Absci shares drop 15% after weak quarterly earnings, revenue miss
Biotech firm Absci reported lower-than-expected revenue and earnings for the quarter, sending shares down sharply in after-hours trading. The company cited supply chain challenges and higher costs as key factors.
Shares of biotechnology company Absci fell more than 15% in extended trading on Thursday after the firm reported a quarterly earnings and revenue shortfall.
Absci said net loss widened to $12.4 million from $8.1 million a year earlier, while revenue declined 11% to $1.8 million, missing analyst estimates. The company attributed the underperformance to supply chain disruptions and elevated operational costs.
Chief Executive Officer Sean McClain stated that while demand for the company’s synthetic biology platforms remains strong, execution challenges weighed on financial results. The firm reiterated its full-year revenue guidance but acknowledged that near-term profitability may remain pressured.
Analysts at William Blair maintained a market-perform rating but trimmed the price target to $4.50 from $5.00, citing execution risks. The stock closed at $3.80 on Wednesday and was indicated down around 16% in after-hours trade.
Absci’s synthetic biology platform is used in drug discovery and development, with partnerships including a collaboration with Merck & Co. for antibody discovery.
Priya covers listed equities and corporate earnings, reading quarterly results and guidance for what they signal about sector health and forward valuations.
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