10x Genomics, Inc. (TXG) saw its stock price plummet 5.83% in after-hours trading on Wednesday, following the release of its fourth-quarter and full-year 2024 financial results.
The life science technology company reported revenue of $165 million for the fourth quarter, beating analysts' expectations of $159.5 million. However, the company's full-year revenue guidance for 2025 fell short of Wall Street's estimates, prompting concerns among investors.
10x Genomics projected revenue for the upcoming financial year 2025 to be in the range of $610 million to $630 million, representing a growth of 0% to 3% over the previous year. This guidance missed analysts' consensus estimate of $630.36 million, implying a tepid growth outlook for the company.
The company's CEO, Serge Saxonov, acknowledged the uncertainty within the U.S. academic research sector but expressed confidence in the long-term opportunity ahead. "Despite the current uncertainty within U.S. academic research, we continue to have strong conviction in the large opportunity ahead," Saxonov stated.
Several news articles highlighted the company's revenue guidance as the primary factor behind the stock's after-hours decline. While 10x Genomics exceeded revenue expectations for the fourth quarter, the underwhelming full-year guidance raised concerns about potential demand challenges and slower growth prospects.
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