PacBio (NASDAQ: PACB) stock plummeted over 50% in intraday trading Tuesday after the healthcare company issued a disappointing first-quarter guidance.
PacBio (PACB) has announced that it expects to report first-quarter revenue of $38.8 million, nearly unchanged from $38.90M in the same period last year. However, this preliminary figure falls short of the consensus revenue estimate of $50.27M.
The healthcare company attributed its preliminary revenue shortfall to a growing number of customers postponing instrument purchases and softness in consumable shipments.
PacBio said its instrument revenue for the quarter stands at $19.0M, down from $20.70M a year ago. Consumables revenue increased to $16.0M from $14.0M in the prior-year period. Service and other revenue came in at $3.8M, compared to $4.2M in the same quarter last year.
As of March 31, PacBio reported a total preliminary cash, cash equivalents, and investments balance of about $562M.
For the full year 2024, PacBio forecasts revenue to range between $170M and $200M, contrasting with the consensus estimate of $238.78 million. Moreover, the company doubts achieving its long-term revenue guidance of at least $500M by 2026.
The company expects revenue to improve in the second quarter and anticipates sequential growth in the second half of the year as consumables return to sequential growth and delayed deals from the first quarter are closed.
PacBio plans to provide further details on its financial performance and outlook during its earnings call scheduled for May 9.
In addition, the healthcare company forecasts ending 2024 with a cash, cash equivalents, and investments balance ranging from $435M to $450M.
PacBio (NASDAQ: PACB) Stock Performance
At the time of publication, PACB stock has dropped 50.62% compared to the previous trading session and is trading at $1.40. The traders have exchanged hands with 65,402,056 (65.40 million) shares versus the average daily trading volume of 9.12 million.
Edward Cooke is a financial analyst, freelance writer, and editor. He has six years of experience in financial journalism. He has an in-depth understanding of equities markets, tracking major indices and providing real-time analysis on stock price movements, corporate earnings, and market sentiment.
