NASDAQ$TWST

Twist Bioscience Corporation · Q3 2024 earnings

Q3 2024 earnings · · Investor relations

Briefing

Reported record revenue and improved gross margin.

Twist Bioscience reported a strong fiscal third quarter with record revenue of $81.5 million, a 28% increase year-over-year, and a gross margin improvement to 43.3%. The company exceeded revenue guidance and targets for cash burn and gross margin.

  • Total revenue for the third quarter of fiscal 2024 grew to $81.5 million, a 28% increase compared to the same period in 2023.
  • Gross margin increased to 43.3% in the third quarter of fiscal 2024, up approximately 900 basis points from 34.4% in the same period last year.
  • The company shipped products to approximately 2,300 customers and approximately 212,000 genes during the quarter.
  • Twist Bioscience increased full year 2024 revenue guidance to approximately $310 million to $311 million and expects gross margin at the high end of the range at approximately 42.0%.

Headline financials

Total Revenue

$81.5M

Previous: $63.7M+27.8%
EPS

-$1.47

Previous: -$1.01-45.5%
Gross Margin

43.3%

No prior period
Adjusted EBITDA

-$22M

No prior period
Capital Expenditures

-$3.07M

Previous: -$25.4M+87.9%
Free Cash Flow

-$88.6M

Previous: -$82.8M-7.1%
Net Income

-$85.6M

Previous: -$57.4M-49.1%
Operating Income

-$88.9M

Previous: -$60.8M-46.3%
Gross Profit

$35.3M

Previous: $21.9M+61.1%
R&D Expense

$22.5M

No prior period
Stock-Based Comp

$13.7M

Previous: $10.6M+29.6%

Revenue & EPS history

Twist Bioscience · Revenue · Quarterly

$81.5M

Q3 2024+27.8%vs Q3 2023
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 2024, including increased revenue expectations and gross margin.

Tailwinds

  • Total revenue is expected to be approximately $310 million to $311 million, indicating year-over-year growth of approximately 27%.
  • SynBio revenue is expected to be approximately $121 million, indicating year-over-year growth of 23%.
  • NGS revenue is expected to be in the range of $169 million to $170 million, indicating year-over-year growth of 36% to 37%.
  • Gross margin is expected to be approximately 42.0% for fiscal 2024.
  • Ending cash, cash equivalents and short-term investments at September 30, 2024 of more than $255 million.

Headwinds

  • Biopharma revenue is expected to be approximately $20 million, indicating year-over-year decrease of approximately 13%.
  • Loss from operations before taxes of approximately $227 million to $230 million, inclusive of the approximately $45 million impairment charge
  • For the fourth quarter of fiscal year 2024, Twist expects adjusted EBITDA loss of $20 million.
  • The company expects total revenue of approximately $82 million to $83 million for Q4 2024.
  • The company expects gross margin of approximately 44% for Q4 2024.

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 Q3 2024

Historical avgQ3 2024

+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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