Financial Data and Key Metrics Changes - Illumina reported Q4 2025 revenue of $1.16 billion, a 5% increase year-over-year on a reported basis and 4% on a constant currency basis [20][22] - Non-GAAP EPS for Q4 was $1.35, reflecting a 42% year-over-year growth [26] - Non-GAAP operating margin expanded to 23.7%, up 400 basis points year-over-year [25] Business Line Data and Key Metrics Changes - Clinical consumables revenue grew 20% in Q4 2025, excluding China, driven by increased adoption of sequencing-based diagnostic tests [5][8] - Sequencing consumables revenue reached $755 million, an 8% increase year-over-year [22] - Research and applied markets consumable sales were roughly flat year-over-year, indicating a stabilization compared to previous quarters [22] Market Data and Key Metrics Changes - Greater China revenue was $55 million, down $25 million from Q4 2024, reflecting ongoing export restrictions [22] - Clinical market growth outside of China was 20%, driven by broader adoption of NGS-based testing [22] - Total sequencing GB output grew over 30% year-over-year, primarily from clinical applications [24] Company Strategy and Development Direction - Illumina's strategy focuses on three pillars: core sequencing, scaling multi-omics, and expanding service data and software capabilities [10][12] - The acquisition of SomaLogic is expected to enhance Illumina's position in the proteomics market, integrating capabilities for deeper biological insights [11][12] - The company aims to introduce new technologies, including spatial transcriptomics and constellation map read technology, in the first half of 2026 [13] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the momentum built in 2025, expecting organic revenue growth of 2%-4% in 2026, excluding China [17][30] - Clinical consumables are projected to grow double-digit to mid-teens in 2026, while research consumables are expected to decline mid- to high-single digits [30][31] - Management highlighted the importance of adapting to the evolving funding environment in the research sector [44] Other Important Information - The company returned approximately $740 million to shareholders through share repurchases in 2025 [7] - Illumina ended Q4 with approximately $1.63 billion in cash and cash equivalents [28] - The company plans to continue share repurchases opportunistically, with $643 million remaining on its authorization [27] Q&A Session Summary Question: Operating margin guidance and capital deployment - Management confirmed that the guidance includes an assumption of ending the year at 26%-27% operating margin and remains committed to long-term margin targets despite the SomaLogic acquisition [36][38] Question: Clinical performance guidance for 2026 - Management explained that the guidance reflects a cautious approach, considering uncertainties in the research environment, but remains optimistic about clinical growth momentum [42][45] Question: Instrumentation split between research and clinical - Management indicated that over 60% of Q4 instrument placements were clinical, with expectations for this trend to continue into 2026 [50][52] Question: Growth drivers in oncology and genetic applications - Management noted that oncology remains the main growth driver, with increasing use of genetic profiling for various applications [66] Question: Competitive landscape and pricing strategies - Management expressed confidence in Illumina's competitive position and highlighted ongoing discussions with customers regarding pricing and workflow efficiencies [74][76]

