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Pacific Biosciences of California, Inc. PACB, popularly known as PacBio, recently shared its preliminary results for the fourth quarter and full year of 2024. Shares of PacBio closed 8% down on Jan. 14, as the top line missed market expectations.
The company is scheduled to release fourth-quarter results on Feb. 15, 2025.
Q4 Preliminary Results
PacBio reported preliminary revenues of $39.2 million, down 33% year over year. The Zacks Consensus Estimate is pinned at $40.9 million.
Consumable revenues are anticipated to be $18.8 million compared with $18.9 million in the year-ago period. Instrument revenues are anticipated to be $15.3 million, reflecting a decline of 56.4% year over year. Service and other revenues are expected to be $5.1 million, up 15.9% from the year-ago level.
Pacific Biosciences of California, Inc. Price
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PACB launched SPRQ chemistry during the fourth quarter, enabling the HiFi genome on the Revio system. The company also commenced shipment of the Vega benchtop system ahead of schedule, bringing HiFi sequencing to more customers. PacBio shipped 23 Revio and 7 Vega sequencing systems during the fourth quarter.
Full-Year Preliminary Results
PacBio’s preliminary revenues for the full year are estimated to be $154 million, implying a decline of 23% year over year. The Zacks Consensus Estimate is pinned at $155.7 million.
Consumable revenue growth was a standout, reflecting an 11% increase over 2023. This growth underscores the increasing adoption of PacBio’s sequencing platforms, particularly the Revio system, which has emerged as the fastest-growing platform in the company’s history. Revio’s ability to sequence up to 2,500 human genomes annually at less than $500 per genome has proven to be a pivotal factor in this success.
The company’s financial position has also improved. A reduction in adjusted annualized operating expenses by more than $75 million and a successful convertible note exchange have collectively bolstered PacBio’s balance sheet. By year-end 2024, the company reported approximately $390 million in cash and investments, ensuring sufficient liquidity to fund its ongoing strategic initiatives.
Analysis and Outlook
PacBio’s focus on driving innovation is evident in its 2024 milestones. The introduction of SPRQ chemistry during the fourth quarter enhanced the throughput and cost-effectiveness of the Revio system, allowing for more efficient sequencing workflows. Meanwhile, the Vega platform’s affordability and versatility have positioned it as a strong contender in the benchtop sequencing market, which represents an addressable market exceeding $1 billion annually.