Standard BioTools (LAB) Q4 2024 earnings summary

Executive summary

• Delivered $46.7M in Q4 and $175.1M for FY2024, both down 9% year-over-year, mainly due to softness in instruments and services amid CapEx constraints and cautious biopharma/academic spending.

• Completed the merger with SomaLogic, operationalizing $90M in cost synergies over 12 months, exceeding targets and driving efficiency gains.

• Consumables showed 18% growth in FY2024, offsetting declines in instruments and services; consumables now represent 34% of revenue.

• Integration of SomaLogic and strategic focus on high-margin consumables and proteomics position the company for future growth, including a co-branded NGS-based solution with Illumina.

• Strong cash position of $295M at year-end supports growth, M&A, and operational needs.

Financial highlights

• Q4 2024 revenue: $46.7M; FY2024 revenue: $175.1M, both down 9% year-over-year.

• Consumables revenue grew 18% for FY2024; instrument sales declined 27% and services revenue fell 17% year-over-year.

• Non-GAAP gross margin was 52.5% in Q4 2024 and 53.0% for FY2024; GAAP gross margin was 46.9% in Q4 and 47.3% for FY2024.

• Non-GAAP operating expenses reduced by 24% in Q4 and 22% for FY2024 year-over-year.

• Adjusted EBITDA loss improved 33% for FY2024 and 34% in Q4 year-over-year.

Outlook and guidance

• 2025 revenue guidance: $165M–$175M, factoring in anticipated NIH funding pressures, cautious market recovery, and limited impact from tariffs or export controls.

• Path to Adjusted EBITDA break-even in 2026 remains intact, supported by cost synergies and margin expansion.

• Guidance includes a mid-teens % decline in Americas academic revenue and expects growth in consumables and SomaScan services.

• Sufficient cash runway to support operations and strategic acquisitions.