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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of
The Securities Exchange Act of 1934
Date of Report (Date of earliest event reported)
July 30, 2026
Pacific Biosciences of California, Inc.
(Exact name of registrant as specified in its charter)
| | | | | | | | |
| Delaware | 001-34899 | 16-1590339 |
(State or other jurisdiction
of incorporation) | (Commission
File Number) | (IRS Employer
Identification No.) |
1305 O’Brien Drive
Menlo Park, California 94025
(Address of principal executive offices) (Zip Code)
(650) 521-8000
(Registrant’s telephone number, including area code)
(Former name or former address, if changed since last report)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| | | | | |
| o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
| o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Securities registered pursuant to Section 12(b) of the Act:
| | | | | | | | | | | | | | |
| Title of each class | | Trading Symbol(s) | | Name of each exchange on which registered |
| Common Stock, par value $0.001 per share | | PACB | | The NASDAQ Stock Market LLC |
Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter).
Emerging growth company o
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. o
ITEM 2.02. RESULTS OF OPERATIONS AND FINANCIAL CONDITION.
On August 5, 2026, Pacific Biosciences of California, Inc. (the “Company”) announced its financial results for its second fiscal quarter ended June 30, 2026. A copy of the press release containing the announcement is attached as Exhibit 99.1 hereto and is incorporated herein by reference.
The information furnished in this Item 2.02 and Exhibit 99.1 attached hereto shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or incorporated by reference in any filing under the Securities Act of 1933, as amended (the “Securities Act”), or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
ITEM 2.05. COSTS ASSOCIATED WITH EXIT OR DISPOSAL ACTIVITIES.
On July 30, 2026, the Board of Directors (the “Board”) of the Company approved a restructuring plan to continue to better align the Company’s organizational structure and resources with its strategic initiatives. The restructuring includes operating expense reductions and a reduction in force (the “Reduction in Force”). These restructuring actions are expected to result in a workforce reduction of approximately 40 employees, or approximately 8% of the Company's workforce, as the Company aligns its organizational structure with its strategic priorities. Including the Reduction in Force and related non-headcount cost actions, the Company expects to reduce its annualized operating expenses by $30 million to $40 million by the end of 2027.
The Company estimates that it will incur aggregate pre-tax charges of approximately $2.0 million in connection with the Reduction in Force, primarily consisting of severance payments, employee benefits, outplacement services and related costs. The Company expects that the Reduction in Force will be completed and that these charges will be incurred in the third quarter of 2026.
This Item 2.05 contains forward-looking statements within the meaning of Section 27A of the Securities Act and Section 21E of the Exchange Act. These statements include, but are not limited to, statements related to the Company’s expected workforce reductions, the expected operating expense reductions, the expected timing of such reduction and the charges and financial impact associated with such reductions. These forward-looking statements are based on the Company’s current expectations and inherently involve significant risks and uncertainties. The Company’s actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of those risks and uncertainties, which include, without limitation, risks related to the Company’s operating expense reductions and the Company’s ability to accurately estimate the charges associated with such reductions. Other factors that could cause actual results to differ from these forward-looking statements are discussed under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in the Company’s Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q. In addition, the charges associated with the Company’s operating expense reductions may be greater than anticipated. The Company’s operating expense reductions may have an adverse impact on the Company’s business and results of operations. Readers should not place undue reliance on forward-looking statements, which speak only as of the date they are first made. Except as required by law, the Company disclaims any obligation to update information contained in any forward-looking statements contained in this Item 2.05 whether as a result of new information, future events, or otherwise.
ITEM 5.02. DEPARTURE OF DIRECTORS OR CERTAIN OFFICERS; ELECTION OF DIRECTORS; APPOINTMENT OF CERTAIN OFFICERS; COMPENSATORY ARRANGEMENTS OF CERTAIN OFFICERS.
On July 30, 2026, the Board appointed Mark Van Oene, age 54, as the Company’s President and Chief Executive Officer and as a member of the Board, effective August 5, 2026 (the “Effective Date”). Mr. Van Oene succeeds Christian Henry, who stepped down as President and Chief Executive Officer as of the Effective Date. Mr. Henry will continue to serve on the Board.
