Singular Genomics - Oh Dear!

Last week someone pinged me about Singular Genomics (please feel free to reach out, I always love to chat!). So I thought it might be interesting to revisit the company. Well… it seems they’ve not been doing very well. The share price is down from ~25USD at the IPO to around $1!

So what’s going on?

Well… the Q1 2023 revenues are low. GenomeWeb notes that "For the three months ended March 31, the San Diego-based sequencing technology firm reported revenues of $863,000, compared to no revenues in the year-ago quarter, missing the consensus Wall Street estimate of $1.24 million.". That was revenue from a total of 3 instruments it seems. This is comes out at $283K per instrument, which is lower than the list price:

In total by the end of Q1 it seems liked they’d shipped <10 instruments (I could see 5 accounted for). Which isn’t very many…

Singular have been complaining of supply chain issues. But I imagine some it is down to pricing. At $350K the instrument probably isn’t particular compelling against a NextSeq 2000 which was $335K at launch.

Let’s look at the consumable side:

Flowcell cap out at $1000, which appears to provide a total of 400M reads, which look to be 2x150bp. Cornell will charge you about $4500 for this using a NextSeq 2000 P2, which is not atypical.

The flow cell pricing looks pretty good! This comes from a presentation released yesterday (at the time of writing). So perhaps this is new pricing, and they are trying to get aggressive to gain market share?

A few more thoughts after the break!