Financial Data and Key Metrics Changes - In Q4 2025, Illumina's revenue reached $1.16 billion, reflecting a 5% year-over-year increase on a reported basis and a 4% increase on a constant currency basis [18][19] - Non-GAAP EPS for Q4 was $1.35, growing approximately 42% year-over-year, exceeding guidance [24] - Non-GAAP operating margin was 23.7% in Q4, expanding 400 basis points year-over-year [23] Business Line Data and Key Metrics Changes - Clinical consumables revenue grew 20% year-over-year in Q4, driven by increased adoption of sequencing-based diagnostic tests [4][19] - Sequencing consumables revenue was $755 million, up 8% year-over-year, with a notable 11% increase excluding China [19] - Sequencing instruments revenue was approximately flat year-over-year at $154 million, with strong placements of NovaSeq X [22] Market Data and Key Metrics Changes - Greater China revenue was $55 million, down $25 million from Q4 2024, reflecting export restrictions [19] - Clinical market outside China grew 20%, driven by broader adoption of NGS-based testing [19] - Research and applied markets saw consumable sales remain roughly flat year-over-year, indicating ongoing uncertainty in the funding environment [20] Company Strategy and Development Direction - Illumina's strategy focuses on three pillars: core sequencing, scaling multi-omics, and expanding service data and software capabilities [9][12] - The acquisition of SomaLogic is expected to enhance Illumina's position in the proteomics market, integrating capabilities to accelerate innovation [10][11] - The company aims to introduce new technologies, including spatial transcriptomics and constellation map read technology, in the first half of 2026 [12] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the momentum built in the second half of 2025, expecting organic revenue growth of 2%-4% in 2026, excluding China [15][27] - Clinical consumables are projected to grow double-digit to mid-teens in 2026, while research consumables are expected to decline mid- to high-single digits [15][29] - Management highlighted the importance of adapting to evolving market dynamics and customer needs, particularly in the context of multi-omics [14][78] Other Important Information - The company returned approximately $740 million to shareholders through share repurchases in 2025 [5] - Illumina ended Q4 with approximately $1.63 billion in cash and cash equivalents, maintaining a strong balance sheet [25] - The company plans to change geographical reporting segments starting in Q1 2026 to better align with its commercial structure [31] Q&A Session Summary Question: Operating margin guidance and capital deployment - Management confirmed that the guidance includes an assumption of ending the year at 26%-27% operating margin and remains committed to long-term margin targets despite the SomaLogic acquisition [33][36] Question: Clinical performance guidance for 2026 - Management explained that the guidance reflects continued momentum in clinical growth, with expectations for mid-teens growth, while acknowledging challenges in the research environment [40][42] Question: Instrumentation split between research and clinical - Over 60% of Q4 instrument placements were clinical, with expectations for this trend to continue into 2026 [46][48] Question: Growth drivers in oncology and genetic applications - Oncology is expected to remain the main growth driver, with significant uptake in genetic profiling for various diseases [62][64] Question: BioInsight monetization strategy - Management outlined plans for monetizing BioInsight through specialized data and subscription-based models, indicating a multi-year opportunity [78][79]

Q4 2025 Earnings Presentation February 5, 2026 © 2026 Illumina, Inc. All rights reserved. Cautionary Notes Year-over-year (YoY) denotes a comparison against the same quarter of the previous fiscal year, while quarter-over-quarter (QoQ) or "sequential" denotes a comparison against the previous fiscal quarter. In addition, all references to China refer to our Greater China Region, which also includes Taiwan and Hong Kong. © 2026 Illumina, Inc. All rights reserved. 2 RGB: 229, 96, 0 RGB: 228, 189, 255 RGB: 255 ...

Consolidated Balance Sheets(In millions)December 28,2025December 29,2024ASSETS(unaudited)Current assets:Cash and cash equivalents$ 1,418$ 1,127Short-term investments21593Accounts receivable, net854735Inventory, net564547Prepaid expenses and other current assets238244Total current assets3,2892,746Property and equipment, net759815Operating lease right-of-use assets370419Goodwill1,1131,113Intangible assets, net210295Deferred tax assets, net454567Other assets449348Total assets$ 6,644$ 6,303LIABILITIES AND STOCK ...

Core Insights - Illumina (ILMN) is expected to report quarterly earnings of $1.26 per share, reflecting a 46.5% increase year-over-year, with revenues projected at $1.16 billion, a 4.6% increase from the previous year [1] Revenue Estimates - Analysts predict 'Revenue- Product revenue- Consumable' will reach $808.85 million, indicating a year-over-year change of +3.8% [4] - 'Revenue- Service and other revenue' is expected to be $168.60 million, showing a +2.2% change from the year-ago quarter [4] - The estimated 'Revenue- Product revenue' totals $946.06 million, reflecting a +0.8% year-over-year change [4] Specific Revenue Projections - 'Revenue- Product revenue- Instruments' is projected at $150.15 million, indicating a -5.6% change from the prior-year quarter [5] - 'Revenue- Sequencing- Instruments' is expected to be $136.15 million, suggesting a -12.2% year-over-year change [5] - 'Revenue- Sequencing- Consumables' is estimated at $720.30 million, indicating a +3.2% change from the prior-year quarter [6] - 'Revenue- Microarrays- Instruments' is projected at $5.57 million, reflecting an +11.4% year-over-year change [6] - 'Revenue- Microarrays- Consumables' is expected to reach $77.48 million, indicating a -4.4% change from the year-ago quarter [6] Overall Performance - The consensus estimate for 'Revenue by Source- Total product revenue- Sequencing' stands at $836.55 million, indicating a -1.8% year-over-year change [7] - Illumina shares have decreased by -7.9% over the past month, contrasting with a +0.9% increase in the Zacks S&P 500 composite [7]