In connection with his appointment as Chief Executive Officer, the Company and Mr. Van Oene entered into an employment agreement (the “Employment Agreement”). The terms of the Employment Agreement provide that Mr. Van Oene will receive an annual base salary of $743,000, effective August 16, 2026. Mr. Van Oene will have an annual target bonus opportunity equal to 100% of his base salary, subject to achieving performance goals established by the Board. For 2026, Mr. Van Oene’s target bonus opportunity will be based (i) 80% on the Company’s achievement of corporate goals and (ii) 20% on certain individual performance criteria. Pursuant to the Employment Agreement, effective on the second business day after the filing of the Form 10-Q (as defined below) and subject to approval by the Board, Mr. Van Oene will be granted (i) a stock option to purchase shares of the Company’s common stock (the “Common Stock”) with a grant date value of $1,687,500, at an exercise price per share equal to the fair market value per share on the date of grant (the
“Option”), and (ii) an award of restricted stock units in respect of shares of Common Stock with a grant date fair value of $562,500 (the “RSU”). The Option will be scheduled to vest monthly over three years measured from the grant date, and the RSU will be scheduled to vest as to 1/3rd of the shares on each anniversary of the grant date, each subject to his continued employment with the Company through each applicable vesting date. The number of shares of Common Stock subject to each Award will be determined in accordance with the Company’s equity grant policy.
Concurrently with the Employment Agreement, Mr. Van Oene became entitled to the terms of a Second Amended and Restated Change in Control and Severance Agreement (the “New Severance Agreement”), which supersedes and replaces the Amended and Restated Change in Control and Severance Agreement by and between the Company and Mr. Van Oene, effective December 12, 2024 (the “Prior Severance Agreement”). Under the New Severance Agreement, in the event of a termination of his employment without cause, or his resignation from such employment for good reason, each in connection with a change in control, Mr. Van Oene will receive a lump sum cash payment equal to 18 months of his base salary and Company-paid premiums for continuation coverage pursuant to COBRA for up to 18 months (each increased from 12 months). The terms of the New Severance Agreement are otherwise materially consistent with the terms of the Prior Severance Agreement, a copy of which was filed with the Company’s Annual Report on Form 10-K for the fiscal year ended December 31, 2025.
Mr. Van Oene will not receive any additional consideration as a member of the Board while serving as Chief Executive Officer.
The foregoing description of the key terms of the Employment Agreement and New Severance Agreement does not purport to be complete and is qualified in its entirety by the Employment Agreement and New Severance Agreement, copies of which are filed herewith as Exhibit 10.1 and Exhibit 10.2, respectively, and incorporated herein by reference.
The Company previously reported in its definitive proxy statement on Schedule 14A filed with the U.S. Securities and Exchange Commission on April 23, 2026, information regarding Mr. Van Oene required by Items 401(b), (d), (e) and Item 404(a) of Regulation S-K, and such information is hereby incorporated by reference into this Current Report on Form 8-K.
The Company and Mr. Henry have entered into a Transition Agreement and Release (the “Transition Agreement”) that contains a general release of claims in favor of the Company and confidentiality provisions and supersedes Mr. Henry’s prior employment agreement. Pursuant to the Transition Agreement, the Company will continue to employ Mr. Henry in the role of Senior Business Advisor, from August 5, 2026 through December 31, 2026 (such period, the “Transition Period,” and such date, the “Separation Date”). Mr. Henry will report to Mr. Van Oene. During the Transition Period, Mr. Henry will receive a base salary of $12,907.62 per month, commencing August 16, 2026, and his outstanding equity awards will continue to vest in accordance with their terms. If Mr. Henry’s employment is terminated without cause prior to December 31, 2026, he will receive the base salary he otherwise would have been paid had he remained employed through December 31, 2026. In addition, if Mr. Henry timely elects to continue his participation in the Company’s group health insurance plan under applicable COBRA regulations, the Company will pay the applicable COBRA premiums for up to 18 months, commencing on September 1, 2026. Mr. Henry will not be eligible to earn a 2026 annual cash incentive (the “2026 Cash Incentive”) unless, prior to expiration of the Transition Period, the Transition Agreement is extended by mutual agreement of the parties such that Mr. Henry remains an employee of the Company through the date 2026 bonuses are actually paid to the other senior executives of the Company. The amount of the 2026 Cash Incentive payable to Mr. Henry, if any, will be based on an annual target amount of $154,891.40 and subject to achievement of the performance goals set and determined by the Board, with any achieved amount payable at the same time as other senior executives of the Company but no later than March 15, 2027.
