Codexis (NASDAQ:CDXS) Releases Quarterly Earnings Results, Beats Expectations By $0.02 EPS

Codexis (NASDAQ:CDXS) released its quarterly earnings data on Thursday. The biotechnology company reported ($0.08) EPS for the quarter, beating the consensus estimate of ($0.10) by $0.02, FiscalAI reports. Codexis had a negative return on equity of 74.36% and a negative net margin of 39.55%. The company had revenue of $19.26 million for the quarter, compared to analysts’ expectations of $18.72 million.

Here are the key takeaways from Codexis’ conference call:

• ECO Synthesis reached a 100-gram scale, with reported crude purity above 90%, consistent quality across scales, and cycle times reduced by 40%. Codexis said it is advancing toward 500-gram and kilo-scale production.
• Codexis signed two new evaluation agreements, including work with a biopharmaceutical company on a late-stage asset and a planned pilot-scale technology transfer. The company said customer discussions are shifting toward deployment, though larger commercial or licensing agreements remain prospective.
• In early testing, stereo-defined siRNAs showed three- to four-fold greater potency than a stereo-random control, with comparable maximum gene knockdown. Codexis said the results could support lower doses or other therapeutic benefits, but the findings are preliminary.
• Third-quarter revenue rose to $19.3 million from $8.6 million a year earlier, while net loss narrowed to $8.1 million from $19.6 million. Codexis reiterated 2026 revenue guidance of $72 million to $76 million and now expects full-year gross margins in the low 70s.
• The company ended Q3 with $72.7 million in cash and short-term investments, and said its cash runway is expected to extend through 2028. It also raised about $25 million net through an equity offering and refinanced existing debt with a new term loan that includes 48 months of interest-only payments.

Codexis Price Performance

Shares of NASDAQ:CDXS traded down $0.02 during trading on Thursday, hitting $0.96. 1,018,294 shares of the stock were exchanged, compared to its average volume of 1,388,730. The company has a fifty day moving average price of $1.31 and a two-hundred day moving average price of $1.78. The company has a market cap of $104.92 million, a PE ratio of -2.82 and a beta of 2.38. The company has a current ratio of 3.06, a quick ratio of 2.99 and a debt-to-equity ratio of 1.03. Codexis has a 12-month low of $0.90 and a 12-month high of $2.98.

Wall Street Analysts Forecast Growth

CDXS has been the topic of several research reports. Wall Street Zen lowered Codexis from a “hold” rating to a “sell” rating in a report on Saturday, August 15th. Benchmark reaffirmed a “hold” rating on shares of Codexis in a research report on Thursday, August 20th. Weiss Ratings raised Codexis from a “sell (e+)” rating to a “sell (d-)” rating in a research report on Friday, October 23rd. Finally, Piper Sandler reduced their price objective on Codexis from $9.00 to $8.00 and set an “overweight” rating for the company in a research note on Monday, August 17th. Two analysts have rated the stock with a Buy rating, one has issued a Hold rating and one has given a Sell rating to the company. According to MarketBeat, the stock presently has a consensus rating of “Hold” and an average price target of $6.50.

About Codexis

Codexis, Inc. is a biotechnology company that develops enzymes and other biocatalytic technologies for use in pharmaceutical and biomanufacturing applications. Its proprietary CodeEvolver protein-engineering platform is designed to improve the performance of naturally occurring enzymes, including their activity, selectivity, stability and production characteristics. The company works with pharmaceutical and biotechnology companies to develop biocatalysts used in the manufacture of active pharmaceutical ingredients, intermediates and other complex molecules.