Alpha Teknova, Inc. reported its financial results for the third quarter and the nine months ended September 30, 2024, showing a mixed performance in revenue and losses compared to the previous fiscal period. For the three months ended September 30, 2024, the company generated revenue of $9.576 million, a 17.2% increase from $8.169 million in the same period of 2023. However, for the nine months ended September 30, 2024, total revenue decreased slightly to $28.480 million from $28.817 million in 2023, reflecting a 1.2% decline.

The company reported a loss from operations of $(7.432 million) for the third quarter of 2024, an improvement from $(8.762 million) in the same quarter of 2023. For the nine-month period, the loss from operations was $(20.518 million), down from $(24.705 million) in the prior year, indicating a 16.9% improvement. The net loss for the third quarter of 2024 was $(7.565 million), compared to $(10.153 million) in 2023, while the nine-month net loss improved to $(21.026 million) from $(26.124 million).

Key revenue drivers included a significant increase in Clinical Solutions revenue, which rose to $1.964 million in Q3 2024 from $597,000 in Q3 2023, marking a 229% growth. Conversely, revenue from Lab Essentials slightly decreased to $7.2 million from $7.3 million year-over-year. The company’s U.S. revenue for Q3 2024 was $9.057 million, up from $7.827 million in 2023, while international revenue also increased to $519,000 from $342,000.

Alpha Teknova's total operating expenses for Q3 2024 were $7.522 million, down from $10.234 million in the same quarter of 2023, reflecting a 26.5% reduction. This decrease was attributed to lower research and development, sales and marketing, and general and administrative expenses, driven by workforce reductions and cost management strategies. The company executed a workforce reduction in January 2024, eliminating approximately 35 positions, which incurred costs of $1.3 million.

As of September 30, 2024, Alpha Teknova had cash and cash equivalents of $6.145 million, a significant decrease from $28.484 million at the end of 2023. Total assets also declined to $124.099 million from $128.587 million. The accumulated deficit increased to $(112.812 million) from $(91.786 million) at the end of 2023.

In terms of financing, the company completed a private placement offering in July 2024, raising approximately $15.4 million. Additionally, it amended its credit facility, reducing minimum revenue requirements and increasing cash reserves. The company remains classified as an emerging growth company and is in compliance with its financial covenants, alleviating previous concerns about its ability to continue as a going concern.