OMIC Singular Genomics Systems Inc

 

UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

 

FORM 8-K

 

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): May 14, 2024

 

 

Singular Genomics Systems, Inc.

(Exact name of registrant as specified in its charter)

 

 

Delaware			001-40443	81-2948451
(State or other jurisdiction of incorporation)			(Commission File Number)	(IRS Employer Identification No.)
3010 Science Park Road San Diego, California 92121

 

(858) 333-7830 (Registrant’s address of principal executive offices and telephone number, including area code)

 

N/A

(Former name or former address, if changed since last report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class		Trading Symbol(s)		Name of Each Exchange on Which Registered
Common Stock, par value $0.0001 per share		OMIC		Nasdaq Capital Market

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§ 230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§ 240.12b-2 of this chapter).

Emerging growth company ☒

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

 

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Item 2.02 Results of Operations and Financial Condition.

On May 14, 2024, Singular Genomics Systems, Inc. (the “Company”) issued a press release regarding the Company’s financial results for the quarter ended March 31, 2024. A copy of the press release is attached as Exhibit 99.1 and incorporated herein by reference.

The information in this Item 2.02 and the press release attached as Exhibit 99.1 hereto shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), nor shall such information be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended, or the Exchange Act, except as shall be expressly set forth by specific reference in such filing.

 

Item 9.01 Financial Statements and Exhibits.

(d) Exhibits

 

Exhibit Number		Description
99.1		Press Release dated May 14, 2024.
104		Cover Page Interactive Data File - the cover page XBRL tags are embedded within the Inline XBRL document.

 

 

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

			Singular Genomics Systems, Inc.
Dated:	May 14, 2024	By:	/s/ Dalen Meeter
			Dalen Meeter Chief Financial Officer Principal Financial Officer and Principal Accounting Officer

 

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Singular Genomics Reports Recent Highlights and First Quarter 2024 Financial Results

 

San Diego, CA, May 14, 2024 – Singular Genomics Systems, Inc. (Nasdaq: OMIC), a company leveraging novel next-generation sequencing (NGS) and spatial multiomics technologies to empower researchers and clinicians, today highlighted recent corporate achievements and reported financial results for the first quarter ended March 31, 2024.

 

“The first quarter was productive and encouraging. We are focused on supporting our existing customers and getting the G4X spatial sequencer to market as quickly as possible,” said Drew Spaventa, Chairman and Chief Executive Officer of Singular Genomics. “Looking ahead to the rest of the year, we plan to expand our spatial services offering and lay the foundation for a successful G4X launch in 2025.”

 

First Quarter and Recent Financial Highlights

 

First Quarter 2024 Financial Results

Revenue for the first quarter of 2024 was $0.4 million, consisting primarily of revenue recognized from one G4 instrument capital purchase and consumables sales during the quarter. Revenue from the other five instrument shipments occurring during the first quarter is expected to be generated over time as customers purchase consumables.

 

Gross profit was negative $0.4 million in the first quarter of 2024, compared to $0.1 million in the first quarter of 2023. Gross margin was negative due to initial discounts on capital purchases, our use of the reagent rental and other non-capital purchase models, and higher costs associated with the support of system placements.

 

Operating expenses for the first quarter of 2024 totaled $26.4 million, compared to $25.4 million for the first quarter of 2023. Operating expenses included non-cash stock-based compensation of $2.9 million for the first quarter of 2024 and $3.1 million for the first quarter of 2023.

 

Net loss for the first quarter of 2024 was $25.0 million, or a loss of $0.34 per common share, compared to $23.6 million, or a loss of $0.33 per common share, in the first quarter of 2023.

 

Cash, cash equivalents and short-term investments, excluding restricted cash, as of March 31, 2024 totaled $150.7 million.

 

Webcast and Conference Call Details

Singular Genomics’ management team will host a conference call today, May 14, 2024, beginning at 1:30 p.m. Pacific Time / 4:30 p.m. Eastern Time. Investors interested in listening to the conference call may do so by dialing 1-888-506-0062 for domestic callers or 1-973-528-0011 for international callers and using conference ID 173302 approximately five minutes prior to the start time. A live and archived webcast of the event will be available at investor.singulargenomics.com in the Presentations & Events section.

About Singular Genomics Systems, Inc.

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Singular Genomics is a life science technology company that develops next-generation sequencing and multiomics technologies. The commercially available G4® Sequencing Platform is a powerful, highly versatile benchtop genomic sequencer designed to produce fast and accurate results. In addition, the company is currently developing the G4X™ Spatial Sequencer, which will leverage Singular’s proprietary sequencing technology, applying it as an in situ readout for transcriptomics, proteomics and fluorescent H&E in tissue, with spatial context and on the same platform as the G4. Singular Genomics’ mission is to empower researchers and clinicians to advance science and medicine. Visit www.singulargenomics.com for more information.