Additionally, the Transition Agreement provides that, subject to effectiveness of a separation agreement and release between the Company and Mr. Henry, Mr. Henry will receive a lump sum cash payment equal to $1,161,685.50, less applicable withholdings, which shall be paid within 10 business days after the effective date of such separation agreement. Following the Separation Date, Mr. Henry will continue to serve on the Board, will continue to vest in his outstanding equity awards and will be eligible to participate in the Company’s outside director compensation policy, as described in the Company’s definitive proxy statement filed with the Securities and Exchange Commission on April 23, 2026.
The foregoing description of the key terms of the Transition Agreement does not purport to be complete and is qualified in its entirety by the Transition Agreement, a copy of which is filed herewith as Exhibit 10.3 and incorporated herein by reference.
ITEM 7.01. REGULATION FD DISCLOSURE.
On August 5, 2026, the Company issued a press release relating to the leadership changes discussed in Item 5.02 of this Current Report on Form 8-K, a copy of which is furnished herewith as Exhibit 99.2 and incorporated herein by reference.
The information furnished in this Item 7.01 and Exhibit 99.2 attached hereto shall not be deemed “filed” for purposes of Section 18 of the Exchange Act, or incorporated by reference in any filing under the Securities Act or the Exchange Act, except as shall be expressly set forth by specific reference in such a filing.
ITEM 9.01. FINANCIAL STATEMENTS AND EXHIBITS.
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| (d) | Exhibits. |
| |
| 10.1+ | Employment Agreement Employment Agreement by and between the Registrant and Mark Van Oene, effective August 5, 2026. |
| |
| 10.2+ | Second Amended and Restated Change in Control and Severance Agreement by and between the Registrant and Mark Van Oene, effective August 5, 2026. |
| |
| 10.3+ | Transition Agreement and Release by and between the Registrant and Christian O. Henry, effective August 5, 2026. |
| |
| 99.1 | Press Release dated August 5, 2026, titled “PacBio Announces Second Quarter 2026 Financial Results” (furnished and not filed herewith solely pursuant to Item 2.02). |
| |
| 99.2 | Press Release dated August 5, 2026, titled “PacBio Appoints Mark Van Oene as Chief Executive Officer” |
| |
| 104 | Cover Page Interactive Data File (embedded within the Inline XBRL document) |
| |
| + | Indicates management contract or compensatory plan. |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
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| Pacific Biosciences of California, Inc. |
| | |
| By: | /s/ Jim R. Gibson |
| | Jim R. Gibson |
| | Chief Financial Officer |
Date: August 5, 2026 | | |
PacBio Announces Second Quarter 2026 Financial Results
MENLO PARK, Calif., August 5, 2026 (GLOBE NEWSWIRE) – PacBio (NASDAQ: PACB) today announced financial results for the quarter ended June 30, 2026.
