Pacific Biosciences of California (PACB) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue grew 14% year-over-year to $44.6 million, with full-year revenue at $160 million, driven by record consumable sales and strong placements of Revio and Vega platforms.

• Clinical and hospital consumable revenue grew 55% in 2025, offsetting academic funding pressures impacting instrument sales.

• Sale of short-read sequencing assets generated ~$48 million in net proceeds, strengthening the balance sheet and sharpening focus on long-read platforms.

• Entered 2026 with a focus on long-read sequencing innovation, including the launch and beta of SparkNex (SPRQ-Nx) chemistry to lower sequencing costs and expand market share.

• EMEA region saw 45% revenue growth in Q4, with strong clinical adoption and transition from pilot to production phases.

Financial highlights

• Q4 2025 total revenue: $44.6 million (+14% YoY); full year 2025: $160 million (+4% YoY).

• Q4 consumables revenue: $21.6 million (+15% YoY); full year: $82 million (+16% YoY).

• Q4 instrument revenue: $17.3 million (+13% YoY); full year: $53.8 million (-18% YoY).

• Q4 service and other revenue: $5.7 million (+11% YoY); full year: $24.2 million (+36% YoY).

• Q4 non-GAAP gross margin: 40% (vs. 31% prior year); full year: 40% (vs. 33% prior year).

• Q4 non-GAAP net loss: $37.6 million ($0.12/share), improved from $55.3 million ($0.20/share) prior year; full-year non-GAAP net loss: $158.8 million ($0.53/share), improved from $228.0 million ($0.83/share).

• Year-end cash and investments: $279.5 million, with $48 million in net proceeds from asset sale.

Outlook and guidance

• 2026 revenue expected between $165 million and $180 million, representing 3%–12% growth.

• Non-GAAP gross margin projected to improve to 41%–44% in 2026, aided by SparkNex launch.

• Non-GAAP operating expenses targeted at less than $230 million for 2026.

• Consumables to remain primary growth driver, with continued clinical adoption and expansion of Revio and Vega installed base.

• Academic funding environment expected to remain muted, especially in the Americas.