Ginkgo Bioworks Holdings, Inc. · NYSE:DNA
Ginkgo Bioworks — Q3 2023 Earnings Presentation
43 slides from Ginkgo Bioworks's earnings presentation, Nov 8, 2023
Slide 1: Grow with Ginkgo Q3 2023 Update & Business Review
Grow with Ginkgo Q3 2023 Update & Business Review November 8, 2023
Slide 2: Disclaimer: Forward-Looking Statements
Disclaimer Property of Ginkgo Bioworks — 2 Forward-Looking Statements This presentation, the conference call and webcast contain certain forward-looking statements within the meaning of the federal securities laws, including statements regarding our plans, strategies, including with respect to our b
Slide 3: Agenda
Property of Ginkgo Bioworks — 3 Agenda Introduction Jason Kelly, Co-Founder and CEO Q3 2023 Financial Update Mark Dmytruk, CFO Q3 2023 UPDATE & BUSINESS REVIEW Strategic Review Jason Kelly, Co-Founder and CEO Q&A Session Moderated by Megan LeDuc, Manager of Investor Relations
Slide 4: Our Mission: Make biology easier to engineer
OUR MISSION easier to engineer Make biology Q3 2023 UPDATE & BUSINESS REVIEW Property of Ginkgo Bioworks — 4
Slide 5: Opportunity to grow with and grow into our customers
Non-exhaustive Property of Ginkgo Bioworks — 5 Ginkgo has the opportunity to both grow with and grow into our customers PHARMA INDUSTRIAL BIOTECHNOLOGY AGRICULTURE LARGE COMPANIES Q3 2023 UPDATE & BUSINESS REVIEW STARTUPS
Slide 6: Making biology easier to engineer through scalable technology
Property of Ginkgo Bioworks — 6 Ginkgo is making biology easier to engineer through its scalable technology Foundry Codebase AIAI Generate data Organize and reuse data Data trains AI models Active Programs Task-specific Ultra-high throughout models 36% labeled data generation Government (metabolomic
Slide 7: Agenda
Property of Ginkgo Bioworks — 7 Agenda Introduction Jason Kelly, Co-Founder and CEO Q3 2023 Financial Update Mark Dmytruk, CFO Q3 2023 UPDATE & BUSINESS REVIEW Strategic Review Jason Kelly, Co-Founder and CEO Q&A Session Moderated by Megan LeDuc, Manager of Investor Relations
Slide 8: Cell Engineering Highlights
Property of Ginkgo Bioworks — 8 Cell Engineering Highlights (Unaudited) New Programs Current Active Programs Total Active Customers 36% 77% Government Pharma & Biotech 40% Food & Agriculture Industrial & Environmental Consumer & Technology Q3 2023 UPDATE & BUSINESS REVIEW Cell Engineering Revenue ($
Slide 9: Biosecurity Highlights
Property of Ginkgo Bioworks — 9 Biosecurity Highlights (Unaudited) Biosecurity Revenue ($M) 19 North 21 America Europe Phase out of K-12 testing 29 Asia 26 Africa Countries in which 7 Concentric has active South Q3 2023 UPDATE & BUSINESS REVIEW America programs, pilots, or MoUs 3 Oceania # Countries
Slide 10: Q3 2023 Financial Summary
Property of Ginkgo Bioworks — 10 Q3 2023 Financial Summary (Unaudited) In millions of USD Three Months Ended September 30, Nine Months Ended September 30, except new programs and % YoY 2023 2022* % YoY 2023 2022* % YoY New programs launched 21 15 40% 55 39 41% Revenue: Cell Engineering ⁽¹⁾ $ 37 $ 25
Slide 11: 2023 Full Year Outlook
Property of Ginkgo Bioworks — 11 2023 Full Year Outlook In millions of USD Historical Outlook Guidance Commentary except new programs FY2020 FY2021 FY2022 FY2023 New program target has been updated New programs 18 31 59 +36-44% 80-85 based on Q3 results and pacing of pipeline conversion Revenue Cell
Slide 12: Agenda
Property of Ginkgo Bioworks — 12 Agenda Introduction Jason Kelly, Co-Founder and CEO Q3 2023 Financial Update Mark Dmytruk, CFO Q3 2023 UPDATE & BUSINESS REVIEW Strategic Review Jason Kelly, Co-Founder and CEO Q&A Session Moderated by Megan LeDuc, Manager of Investor Relations
Slide 13: We believe...
