PacBio Announces Preliminary First Quarter 2025 Revenue and Reiterates 2025 Revenue Guidance of $155 Million to $170 Million

Core Insights - PacBio announced preliminary unaudited revenue for Q1 2025, totaling $36.9 million, a decrease from $38.8 million in Q1 2024 [2][3] - The company is implementing a plan to reduce annualized operating expenses by $45 million to $50 million, adjusting its previous guidance of $270 million to $280 million [5][8] - The Vega system orders have accelerated, contributing to record consumable revenue, while Revio system placements have been impacted by funding uncertainties [4][6] Financial Performance - Preliminary Q1 2025 revenue breakdown includes: - Instrument revenue: $10.8 million (down from $19.0 million in Q1 2024) - Consumable revenue: $20.1 million (up from $16.0 million in Q1 2024) - Service and other revenue: $6.0 million (up from $3.8 million in Q1 2024) [3][4] - Cash, cash equivalents, and investments decreased to $343.1 million from $561.9 million year-over-year [3] Strategic Initiatives - The company is focusing on three key priorities: - Accelerating the adoption of HiFi sequencing - Investing in initiatives to improve gross margin - Advancing innovation in long-read sequencing to enhance scalability and reduce costs [7][6] - A restructuring of the commercial organization is underway to streamline management and improve sales efficiency [6] Guidance and Outlook - PacBio reaffirms its financial guidance for 2025, expecting revenue between $155 million to $170 million, with non-GAAP gross margins projected between 35% and 40% [14][8] - The company anticipates a higher ending cash and investments balance than the previous guidance of approximately $260 million due to expected cost savings [8]