NASDAQ$TWST

Twist Bioscience Corporation · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Reported record revenue and announced decisive actions to accelerate path to profitability.

Twist Bioscience reported a strong quarter, exceeding revenue guidance and breaking the $60 million revenue threshold for the first time. The company also announced decisive and proactive actions aimed at accelerating its path to profitability.

  • Total revenues for the second quarter of fiscal 2023 were $60.2 million, up 25% compared to $48.1 million for the same period of fiscal 2022.
  • Total orders received for the second quarter of fiscal 2023 were $64.2 million compared to $55 million for the same period of fiscal 2022.
  • Net loss attributable to common stockholders for the second quarter of fiscal 2023 was $59.2 million, or $1.04 per share.
  • As of March 31, 2023, the company had $387.7 million in cash, cash equivalents and investments.

Headline financials

Total Revenue

$60.2M

Previous: $48.1M+25.0%
EPS (adj)

-$1.04

Previous: -$1.13+8.0%
Capital Expenditures

-$20.9M

Previous: -$44.8M+53.4%
Free Cash Flow

-$80M

Previous: -$105M+24.1%
Net Income

-$59.2M

Previous: -$60.7M+2.5%
Operating Income

-$61.6M

Previous: -$60.8M-1.4%
Gross Profit

$18.5M

Previous: $18.4M+0.5%
Cash & Equivalents

$315M

Previous: $408M-22.7%
Total Assets

$854M

Previous: $1.02B-16.4%
Stock-Based Comp

$10.3M

Previous: $22.5M-54.3%

Revenue & EPS history

Twist Bioscience · Revenue · Quarterly

$60.2M

Q2 2023+25%vs Q2 2022
Beat estimate in 15 of 15 quarters(100%)
ActualEstimate

Revenue by segment

Twist Bioscience · $218M total across 2 segments · Q3 2023

  • NGS Applications
    $120M+23.7%
  • DNA Synthesis & Protein
    $98M+22.5%

Forward guidance

Twist Bioscience provided updated financial guidance for fiscal year 2023 and 2024, including revenue, gross margin, and operating expenses.

Tailwinds

  • Revenue for Q3 2023 is expected to be approximately $60 million to $61 million.
  • Revenue for Q4 2023 is expected to be approximately $62 million to $63 million.
  • Gross margin for Q4 2023 is expected to be approximately 36%.
  • Operating expenses for DNA data storage are expected to be $40 million for fiscal year 2024.
  • Fiscal year end cash is projected to be $220 million for fiscal year 2024.

Headwinds

  • Revenue guidance for fiscal year 2023 is expected to be approximately $235 million to $238 million, compared to previous guidance of $261 million to $269 million.
  • SynBio revenue is expected to be $96 million to $98 million, compared to previous guidance of $104 million to $106 million.
  • NGS revenue is expected to be $113 million to $114 million, compared to previous guidance of $120 million to $123 million.
  • Biopharma revenue is expected to be $26 million, compared to previous guidance of $37 million to $40 million.
  • Gross margin for fiscal 2023 is expected to be 35-36%, compared to previous guidance of approximately 39-40%.

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 Q2 2023

Historical avgQ2 2023

+0.1%

Avg return

Earnings day

-2.1%

Avg return

5 days after

+0.8%

Avg return

30 days after

47%

14 / 30 earnings

Positive

+29.7%

Q4 2023

Best reaction

-23.2%

Q1 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q2 2026-7.3%-5.9%+19.6%
Q1 2026+13.8%-5.9%-10.2%
Q4 2025-10.0%-14.9%+3.4%
Q2 2025-8.5%-16.9%-20.8%
Q1 2025+0.7%-0.1%-19.7%
Q4 2024+12.0%+14.5%+20.9%
Q3 2024-14.6%-16.0%-18.5%
Q2 2024+28.9%+34.9%+31.1%
Q1 2024+9.5%+5.1%+16.9%
Q4 2023+29.7%+24.9%+81.5%
Q3 2023+14.9%+9.3%+14.0%
Q2 2023+3.6%+2.1%+26.0%
Q1 2023-23.2%-15.2%-37.1%
Q4 2022+0.8%+0.5%-0.6%
Q3 2022+20.8%+12.4%-17.2%
Q2 2022-9.9%-16.3%-12.6%
Q1 2022-1.0%+6.0%-21.0%
Q4 2021-12.6%-14.1%-22.4%
Q3 2021-9.1%-15.8%-7.6%
Q2 2021+6.2%-9.4%-12.4%
Q1 2021-16.8%-5.5%-38.1%
Q4 2020-9.9%-0.8%+44.3%
Q3 2020-7.2%-16.3%-4.8%
Q2 2020+5.1%+4.6%+0.7%
Q1 2020+21.3%+14.0%+31.4%
Q4 2019+4.6%+5.8%-15.5%
Q3 2019-11.2%-11.8%-13.9%
Q2 2019-9.9%-9.7%-3.9%
Q1 2019-9.2%-11.8%-6.9%
Q4 2018-9.2%-9.4%+18.6%
Q3 2018
Q2 2018
Q1 2017
Q4 2017

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