SomaLogic Reports Third Quarter 2022 Financial Results

November 14, 2022 at 8:02 AM EST
  • Third quarter 2022 revenue of $41.7 million, bringing year to date revenue to $78.8 million.
  • Core life science revenue of $20.5 million, representing an increase of 2.9% year-over-year and 45.4% compared to the last quarter.
  • On track to reduce operational expenses by $75 million through 2023.
  • Raising 2022 full year revenue guidance to a range of $93 to $98 million, taking into account the $21.2 million in licensing royalty revenue recognized in the third quarter.
  • Cash, cash equivalents, and short-term investments of $566.3 million as of September 30, 2022.

BOULDER, Colo., Nov. 14, 2022 (GLOBE NEWSWIRE) -- SomaLogic (NASDAQ: SLGC), a leader in AI data-driven proteomics technology, today reported financial results for the quarter ended September 30, 2022.

“I’m proud to share a strong third quarter result with over 45% sequential growth in our core life sciences revenue, driven by our expanding customer base and reach into biopharma. We are pleased to have added more than 50 new customers to our platform over the past twelve months,” said Roy Smythe, M.D., SomaLogic’s Chief Executive Officer. “We remain committed to the growth of our core life sciences business and will continue to invest strategically in our global commercial organization to ensure we are well positioned to capitalize on the immense opportunities now and ahead in proteomics. At the same time, we are being judicious with our spend and protecting our strong balance sheet by focusing resources on key life science opportunities that will have the highest impact going forward.”

Recent Strategic Highlights

  • Announced Troy Cox, former CEO of Foundation Medicine, appointed to Executive Board Chair role.
  • Announced strategic acquisition of Palamedrix, a San Diego based leader in DNA nanotechnology, to develop the next-generation SomaScan® Assay.
  • Recognized substantial one-time royalty revenue from SomaLogic technology licensee, New England Biolabs.

Third Quarter 2022 Financial Results

  • Revenue for the three months ended September 30, 2022 was $41.7 million, an 108.6% increase from $20.0 million in the corresponding period of 2021. Revenue included $20.5 million in core life sciences revenue and one-time licensing royalties of $21.2 million.
  • Gross margin for the three months ended September 30, 2022 was 72.0% compared to 56.1% for the corresponding period of 2021. The increase was primarily driven by the licensing royalty revenue at 100% margin.
  • Research and development expenses grew by $3.8 million, and selling, general and administrative expenses grew by $30.6 million in the three-months ended September 30, 2022, compared to the corresponding period of 2021. The increase was primarily due to investments to enable our growth acceleration initiatives.
  • Net loss was $32.9 million for the three months ended September 30, 2022, or a loss of $0.18 per share, as compared to a loss of $41.4 million, or $0.30 per share, in the corresponding period of 2021.
  • Adjusted EBITDA was a loss of $31.9 million for the three months ended September 30, 2022, compared with an adjusted EBITDA loss of $18.0 million in the corresponding period of 2021.
  • Cash, cash equivalents, and short-term investments were $566.3 million as of September 30, 2022

2022 Financial Guidance

  • SomaLogic now expects revenue for the full year 2022 to be in the range of $93 to $98 million.

Webcast and Conference Call Details

SomaLogic will host a conference call at 8:30 a.m. ET on Monday, November 14, 2022 to discuss its third quarter 2022 financial results. Those interested in listening to the conference call should register online using this link. A replay of the webcast will be available at

About SomaLogic

SomaLogic (Nasdaq: SLGC) seeks to deliver precise, meaningful, and actionable health-management information that empowers individuals worldwide to continuously optimize their personal health and wellness throughout their lives. This essential information, to be provided through a global network of partners and users, is derived from SomaLogic’s personalized measurement of important changes in an individual’s proteins over time. For more information, visit and follow @somalogic on Twitter.

Non-GAAP Financial Measures

We present non-GAAP financial measures in order to assist readers of our condensed consolidated financial statements in understanding the core operating results used by management to evaluate and run the business, as well as, for financial planning purposes. Our non-GAAP financial measure, Adjusted EBITDA, provides an additional tool for investors to use in comparing our financial performance over multiple periods.

