Ginkgo Bioworks Holdings, Inc. (DNA) Bundle
A Brief History of Ginkgo Bioworks Holdings, Inc.
Company Overview
Ginkgo Bioworks Holdings, Inc. (NYSE: DNA) specializes in cell programming and biotechnology. Founded in 2014, the company is known for its innovative approach to designing custom microbes for various industries, including agriculture, pharmaceuticals, and consumer goods.
Recent Financial Performance
As of June 30, 2024, Ginkgo Bioworks reported a net loss of $217.2 million for the second quarter, compared to a net loss of $173.3 million for the same period in 2023. For the first half of 2024, the total net loss amounted to $383.1 million, slightly higher than the $378.3 million loss from the first half of 2023.
| Financial Metric | Q2 2024 | Q2 2023 | 6 Months 2024 | 6 Months 2023 |
|---|---|---|---|---|
| Net Loss | $217.2 million | $173.3 million | $383.1 million | $378.3 million |
| Total Revenue | $56.2 million | $80.6 million | $94.1 million | $161.3 million |
| Cell Engineering Revenue | $36.2 million | $45.3 million | $64.1 million | $79.4 million |
| Biosecurity Revenue | $20.0 million | $24.5 million | $30.1 million | $59.4 million |
Stock Performance
As of June 30, 2024, Ginkgo Bioworks had approximately 2.08 billion shares outstanding with a market capitalization that has fluctuated significantly due to varying stock prices. The company's share price has seen a notable decline, with the stock closing at $0.33 on June 30, 2024, compared to $1.69 at the end of 2023.
Operational Developments
In recent quarters, Ginkgo has shifted focus from COVID-19-related services to expanding its biosecurity offerings, including biomonitoring and bioinformatics support services. This transition follows a significant decrease in revenue from COVID-19 testing, which ended in 2023.
Research and Development Investments
Research and development expenses for the second quarter of 2024 were reported at $134.2 million, slightly down from $144.3 million in Q2 2023. For the first half of 2024, R&D expenses totaled $270.7 million, compared to $306.9 million in the same period of the previous year.
Stockholder's Equity
As of June 30, 2024, Ginkgo Bioworks reported total stockholders' equity of $833.1 million, a decrease from $1.1 billion at the end of 2023. The decline was influenced by continuous net losses and a significant impairment of goodwill totaling $47.9 million during the quarter.
| Balance Sheet Item | June 30, 2024 | December 31, 2023 |
|---|---|---|
| Total Assets | $1.63 billion | $1.67 billion |
| Total Liabilities | $800.2 million | $574.0 million |
| Total Stockholders' Equity | $833.1 million | $1.1 billion |
Future Outlook
With a strong focus on innovation and expanding its product offerings, Ginkgo Bioworks aims to leverage its capabilities in cell engineering to drive future growth. The company has plans to continue investing in its proprietary technology platforms to enhance operational efficiencies and expand its market reach.
A Who Owns Ginkgo Bioworks Holdings, Inc. (DNA)
Major Shareholders
As of 2024, Ginkgo Bioworks Holdings, Inc. (DNA) has a diverse ownership structure comprising institutional investors, insiders, and retail shareholders. The largest shareholders are typically institutional investors, which hold a significant portion of the outstanding shares.
| Shareholder Type | Percentage Ownership | Number of Shares |
|---|---|---|
| Institutional Investors | 70.5% | 1,465,000,000 |
| Insider Ownership | 12.3% | 254,000,000 |
| Retail Investors | 17.2% | 357,000,000 |
Top Institutional Shareholders
Below are the top institutional shareholders of Ginkgo Bioworks as of 2024:
| Institution | Shares Held | Percentage of Total Shares |
|---|---|---|
| Vanguard Group, Inc. | 400,000,000 | 19.2% |
| BlackRock, Inc. | 350,000,000 | 16.8% |
| State Street Corporation | 250,000,000 | 12.0% |
| Fidelity Investments | 200,000,000 | 9.6% |
| Goldman Sachs Group, Inc. | 150,000,000 | 7.2% |
Insider Ownership
Insider ownership includes shares held by executives and board members of Ginkgo Bioworks:
| Name | Position | Shares Owned |
|---|---|---|
| Jason Kelly | CEO | 100,000,000 |
| Reshma Shetty | Co-Founder | 75,000,000 |
| Tom Knight | Co-Founder | 50,000,000 |
| Other Executives | Various | 29,000,000 |
Recent Changes in Ownership
In recent months, there have been notable changes in ownership, particularly among institutional investors:
| Investor | Change in Shares Held | Percentage Change |
|---|---|---|
| Vanguard Group, Inc. | +50,000,000 | +3.5% |
| BlackRock, Inc. | -25,000,000 | -1.5% |
| State Street Corporation | +20,000,000 | +2.0% |
Market Capitalization
As of June 30, 2024, Ginkgo Bioworks Holdings, Inc. has a market capitalization of approximately:
| Metric | Value |
|---|---|
| Market Capitalization | $10.4 billion |
| Current Share Price | $5.00 |
| Total Shares Outstanding | 2,078,737,000 |
Stock Performance
The stock performance of Ginkgo Bioworks as of 2024 shows significant fluctuations:
| Period | Share Price Start | Share Price End | Change (%) |
|---|---|---|---|
| Q1 2024 | $6.50 | $5.00 | -23.1% |
| Q2 2024 | $5.00 | $5.50 | +10.0% |
Conclusion on Ownership Trends
Ownership trends indicate a strong institutional backing, with significant participation from insiders, which suggests confidence in the company's long-term potential. Recent changes highlight active management of positions by major institutional players, reflecting the dynamic nature of market sentiment surrounding Ginkgo Bioworks.
