Ginkgo Bioworks (NYSE:DNA) Releases Quarterly Earnings Results, Beats Expectations By $0.04 EPS

Ginkgo Bioworks (NYSE:DNA) issued its earnings results on Thursday. The company reported ($0.64) earnings per share (EPS) for the quarter, beating the consensus estimate of ($0.68) by $0.04, FiscalAI reports. The business 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 Price Performance

NYSE:DNA traded up $1.30 during mid-day trading on Friday, reaching $11.26. The stock had a trading volume of 3,035,139 shares, compared to its average volume of 2,566,626. Ginkgo Bioworks has a twelve month low of $5.37 and a twelve month high of $18.22. The business has a 50 day simple moving average of $9.90 and a 200 day simple moving average of $8.62.

Insider Activity at Ginkgo Bioworks

In other news, major shareholder Barry Canton sold 22,369 shares of the firm’s stock in a transaction that occurred on Monday, October 19th. The stock was sold at an average price of $10.14, for a total value of $226,821.66. Following the completion of the sale, the insider directly owned 453,951 shares of the company’s stock, valued at $4,603,063.14. This trade represents a 4.70% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, insider Reshma P. Shetty sold 22,369 shares of Ginkgo Bioworks stock in a transaction that occurred 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 sale, the insider owned 453,951 shares in the company, valued at approximately $4,603,063.14. This trade represents a 4.70% decrease in their ownership of the stock. 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. Insiders have sold a total of 136,525 shares of company stock worth $1,379,699 in the last three months. 12.69% of the stock is currently owned by corporate insiders.

Analyst Ratings Changes

Several equities analysts have issued reports on DNA shares. Wall Street Zen raised Ginkgo Bioworks from a “sell” rating to a “hold” rating in a report on Saturday, September 26th. Zacks Research raised Ginkgo Bioworks to a “hold” rating in a report on Monday, August 17th. BTIG Research reissued a “sell” rating and issued a $5.00 target price on shares of Ginkgo Bioworks in a research report on Friday, September 4th. Weiss Ratings restated a “sell (d-)” rating on shares of Ginkgo Bioworks in a research note on Thursday, October 15th. Finally, Oppenheimer set a $5.00 price target on Ginkgo Bioworks in a research report on Wednesday, September 9th. Two research analysts have rated the stock with a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, Ginkgo Bioworks presently has a consensus rating of “Reduce” and an average target price 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.