Core Insights - Illumina has entered a sequencing agreement with the San Diego Zoo Wildlife Alliance (SDZWA) to sequence up to 4,000 samples from 1,300 species in the Frozen Zoo, which is the world's most comprehensive biobank of living cells from endangered species [1][2][4] Company Overview - Illumina is a global leader in DNA sequencing and array-based technologies, focusing on innovation to improve human health through genomic insights [9] - The company collaborates with various organizations, including the SDZWA, to advance conservation efforts and promote ecological resilience [6][10] Industry Context - The collaboration aims to leverage multiomic technologies to enhance conservation science and address biodiversity loss, showcasing the importance of genomic data in protecting endangered species [3][4] - The Frozen Zoo, founded in 1975, holds over 11,500 samples from 4,000 unique individuals across 1,300 species, serving as a critical resource for conservation research [11]

Core Insights - Illumina, Inc. (ILMN) is scheduled to announce its fourth-quarter 2025 results on February 5, with adjusted earnings per share (EPS) of $1.34 in the last reported quarter, exceeding the Zacks Consensus Estimate by 15.5% [1] Q4 Estimates - The Zacks Consensus Estimate for fourth-quarter revenues is $1.16 billion, indicating a 4.6% growth from the previous year [2] - The earnings estimate is $1.26 per share, reflecting a 46.5% increase from the year-ago figures [2] Estimate Revision Trend - Earnings estimates for the fourth quarter have risen by 2.4% to $1.26 over the past 30 days [3] Factors Influencing Q4 Performance - The Core Illumina segment's performance may be impacted by macroeconomic challenges, including the Russia-Ukraine conflict and reduced U.S. government funding for the NIH [4] - The company faces cost exposure related to imports from its Singapore manufacturing facility, while the Chinese Ministry of Commerce has lifted its export ban on Illumina's sequencing instruments, although the company remains on the Unreliable Entities List [4] Positive Developments - Illumina is expected to benefit from the momentum of the NovaSeq X in Q4, with high-throughput volumes likely increasing due to strong clinical market demand outside of China [5] - The company exceeded its goal of high-throughput gigabases shipped and revenues on the X platform, indicating strong demand for sequencing [6] Revenue Projections - Sequencing Consumables revenues are projected to grow by 3.2% year-over-year in Q4, despite ongoing funding uncertainty affecting research customers [7] - Sequencing Instruments revenues may decline by 12.2% year-over-year, impacted by export restrictions in Greater China [8] Strategic Initiatives - Illumina's strategic focus includes growing its core sequencing business, scaling into multiomics, and enhancing services and software capabilities [11] - The launch of the Illumina Protein Prep assay and the introduction of BioInsight are expected to positively influence Q4 revenues [12] Earnings Prediction - Illumina has an Earnings ESP of +2.25%, indicating a higher likelihood of beating estimates [13]

Core Insights - Illumina has completed the acquisition of SomaLogic, enhancing its capabilities in proteomics and multiomics, which will facilitate faster drug discovery and improve healthcare outcomes [1][2][5] Group 1: Acquisition Details - The acquisition was finalized for $350 million in cash, with potential additional payments of up to $75 million based on performance milestones [6] - This acquisition builds on a prior partnership that began in late 2021, aimed at integrating SomaLogic's technology with Illumina's high-throughput NGS platforms [5] Group 2: Strategic Implications - The combination of SomaLogic's proteomics technology with Illumina's existing innovations is expected to provide scalable insights across genomics and proteomics, enhancing customer outcomes [2][3] - Illumina aims to leverage this acquisition to strengthen its position in the growing proteomics market, thereby complementing its high-throughput sequencing business [3] Group 3: Product Integration and Support - Illumina will ensure continuity of products and services as SomaLogic's portfolio is integrated into its offerings, maintaining support for existing customers [4][5] - The integration will allow customers to generate rich multiomic datasets, utilizing a combination of SomaLogic's and Illumina's technologies [2][5]

