects [42][44] Question: Areas for driving more efficiencies? - The company is continuously seeking operational efficiencies across various functions, including labor savings and IT infrastructure improvements [48][50]

FINANCIAL RESULTS: Q3:2025 SLIDE SUPPLEMENT • Welcome • Business Highlights and Updates Stephen Gunstream, President and Chief Executive Officer • Financial Results and 2025 Outlook Matt Lowell, Chief Financial Officer • Q&A Forward-looking statements and use of non-GAAP financial measures Statements in this presentation about future expectations, plans, and prospects, as well as any other statements regarding matters that are not historical facts, may constitute "forward-looking statements." These statemen ...

Revenue Performance - Total revenue for Q3 2025 was $10.5 million, representing a 9% increase from $9.6 million in Q3 2024[5] - Lab Essentials revenue reached $8.3 million in Q3 2025, up 16% from $7.2 million in Q3 2024[5] - Clinical Solutions revenue was $1.7 million in Q3 2025, down 13% from $2.0 million in Q3 2024[5] Profitability and Loss - Gross profit for Q3 2025 was $3.2 million, with a gross margin of 30.7%, compared to $0.1 million and 0.9% in Q3 2024[6] - Net loss for Q3 2025 was $4.3 million, or negative $0.08 per diluted share, compared to a net loss of $7.6 million, or negative $0.15 per diluted share, in Q3 2024[7] - Adjusted EBITDA for Q3 2025 was negative $1.6 million, an improvement from negative $5.0 million in Q3 2024[8] Cash Flow and Expenses - Operating expenses decreased to $7.2 million in Q3 2025 from $7.5 million in Q3 2024[7] - Free Cash Outflow remained the same at $2.4 million for both Q3 2025 and Q3 2024[8] - Cash used in operating activities for the nine months ended September 30, 2025, was $8,184 million, compared to $11,455 million for the same period in 2024, reflecting a decrease of 28.5%[27] - Free Cash Flow for the nine months ended September 30, 2025, was $(8,984) million, compared to $(12,013) million for the same period in 2024, reflecting an improvement of 25.2%[27] Guidance and Future Outlook - The company reaffirms its 2025 revenue guidance of $39-42 million and anticipates Free Cash Outflow of less than $12 million[9] Balance Sheet and Assets - Total cash and short-term investments were $22.1 million, with total borrowings of $13.2 million at the end of Q3 2025[4] - As of September 30, 2025, total assets decreased to $107,625 million from $118,769 million as of December 31, 2024, representing a decline of approximately 9.5%[24] - Total current liabilities decreased to $6,936 million as of September 30, 2025, from $11,211 million as of December 31, 2024, a reduction of 38.5%[24] - The company had total stockholders' equity of $72,650 million as of September 30, 2025, down from $82,394 million as of December 31, 2024, a decrease of 11.8%[24] Depreciation and Inventory - The company reported a depreciation and amortization expense of $1,591 million for the three months ended September 30, 2025, compared to $1,671 million for the same period in 2024, a decrease of 4.8%[26] - Inventory reserve increased to $732 million for the three months ended September 30, 2025, from $3,339 million in the same period of 2024, indicating a significant reduction in inventory write-downs[26] Improvement in Losses - The net loss for the three months ended September 30, 2025, was $4,286 million, an improvement from a net loss of $7,565 million for the same period in 2024, indicating a reduction of 43.1%[26] - Adjusted EBITDA for the three months ended September 30, 2025, was $(1,576) million, compared to $(5,001) million for the same period in 2024, showing an improvement of 68.5%[27] - Cash and cash equivalents at the end of the period were $3,204 million, down from $6,145 million at the end of the previous year, a decline of 47.9%[26]

