Teknova Pre-Announces 19-21% Revenue Growth, Margin Expansion Alongside New Offering
TKNO has more than doubled off its 52-week low of $1.91.
Summary
Teknova pre-announced Q3 revenue of $12.5M-$12.7M, up 19-21% year over year, with gross margin of 36-38% — a 500-700 basis point expansion driven by the top-line growth. Adjusted EBITDA is estimated at negative $1.2M to negative $1.0M, at least 25% better than a year ago on cost discipline. Cash and short-term investments stood at roughly $16.6M at quarter-end. The results were released in conjunction with a preliminary prospectus supplement, meaning a capital raise is being launched at the same time — the $16.6M cash balance is thin for a company still burning EBITDA, so dilution is the offsetting consideration against the strong growth numbers. Teknova has filed for an equity offering, and its shares were down 22%. These are preliminary, unaudited management estimates subject to closing procedures and could change materially.
At the time of this announcement, TKNO was trading at $6.50 on NASDAQ in the Life Sciences sector, with a market capitalization of approximately $396.8M. The 52-week trading range was $1.91 to $9.48. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: GlobeNewswire.