Ginkgo Bioworks (DNA) - 2024 Q4 - Annual Results

Revenue Performance - Fourth quarter 2024 total revenue of $44 million, up from$35 million in the comparable prior year period, representing a 26% increase[6] - Fourth quarter 2024 Cell Engineering revenue of $35 million, up 29$27 million in the prior year, driven by growth with large biopharma customers[6] - Full year 2024 total revenue of $227 million, down 10$251 million in the prior year, primarily due to a shift in Biosecurity revenue model[6] - Full year 2024 Cell Engineering revenue of $174 million, up 21$144 million in the prior year, but down 10% to $129 million when excluding a$45 million non-cash deferred revenue release[6] - Full year 2024 Biosecurity revenue of $53 million, down 51$108 million in the prior year, with a gross profit margin of 27%[6] - Total revenue for the year ended December 31, 2024, was $227.043 million, a decrease of 9.7$251.455 million in 2023[18] - Total revenue for the year 2024 reached $173.972 million, a 21.2$143.531 million in 2023[27] Profit and Loss - Fourth quarter 2024 GAAP net loss of $(108) million, improved from$(212) million in the prior year[6] - Net loss for Q4 2024 was $107.534 million, significantly improved from a net loss of$211.694 million in Q4 2023[25] - The company reported a loss before income taxes of $(107.860) million for Q4 2024, an improvement from$(211.894) million in Q4 2023[27] - Adjusted EBITDA for the year ended December 31, 2024, was $(293.311) million, an improvement from$(364.965) million in 2023[25] - Impairment expenses for the year 2024 totaled $53.654 million, down from$121.404 million in 2023[27] Cash Flow and Financial Position - Cash and cash equivalents balance as of December 31, 2024, was $562 million, with cash flow of$(55) million in Q4 2024, an improvement from $(114) million in Q3 2024[6] - Cash and cash equivalents at the end of Q4 2024 were$561.572 million, down from $944.073 million at the end of Q4 2023[22] - Net cash used in operating activities for the year ended December 31, 2024, was$319.585 million, compared to $295.500 million in 2023[21] Cost Management - Ginkgo achieved an annualized run-rate cost reduction of$190 million as of Q4 2024, targeting $250 million by the end of Q3 2025[10] - Total operating expenses for the year ended December 31, 2024, were$786.800 million, a reduction of 29.4% compared to $1.115 billion in 2023[18] - Research and development expenses for Q4 2024 were$76.377 million, down 34.7% from $117.038 million in Q4 2023[18] - Stock-based compensation expense for the year ended December 31, 2024, was$115.299 million, down 50.9% from $234.908 million in 2023[19] - Research and development expenses for Cell Engineering were$50.364 million in Q4 2024, a reduction of 30.9% from $72.951 million in Q4 2023[27] - General and administrative expenses for Cell Engineering decreased to$20.494 million in Q4 2024, down 49.3% from $40.383 million in Q4 2023[27] Business Development - Ginkgo added 31 new programs and contracts to the Cell Engineering platform in Q4 2024, including 14 comparable in size and scope to historically reported New Programs[6] - Biosecurity service revenue increased to$9.058 million in Q4 2024, representing a 16.5% growth from $7.779 million in Q4 2023[27] - The operating loss for Cell Engineering improved to$(38.138) million in Q4 2024, compared to $(86.359) million in Q4 2023[27] - Total segment operating loss decreased to$(47.885) million in Q4 2024, down from $(98.035) million in Q4 2023[27] Future Outlook - Ginkgo expects total revenue of$160-$180 million in 2025, with Cell Engineering revenue projected at$110-$130 million[10] - The company recognized$45.4 million in non-cash revenue in 2024 due to the termination of revenue contracts with Motif[25]