Core Insights - Alpha Teknova, Inc. reported total revenue of $10.5 million for Q3 2025, reflecting a 9% increase from $9.6 million in Q3 2024, marking five consecutive quarters of year-over-year revenue growth [1][6][9] - The company reaffirms its 2025 revenue guidance, expecting total revenue between $39 million and $42 million [1][12] Financial Performance - Revenue Breakdown: - Lab Essentials revenue was $8.3 million, up 16% from $7.2 million in Q3 2024 - Clinical Solutions revenue was $1.7 million, down 13% from $2.0 million in Q3 2024 [4][6] - Gross profit for Q3 2025 was $3.2 million, with a gross margin of 30.7%, significantly improved from $0.1 million and 0.9% in Q3 2024 [7] - Operating expenses decreased to $7.2 million in Q3 2025 from $7.5 million in Q3 2024, primarily due to reduced general and administrative spending [8] Cash Flow and Losses - Net loss for Q3 2025 was $4.3 million, or negative $0.08 per diluted share, an improvement from a net loss of $7.6 million, or negative $0.15 per diluted share, in Q3 2024 [10][22] - Adjusted EBITDA for Q3 2025 was negative $1.6 million, an improvement from negative $5.0 million in Q3 2024 [11][27] - Free Cash Outflow remained consistent at $2.4 million for both Q3 2025 and Q3 2024 [11][27] Balance Sheet Highlights - As of September 30, 2025, total cash and short-term investments were $22.1 million, with total borrowings of $13.2 million [9][23] - Total assets decreased to $107.6 million from $118.8 million as of December 31, 2024 [24] Market Position and Outlook - The company continues to see growth in its Clinical Solutions customer base, which, along with a diverse product portfolio, positions it for sustainable growth [2] - Teknova anticipates Free Cash Outflow of less than $12 million for the fiscal year 2025 [12]

Core Insights - Teknova will report its financial results for Q3 2025 on November 6, 2025, after market close [1] - A webcast and conference call will be held on the same day at 5 p.m. Eastern Time for investors [2] Company Overview - Teknova has been innovating in the manufacture of critical reagents since 1996, supporting the life sciences industry [3] - The company offers customizable solutions for various stages of the workflow, aiding in molecular diagnostics and emerging therapeutic modalities [3] - Teknova operates from a 180,000 square feet facility in Hollister, California, designed for efficient production of foundational ingredients for next-generation therapies [3]

Core Insights - Artificial intelligence (AI) is identified as the greatest investment opportunity of the current era, with a strong emphasis on the urgent need for energy to support its growth [1][2][3] - A specific company is highlighted as a key player in the AI energy sector, owning critical energy infrastructure assets that are essential for meeting the increasing energy demands of AI technologies [3][7][8] Investment Landscape - Wall Street is investing hundreds of billions into AI, but there is a looming question regarding the energy supply needed to sustain this growth [2] - AI data centers consume energy equivalent to that of small cities, leading to concerns about power grid strain and rising electricity prices [2] - The company in focus is positioned to benefit from the surge in demand for electricity driven by AI advancements [3][6] Company Profile - The company is described as a "toll booth" operator in the AI energy boom, collecting fees from energy exports and benefiting from the onshoring trend due to tariffs [5][6] - It possesses significant nuclear energy infrastructure assets, making it a crucial player in the U.S. energy strategy [7] - The company is noted for its ability to execute large-scale engineering, procurement, and construction projects across various energy sectors [7] Financial Position - The company is completely debt-free and has a substantial cash reserve, amounting to nearly one-third of its market capitalization [8] - It also holds a significant equity stake in another AI-related company, providing indirect exposure to multiple growth opportunities without high premiums [9][10] Market Sentiment - There is a growing interest from hedge funds in this company, which is considered undervalued and off the radar compared to other AI and energy stocks [9][10] - The company is trading at less than 7 times earnings, indicating a potential for significant upside in the context of its critical role in the AI and energy sectors [10] Future Outlook - The convergence of AI, energy infrastructure, and tariffs presents a unique investment opportunity, with the potential for substantial returns as the demand for AI continues to rise [14][15] - The influx of talent into the AI sector is expected to drive rapid advancements, further solidifying the importance of energy infrastructure in supporting this growth [12][13]