Ginkgo Bioworks (NYSE:DNA) Announces Quarterly Earnings Results

Ginkgo Bioworks (NYSE:DNA) released its earnings results on Thursday. The company reported ($0.64) EPS for the quarter, topping the consensus estimate of ($0.68) by $0.04, FiscalAI reports. The firm had revenue of $27.71 million during the quarter, compared to analysts’ expectations of $21.50 million. Ginkgo Bioworks had a negative net margin of 249.20% and a negative return on equity of 54.95%.

Here are the key takeaways from Ginkgo Bioworks’ conference call:

• Ginkgo announced its first autonomous-lab hardware sale to a pharma company, Novo Nordisk, and wins involving universities, ARPA-H and the NSF. Management said systems typically take six to 12 months to install, so customer wins may take time to translate into revenue.
• Cloud Lab services added 20 new customer logos in the quarter, and Ginkgo highlighted demand for specialized data services, including its antibody developability consortium and work with frontier AI labs. These opportunities are management’s view of potential growth areas; the call did not quantify their revenue contribution.
• Q3 revenue was $28 million, down 6% year over year; revenue for the first nine months fell 37% (about 32% excluding a prior-year non-cash item). Q3 revenue rose sequentially partly because of a catch-up on a modified long-term contract.
• Cost reductions improved Q3 results: R&D expense fell 48%, G&A fell 32%, net loss from continuing operations narrowed 44% to $41 million, and adjusted EBITDA improved 58% to negative $22 million. Management reaffirmed full-year 2026 cash-burn guidance of $125 million to $150 million.
• Ginkgo ended the quarter with $285 million in cash and marketable securities, no bank debt, and $86 million in restricted cash. Q3 cash burn was $27 million, while adjusted EBITDA included about $14 million of quarterly costs for unused leased space.

Ginkgo Bioworks Stock Up 13.0%

Shares of DNA traded up $1.30 during mid-day trading on Friday, reaching $11.26. The company had a trading volume of 3,035,139 shares, compared to its average volume of 2,566,626. Ginkgo Bioworks has a fifty-two week low of $5.37 and a fifty-two week high of $18.22. The firm has a fifty day simple moving average of $9.90 and a 200-day simple moving average of $8.62.

Insider Buying and Selling at Ginkgo Bioworks

In related news, insider Reshma Shetty sold 18,803 shares of the stock in a transaction on Monday, October 19th. The stock was sold at an average price of $10.14, for a total value of $190,662.42. Following the transaction, the insider directly owned 356,329 shares of the company’s stock, valued at approximately $3,613,176.06. This trade represents a 5.01% decrease in their position. The sale was disclosed in a filing with the SEC, which can be accessed through the SEC website. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, major shareholder Barry Canton sold 22,369 shares of Ginkgo Bioworks stock in a transaction on Monday, October 19th. The shares were sold at an average price of $10.14, for a total value of $226,821.66. Following the completion of the transaction, the insider owned 453,951 shares in the company, valued at $4,603,063.14. The trade was a 4.70% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders sold 136,525 shares of company stock worth $1,379,699. 12.69% of the stock is currently owned by company insiders.

Wall Street Analysts Forecast Growth

Several research firms have recently issued reports on DNA. TD Cowen lifted their price objective on Ginkgo Bioworks from $9.00 to $11.00 and gave the company a “hold” rating in a research report on Tuesday, October 13th. Zacks Research upgraded Ginkgo Bioworks to a “hold” rating in a research note on Monday, August 17th. Oppenheimer set a $5.00 target price on Ginkgo Bioworks in a research report on Wednesday, September 9th. BTIG Research reissued a “sell” rating and issued a $5.00 price target on shares of Ginkgo Bioworks in a research note on Friday, September 4th. Finally, Wall Street Zen upgraded Ginkgo Bioworks from a “sell” rating to a “hold” rating in a report on Saturday, September 26th. Two analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the company’s stock. According to MarketBeat, Ginkgo Bioworks currently has a consensus rating of “Reduce” and an average price target of $7.00.

Ginkgo Bioworks Company Profile

Ginkgo Bioworks is a biotechnology company that develops and deploys biological systems for commercial and industrial applications. Its platform is designed to help customers program cells to produce a wide range of products, including pharmaceuticals, food ingredients, agricultural inputs, specialty chemicals and materials. The company combines biological engineering, automation, software and data science to design, build and test engineered organisms.

Ginkgo provides services through its cell-programming platform and biological engineering foundry, supporting activities such as genetic design, strain construction, laboratory testing and process development.