Property of Ginkgo Bioworks — 13 We believe… 1 2 3 We are making biology We have a large and Biosecurity is a national easier to engineer diverse program pipeline security priority Q3 2023 UPDATE & BUSINESS REVIEW The interface of Ginkgo’s data We have a uniquely diverse and Particularly as fears of
Slide 14: We believe: making biology easier to engineer
Property of Ginkgo Bioworks — 14 We believe… 1 2 3 We are making biology We have a large and Biosecurity is a national easier to engineer diverse program pipeline security priority Q3 2023 UPDATE & BUSINESS REVIEW The interface of Ginkgo’s data generation capabilities and AI tools allows Ginkgo to c
Slide 15: AI is an increasingly important tool in our workflows
Property of Ginkgo Bioworks — 15 AI is an increasingly important tool in our workflows Foundry Generate data AI models Q3 2023 UPDATE & BUSINESS REVIEW allow us to Codebase design better Organize and reuse data Foundry experiments AI Data trains AI models
Slide 16: Strategic partnership with Google Cloud accelerating AI efforts
Property of Ginkgo Bioworks — 16 Strategic partnership with Google Cloud is accelerating our AI efforts Foundry Generate data AI models 1 2 Q3 2023 UPDATE & BUSINESS REVIEW allow us to Cloud Computing Model Development Codebase design better Organize and reuse data Foundry Ginkgo is securing the comp
Slide 17: AI/ML-enabled programs delivering results faster and cheaper
Property of Ginkgo Bioworks — 17 AI/ML-enabled programs are delivering results for customers faster and cheaper Foundry Advancements AI Advancements Foundry + AI Advancements Cost Cost Unit Operations DBTL(1) Cycles Program Unit Operation DBTL(1) Cycle Program Investments in automation Ginkgo can fle
Slide 18: Enzyme engineering programs becoming more predictable
Property of Ginkgo Bioworks — 18 Our enzyme engineering programs are becoming more predictable Ginkgo uses AI/ML algorithms to 21x improvement in select top enzyme candidates biocatalytic activity in first round across our database of 6B+ genes over incumbent enzyme Seed sequence Fold-improvement fro
Slide 19: Remarkable results in production of biological products
Property of Ginkgo Bioworks — 19 Similarly, we are seeing remarkable results in the production of biological products - under time and under budget Over 50x titer improvement in under a year Seed sequence from customer 50x Q3 2023 UPDATE & BUSINESS REVIEW 12.5x Partner Ginkgo’s 1st Ginkgo’s pathway
Slide 20: We believe: large and diverse program pipeline
Property of Ginkgo Bioworks — 20 We believe… 1 2 3 We are making biology We have a large and Biosecurity is a national easier to engineer diverse program pipeline security priority Q3 2023 UPDATE & BUSINESS REVIEW We have a uniquely diverse and substantial program pipeline, with many programs in lat
Slide 21: Continued diversification of programs allows rapid scaling
Property of Ginkgo Bioworks — 21 Continued diversification of programs allows for rapid scaling Active Programs by Industry Make-up of Active Programs Q1 2021 Q3 2023 Government 11% 4% Pharma & Biotech 18% 36% Q3 2023 UPDATE & BUSINESS REVIEW Food & Agriculture 32% 34% Industrial & 20% 18% Environmen
Slide 22: Active program pipeline remains strong
Property of Ginkgo Bioworks — 22 Active program pipeline remains strong, and we typically have many programs approaching completion at any given time Q3 2023 UPDATE & BUSINESS REVIEW Consumer & Technology Industrial & Environmental Food & Agriculture Pharma & Biotech Government % Progress in 2023 YT
Slide 23: Biopharma larger portion of earlier stage pipeline
Property of Ginkgo Bioworks — 23 Biopharma makes up larger portion of earlier stage pipeline given recent growth Q3 2023 UPDATE & BUSINESS REVIEW Consumer & Technology Industrial & Environmental Food & Agriculture Pharma & Biotech Government % Progress in 2023 YTD % Progress in 2023 YTD % Progress i
Slide 24: Large portfolio of completed programs with commercial value potential
Property of Ginkgo Bioworks — 24 Large portfolio of completed programs with commercial value potential Fully Commercialized Programs Successful commercial-scale fermentation of a key flavor and fragrance ingredient Pharma & Biotech Equity Food Successful scale-up and commercialization & Ag Confidentia
Slide 25: We believe: biosecurity is a national security priority
Property of Ginkgo Bioworks — 25 We believe… 1 2 3 We are making biology We have a large and Biosecurity is a national easier to engineer diverse program pipeline security priority Q3 2023 UPDATE & BUSINESS REVIEW Particularly as fears of AI-enabled bioweapons increase, biosecurity is becoming a cle
Slide 26: AI has raised the stakes for biosecurity
Property of Ginkgo Bioworks — 26 AI has raised the stakes for biosecurity as a national security issue LEARN MORE LEARN MORE LEARN MORE Q3 2023 UPDATE & BUSINESS REVIEW LEARN MORE LEARN MORE LEARN MORE LEARN MORE
Slide 27: National security leaders looking to defense tech ecosystem
