Ginkgo Bioworks Holdings, Inc. reported its financial results for the third quarter and nine months ended September 30, 2024, showing significant changes in revenue, expenses, and overall financial health compared to the previous fiscal period.

For the three months ended September 30, 2024, Ginkgo Bioworks generated total revenue of $89.0 million, a substantial increase from $55.4 million in the same period of 2023. The nine-month revenue totaled $183.2 million, down from $216.7 million year-over-year. The increase in quarterly revenue was primarily driven by a notable rise in Cell Engineering revenue, which reached $75.1 million compared to $37.2 million in Q3 2023. This growth was attributed to the recognition of $45.4 million in non-cash revenue from a deferred revenue balance associated with a terminated contract with Motif FoodWorks.

Operating expenses for the third quarter of 2024 were $144.3 million, significantly lower than $341.8 million in Q3 2023. For the nine months, total operating expenses decreased to $639.3 million from $903.0 million. The reduction in expenses was largely due to a restructuring plan initiated in Q2 2024, which included workforce reductions and facility consolidations, resulting in lower research and development (R&D) and general administrative costs.

Despite the revenue growth, Ginkgo Bioworks reported a net loss of $56.4 million for Q3 2024, compared to a net loss of $302.9 million in Q3 2023. For the nine months, the net loss was $439.5 million, down from $681.2 million in the prior year. The improved loss figures reflect the company's efforts to streamline operations and reduce costs.

The company’s cash and cash equivalents as of September 30, 2024, were $616.2 million, a decrease from $1.0 billion at the end of 2023. Total assets also declined to $1.5 billion from $1.7 billion, while total liabilities increased to $682.9 million from $568.2 million. The decrease in total stockholders' equity was notable, falling to $797.9 million from $1.1 billion.

Strategically, Ginkgo Bioworks completed two acquisitions in 2024: AgBiome for $18.2 million and Zymergen's assets for $6.2 million. The company also recorded a goodwill impairment charge of $47.9 million related to its Cell Engineering unit. A restructuring plan was approved in Q2 2024, aiming for a workforce reduction of at least 35%, with expected costs between $18.0 million and $22.0 million.

Overall, Ginkgo Bioworks is navigating a challenging market environment while focusing on operational efficiency and strategic growth through acquisitions and restructuring efforts.