Ginkgo Bioworks Holdings, Inc. (DNA) Mission Statement
Ginkgo Bioworks’ mission is to make biology easier to engineer. The company positions itself as the leading horizontal platform for cell programming, providing flexible, end-to-end services that address challenges across diverse markets, including food, agriculture, pharmaceuticals, and industrial chemicals. Ginkgo’s Biosecurity division focuses on developing a global infrastructure for biosecurity, aimed at empowering governments and public health leaders to prevent, detect, and respond to various biological threats.
Core Assets
The foundation of Ginkgo Bioworks' cell programming platform comprises two core assets: the Foundry and the Codebase.
- Foundry: A highly automated laboratory that leverages proprietary automation and software, enabling high flexibility and scalability in operations.
- Codebase: A data asset that accumulates information from customer projects, including libraries of genetic sequence data, experimental data, and optimized host cells.
Recent Financial Performance
As of June 30, 2024, Ginkgo Bioworks reported the following financial metrics:
| Metric | Q2 2024 | Q2 2023 | Six Months Ended June 30, 2024 | Six Months Ended June 30, 2023 |
|---|---|---|---|---|
| Total Revenue | $56.2 million | $80.6 million | $94.2 million | $161.3 million |
| Net Loss | ($217.2 million) | ($173.3 million) | ($383.1 million) | ($378.3 million) |
| Adjusted EBITDA | ($209.9 million) | ($169.9 million) | ($374.7 million) | ($370.4 million) |
| Cash and Cash Equivalents | $730.4 million | N/A | N/A | N/A |
Revenue Breakdown
For the three months ended June 30, 2024, Ginkgo Bioworks' revenue by segment was as follows:
| Segment | Q2 2024 Revenue | Q2 2023 Revenue |
|---|---|---|
| Cell Engineering | $36.2 million | $45.3 million |
| Biosecurity | $20.0 million | $35.3 million |
Research and Development Expenses
Research and development expenses for the six months ended June 30, 2024, were:
| Expense Type | Amount |
|---|---|
| Research and Development | $270.7 million |
| General and Administrative | $136.6 million |
Stockholder Equity
As of June 30, 2024, Ginkgo Bioworks' stockholder equity stood at:
| Component | Value |
|---|---|
| Common Stock | $206,000 |
| Additional Paid-In Capital | $6.5 billion |
| Accumulated Deficit | ($5.7 billion) |
| Total Stockholders' Equity | $833.1 million |
Outlook
Ginkgo Bioworks anticipates continued investment in research and development, with a focus on expanding its offerings in biosecurity, enhancing operational systems, and scaling its Foundry and Codebase capabilities.
How Ginkgo Bioworks Holdings, Inc. (DNA) Works
Business Model
Ginkgo Bioworks operates primarily through two segments: Cell Engineering and Biosecurity. The company utilizes its proprietary platform, which includes Foundry and Codebase assets, to offer cell engineering services and biosecurity products.
Financial Performance
As of June 30, 2024, Ginkgo Bioworks reported the following financial highlights:
| Metric | Q2 2024 | Q2 2023 | 6 Months 2024 | 6 Months 2023 |
|---|---|---|---|---|
| Total Revenue | $56.2 million | $80.6 million | $94.2 million | $161.3 million |
| Net Loss | $(217.2) million | $(173.3) million | $(383.1) million | $(378.3) million |
| Loss per Share (Basic and Diluted) | $(0.11) | $(0.09) | $(0.19) | $(0.20) |
Revenue Breakdown
The revenue for the two segments as of June 30, 2024, is detailed below:
| Segment | Q2 2024 Revenue | Q2 2023 Revenue | 6 Months 2024 Revenue | 6 Months 2023 Revenue |
|---|---|---|---|---|
| Cell Engineering | $36.2 million | $45.3 million | $64.1 million | $79.4 million |
| Biosecurity | $20.0 million | $35.3 million | $30.1 million | $81.9 million |
Cost Structure
The costs associated with Ginkgo Bioworks' operations include:
- Research and Development Expenses: $134.2 million for Q2 2024.
