Following its mammoth $411 million IPO in September, 10x Genomics delivered its first earnings report as a publicly traded company this week—detailing a third quarter that not only saw the cell sequencing firm prepare for its future life on the stock market but also included expansions in its supply chain and revenues ahead of its next product launch.
“This was our largest quarter to date by just about any metric, in terms of revenues, shipments, customers,” said 10x CEO Serge Saxonov on a conference call with investors.
The Fierce 15 winner’s total sales of $61.2 million represented a 67% increase compared to the third quarter from the year before—a trend that 10x hopes to continue, with projections of $238 million to $242 million in revenue for its full-year guidance, or 63% to 65% above what it made in 2018.
In September, 10x also began taking preorders for its upcoming offering, the Visium system, which combines microscope imaging and RNA sequencing to provide researchers with a visual map of gene expression across the different areas of a tissue sample.
10x acquired the basis of that technology last December through its buyout of Spatial Transcriptomics, a Sweden-based developer of tools for high-throughput mRNA analysis. Slivers of tissue are affixed to glass chips and a barcode-like grid of sequencing capture probes to help visualize which areas are expressing which genes, and in what quantity.
“At the time of the acquisition, Spatial Transcriptomics was in the market with an early-stage product,” said Saxonov. “Since acquiring the company we have worked hard to bring this product up to the high standards that we have for our commercial offerings.”
The upgraded version is an end-to-end solution, including reagents and software, he said. In addition, the Visium system now offers five times greater resolution, along with a simplified, 24-hour workflow. 10x expects to see early adoption in oncology, neuroscience and developmental biology applications and plans to begin shipping the system by the end of the year.
“We have been preparing to be a public company long before we became one, and have been making operational investments to manage our increasing size and complexity,” said Chief Financial Officer Justin McAnear, including new hiring across the company’s divisions and a transition to a new global headquarters in Pleasanton, California.
Additionally, 10x has been expanding its global manufacturing base, with plans to begin operations at facilities in Singapore next year.