Property of Ginkgo Bioworks — 27 National security leaders are looking to the defense tech ecosystem to confront new challenges Private enterprises are at the LEARN MORE leading edge of defense tech… From Last Supper to First Breakfast: The Defense Tech Ecosystem Like Palantir for “From drones to AI
Slide 28: Building the future biodefense tech stack
Property of Ginkgo Bioworks — 28 We’re building the future biodefense tech stack Persistent Global Monitoring Establishing “continuous custody” of biothreat data Monitoring + decision support are the first frontier Decision Support Q3 2023 UPDATE & BUSINESS REVIEW Generating analysis to enable priori
Slide 29: Bioradar evolving to support BIOINT
Property of Ginkgo Bioworks — 29 Bioradar - our global early warning network - is evolving to support BIOINT Multisource data Broadening from COVID-19 to 11/6/23 Global bioradar sequencing of 30+ key targets integrations Persistent, pervasive, Digital open-source 11/6/23 agnostic biodetection intell
Slide 30: AI unlocks the power of bioradar data
Property of Ginkgo Bioworks — 30 AI unlocks the power of bioradar data to generate valuable insights Multisource data Concentric by Ginkgo to Support CDC-Funded Global bioradar integrations Consortium to Develop New AI-Based Persistent, pervasive, Digital open-source Technologies for Epidemic Foreca
Slide 31: BIOINT will be a critical national security asset
Property of Ginkgo Bioworks — 31 Biological intelligence (BIOINT) will be a critical national security asset Multisource data Global bioradar integrations As it matures, BIOINT will be able to help address Persistent, pervasive, Digital open-source critical questions for security decision-makers, su
Slide 32: Biosecurity supported by cell engineering platform
Property of Ginkgo Bioworks — 32 Biosecurity is supported by, and supports, Ginkgo’s cell engineering platform Biosecurity Platform Cell Engineering Platform Metagenomic data Building towards actionable, More powerful analytical tools Building a deeper real-time intelligence on understanding of biol
Slide 33: Let's grow the world we want to see
____________________ Let’s grow the world we want to see
Slide 34: Agenda
Property of Ginkgo Bioworks — 34 Agenda Introduction Jason Kelly, Co-Founder and CEO Q3 2023 Financial Update Mark Dmytruk, CFO Q3 2023 UPDATE & BUSINESS REVIEW Strategic Review Jason Kelly, Co-Founder and CEO Q&A Session Moderated by Megan LeDuc, Manager of Investor Relations
Slide 35: Appendix
APPENDIX
Slide 36: Cell Program Counts
Property of Ginkgo Bioworks — 36 Cell Program Counts Three Months Ended September 30, Nine Months Ended September 30, LTM (1) 2023 2022 2023 2022 2023 New Programs 21 15 55 39 75 Current Active Programs 116 85 139 92 151 Cumulative Programs 219 144 219 144 219 Q3 2023 UPDATE & BUSINESS REVIEW New Pr
Slide 37: Adjusted EBITDA Reconciliation
Property of Ginkgo Bioworks — 37 Adjusted EBITDA Reconciliation (Unaudited) In millions of USD Three Months Ended September 30, Nine Months Ended September 30, 2023 2022* 2023 2022* Net loss attributable to Ginkgo Bioworks Holdings, Inc. stockholders $ (302.9) $ (670.1) $ (681.2) $ (1,929.5) Interes
Slide 38: Segment Information
Property of Ginkgo Bioworks — 38 Segment Information (Unaudited) In millions of USD, except $ YoY Three Months Ended September 30, Nine Months Ended September 30, 2023 2022* % YoY 2023 2022* % YoY Revenue: Cell Engineering ⁽¹⁾ $ 37 $ 25 51% $ 117 $ 90 29% Biosecurity 18 42 (56%) 100 289 (65%) Total
Slide 39: Cell Engineering Revenue
Property of Ginkgo Bioworks — 39 (1) Cell Engineering Revenue (Unaudited) In millions of USD, except % of total Three Months Ended September 30, Nine Months Ended September 30, 2023 % of Total 2022 % of Total 2023 % of Total 2022 % of Total Related Parties $9 24% $ 10 40% $ 20 17% $ 32 36% Third Par
Slide 40: Stock-Based Compensation
Property of Ginkgo Bioworks — 40 Stock-Based Compensation (Unaudited) In millions of USD, except % YoY Three Months Ended September 30, Nine Months Ended September 30, 2023 2022 % YoY 2023 2022 % YoY Total Stock-Based Compensation $ 53.6 $ 563.4 (90%) $ 191.3 $ 1,829.7 (90%) Amount included in Resea
Slide 41: Stock Based Compensation Expense Supplement
Property of Ginkgo Bioworks — 41 Stock Based Compensation Expense Supplement (Unaudited) As disclosed in our SEC filings, the vast majority of Ginkgo’s stock-based compensation expense since going public relates to the accounting treatment of RSUs granted prior to Ginkgo becoming a publicly traded co
Slide 42: Founder Selling Supplement
Property of Ginkgo Bioworks — 42 Founder Selling Supplement Ginkgo’s Founders currently own over 20% of the outstanding shares of Ginkgo, the vast majority of which are in Class B shares ● Class B shares are not freely tradable (must be converted to Class A) and are often not shown on automated data
Slide 43: Share Supplement
Property of Ginkgo Bioworks — 43 Share Supplement Illustrative Fully-Diluted Share Count Shares in millions Basic Shares (1) 1,966 RSUs (2) 169 Options (Treasury-stock method) (3) 4 Fully-Diluted Shares 2,139 Q3 2023 UPDATE & BUSINESS REVIEW Memo: Remaining Earnout Shares Outstanding (4) 152 Memo: S
Ginkgo Bioworks Holdings — Q3 2023 Earnings Presentation on 6ix