Adjusted EBITDA is a key performance measure that our management uses to assess its operating performance. Adjusted EBITDA facilitates internal comparisons of our operating performance on a more consistent basis, and we use this measure for business planning, forecasting, and decision-making. We believe that Adjusted EBITDA enhances an investor’s understanding of our financial performance as it is useful in assessing our operating performance from period-to-period by excluding certain items that we believe are not representative of our core business.

Our Adjusted EBITDA may not be comparable to similarly titled measures of other companies because they may not calculate this measure in the same manner. Adjusted EBITDA is not prepared in accordance with GAAP and should not be considered in isolation of, or as an alternative to, measures prepared in accordance with GAAP. When evaluating our performance, you should consider Adjusted EBITDA alongside other financial performance measures prepared in accordance with GAAP, including net loss.

Forward Looking Statements Disclaimer

This press release contains certain forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 and other federal securities laws. All statements, other than statements of historical fact included in this press release, regarding our strategy, future operations, financial position, estimated revenues, projections, prospects, plans and objectives of management are forward-looking statements. These forward-looking statements generally are identified by the words “believe,” “project,” “forecast,” “guidance,” “expect,” “anticipate,” “estimate,” “intend,” “strategy,” “future,” “opportunity,” “plan,” “may,” “should,” “will,” “would,” “will be,” “continue,” “will likely result,” “possible,” “potential,” “predict,” “pursue,” “target” and similar expressions, although not all forward-looking statements contain such identifying words. Forward-looking statements are predictions, projections and other statements about future events that are based on current expectations and assumptions and, as a result, are subject to risks and uncertainties. Forward-looking statements do not guarantee future performance and involve known and unknown risks, uncertainties and other factors. Many factors could cause actual future events to differ materially from the forward-looking statements in this press release, including factors which are beyond SomaLogic’s control. You should carefully consider these risks and uncertainties, including, but not limited to, those factors described under Part I, Item 1A – “Risk Factors” in our Annual Report on Form 10-K and other filings we make with the Securities and Exchange Commission. These filings identify and address important risks and uncertainties that could cause actual events and results to differ materially from those contained in the forward-looking statements. Forward-looking statements speak only as of the date they are made. Readers are cautioned not to put undue reliance on forward-looking statements, and SomaLogic assumes no obligation and does not intend to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise. Should one or more of these risks or uncertainties materialize, or should any of the assumptions prove incorrect, actual results may vary in material respects from those projected in these forward-looking statements. The Company will not and does not undertake any obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

Investor Contact

Lauren Glaser

Marissa Bych
Gilmartin Group LLC

Media Contact

Emilia Costales

SomaLogic, Inc.
Condensed Consolidated Statements of Operations and Comprehensive Loss
(in thousands, except share data)
 Three Months Ended
September 30,
 Nine Months Ended
September 30,
  2022   2021   2022   2021 
Assay services revenue$17,574  $17,499  $47,305  $48,308 
Product revenue 1,051   75   2,218   730 
Collaboration revenue 763   763   2,288   2,288 
Other revenue 22,325   1,655   27,026   7,306 
Total revenue 41,713   19,992   78,837   58,632 
Operating expenses       
Cost of assay services revenue 11,264   8,737   29,215   22,548 
Cost of product revenue 406   33   1,184   452 
Research and development 19,419   15,596   50,855   32,304 
Selling, general and administrative 51,236   20,632   118,863   48,274 
Total operating expenses 82,325   44,998   200,117   103,578 
Loss from operations (40,612)  (25,006)  (121,280)  (44,946)
Other (expense) income       
Interest income and other, net 2,417   55   3,456   126 
Interest expense    (2)     (1,324)
Change in fair value of warrant liabilities 3,371   (8,111)  30,547   (8,111)
Change in fair value of earn-out liability 1,260   (5,662)  26,749   (5,662)
Loss on extinguishment of debt, net    (2,693)     (4,323)
Total other income (expense) 7,048   (16,413)  60,752   (19,294)
Net loss before income tax benefit$(33,564) $(41,419) $(60,528) $(64,240)
Income tax benefit 622      622    
Net loss$(32,942) $(41,419) $(59,906) $(64,240)
Other comprehensive loss       
Net unrealized loss on available-for-sale securities$(13) $(15) $(874) $(7)
Foreign currency translation loss (14)  (4)  (28)  (3)
Total other comprehensive loss (27)  (19)  (902)  (10)
Comprehensive loss$(32,969) $(41,438) $(60,808) $(64,250)
Net loss per share, basic and diluted$(0.18) $(0.30) $(0.33) $(0.53)
Weighted-average shares used to compute net loss per share, basic and diluted 184,407,874   137,176,228   183,209,213   122,268,443 

