Puneet Souda: Okay. Good. Then just a brief one on the writers. Can you just remind us how many writers you have currently operational in Wilsonville, and what do you expect that number to be by year-end?
Dr. Emily Leproust: So right now, we have a four writers in South San Francisco as well as four writers in Wilsonville. They’re all operational. In Wilsonville, we have space for 12 additional writers. At this point, we don’t have writers on order. So for the foreseeable future, those 4 plus 4 are going to serve our needs.
Operator: We have a question from Luke Sergott with Barclays.
Luke Sergott: On the — so quickly here on the liquid biopsy partnerships, can you tell us how to think about when we should start seeing — if you guys are on the MRD. But as that MRD ramps across that space, how do you think about the growth in the NGS side? And can you just remind us or give us some type of directionality on the economics that you guys achieve per sample?
Dr. Emily Leproust: You want to take that, Jim, or you want me to take it?
Jim Thorburn: You can take it, Emily.
Dr. Emily Leproust: Thank you, Luke, for the question. So as a reminder, as you know, we get baked in into liquid biopsy MRD assays. And as we win those pilots, as the customers get validated and as they go commercial, we are tied into their commercial success. And the way I see it is they use our reagents in their production as — and so every time they analyze a patient, they use some reagents from Twist. And so, we participate as a function of their revenue ramp. In terms of the dollar amount that we try to get, typically, we think that around 10% of their COGS is a fair value. Sometimes we get more. And it also depends on the extent of the chemistry they use from us. Some customers, they only use the DNA for the capture.
And so that’s how we win from — we win based on the quality of our DNA. And then in many cases, we’re able to extend to the other components of the chemistry, and sometimes we sell the full solution, all the reagents from the sample to the sequencer. So the barcodes, the beads, [ph] the adapter, the enzyme, the buffer, everything. And at that point, we’re able to expand the percent of the COGS that we can commend.
Luke Sergott: And then as a Factory of the Future starts coming online, when can we expect you guys to start taking orders there? Is that next quarter? And then, as the initial demand and interest is coming online there, how are you guys — are you seeing more interest for the genes, the pools? Like, which of the products are you guys getting most initial interest on right now?
Dr. Emily Leproust: Well, all the segments are going well, libraries and some — in many case, libraries are going really well. Fragments, as we have started to accelerate the speed at which we can ship fragments. Right now, fragments are also doing really well. And what my expectation is, as we launch fast genes in the fall that also should be a great driver of course. So, I’ll say, depending on the customers we touch, there is something for everybody to like. And that’s a testament to the quality of the product, how priced right they are. And the user experience that they get from Twist. I often say that the DNA is free, people pay for the user experience. And from the time they get on the website to the time they get the invoice, it is very frictionless, beautiful and intuitive experience. And that is the key element that is often missed of our success.
Luke Sergott: And on the fast genes, just a quick one. Are you guys starting to take orders next quarter for the fast genes?
Dr. Emily Leproust: You’re getting me in trouble because it’s only two questions — as soon as it’s launched, we will…
Operator: One moment for our next question. It comes from Steven Mah with TD Cowen.
Steven Mah: Thanks for the questions. Just a follow-up question on the Biopharma business. I think you guys said that the number of active programs have dropped. Are those dropped programs — are they mostly from emerging biotech partners, or was the program loss across the board from your partners? Just trying to get a sense of where we’re seeing most of the weakness in your Biopharma business?
Dr. Emily Leproust: So, maybe we should clarify that as we finish a program, we are done. And so, we drop it from the list of active programs, and then we get paid within the invoices. And so, the fact that the active program dropped means that we finished more programs than we started, and that is a reflection of our orders right now decelerating. And so, the revenues will decelerate following those orders. But as I mentioned, we’re highly focused on hiring commercial talent because where we have talent, we win deals.
Steven Mah: Okay. Thanks for the clarification. Yes, maybe then on like the new partnership front, and yes, I appreciate that you haven’t been — you’re not fully resourced. But have you seen a push for more partnerships with less upfront and more back-end economics? And is that impacting your calculus on new partners and program adds?