Recent Business Highlights
•Total revenue of $39.0 million was driven by growing consumables and new Revio and Vega placements as the Company commenced its full rollout of SPRQ-Nx chemistry. Instrument revenue consisted of both single-system and multi-system orders, including an order for several Revio systems from a new population-scale customer
•Commenced global commercial rollout of SPRQ-Nx, delivering whole genome sequencing at $345 USD list price per genome with enhanced methylation detection and DeepConsensus, an AI-powered consensus algorithm co-developed with Google
•Commenced sequencing and sample delivery for Basecamp Research, a frontier AI lab for therapeutic design, marking a significant operational milestone for PacBio's largest population-scale program to date
•Published in a landmark New England Journal of Medicine study, "Clinical Long-Read Genome Sequencing for Rare-Disease Diagnostics." The publication demonstrates that HiFi long-read sequencing is a clinically effective first-tier diagnostic test that improves diagnostic yield while simplifying the laboratory workflow, reducing turnaround time, and enhancing the overall economics of rare disease diagnostics
•Published in a Nature Genetics article, “Near-perfect genome sequencing in medical genetics.” The publication highlights long-read sequencing as a pillar of near-perfect genome sequencing (NPGS), alongside diploid genome assembly, pangenome references, and AI-driven variant interpretation
•Contributed to a published preprint from the HiFi Solves Sub-fertility Consortium in Asia Pacific. The preprint demonstrates that PacBio HiFi whole genome sequencing can provide a more complete view of reproductive genetics in one workflow
•Implemented restructuring actions primarily to streamline marketing and R&D organizations, strengthen the go-to-market commercial organization, and drive greater cost discipline going forward
Second quarter results:
| | | | | | | | |
| Q2 2026 | Q2 2025 |
Revenue (in millions) | $39.0 | $39.8 |
Consumable revenue (in millions) | $20.1 | $18.9 |
Instrument revenue (in millions) | $12.8 | $14.2 |
Service and other revenue (in millions) | $6.1 | $6.7 |
RevioTM system placements | 20 | 15 |
VegaTM system placements | 26 | 38 |
| Annualized Revio pull-through per system | ~$202,000 | ~$219,000 |
Ending cash, cash equivalents, and investments (in millions) | $236.9 | $314.7 |
Gross profit and margin, operating expenses, net loss, and net loss per share are reported on a GAAP and non-GAAP basis. The non-GAAP measures are described below and reconciled to the corresponding GAAP measures at the end of this release.
GAAP gross profit for the second quarter of 2026 was $12.6 million compared to $14.7 million during the second quarter of 2025. Non-GAAP gross profit for the second quarter of 2026 was $13.9 million compared to $15.2 million for the second quarter of 2025. GAAP gross margin was 32% for the second quarter of 2026 compared to 37% for the second quarter of 2025. Non-GAAP gross margin was 36% for the second quarter of 2026 compared to 38% for the second quarter of 2025. The decline in non-GAAP gross margin was primarily driven by higher compute and memory costs, Vega manufacturing transition costs, and lower Revio average selling prices associated with strategic multi-system customer placements.
GAAP operating expenses totaled $57.2 million for the second quarter of 2026 compared to $59.5 million for the second quarter of 2025. Non-GAAP operating expenses totaled $56.1 million for the second quarter of 2026 compared to $58.1 million for the second quarter of 2025. GAAP and non-GAAP operating expenses for the second quarter of 2026 and the second quarter of 2025 included non-cash share-based compensation of $8.6 million and $11.0 million, respectively.
GAAP net loss for the second quarter of 2026 was $44.7 million compared to $41.9 million for the second quarter of 2025. Non-GAAP net loss for the second quarter of 2026 was $41.9 million compared to $40.0 million for the second quarter of 2025.
GAAP net loss per share for the second quarter of 2026 was $0.14 compared to $0.14 for the second quarter of 2025. Non-GAAP net loss per share for the second quarter of 2026 was $0.14 compared to $0.13 for the second quarter of 2025.
2026 Financial Outlook
PacBio expects revenue for the full year 2026 to be in the range of $155 million to $165 million.
Quarterly Conference Call Information
Management will host a quarterly conference call today at 4:30 p.m. Eastern Time to review financial results for the second quarter ended June 30, 2026. Investors can access the call by dialing 1-888-349-0136 (or 1-412-317-0459 for international callers) and requesting to join the “PacBio Q2 Earnings Call". The call will be webcast live and available for replay at PacBio's website at https://investor.pacificbiosciences.com.