SomaLogic, Inc.
Condensed Consolidated Balance Sheets
(in thousands, except share data)
 September 30,
 December 31,
Current assets   
Cash and cash equivalents$380,374  $439,488 
Investments 185,963   218,218 
Accounts receivable, net 25,050   17,074 
Inventory 18,499   11,213 
Deferred costs of services 1,217   462 
Prepaid expenses and other current assets 10,157   5,097 
Total current assets 621,260   691,552 
Non-current inventory 3,810   4,085 
Accounts receivable, net of current portion 10,383    
Property and equipment, net of accumulated depreciation of $17,416 and $15,244 as of September 30, 2022 and December 31, 2021, respectively 19,910   9,557 
Other long-term assets 5,716   908 
Intangible assets 16,700    
Goodwill 10,465    
Total assets$688,244  $706,102 
Current liabilities   
Accounts payable$20,295  $15,089 
Accrued liabilities 16,324   11,109 
Deferred revenue 3,611   3,021 
Other current liabilities 2,445   66 
Total current liabilities 42,675   29,285 
Warrant liabilities 4,635   35,181 
Earn-out liability 136   26,885 
Deferred revenue, net of current portion 32,015   2,364 
Other long-term liabilities 6,113   363 
Total liabilities 85,574   94,078 
Commitments and contingencies   
Stockholders’ equity:   
Preferred stock, $0.0001 par value; 1,000,000 shares authorized; no shares issued and outstanding at September 30, 2022 and December 31, 2021     
Common stock, $0.0001 par value; 600,000,000 shares authorized; 187,495,940 and 181,552,241 shares issued and outstanding at September 30, 2022 and December 31, 2021, respectively 19   18 
Additional paid-in capital 1,162,444   1,110,991 
Accumulated other comprehensive income (loss) (974)  (72)
Accumulated deficit (558,819)  (498,913)
Total stockholders’ equity 602,670   612,024 
Total liabilities and stockholders’ equity$688,244  $706,102 

SomaLogic, Inc.
Reconciliation of net loss in accordance with GAAP to non-GAAP adjusted EBITDA
 Three Months Ended
September 30,
 Nine Months Ended
September 30,
(in thousands) 2022   2021   2022   2021 
GAAP net loss$(32,942) $(41,419) $(59,906) $(64,240)
Non-GAAP EBITDA adjustments to net income:       
Interest income and other, net (2,417)  (55)  (3,456)  (126)
Interest expense    2      1,324 
Income tax benefit (622)     (622)   
Depreciation and amortization 1,172   532   2,890   1,909 
EBITDA (34,809)  (40,940)  (61,094)  (61,133)
Other non-GAAP adjustments:       
Loss on extinguishment debt, net(1)    2,693      4,323 
Change in fair value of warrant liabilities(2) (3,371)  8,111   (30,547)  8,111 
Change in fair value of earn-out liability(3) (1,260)  5,662   (26,749)  5,662 
One-time non-cash stock-based compensation(4)    6,461      6,461 
Stock compensation expense related to equity award modifications(5) 7,538      7,793   700 
Adjusted EBITDA$(31,902) $(18,013) $(110,597) $(35,876)

(1) Represents the $5.2 million loss on extinguishment of debt as a result of the repayment of the Amended and Restated Credit Agreement in April 2021, the $2.7 million loss on extinguishment of debt as a result of the conversion of the convertible debt in July 2021, and offset by the $3.6 million gain on extinguishment of debt as a result of the forgiveness of the PPP loan in June 2021.
(2) Represents fair value adjustments to warrant liabilities.
(3) Represents fair value adjustments to earn-out liability.
(4) Represents a one-time non-cash stock-based compensation expense of $6.5 million related to the sale of stock and vested options by an employee to an economic interest holder in excess of fair value.
(5) Represents stock-based compensation expense related to accelerated vesting for terminated executives.