Core Insights - Chicago Partners Investment Group LLC increased its holdings in Illumina, Inc. by 90.5% in Q3, owning 9,908 shares valued at $969,000 after acquiring an additional 4,708 shares [2] - Other institutional investors also increased their stakes, with Empowered Funds LLC raising its position by 113.7% and acquiring 9,284 shares worth $737,000 [3] - Illumina reported Q3 earnings of $1.34 per share, exceeding estimates of $1.16, with revenue of $1.08 billion, slightly above the consensus of $1.07 billion [5] Institutional Holdings - 89.42% of Illumina's stock is owned by institutional investors and hedge funds [3] - Notable increases in holdings include GAMMA Investing LLC, which boosted its stake by 199.5% in Q2, now owning 2,465 shares valued at $235,000 [3] Stock Performance - Illumina's stock opened at $150.28, with a market cap of $22.96 billion, a PE ratio of 33.70, and a 52-week range of $68.70 to $155.53 [4] - The company has a debt-to-equity ratio of 0.42, a quick ratio of 1.12, and a current ratio of 1.43 [4] Analyst Ratings - Barclays raised its price target for Illumina from $100.00 to $110.00, maintaining an "underweight" rating [6] - Six analysts rated the stock as a Buy, twelve as Hold, and two as Sell, with an average target price of $124.47 [6] Insider Transactions - Director Scott Gottlieb acquired 500 shares at an average cost of $122.13, increasing his ownership by 4.16% [7] - Insider Scott M. Davies sold 323 shares at an average price of $136.09, resulting in a 1.77% decrease in his ownership [8] Company Overview - Illumina, Inc. is a global life sciences company specializing in genetic analysis systems, headquartered in San Diego, California [9] - The company offers next-generation sequencing platforms, microarrays, and related technologies for various research applications [10]

Core Viewpoint - Illumina Inc. has seen a rise in its stock price following the announcement of reimbursement for its FDA-approved TruSight Oncology Comprehensive test, which is expected to enhance the adoption of genomic profiling in the U.S. healthcare system [1][2]. Group 1: Reimbursement and Test Impact - The reimbursement from the Centers for Medicare and Medicaid Services (CMS) will be at a rate of $2,989.55 per test, effective January 1 [2]. - The TruSight Oncology Comprehensive test assesses over 500 genes, promoting broader access to precision oncology diagnostics [3]. - Approximately 60% of Illumina's sequencing consumables revenue was attributed to clinical customers last year, indicating significant growth potential [3]. Group 2: Stock Performance and Analyst Insights - Illumina's stock is currently trading 2.65% above its 12-month moving average, with a 2.9% increase over the past year [4]. - The stock carries a Neutral Rating with an average price target of $130.24, and analysts expect a 28% earnings growth, justifying the premium P/E multiple [7]. - Recent analyst actions include a Hold rating from TD Cowen with a target raised to $140.00 and a Buy rating from Guggenheim with a target raised to $144.00 [8]. Group 3: Benzinga Edge Rankings - Illumina scores high on the Benzinga Edge rankings, with a Momentum score of 86.32/100 indicating strong short-term performance, but a low Value score of 18.92/100 suggesting it is trading at a steep premium [9][10]. - The EPS estimate is $1.22, up from $0.95 year-over-year, while the revenue estimate remains at $1.10 billion [8]. Group 4: ETF Impact - Illumina shares were up 2.52% at $145.22, with significant weights in various ETFs, including 3.84% in Invesco S&P MidCap Quality ETF and 4.39% in First Trust NYSE Arca Biotechnology Index Fund [11].