Codexis (NASDAQ:CDXS) Issues Quarterly Earnings Results, Beats Expectations By $0.02 EPS

Codexis (NASDAQ:CDXS) issued its quarterly earnings data on Thursday. The biotechnology company reported ($0.08) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.10) by $0.02, FiscalAI reports. Codexis had a negative net margin of 39.55% and a negative return on equity of 74.36%. The business had revenue of $19.26 million for the quarter, compared to the consensus estimate of $18.72 million.

Here are the key takeaways from Codexis’ conference call:

• ECO Synthesis reached a 100-gram scale, with reported crude purity above 90%, consistent quality across scales, and cycle times reduced by 40%. Codexis said it is advancing toward 500-gram and kilo-scale production.
• Codexis signed two new evaluation agreements, including work with a biopharmaceutical company on a late-stage asset and a planned pilot-scale technology transfer. The company said customer discussions are shifting toward deployment, though larger commercial or licensing agreements remain prospective.
• In early testing, stereo-defined siRNAs showed three- to four-fold greater potency than a stereo-random control, with comparable maximum gene knockdown. Codexis said the results could support lower doses or other therapeutic benefits, but the findings are preliminary.
• Third-quarter revenue rose to $19.3 million from $8.6 million a year earlier, while net loss narrowed to $8.1 million from $19.6 million. Codexis reiterated 2026 revenue guidance of $72 million to $76 million and now expects full-year gross margins in the low 70s.
• The company ended Q3 with $72.7 million in cash and short-term investments, and said its cash runway is expected to extend through 2028. It also raised about $25 million net through an equity offering and refinanced existing debt with a new term loan that includes 48 months of interest-only payments.

Codexis Trading Up 23.7%

Codexis stock traded up $0.23 during midday trading on Friday, reaching $1.19. The stock had a trading volume of 1,064,168 shares, compared to its average volume of 1,386,039. The company has a quick ratio of 2.99, a current ratio of 3.06 and a debt-to-equity ratio of 1.03. Codexis has a 52-week low of $0.90 and a 52-week high of $2.98. The firm has a market cap of $129.77 million, a price-to-earnings ratio of -3.49 and a beta of 2.38. The company has a fifty day moving average of $1.30 and a 200 day moving average of $1.78.

Analyst Upgrades and Downgrades

Several analysts have commented on the stock. Benchmark restated a “hold” rating on shares of Codexis in a report on Thursday, August 20th. Weiss Ratings upgraded Codexis from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Friday, October 23rd. Piper Sandler lowered their price target on shares of Codexis from $9.00 to $8.00 and set an “overweight” rating on the stock in a report on Monday, August 17th. Finally, Wall Street Zen lowered shares of Codexis from a “hold” rating to a “sell” rating in a research report on Saturday, August 15th. Two research analysts have rated the stock with a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, the company presently has an average rating of “Hold” and a consensus price target of $6.50.

About Codexis

Codexis, Inc. is a biotechnology company that develops engineered enzymes for pharmaceutical and other manufacturing applications. Founded in 2002 and based in Redwood City, California, the company uses its protein-engineering platform, CodeEvolver, to design enzymes with properties suited to specific production processes. Codexis supplies enzymes and related development services for the manufacture of small-molecule drugs and other products. It also develops its ECO Synthesis platform, which uses enzymes to support the production of oligonucleotide therapeutics, including RNA-based medicines.