10x Genomics 2025 Q3 Earnings Narrows Net Loss by 23.2% Despite Revenue Decline

10x Genomics (TXG) reported fiscal 2025 Q3 earnings on Nov 8, 2025, with revenue slightly below year-ago levels and a narrowed net loss. The company’s stock surged 26.35% month-to-date, driven by improved financial performance and strategic product launches.

Revenue

Instrument revenue totaled $12 million, with the Chromium and Spatial segments contributing $4.93 million and $7.07 million, respectively. Consumables revenue remained a core strength at $127.89 million, led by Chromium ($92.52 million) and Spatial ($35.37 million). Services revenue grew to $8.13 million, while license and royalty revenue added $983,000. Total revenue declined 1.7% to $149 million, reflecting softer instrument sales and margin pressures.

Earnings/Net Income

The company narrowed its net loss to $27.47 million, or $0.22 per share, a 23.2% improvement from $35.75 million, or $0.30 per share, in 2024 Q3. While the reduction in losses is a positive sign, the 7-year streak of quarterly losses underscores persistent financial challenges.

Post-Earnings Price Action Review

TXG’s recent revenue beat of 4.64% over Zacks estimates and consistent EPS outperformance in three of the last four quarters highlight strong fundamentals. Fourth-quarter guidance of $154–158 million, reflecting 5% sequential growth, signals confidence in the Chromium Flex assay and spatial consumables. Strategic partnerships, including Anthropic for AI-driven analysis, and a robust $482.1 million cash position strengthen its ability to navigate macroeconomic uncertainties. However, risks like funding volatility in research budgets remain critical to monitor.

CEO Commentary

Serge Saxonov, CEO of 10x Genomics, emphasized the company’s resilience in a challenging market, noting, “Our single-cell and spatial products continue to drive demand, despite headwinds in instrument sales.” He highlighted the Chromosome Flex assay’s role in reducing costs and enhancing scalability, while cautioning about macroeconomic pressures. Saxonov’s tone balanced optimism about innovation with prudence regarding near-term funding uncertainties.

Guidance

The company guided for Q4 revenue of $154–158 million, a 5% sequential increase at the midpoint, reflecting confidence in consumables growth and new product adoption.

Additional News

10x Genomics launched the next-generation Chromium Flex assay, automating single-cell analysis to boost scalability. A partnership with Anthropic aims to streamline data interpretation, addressing a key bottleneck in genomics research. Additionally, the company’s leadership emphasized its ability to compete organically, dismissing the need for acquisitions to achieve growth.

Backtest Anchor

The strategy of buying 10x Genomics (TXG) when revenues beat estimates and holding for 30 days shows promising potential based on the available data. Here's a breakdown of the rationale and supporting evidence: Recent Performance: TXG's recent quarterly report showed a revenue of $149 million, surpassing the Zacks Consensus Estimate by 4.64%. This revenue beat is a positive indicator, reflecting strong performance in the company's core business. Market Expectations: The company has a history of surpassing consensus EPS estimates three times over the last four quarters. This consistency in exceeding expectations suggests a strong fundamental basis for the stock. Future Outlook: TXG's fourth-quarter guidance indicates a forecasted revenue range of $154 million to $158 million, reflecting a 5% sequential growth at the midpoint. This outlook suggests confidence in continued growth, which could support the stock's upward trajectory. Strategic Position: The company's strategic partnerships and product innovations, such as the launch of the Chromium Flex assay, are expected to drive future growth. These initiatives could lead to increased investor confidence and potential stock appreciation. Financial Health: TXG's cash position strengthened with a $35 million increase to $482.1 million, indicating robust liquidity and the company's ability to navigate challenges. Strong financial health is a critical factor for investors considering a 30-day holding period. Risk Considerations: While there are positive indicators, it's important to note that macroeconomic and funding uncertainties could impact research budgets and customer investment in capital equipment. These risks should be monitored closely, especially over a 30-day holding period. In conclusion, the decision to buy TXG on the back of a revenue beat and hold for 30 days is supported by the company's strong recent performance, positive future outlook, and strategic initiatives. However, investors should remain vigilant to potential risks and adjust their strategy as market conditions evolve.