NASDAQ$ILMN

Illumina · Q4 2020 earnings

Q4 2020 earnings · · Investor relations

Briefing

Illumina's Q4 2020 financial performance reflected record revenue and strong growth, driven by increased sequencing instrument orders and overall business recovery.

Illumina reported a record fourth quarter revenue of $953 million, a slight increase compared to the prior year period. GAAP net income was $257 million, or $1.75 per diluted share, while non-GAAP net income was $179 million, or $1.22 per diluted share. The company saw record orders, including sequencing instruments, and anticipates continued recovery from the pandemic in 2021.

  • Illumina delivered record fourth quarter revenue, exceeding expectations.
  • The company experienced record orders, including sequencing instrument orders.
  • GAAP net income attributable to Illumina stockholders was $257 million, or $1.75 per diluted share.
  • Illumina anticipates continued recovery from the pandemic in 2021.

Headline financials

Total Revenue

$953M

Previous: $953M+0.0%
EPS (adj)

$1.22

Previous: $1.70-28.2%
GAAP Gross Margin

66.1%

No prior period
Non-GAAP Gross Margin

66.9%

No prior period
Free Cash Flow

$344M

No prior period
Net Income

$257M

Previous: $239M+7.5%
Operating Income

$132M

Previous: $268M-50.7%
Gross Profit

$630M

Previous: $662M-4.8%
Cash & Equivalents

$1.81B

No prior period
Total Assets

$7.59B

No prior period

Revenue & EPS history

Illumina · Revenue · Quarterly

$953M

Q4 2020+0%vs Q4 2019
Beat estimate in 14 of 16 quarters(88%)
ActualEstimate

Revenue by segment

Illumina · $147M total across 1 segment · Q1 2023

  • Service and Other Revenue
    $147M+5.0%

Forward guidance

For fiscal year 2021, the company expects year-over-year revenue growth in the range of 17% to 20%, and expects GAAP earnings per diluted share of $4.76 to $5.01 and non-GAAP earnings per diluted share of $5.10 to $5.35. This guidance excludes the potential impact from the pending acquisition of GRAIL, which we expect to close in the second half of 2021.

Tailwinds

  • Expects year-over-year revenue growth in the range of 17% to 20%.
  • Expects GAAP earnings per diluted share of $4.76 to $5.01.
  • Expects non-GAAP earnings per diluted share of $5.10 to $5.35.
  • Expanded NextSeq 2000 flow cell offering with launch of the P3 Reagent Kit and started shipping the NextSeq 1000
  • Announced TSO 500 partnerships with Bristol Myers Squibb, Kura Oncology, Myriad Genetics, and Merck to advance comprehensive genomic profiling

Headwinds

  • Guidance excludes the potential impact from the pending acquisition of GRAIL.
  • Impact to business from the COVID-19 pandemic
  • Changes in the rate of growth in the markets served
  • Volume, timing and mix of customer orders among products and services
  • Ability to adjust operating expenses to align with revenue expectations

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q4 2020

Historical avgQ4 2020

-0.8%

Avg return

Earnings day

-1.7%

Avg return

5 days after

-0.7%

Avg return

30 days after

35%

22 / 63 earnings

Positive

+21.1%

Q3 2025

Best reaction

-19.1%

Q1 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+2.3%+12.5%+28.5%
Q4 2025-10.4%-12.9%-6.7%
Q3 2025+21.1%+23.7%+32.8%
Q1 2025-4.9%-1.7%+3.9%
Q3 2024+3.5%+0.9%-4.8%
Q2 2024+4.9%+7.0%+12.4%
Q1 2024-5.4%-9.5%-16.4%
Q4 2023-3.6%-6.4%-5.3%
Q3 2023-11.1%-11.9%+2.0%
Q2 2023-0.6%-5.9%-14.9%
Q1 2023-7.9%-10.3%-15.5%
Q4 2022-4.9%-5.8%-2.9%
Q3 2022+6.3%+3.3%+3.7%
Q2 2022-8.3%-3.3%-7.5%
Q1 2022-19.1%-28.6%-24.3%
Q4 2021-10.0%-7.0%-17.4%
Q3 2021-2.7%-5.8%-17.2%
Q2 2021-1.5%+0.4%-7.5%
Q1 2021-3.6%-6.6%-2.8%
Q4 2020+12.2%+9.5%-10.0%
Q3 2020-5.5%-4.2%+2.4%
Q2 2020-11.2%-14.9%-14.6%
Q1 2020-3.6%-2.3%+14.4%
Q4 2019-5.8%+2.5%-6.7%
Q3 2019-7.0%-3.5%+1.0%
Q2 2019-0.3%-1.2%-6.4%
Q1 2019-0.2%-0.8%-0.7%
Q4 2018-5.3%-1.7%+8.7%
Q3 2018-8.7%-7.0%-2.3%
Q2 2018+7.7%+10.4%+16.4%
Q1 2018-6.0%-0.6%+10.2%
Q4 2017-3.8%-8.9%-7.1%
Q3 2017-3.2%-0.7%+1.8%
Q2 2017+13.8%+11.9%+17.6%
Q1 2017+2.4%+2.6%-3.6%
Q4 2016+1.4%+1.8%+5.3%
Q3 2016-0.4%-1.1%-6.2%
Q2 2016+7.7%+10.4%+12.5%
Q1 2016-0.7%
Q4 2015-6.0%
Q3 2015-5.0%
Q2 2015-9.4%
Q1 2015-1.6%
Q4 2014-1.9%
Q3 2014+8.9%
Q2 2014-2.6%
Q1 2014+8.8%
Q4 2013+4.6%
Q3 2013+10.6%
Q2 2013+9.1%
Q1 2013+11.3%
Q4 2012-3.6%
Q3 2012-1.1%
Q2 2012-2.7%
Q1 2012-1.9%
Q1 2011-3.5%
Q4 2011-4.1%
Q4 2008-4.1%
Q3 2010+2.2%
Q3 2011+2.2%
Q2 2010+3.6%
Q2 2011+3.6%
Q4 2010+3.6%

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