Pacific Biosciences of California(PACB)2024-08-07 20:08Revenue Performance - Revenue for Q2 2024 was $36.0 million, down 24% from $47.6 million in Q2 2023[2] - Total revenue for the three months ended June 30, 2024, was $36,013 thousand, a decrease of 24% compared to $47,573 thousand for the same period in 2023[11] - Product revenue for the three months ended June 30, 2024, was $31,746 thousand, down 27% from $43,655 thousand in the prior year[12] Profit and Loss - Gross profit for Q2 2024 was $5.9 million, significantly lower than $15.5 million in Q2 2023, impacted by $4.6 million in restructuring expenses[2] - Gross profit for the three months ended June 30, 2024, was $5,938 thousand, representing a decline of 62% from $15,546 thousand in the same quarter of 2023[12] - Net loss for Q2 2024 was $173.3 million, compared to a net loss of $69.8 million in Q2 2023, with a net loss per share of $0.64[2] - GAAP net loss for the three months ended June 30, 2024, was $173,319 thousand, compared to a loss of $69,833 thousand for the same period in 2023[15] Operating Expenses - Operating expenses surged to $181.8 million, compared to $88.7 million in Q2 2023, including a $93.2 million goodwill impairment charge[2] - Total operating expenses for the three months ended June 30, 2024, were $181,784 thousand, significantly higher than $88,721 thousand in the same period of 2023[15] - Non-GAAP total operating expenses for the three months ended June 30, 2024, were $70,984 thousand, compared to $86,701 thousand in the same period last year[15] Goodwill Impairment - Goodwill impairment recorded during the three months ended June 30, 2024, was $93,200 thousand, attributed to a sustained decrease in the company's share price[13] - Goodwill impairment of $93,200 thousand was recorded during the three and six months ended June 30, 2024, due to a sustained decrease in the company's share price[16] Research and Development - Research and development expenses for the three months ended June 30, 2024, were $38,485 thousand, down from $46,173 thousand in the same quarter of 2023[12] Non-GAAP Metrics - Non-GAAP gross profit was $13.2 million with a gross margin of 37%, compared to $15.7 million and 33% in Q2 2023[3] - Non-GAAP net loss for Q2 2024 was $55.2 million, an improvement from a non-GAAP net loss of $65.6 million in Q2 2023[3] - Non-GAAP gross profit for the three months ended June 30, 2024, was $13,216 thousand, compared to $15,729 thousand in the same period last year, with a gross profit margin of 37%[15] Cash and Assets - Total assets as of June 30, 2024, were $1,509,491 thousand, a decrease from $1,746,013 thousand as of December 31, 2023[14] - Cash and investments as of June 30, 2024, were $509,802 thousand, down from $631,416 thousand at the end of 2023[14] - Stockholders' equity as of June 30, 2024, was $492,700 thousand, a decrease from $701,304 thousand as of December 31, 2023[14] Product Development and Strategic Initiatives - The Revio HiFi sequencing system was selected for Singapore's Long-Read Sequencing Flagship Project, enhancing precision medicine efforts[4] - PacBio aims to reduce annual run rate expenses by over $75 million while maintaining key product development programs[6] Restructuring Costs - Restructuring costs for the three months ended June 30, 2024, amounted to $18,028 thousand, primarily related to employee separation costs and leasehold improvements[15][16] Fair Value Adjustments - The change in fair value of contingent consideration was due to fair value adjustments of milestone payments payable upon the achievement of respective milestone events[16]