About PacBio
PacBio (NASDAQ: PACB) is a premier life science technology company that designs, develops, and manufactures advanced sequencing solutions to help scientists and clinical researchers resolve genetically complex problems. Our products and technologies, which primarily consist of our HiFi long-read sequencing systems, address solutions across a broad set of research applications, including human germline sequencing, plant and animal sciences, infectious disease and microbiology, oncology, and other emerging applications. For more information, please visit www.pacb.com and follow @PacBio.
PacBio products are provided for Research Use Only. Not for use in diagnostic procedures.
Statement regarding use of non‐GAAP financial measures
PacBio reports non‐GAAP results for basic net income (loss) per share, net income (loss), gross margins, gross profit (loss) and operating expenses in addition to, and not as a substitute for, or because it believes that such information is superior to, financial measures calculated in accordance with GAAP. PacBio believes that non-GAAP financial information, when taken collectively, may be helpful to investors because it provides consistency and comparability with past financial performance. However, non-GAAP financial information is presented for supplemental informational purposes only, has limitations as an analytical tool and should not be considered in isolation or as a substitute for financial information presented in accordance with GAAP. In addition, other companies may calculate similarly titled non-GAAP measures differently or may use other measures to evaluate their performance, all of which could reduce the usefulness of PacBio’s non-GAAP financial measures as tools for comparison.
PacBio's financial measures under GAAP include substantial charges that are listed in the itemized reconciliations between GAAP and non‐GAAP financial measures included in this press release. PacBio excludes recurring charges from its non-GAAP financial statements, including amortization of acquired intangible assets and changes in fair value of contingent consideration, and further excludes infrequent and limited charges including impairment charges, restructuring-related expenses for discrete restructuring events,
settlement charges, disposition of short-read assets, benefits from income taxes and other adjustments and rounding differences.
Management has excluded the effects of these items in non‐GAAP measures to assist investors in analyzing and assessing past and future operating performance. In addition, management uses non-GAAP measures to compare PacBio’s performance relative to forecasts and strategic plans and to benchmark its performance externally against competitors.
PacBio encourages investors to carefully consider its results under GAAP, as well as its supplemental non‐GAAP information and the reconciliation between these presentations, to more fully understand its business. A reconciliation of PacBio’s non-GAAP financial measures to their most directly comparable financial measure stated in accordance with GAAP has been provided in the financial statement tables included in this press release. PacBio is unable to reconcile future-looking non-GAAP guidance without unreasonable effort because certain items that impact this measure are out of PacBio's control and/or cannot be reasonably predicted at this time.
Forward-Looking Statements
This press release contains “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the U.S. Private Securities Litigation Reform Act of 1995. All statements other than statements of historical fact are forward-looking statements, including, but not limited to, statements relating to PacBio’s initiatives as well as the expected financial impact and timing of these plans and initiatives, including PacBio's expectations regarding long-read sequencing and SPRQ-Nx; PacBio's expectations regarding its restructuring efforts; PacBio’s financial guidance and expectations for future periods; new and continued reception of PacBio’s products and their expansion into new or existing markets; and the availability, uses, accuracy, coverage, advantages, quality or performance of, or benefits or expected benefits of using, PacBio products or technologies. Reported results and orders for any instrument system should not be considered an indication of future performance. You should not place undue reliance on forward-looking statements because they are subject to assumptions, risks, and uncertainties and could cause actual outcomes and results to differ materially from currently anticipated results, including, but not limited to, challenges inherent in developing, manufacturing, launching, marketing and selling new products, and achieving anticipated new sales; potential cancellation of existing instrument orders; assumptions, risks and uncertainties related to the ability to attract new customers and retain and grow sales from existing customers; risks related to PacBio's ability to successfully execute and realize the benefits of acquisitions; the impact of new, increased or enhanced tariffs and export restrictions; rapidly changing technologies and extensive competition in genomic sequencing; unanticipated increases in costs or expenses; high costs of computer memory components; interruptions or delays in the supply of components or materials for, or manufacturing of, PacBio products and products under development; potential product performance and quality issues and potential delays in development timelines; the possible loss of key employees, customers, or suppliers; customers and prospective customers curtailing or suspending activities using PacBio's products; third-party claims alleging infringement of patents and proprietary rights or seeking to invalidate PacBio's patents or proprietary rights; risks associated with international operations; and other risks associated with general macroeconomic conditions and global economic or political instability, including war and other international conflicts, such as the conflicts in the Middle East. Additional factors that could materially affect actual results can be found in PacBio's most recent filings with the Securities and Exchange Commission, including PacBio's most recent reports on Forms 8-K, 10-K, and 10-Q, and include those listed under the caption “Risk Factors.” These forward-looking statements are based on current expectations and speak only as of the date hereof; except as required by law, PacBio disclaims any obligation to revise or update these forward-looking statements to reflect events or circumstances in the future, even if new information becomes available.
