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Illumina Inc on Wednesday said it swung to a net loss in 2022, as full-year revenue stagnated.
The San Diego, California-based DNA sequencing and array-based technologies company reported 2022 net loss was $4.40 billion, swinging from a net income of $762 million in 2021. Fourth quarter net loss was $140 million, swinging from a net income of $112 million the year prior.
The swing to a loss was due to a goodwill impairment of $3.91 billion in 2022 relating to the negative impact of current market conditions and increased discount rates on the value calculation of Illumina’s Grail segment.
Illumina reported revenue for the fourth quarter of 2022 of $1.08 billion, down 10% from $1.20 billion the year prior.
The company said revenue for 2022 was $4.58 billion in the fourth quarter, up 1% from $4.53 billion in 2021. For 2023, Illumina said it expects consolidated revenue growth of between 7% and 10% compared to 2022.
The company said basic loss per share was $0.89 for the fourth quarter, widening from $0.72, while loss per share for 2022 was $28.00, widening from $5.07 the year prior.
The company noted that its order book is exceeding expectations and it has begun shipping instruments.
Chief Executive Officer Francis deSouza said: ‘Our fourth quarter operating results were in line with our expectations, with ongoing traction across our product portfolio amid a challenging macroeconomic environment.
‘Illumina’s continued focus on innovation across multiple new products, including the NovaSeq X, the most powerful, most sustainable, and most cost-effective sequencer ever developed, have been met with strong customer interest.’
After hours on Tuesday, Illumina shares were down 2.5% trading at $210.45 per share in New York.
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