Pacific Biosciences of California (PACB) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue grew 14% year-over-year to $44.6 million, with full-year revenue at $160 million, driven by record consumables sales and strong placements of Revio and Vega platforms.

• Clinical and hospital consumable revenue grew 55% in 2025, offsetting academic funding pressures impacting instrument sales.

• Significant placements included 61 Revio and 140 Vega systems for the year, with Vega placements surging in EMEA and among new customers.

• Sale of short-read sequencing assets generated $48 million in net proceeds, strengthening the balance sheet and sharpening focus on long-read technology.

• Entered 2026 focused on long-read platforms and the launch of SparkNex/SPRQ-Nx to lower sequencing costs and drive innovation.

Financial highlights

• Q4 2025 total revenue: $44.6 million (+14% YoY); full year: $160 million (+4% YoY).

• Q4 consumables revenue: $21.6 million (+15% YoY); full year: $82 million (+16% YoY).

• Q4 instrument revenue: $17.3 million (+13% YoY); full year: $53.8 million (-18% YoY).

• Q4 non-GAAP gross margin: 40% (up from 31% in Q4 2024); full year: 40% (up from 33% in 2024).

• Q4 non-GAAP net loss: $37.6 million ($0.12/share), improved from $55.3 million ($0.20/share) YoY; full-year non-GAAP net loss: $158.8 million ($0.53/share), improved from $228.0 million ($0.83/share) in 2024.

• Year-end cash and investments: $279.5 million, with $48 million added from asset sale.

Outlook and guidance

• 2026 revenue expected between $165 million and $180 million, representing 3%–12% growth, with ~8% at midpoint.

• Consumables projected as main growth driver, with continued clinical adoption and expanded installed base.

• Non-GAAP gross margin expected to improve to 41%–44% in 2026, aided by higher consumables mix and SparkNex/SPRQ-Nx launch.

• Non-GAAP operating expenses targeted at less than $230 million for 2026, with focus on cost discipline and next-gen sequencing investment.