PACB earnings analysis
What we found in PACB's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
PacBio's Q1 2026 10-Q reveals ongoing challenges with revenue and profitability, marked by revenue of $37.18 million, which fell short of estimates and reflects minimal YoY growth. Notably, the company achieved significant gross profit improvement, shifting from a gross loss to a $12.8 million profit, driven by optimized costs and restructuring efforts. Management expresses cautious optimism for future growth, anticipating increased revenue contributions from key segments in subsequent quarters.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue Misses Expectations
- Reported revenue of $37.18M fell short of consensus estimate of $40.18M.
- Improved Gross Profit
- Gross profit increased to $12.8M from a gross loss of $1.4M YoY.
- Adjusted Operating Expenses
- Operating expenses decreased by $406.4 million, reducing the operating loss significantly.
- Increased Cash Proceeds from Asset Sale
- Net cash proceeds of approximately $48.1 million received from asset sale to Illumina.
- Strong Cash Position
- Cash and cash equivalents totaled $276 million, showing a slight decline from previous quarter.
- Positive Remarks on Consumable Revenue Growth
- Management expects growth in consumables due to expanded Revio and Vega adoption.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Litigation Settlement Expenses
- Litigation expenses of $15.4 million impacted Q1 operating costs.
- Negative Cash Flow
- Q1 cash used in operations totaled $44.69M, continuing a trend of negative cash flow.
- Sales Cycle Delays
- Prolonged sales cycles due to tighter funding could constrain revenue growth in future quarters.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.12
- Gross margin
- 34.4%
- Segment
- Instrument Revenue: $9.7M
- Segment
- Consumables Revenue: $21.8M
- Segment
- Service and Other Revenue: $5.6M
What they said about what is next.
Management expects full-year revenue guidance in the range of $165M to $175M.
The filing reads about the same as the one before it.
What came before.
- 10-K · February 25, 2026
- Pacific Biosciences positions itself as a leader in HiFi long‑read sequencing, pursuing growth by lowering per‑sample cost (SPRQ‑Nx), driving Revio adoption, expanding Vega and kitted solutions (Kinnex, PureTarget), and…
- 10-Q · August 7, 2025
- Q2 2025 showed operational improvement: revenue rose to $39.8M (Q2 2025) from $36.0M (Q2 2024), gross margin expanded to ~36.9% from ~16.5%, and diluted loss per share narrowed to $(0.14) from $(0.64). However, balance…
- 10-Q · November 12, 2024
- PacBio reported Q3 revenue of $39,967,000 (Q3 2023: $55,691,000), a 28.2% YoY decline, gross profit of $10,004,000 (gross margin ~25.0%) and a net loss of $60,725,000 (EPS -$0.22). Management recorded a $93,200,000…
- 10-Q · May 9, 2024
- Q1 2024 revenue was essentially flat at $38.81M versus $38.90M a year ago, while gross profit improved to $11.28M (29.06% margin) and operating loss narrowed to $(81.36)M. Net loss was $(78.18)M or $(0.29) per share, an…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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