What's with the Buzz Surrounding Ginkgo Bioworks (DNA)?

Ginkgo Bioworks (NYSE: DNA) made waves at the 42nd annual J.P. Morgan Healthcare Conference, where the company provided business updates and highlighted its strong performance in 2023. The company expects to meet its 2023 new program and revenue guidance ranges, boasting nearly $950 million in cash and cash equivalents, providing a strong balance sheet for future growth.

The company reported that it expects total revenue of $250 - $260 million in 2023, with unaudited cell engineering revenue within the previously disclosed guidance range of $145 - $150 million and unaudited biosecurity revenue in line with the guidance of up to $110 million. Ginkgo also anticipates adding 80-85 new cell programs to its platform in 2023, with significant advancements in its partnerships with major biopharma companies including Pfizer, Merck, Novo Nordisk, and Boehringer Ingelheim.

Jason Kelly, Ginkgo's co-founder and CEO, expressed satisfaction with the company's robust revenue and program growth in 2023, particularly in the biopharma sector. He emphasized the company's strong balance sheet and operational efficiency, positioning Ginkgo well for strategic opportunities in the market.

"I'm very pleased with the robust revenue and program growth we have seen in 2023, particularly in the biopharma sector – growing the portion of our cell engineering revenue that is attributable to biopharma customers by more than 50% over the past year," said Jason Kelly.

Ginkgo's ability to bring together automated data generation at scale with AI models targeted towards customer program areas is expected to be the foundation for additional pharmaceutical partnerships in 2024.

Ginkgo plans to report its fourth-quarter and full-year 2023 financial results in February 2024, at which time it intends to provide its outlook for the full year 2024.

The company's full 8-K submission is available here.

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