Twist Bioscience Corporation (NASDAQ:TWST) Q4 2023 Earnings Call Transcript

Madeline Mollman: This is Madeline on for Matt. Just a quick one for me on the Express Genes. I know it’s early stages now, but I was just wondering if there was sort of an optimum proportional breakdown between Express Genes and the more standard clonal genes that you’re targeting long-term or that allows the Factory of the Future to be at its maximum efficiency, if there is sort of ideal breakdown between the two pricing points?

Dr. Emily Leproust: So, as a point of clarification, what we have something that is actually quite unique because it’s the same production line for Express and standard, meaning that if all our customers decided to pick express genes, we will be able to make them all express. And that is very different from what other companies can do. Maybe they can do a few gene fast by cutting the queue and skipping ahead and managing their backlog. But for us, we don’t have to do that. We’ve built something that is intrinsically fast for 100% of the genes. And so, to go back to your question around optimum pricing, for us, our goal will be to maximize our gross margin dollars. And so, making sure that the fab is fully utilized and find the pricing that maximize the penetration into the DNA makers, and ultimately really delight our customers, enable them to do their science faster, and I think that would be a win-win.

They’ll get faster science and we’ll get more orders and we think we’ll be able to take very significant market share. So, the intrinsic technology really enables us to be very flexible on what the ultimate price is going to be. If need be, we can make all of orders express. And that is hugely differentiating.

Operator: Thank you. There are no further questions at this time. I’d like to turn the call back over to Emily for any closing remarks.

Dr. Emily Leproust: As we’ve shared today, it is a very exciting time for Twist. We’ve launched Express Genes this week that is further differentiating our SynBio product offering, and we have taken steps to position the Company for enduring and consistent growth. In fiscal 2024, we have the opportunity for expanding margin, and we look forward to keeping you appraised of our progress. Thank you.

Operator: Thank you for your participation in today’s conference. This does conclude the program, and you may now disconnect. Everyone, have a great day.