Press Release Details
Twist Bioscience Reports First Quarter Fiscal 2020 Financial Results
-- First Quarter Fiscal 2020 Revenues of
-- Reaches Settlement Agreement with
“With the uncertainty of the litigation removed, we have a clear runway to leverage our increasing product line and growing revenue base to pursue the opportunities ahead,” said Emily M. Leproust, Ph.D., CEO and co-founder of Twist. “Fiscal 2020 is off to a strong start and we are encouraged by the robust increase in revenue across our core synthetic biology and NGS businesses. In addition, we look forward to diversification and growth in these businesses as we introduce new products to address specialty markets on the synbio side, and pursuing additional opportunities in oncology and SNP microarray markets in NGS.”
“As for our business verticals, we recently achieved significant milestones in both biopharma and data storage, announcing a collaboration with Schrödinger, Inc. and a collaboration through
FISCAL 2020 FIRST QUARTER FINANCIAL RESULTS
-
Orders: Total orders received for the first quarter of fiscal 2020 were
$24.8 million , compared to$15.2 million for the same period of fiscal 2019. -
Revenue: Total revenues were
$17.2 million for the first quarter of fiscal 2020 compared to$11.5 million for the same period of fiscal 2019. -
Cost of Revenues: Cost of revenues for the first quarter of fiscal 2020 was
$13.8 million compared to$11.9 million for the same period of fiscal 2019. -
Research and Development Expenses: Research and development expenses for the first quarter of fiscal 2020 were
$10.3 million compared to$7.3 million for the same period of fiscal 2019. -
Selling, General and Administrative Expenses: Selling, general and administrative expenses for the first quarter of fiscal 2020 were
$26.4 million compared to$15.3 million for the same period of fiscal 2019. -
Litigation Settlement Expense: Litigation settlement expense for the first quarter of fiscal 2020 was
$22.5 million . -
Net Loss Including Litigation Settlement: Net loss for the first quarter of fiscal 2020 was
$55.6 million , or$1.69 per share, compared to$22.6 million , or$1.18 per share, for the first quarter of fiscal 2019. -
Net Loss Excluding Litigation Settlement: Net loss for the first quarter of fiscal 2020 was
$33.1 million , or$1.00 per share, compared to$22.6 million , or$1.18 per share, for the first quarter of fiscal 2019. -
Cash Position: As of
December 31, 2019 , the company had$103.1 million in cash, cash equivalents and short term investments.
“Revenues of
Fiscal First Quarter 2020 and Recent Highlights
- Shipped products to approximately 1,000 customers in the first quarter of fiscal 2020, versus about 600 in the same period of fiscal 2019.
- Signed a collaboration with Schrödinger, Inc. a company focused on transforming the way therapeutics are discovered with a physics-based computational platform, to bring the two companies’ technology platforms together to discover new antibody therapeutics against G-protein coupled receptor (GPCR) targets.
-
Announced that Twist has been selected as a subcontractor to
Georgia Tech Research Institute (GTRI) to undertake the DNA synthesis portion of the Molecular Information Storage (MIST) program through a contract with the Intelligence Advanced Research Projects Activity (IARPA). The aim of the project, termed Scalable Molecular Archival Software & Hardware (SMASH), is to make long-term DNA data storage accessible and commercially viable within the next three to five years. -
Completed an offering of approximately 2.24 million shares of its common stock at an average price of approximately
$22.32 per share, raising approximately$48.2 million in net proceeds.
Financial Guidance
The following statements are based on Twist’s current expectations for fiscal 2020. The following statements are forward-looking, and actual results could differ materially depending on market conditions and the factors set forth under “Forward-Looking Statements” below. Twist does not plan to update, nor does it undertake any obligation to update, this outlook in the future.
For the full fiscal year 2020, Twist provided the following updated financial guidance:
-
Revenue expected in the range of
$80 to $84 million consistent with our previous guidance-
Revenue from Ginkgo Bioworks expected to be approximately
$10 million -
Synbio revenue excluding Ginkgo Bioworks is expected to be in the range of
$32 to $33 million -
NGS revenue is estimated to be in the range of
$37 to $40 million -
Biopharma revenue is estimated to be approximately
$1.0
-
Revenue from Ginkgo Bioworks expected to be approximately
- Gross margin is expected to be approximately 32% for fiscal 2020
-
Net loss (Excluding Litigation Settlement) is expected in the range of
$107 million to $110 million , an increase from our previous guidance of$103 to $106 million primarily due to legal fees associated with theAgilent litigation in anticipation of a trial beginningFebruary 24, 2020 . Net loss (Including Litigation Settlement) expected in the range of$129.5 to $132.5 million .
