10x Genomics Reports Mixed Financials with Resilient Growth in Consumables and Services
- 10x Genomics reports Q4 revenue of $165 million, showing 9% sequential growth but a 10% year-over-year decline.
- Consumables revenue remains strong at $133.5 million, while instrument sales decline by 37% year-over-year.
- Services revenue increases by 35% to $7.1 million, highlighting customer engagement and support growth for 10x Genomics.
10x Genomics Reports Resilient Growth in Services and Consumables Amid Mixed Financial Results
10x Genomics, Inc. continues to solidify its position as a leader in single cell and spatial biology, reflecting a nuanced financial performance for the fourth quarter and full year ending December 31, 2024. The company announces preliminary, unaudited financial results showcasing a complex landscape of growth and decline across various revenue streams. For Q4 2024, 10x Genomics reports total revenue of approximately $165 million, marking a 9% sequential growth but a 10% decrease compared to the same period in the previous year. A deeper dive into the revenue breakdown reveals a contrasting trend in instruments and consumables, with consumables revenue reflecting resilience against the backdrop of declining instrument sales.
Instruments revenue for the fourth quarter is approximately $24.4 million, which represents a notable sequential growth of 28%, yet it suffers a substantial year-over-year decline of 37%. Conversely, consumables revenue is approximately $133.5 million, showing a modest sequential increase of 6% but a slight decline of 5% year-over-year. This divergence highlights the ongoing shift in the market dynamics where consumables, essential for ongoing research and experimentation, remain a critical revenue driver for the company. Additionally, the services segment demonstrates remarkable growth, reaching about $7.1 million, a 12% sequential increase and a significant 35% rise compared to the previous year, underscoring the value of customer support and enriched service offerings in a competitive landscape.
For the full year 2024, 10x Genomics reports total revenue of approximately $610.8 million, indicating a slight 1% decrease from the prior year. Notably, instruments revenue for the year totals approximately $92.7 million, down 25% year-over-year, while consumables revenue grows by 3% to around $493.4 million. The substantial increase in services revenue, up 57% to approximately $24.6 million, signals a positive trend in customer engagement and satisfaction. CEO Serge Saxonov expresses confidence in the company’s performance, emphasizing the strategic groundwork laid throughout 2024. With over 7,000 instruments sold, including more than 5,800 Chromium instruments, the company remains well-positioned for future growth despite the challenges faced in the instrument segment.
In addition to its financial results, 10x Genomics holds approximately $393 million in cash, cash equivalents, and marketable securities as of December 31, 2024. This strong financial position enables the company to invest in innovation and expand its product offerings further. The focus on enhancing consumables and services aligns with the company's long-term strategy to maintain leadership in the rapidly evolving single-cell analysis market.