The unaudited condensed consolidated financial statements that follow should be read in conjunction with the notes set forth in PacBio's Quarterly Report on Form 10-Q when filed with the Securities and Exchange Commission.
Contacts
Investors:
ir@pacb.com
Media:
pr@pacb.com
Pacific Biosciences of California, Inc.
Unaudited Condensed Consolidated Statements of Operations
| | | | | | | | | | | | | | | | | |
| Three Months Ended |
| (in thousands, except per share amounts) | June 30,
2026 | | March 31,
2026 | | June 30,
2025 |
| Revenue: | | | | | |
| Product revenue | $ | 32,950 | | | $ | 31,534 | | | $ | 33,083 | |
| Service and other revenue | 6,057 | | | 5,644 | | | 6,683 | |
| Total revenue | 39,007 | | | 37,178 | | | 39,766 | |
| Cost of Revenue: | | | | | |
Cost of product revenue (1) (2) (3) | 20,944 | | | 19,972 | | | 20,022 | |
| Cost of service and other revenue | 5,242 | | | 4,182 | | | 4,853 | |
| Amortization of acquired intangible assets | 183 | | | 183 | | | 183 | |
Loss on purchase commitment (1) | — | | | — | | | 24 | |
| Total cost of revenue | 26,369 | | | 24,337 | | | 25,082 | |
| Gross profit | 12,638 | | | 12,841 | | | 14,684 | |
| Operating Expense: | | | | | |
| Research and development | 23,022 | | | 19,608 | | | 22,529 | |
Sales, general and administrative (1) (2) | 33,393 | | | 31,153 | | | 36,175 | |
| | | | | |
Settlement charges (2) | — | | | 15,400 | | | — | |
Gain on disposal of assets (3) | — | | | (45,796) | | | — | |
| Amortization of acquired intangible assets | 833 | | | 833 | | | 833 | |
| | | | | |
| Total operating expense | 57,248 | | | 21,198 | | | 59,537 | |
| Operating loss | (44,610) | | | (8,357) | | | (44,853) | |
| | | | | |
| | | | | |
Interest expense (4) | (2,110) | | | (1,740) | | | (1,738) | |
| Other income, net | 2,037 | | | 2,006 | | | 4,696 | |
Loss before income taxes | (44,683) | | | (8,091) | | | (41,895) | |
| Income tax provision | 58 | | | 184 | | | 35 | |
Net loss | $ | (44,741) | | | $ | (8,275) | | | $ | (41,930) | |
| | | | | |
Net loss per share: | | | | | |
| Basic | $ | (0.14) | | | $ | (0.03) | | | $ | (0.14) | |
| Diluted | $ | (0.14) | | | $ | (0.03) | | | $ | (0.14) | |
| | | | | |
Weighted average shares outstanding used in calculating net loss per share: | | | | | |
| Basic | 310,405 | | | 305,819 | | 300,162 | |
| Diluted | 310,405 | | | 305,819 | | 300,162 | |
(1)Balances for the three months ended June 30, 2025 include restructuring costs. Refer to the Reconciliation of Non-GAAP Financial Measures table below for additional information on such costs and related amounts.
(2)Balances for the three months ended June 30, 2026 and March 31, 2026 include litigation settlement charges and related legal fees in connection with the agreement entered into with Personal Genomics of Taiwan, Inc. Refer to the Reconciliation of Non-GAAP Financial Measures table below for additional information on such costs and related amounts.