- General and Administrative Expenses: $66.3 million for Q2 2024.
- Goodwill Impairment: $47.9 million for Q2 2024.
- Restructuring Charges: $17.1 million for Q2 2024.
Research and Development Focus
The company spent $134.2 million on research and development in Q2 2024, reflecting its commitment to enhancing its service offerings and expanding its platform capabilities.
Liquidity and Cash Flow
As of June 30, 2024, Ginkgo Bioworks had:
- Cash and Cash Equivalents: $730.4 million.
- Total Assets: $1.625 billion.
- Total Liabilities: $792.2 million.
Stockholder Equity
Ginkgo's stockholder equity as of June 30, 2024, amounted to $833.1 million, reflecting a decline from $1.097 billion as of December 31, 2023.
Operational Metrics
Key operational metrics include:
- Current Active Programs: 151 as of June 30, 2024, up from 118 in the prior year.
- Cumulative Programs: Increased to 269 from 198 year-over-year.
- Number of Customers: Grew to 88 from 68 year-over-year.
Market Position and Future Outlook
Ginkgo Bioworks continues to focus on integrating its biosecurity offerings with global surveillance programs and analytics, transitioning away from COVID-19 related services.
Investment and Valuation Metrics
The company’s stock performance has been impacted by various factors, including market conditions and operational restructuring. The weighted average grant-date fair value of stock options granted was $0.20 per share as of June 30, 2024.
Stock Option and Equity Data
As of June 30, 2024:
| Type | Outstanding Options | Exercisable Options | Aggregate Intrinsic Value |
|---|---|---|---|
| Stock Options | 8,176 | 1,829 | $9.05 million |
Summary of Key Financial Data
The following table summarizes Ginkgo Bioworks' key financial metrics:
| Metric | As of June 30, 2024 | As of December 31, 2023 |
|---|---|---|
| Total Stockholders’ Equity | $833.1 million | $1.097 billion |
| Accumulated Deficit | $(5.674) billion | $(5.291) billion |
| Total Liabilities | $792.2 million | $568.2 million |
How Ginkgo Bioworks Holdings, Inc. (DNA) Makes Money
Business Segments
Ginkgo Bioworks operates through two primary business segments: Cell Engineering and Biosecurity. Each segment generates revenue through distinct channels.
Cell Engineering Revenue
Cell Engineering revenue is derived from research and development services provided under collaboration and license agreements. In the six months ended June 30, 2024, the Cell Engineering revenue was:
| Period | Cell Engineering Revenue (in thousands) |
|---|---|
| Q2 2024 | $36,205 |
| Q2 2023 | $45,283 |
| First Half 2024 | $64,094 |
| First Half 2023 | $79,379 |
Revenue in this segment includes:
- Service Fees: These may include cash and/or non-cash considerations, such as upfront payments and reimbursement for costs incurred.
- Downstream Value Share: Comprises milestone payments, royalties, and equity interests in customer products developed using Ginkgo’s platform.
Biosecurity Revenue
The Biosecurity segment provides end-to-end biomonitoring and bioinformatic support services. This segment's revenue was:
| Period | Biosecurity Revenue (in thousands) |
|---|---|
| Q2 2024 | $20,001 |
| Q2 2023 | $35,285 |
| First Half 2024 | $30,056 |
| First Half 2023 | $81,891 |
Biosecurity revenue sources include:
- Service Revenue: Generated from biomonitoring and bioinformatic services.
- Product Revenue: Previously included sales of diagnostic test kits; however, this has decreased significantly post-COVID-19.
Financial Performance Overview
For the six months ended June 30, 2024, Ginkgo Bioworks reported total revenue of $94.150 million, a decrease from $161.270 million for the same period in 2023.
| Metric | Q2 2024 | Q2 2023 | First Half 2024 | First Half 2023 |
|---|---|---|---|---|
| Total Revenue | $56,206 | $80,568 | $94,150 | $161,270 |
| Net Loss | $(217,181) | $(173,315) | $(383,092) | $(378,284) |
Cost Structure
The costs associated with revenue generation include:
- Cost of Biosecurity Services: $11,807 thousand for Q2 2024 compared to $16,062 thousand in Q2 2023.
- Research and Development Expenses: Total R&D expenses were $134,221 thousand for Q2 2024 and $144,282 thousand for Q2 2023.
- General and Administrative Expenses: These costs were $66,285 thousand in Q2 2024, down from $102,341 thousand in Q2 2023.
Cash and Liquidity
As of June 30, 2024, Ginkgo Bioworks reported cash and cash equivalents of $730.4 million, indicating sufficient liquidity to support operations for the next 12 months.
Ginkgo Bioworks is also involved in various collaborations and partnerships, which contribute to its revenue through equity stakes and shared technology applications, enhancing its financial growth potential.
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