Twist Reaches Settlement Agreement with
In a separate press release issued today, Twist announced it has reached a settlement agreement with
Conference Call Information
The company plans to hold a conference call and live audio webcast for analysts and investors today at
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Investor Relations Information
Twist uses the investor relations section on its website as a means of complying with its disclosure obligations under Regulation FD. Accordingly, investors should monitor Twist's investor relations website in addition to following Twist's press releases,
Legal Notice Regarding Forward-Looking Statements
This press release contains forward-looking statements. All statements other than statements of historical facts contained herein are forward-looking statements reflecting the current beliefs and expectations of management made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, including, but not limited to, Twist’s anticipated fiscal 2020 financial guidance, diversification and revenue growth across all product categories, introduction of new products, and expectations to announce new partnership in 2020. Such forward-looking statements involve known and unknown risks, uncertainties, and other important factors that may cause Twist’s actual results, performance, or achievements to be materially different from any future results, performance, or achievements expressed or implied by the forward-looking statements. Such risks and uncertainties include, among others, the risks and uncertainties of the ability to attract new customers and retain and grow sales from existing customers; risks and uncertainties of rapidly changing technologies and extensive competition in synthetic biology could make the products Twist is developing obsolete or non-competitive; uncertainties of the retention of a significant customer; risks of third party claims alleging infringement of patents and proprietary rights or seeking to invalidate Twist’s patents or proprietary rights; and the risk that Twist’s proprietary rights may be insufficient to protect its technologies. For a further description of the risks and uncertainties that could cause actual results to differ from those expressed in these forward-looking statements, as well as risks relating to Twist’s business in general, see Twist’s risk factors set forth in Twist’s Annual Report on Form 10-K filed with the
| Twist Bioscience Corporation | ||||||||
| Condensed Consolidated Statements of Operations | ||||||||
| (Unaudited) | ||||||||
| (in thousands) | ||||||||
| Three months ended December 31, | ||||||||
|
2019 |
2018 |
|||||||
| Revenues |
$ |
17,164 |
|
$ |
11,492 |
|
||
| Operating expenses: | ||||||||
| Cost of revenues |
|
13,792 |
|
|
11,857 |
|
||
| Research and development |
|
10,297 |
|
|
7,273 |
|
||
| Selling, general and administrative |
|
26,405 |
|
|
15,259 |
|
||
| Litigation settlement |
|
22,500 |
|
|
- |
|
||
| Total operating expenses |
|
72,994 |
|
|
34,389 |
|
||
| Loss from operations |
|
(55,830 |
) |
|
(22,897 |
) |
||
| Interest income |
|
564 |
|
|
664 |
|
||
| Interest expense |
|
(248 |
) |
|
(348 |
) |
||
| Other income (expense), net |
|
(87 |
) |
|
(15 |
) |
||
| Provision for income taxes |
|
(37 |
) |
|
(43 |
) |
||
| Net loss attributable to common stockholders |
$ |
(55,638 |
) |
$ |
(22,639 |
) |
||
| Net loss per common share, basic and diluted |
$ |
(1.69 |
) |
$ |
(1.18 |
) |
||
| Weighted average shares used in computing net loss per share attributable to common stockholders—basic and diluted |
|
32,976,145 |
|
|
19,187,533 |
|
||
| Twist Bioscience Corporation | ||||||
| Condensed Consolidated Balance Sheets | ||||||
| (unaudited) | ||||||
| (in thousands) | ||||||
| December 31, 2019 | September 30, 2019 | |||||
| Assets | ||||||
| Cash and cash equivalents |
$ |
26,032 |
$ |
46,735 |
||
| Short-term investments |
|
77,075 |
|
91,372 |
||
| Accounts receivable, net |
|
13,054 |
|
12,104 |
||
| Inventory |
|
7,416 |
|
7,330 |
||
| Prepaid expenses and other current assets |
|
5,711 |
|
2,594 |
||
| Total current assets |
|
129,288 |
|
160,135 |
||
| Property and equipment, net |
|
21,339 |
|
20,835 |
||
| Operating lease right-of-use assets |
|
37,238 |
|
- |
||
| Other non-current assets |
|
4,412 |
|
6,024 |
||
| Total assets |
|
192,277 |
|
186,994 |
||
| Current liabilities | ||||||
| Accounts payable |
$ |
9,106 |
$ |
9,760 |
||
| Accrued liabilities |
|
13,535 |
|
16,444 |
||
| Accrued litigation settlement |
|
22,500 |
|
- |
||
| Current portion of long-term debt |
|
3,333 |
|
3,333 |
||
| Current portion of operating lease liabilities |
|
8,371 |
|
- |
||
| Other current liabilities |
|
999 |
|
817 |
||
| Total current liabilities |
|
57,844 |
|
30,354 |
||
| Redeemable convertible preferred stock warrant liability |
|
- |
|
- |
||
| Operating lease liabilities, net of current portion |
|
27,539 |
|
- |
||
| Long-term debt, net of current portion |
|
3,669 |
|
4,400 |
||
| Other non-current liabilities |
|
144 |
|
158 |
||
| Total liabilities |
|
89,196 |
|
34,912 |
||
| Redeemable convertible preferred stock |
|
- |
|
- |
||
| Total stockholders’ equity (deficit) |
|
103,081 |
|
152,082 |
||
| Total liabilities, redeemable convertible preferred stock and stockholders’ equity (deficit) |
$ |
192,277 |
$ |
186,994 |
||
View source version on businesswire.com: https://www.businesswire.com/news/home/20200206005932/en/
Source:
Investor Contact:
Argot Partners
Maeve Conneighton
212-600-1902
maeve@argotpartners.com
Media Contact:
Angela Bitting
925- 202-6211
media@twistbioscience.com