(3)Balances for the three months ended June 30, 2026 and March 31, 2026 include amounts related to the disposition of short-read assets, including the gain on the sale of certain assets related to our short-read DNA sequencing technology and related clustering, sequencing reagent, and detection technologies, and related non-recurring customer transition costs. Refer to the Reconciliation of Non-GAAP Financial Measures table below for additional information on such costs and related amounts.
(4)Balance for the three months ended June 30, 2026 includes interest expense related to the Personal Genomics of Taiwan, Inc. settlement liability.
Pacific Biosciences of California, Inc.
Unaudited Condensed Consolidated Statements of Operations
| | | | | | | | | | | | | | | | | | | | | | | |
| Three Months Ended | | Six Months Ended |
| (in thousands, except per share amounts) | June 30,
2026 | | June 30,
2025 | | June 30,
2026 | | June 30,
2025 |
| Revenue: | | | | | | | |
| Product revenue | $ | 32,950 | | | $ | 33,083 | | | $ | 64,484 | | | $ | 64,196 | |
| Service and other revenue | 6,057 | | | 6,683 | | | 11,701 | | | 12,723 | |
| Total revenue | 39,007 | | | 39,766 | | | 76,185 | | | 76,919 | |
| Cost of Revenue: | | | | | | | |
Cost of product revenue (1) (3) (4) | 20,944 | | | 20,022 | | | 40,916 | | | 46,355 | |
Cost of service and other revenue | 5,242 | | | 4,853 | | | 9,424 | | | 8,631 | |
| Amortization of acquired intangible assets | 183 | | | 183 | | | 366 | | | 4,528 | |
Loss on purchase commitment (1) | — | | | 24 | | | — | | | 4,092 | |
| Total cost of revenue | 26,369 | | | 25,082 | | | 50,706 | | | 63,606 | |
| Gross profit | 12,638 | | | 14,684 | | | 25,479 | | | 13,313 | |
| Operating Expense: | | | | | | | |
Research and development (1) | 23,022 | | | 22,529 | | | 42,630 | | | 51,582 | |
Sales, general and administrative (1) (3) | 33,393 | | | 36,175 | | | 64,546 | | | 76,343 | |
Impairment charges (2) | — | | | — | | | — | | | 15,000 | |
Settlement charges (3) | — | | | — | | | 15,400 | | | — | |
Gain on disposal of assets (4) | — | | | — | | | (45,796) | | | — | |
Amortization of acquired intangible assets (5) | 833 | | | 833 | | | 1,666 | | | 362,875 | |
Change in fair value of contingent consideration (6) | — | | | — | | | — | | | (18,700) | |
| Total operating expense | 57,248 | | | 59,537 | | | 78,446 | | | 487,100 | |
| Operating loss | (44,610) | | | (44,853) | | | (52,967) | | | (473,787) | |
| | | | | | | |
| Interest expense | (2,110) | | | (1,738) | | | (3,850) | | | (3,475) | |
| Other income, net | 2,037 | | | 4,696 | | | 4,043 | | | 8,990 | |
Loss before income taxes | (44,683) | | | (41,895) | | | (52,774) | | | (468,272) | |
| Income tax provision | 58 | | | 35 | | | 242 | | | (267) | |
| Net loss | $ | (44,741) | | | $ | (41,930) | | | $ | (53,016) | | | $ | (468,005) | |
| | | | | | | |
| Net loss per share: | | | | | | | |
| Basic | $ | (0.14) | | | $ | (0.14) | | | $ | (0.17) | | | $ | (1.57) | |
| Diluted | $ | (0.14) | | | $ | (0.14) | | | $ | (0.17) | | | $ | (1.57) | |
| | | | | | | |
| Weighted average shares outstanding used in calculating net loss per share: | | | | | | | |
| Basic | 310,405 | | | 300,162 | | | 308,250 | | | 298,519 | |
| Diluted | 310,405 | | | 300,162 | | | 308,250 | | | 298,519 | |
| | | | | | | |
| | | | | | | |
(1)Balances for the three and six months ended June 30, 2025 include restructuring costs. Refer to the Reconciliation of Non-GAAP Financial Measures table below for additional information on such costs and related amounts.
