10X Genomics (TXG) Q4 2024 earnings summary

Executive summary

• 2024 revenue was $610.8 million, down 1% year-over-year, reflecting a challenging macro environment and major product transitions.

• Q4 2024 revenue was $165 million, down 10% year-over-year; gross margin improved to 67% in Q4 and 68% for the year, driven by product mix.

• Operating loss for 2024 was $194.6 million, improved from $265.3 million in 2023; net loss was $182.6 million, improved from $255.1 million.

• Major product launches across all platforms, including GEM-X, Visium HD, and Xenium Prime 5K, and the launch of the Billion Cells Project with CZI and Ultima Genomics.

• Cash and equivalents rose to $393.4 million at year-end 2024.

Financial highlights

• Q4 2024 revenue was $165 million, up 9% sequentially but down 10% year-over-year; full-year revenue was $610.8 million, down 1%.

• Full-year gross margin increased to 68% from 66% in 2023; Q4 gross margin was 67%, up from 63% in Q4 2023.

• Operating loss for 2024 was $194.6 million; net loss was $182.6 million, improved from $255.1 million in 2023.

• Operating expenses for 2024: $609 million, down from $674.6 million in 2023; stock-based compensation expense was $140.7 million, down from $167 million.

• Ended 2024 with $393.4 million in cash and equivalents, up $5 million from prior year.

Outlook and guidance

• 2025 revenue guidance is $610–$630 million, representing 0–3% growth.

• Double-digit growth expected in Chromium reactions and overall spatial revenue.

• Guidance assumes continued macro and NIH funding uncertainty, with a mid-single-digit decrease in NIH-funded projects (~$7 million impact) included.

• Potential $10–$15 million additional impact from NIH indirect cost cap not included in guidance.

• Commercial transformation expected to be fully implemented by mid-2025.