Ginkgo Bioworks (NYSE:DNA) Posts 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 analysts’ consensus estimates of ($0.68) by $0.04, FiscalAI reports. The firm had revenue of $27.71 million during the quarter, compared to analyst estimates 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

Shares of DNA stock traded up $1.30 during mid-day trading on Friday, hitting $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 12-month low of $5.37 and a 12-month high of $18.22. The firm’s 50-day moving average is $9.90 and its two-hundred day moving average is $8.62.

Wall Street Analysts Forecast Growth

Several research firms recently commented on DNA. TD Cowen raised their price target on shares of Ginkgo Bioworks from $9.00 to $11.00 and gave the stock a “hold” rating in a research note on Tuesday, October 13th. BTIG Research reissued a “sell” rating and issued a $5.00 price objective on shares of Ginkgo Bioworks in a research report on Friday, September 4th. Oppenheimer set a $5.00 target price on shares of Ginkgo Bioworks in a research note on Wednesday, September 9th. Wall Street Zen upgraded shares of Ginkgo Bioworks from a “sell” rating to a “hold” rating in a research note on Saturday, September 26th. Finally, Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Ginkgo Bioworks in a research report on Thursday, October 15th. Two analysts have rated the stock with a Hold rating and two have issued a Sell rating to the stock. According to data from MarketBeat.com, the company has a consensus rating of “Reduce” and a consensus price target of $7.00.

Insider Buying and Selling at Ginkgo Bioworks

In other news, insider Steven Coen sold 2,403 shares of the firm’s stock in a transaction on Monday, October 5th. The stock was sold at an average price of $15.00, for a total transaction of $36,045.00. Following the transaction, the insider owned 49,448 shares in the company, valued at approximately $741,720. This trade represents a 4.63% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Also, insider Jason Kelly sold 45,682 shares of the firm’s stock in a transaction on Monday, October 19th. The shares were sold at an average price of $10.14, for a total value of $463,215.48. Following the transaction, the insider owned 129,065 shares in the company, valued at approximately $1,308,719.10. This represents a 26.14% decrease in their position. The disclosure for this sale is available in the SEC filing. The sale was made to cover tax withholding obligations related to the vesting of equity awards. In the last ninety days, insiders have sold 136,525 shares of company stock worth $1,379,699. Insiders own 12.69% of the company’s stock.

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.