10x Genomics Reports Mixed Q4 Results with Growth in Services Amid Instrument Declines
- In Q4 2024, 10x Genomics reported $165 million in revenue, a 9% increase from Q3 but a 10% decline year-over-year.
- Instruments revenue was $24.4 million, showing 28% sequential growth but a 37% year-over-year decline.
- Services revenue rose to $7.1 million, marking a 12% sequential increase and 35% growth compared to Q4 2023.
10x Genomics Reports Mixed Financial Results Amidst Growth in Services Sector
10x Genomics, Inc., a leader in single-cell and spatial biology, presents its preliminary financial results for the fourth quarter and the full year ending December 31, 2024. The company generates revenue primarily through its innovative instruments, consumables, and services, which are essential for advancing genomic research and applications. In Q4 2024, 10x Genomics reports revenues of approximately $165 million, showing a 9% increase from the previous quarter but a 10% decline compared to the same period last year. This mixed performance highlights challenges in the instruments segment, which generates significant revenue but is currently facing year-over-year declines.
Specifically, the revenue breakdown for Q4 reveals approximately $24.4 million from instruments, reflecting a robust 28% sequential growth but a stark 37% drop year-over-year. This decline signals potential issues in market demand or competitive pressures in the instruments space. Conversely, consumables contribute approximately $133.5 million in revenue, with a 6% sequential growth but a 5% decline compared to Q4 2023. Notably, the services revenue exhibits a positive trend, reaching about $7.1 million, which marks a 12% sequential increase and an impressive 35% year-over-year growth, indicating a shift in the company’s focus toward enhancing service offerings and customer engagement.
For the full year 2024, 10x Genomics reports total revenues of approximately $610.8 million, a slight 1% decrease from the previous year. The instruments segment generates around $92.7 million, down 25% year-over-year, while consumables see a modest growth of 3% to approximately $493.4 million. The significant boost in services revenue, which rises by 57% to around $24.6 million, highlights the company's strategic pivot towards offering more comprehensive support and solutions to its customers. CEO Serge Saxonov expresses optimism for the future, underscoring the foundational work laid throughout 2024 and the potential for recovery and growth in the coming years.
In addition to these financial metrics, 10x Genomics has demonstrated strong sales performance, having sold over 7,000 instruments, including significant numbers of its flagship Chromium, Visium, and Xenium platforms. As of the end of 2024, the company holds approximately $393 million in cash and marketable securities, providing a solid financial foundation for future investments and growth initiatives. This financial position coupled with the service sector's growth reflects the company’s resilience and adaptability in a rapidly evolving biotech landscape.