Alpha Teknova, Inc. (NASDAQ:TKNO) Q4 2022 Earnings Call Transcript

Matt Lowell: I’d just add since I made some comments about the reduction in force that we had in February last month that as we went through that process, we were very careful to look at where we have invested and where we expect the returns on those investments to be naturally affecting as little as possible those areas that will be providing the return, like in sales and marketing and research and development. So, we did take actions there to cut costs generally across the board. But in those areas, we’ve made minimal changes and look where we could afford to cut back in other areas to achieve exactly what you said there, Hannah, which is the balance of maintaining future growth and investment to do that versus cost savings.

Hannah Hefley: Right. And can you just talk about how customer interest has been in the new facility now that it’s up and running? Are there any leading indicators to point to in terms of demand there?

Stephen Gunstream: So, the new facilities just so you — everyone understands is the new facility is up for production for research-grade material. And then our efforts right now are really around doing it certified to manufacture GMP product. And that is actually a significant effort. And many of these larger clinical solutions customers would want their product to manufacturing in this new facility. So, for us, the timing of getting that done is when they start coming in to do their audits with that facility. That said, I do think that there is definite interest and part of our commercial strategy is to be engaging with these customers, letting them know that, that’s coming, and when necessary or desire to have them on site.

And I think the handful of customers that have been on site and have seen the facility are extremely encouraged and they recognize that this is a company that they can look at to go all the way through the clinical trials through commercialization.

Operator: At this time, I’d like to turn the call back over to Stephen Gunstream for closing remarks. Sir?

Stephen Gunstream: Great. Thank you and thank you for joining us for our 2022 full year earnings call. We look forward to connecting with you at the next investor conference.

Operator: This concludes today’s conference call. Thank you for participating. You may now disconnect.