 

Forward Looking Statements

Certain statements contained in this press release, other than historical information, constitute forward-looking statements within the meaning of the federal securities laws. Forward-looking statements include, but are not limited to, statements regarding: (i) our timeline and successful development of the G4X; (ii) expected features, capabilities and specifications of the G4X and the ability to deliver associated services and generate associated instrument and consumables sales; (iii) our ability to successfully manufacture, commercialize and support the G4, G4X and our flow cell kits, in accordance with our timelines, objectives and specifications; and (iv) quotes of management. Any such forward-looking statements are based on our management’s current expectations and are subject to risks and uncertainties that could cause our actual future results to differ materially from our management’s current expectations or those implied by our forward-looking statements. These risks and uncertainties include, but are not limited to, the following: (i) we are currently developing the G4X Spatial Sequencer and related services and may not be successful in completing its development on our projected timeline, with the features and capabilities we expect, or at the cost we anticipate; (ii) we have very little history manufacturing and commercializing our products, technology or services; (iii) the life sciences technology market is highly competitive, and if we fail to compete effectively, our business and operating results will suffer; (iv) if we are sued for infringing, misappropriating or otherwise violating intellectual property rights of third parties, such litigation could be costly and time consuming and could prevent or delay us from developing or commercializing our products; (v) if our products fail to achieve early customer and scientific acceptance, we may not be able to achieve broader market acceptance for our products, and our revenues and prospects may be harmed; (vi) we expect to be highly dependent on revenue generated from the sale of the G4, G4X, G4X services and future products, and any delay or failure by us to successfully manufacture and commercialize these products and services could have a substantial adverse effect on our business and results of operations; and (vii) recent macroeconomic challenges such as inflation and rising interest rates may materially and adversely impact our business, operations, product manufacturing and commercialization objectives. These and other risk factors that may affect our future results of operations are identified and described in more detail in our most recent filings on Forms 10-K and 10-Q and in other filings that we make with the SEC from time to time, including our Quarterly Report on Form 10-Q for the period ended March 31, 2024, filed with the SEC on May 14, 2024. Accordingly, you should not rely on forward-looking statements as predictions of future events or our future performance. Except as required by law, we undertake no obligation to update publicly or revise any forward-looking statements contained herein, whether as a result of any new information, future events, changed circumstances or otherwise.

 

Investor Contact

Philip Trip Taylor

Gilmartin Group

ir@singulargenomics.com

 

Media Contact

Matt Browning

pr@singulargenomics.com

 

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Singular Genomics Systems, Inc.

Statements of Operations

(Unaudited)

(In thousands, except share and per share amounts)

 

	Three Months Ended March 31,
	2024				2023
Revenue	$	442			$	863
Cost of revenue		861				807
Gross margin		(419	)			56
Operating expenses:
Research and development		11,494				12,230
Selling, general and administrative		14,935				13,204
Total operating expenses		26,429				25,434
Loss from operations		(26,848	)			(25,378	)
Other income (expense):
Interest income		2,108				2,004
Interest expense		(284	)			(259	)
Total other income		1,824				1,745
Net loss	$	(25,024	)		$	(23,633	)
Net loss per share:
Basic and diluted net loss per share	$	(0.34	)		$	(0.33	)
Weighted-average shares used to compute basic and diluted net loss per share		73,925,966				71,926,412

 

 

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Singular Genomics Systems, Inc.

Balance Sheets

(In thousands, except share and par value amounts)

 

		March 31,				December 31,
		2024				2023
		(Unaudited)
Assets
Current assets:
Cash and cash equivalents		$	24,109			$	16,233
Short-term investments			126,629				157,708
Accounts receivable			137				565
Inventory, net			13,081				13,572
Prepaid expenses and other current assets			2,519				4,150
Total current assets			166,475				192,228
Right-of-use lease assets			57,094				57,797
Property and equipment, net			13,854				13,692
Restricted cash			600				600
Other noncurrent assets			1,078				1,150
Total assets		$	239,101			$	265,467
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable		$	2,012			$	2,587
Accrued expenses			3,265				6,079
Lease liabilities, current			7,822				7,764
Other current liabilities			2,980				1,857
Total current liabilities			16,079				18,287
Lease liabilities, noncurrent			58,092				58,623
Long-term debt, net of issuance costs			7,627				8,901
Other noncurrent liabilities			605				650
Total liabilities			82,403				86,461
Commitments and contingencies
Stockholders’ equity:
Series A common stock equivalent convertible preferred stock, $0.0001 par value; 7,000 shares authorized, 2,500 shares issued and outstanding at March 31, 2024 and December 31, 2023			-				-
Common stock, $0.0001 par value; 400,000,000 shares authorized, 74,067,366 and 73,823,161 shares issued and outstanding at March 31, 2024 and December 31, 2023, respectively			7				7
Additional paid-in capital			519,361				516,439
Accumulated other comprehensive gain (loss)			(51	)			155
Accumulated deficit			(362,619	)			(337,595	)
Total stockholders’ equity			156,698				179,006
Total liabilities and stockholders’ equity		$	239,101			$	265,467

 

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v3.24.1.1.u2

Document and Entity Information	May 14, 2024
Cover [Abstract]
Entity Registrant Name	Singular Genomics Systems, Inc.
Entity Central Index Key	0001850906
Document Type	8-K
Entity Information, Former Legal or Registered Name	N/A
Document Period End Date	May 14, 2024
Amendment Flag	false
Entity Emerging Growth Company	true
Entity Ex Transition Period	false
Trading Symbol	OMIC
Entity File Number	001-40443
Entity Tax Identification Number	81-2948451
Entity Address, Address Line One	3010 Science Park Road
Entity Address, City or Town	San Diego
Entity Address, State or Province	CA
Entity Address, Postal Zip Code	92121
City Area Code	858
Local Phone Number	333-7830
Written Communications	false
Soliciting Material	false
Pre-commencement Issuer Tender Offer	false
Pre-commencement Tender Offer	false
Title of 12(b) Security	Common Stock, par value $0.0001 per share
Security Exchange Name	NASDAQ
Entity Incorporation, State or Country Code	DE

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