(2)In-process research and development ("IPR&D") impairment charge during the six months ended June 30, 2025 was driven primarily by macroeconomic factors and restructuring initiatives, including the focus on long-read innovation, resulting in changes to the timing and amounts of cash flows.
(3)Balances for the three and six months ended June 30, 2026 include litigation settlement charges and related legal fees in connection with the agreement entered into with Personal Genomics of Taiwan, Inc. Refer to the Reconciliation of Non-GAAP Financial Measures table below for additional information on such costs and related amounts.
(4)Balances for the three and six months ended June 30, 2026 include amounts related to the disposition of short-read assets, including the gain on the sale of certain assets related to our short-read DNA sequencing technology and related clustering, sequencing reagent, and detection technologies, and related non-recurring customer transition costs. Refer to the Reconciliation of Non-GAAP Financial Measures table below for additional information on such costs and related amounts.
(5)Balance for the six months ended June 30, 2025 includes accelerated amortization of acquired intangible assets related to restructuring initiatives. Refer to the Reconciliation of Non-GAAP Financial Measures table below for additional information on such costs and related amounts.
(6)Change in fair value of contingent consideration during the six months ended June 30, 2025 was due to fair value adjustments of milestone payments payable upon the achievement of a milestone event.
Pacific Biosciences of California, Inc.
Unaudited Condensed Consolidated Balance Sheets
| | | | | | | | | | | | | | |
| (in thousands) | | June 30,
2026 | | December 31,
2025 |
| Assets | | | | |
| Cash and investments | | $ | 236,873 | | | $ | 279,506 | |
| Accounts receivable, net | | 31,104 | | | 35,448 | |
| Inventory, net | | 61,084 | | | 49,285 | |
| Prepaid expenses and other current assets | | 9,545 | | | 10,793 | |
| Property and equipment, net | | 26,972 | | | 24,146 | |
| Operating lease right-of-use assets, net | | 40,331 | | | 41,695 | |
| Restricted cash | | 1,604 | | | 1,552 | |
| Intangible assets, net | | 13,084 | | | 15,124 | |
| Goodwill | | 317,761 | | | 317,761 | |
| Other long-term assets | | 13,492 | | | 8,773 | |
| Total Assets | | $ | 751,850 | | | $ | 784,083 | |
| | | | |
| Liabilities and Stockholders' (Deficit) Equity | | | | |
| Accounts payable | | $ | 19,224 | | | $ | 20,770 | |
| Accrued expenses | | 30,322 | | | 33,646 | |
| Deferred revenue | | 19,442 | | | 19,865 | |
| Operating lease liabilities | | 61,795 | | | 57,040 | |
| Convertible senior notes, net | | 644,332 | | | 645,382 | |
| Other liabilities | | 9,948 | | | 2,031 | |
| Stockholders' (deficit) equity | | (33,213) | | | 5,349 | |
| Total Liabilities and Stockholders' (Deficit) Equity | | $ | 751,850 | | | $ | 784,083 | |
Pacific Biosciences of California, Inc.
Reconciliation of Non-GAAP Financial Measures
| | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | | |
| | Three Months Ended | | Six Months Ended |
| (in thousands, except per share amounts) | | June 30,
2026 | | March 31,
2026 | | June 30,
2025 | | June 30,
2026 | | June 30,
2025 |
| GAAP net loss | | $ | (44,741) | | | $ | (8,275) | | | $ | (41,930) | | | $ | (53,016) | | | $ | (468,005) | |
Change in fair value of contingent consideration (1) | | — | | | — | | | — | | | — | | | (18,700) | |
| | | | | | | | | | |
Settlement charges (2) | | 284 | | | 16,804 | | | — | | | 17,088 | | | — | |
| | | | | | | | | | |
Amortization of acquired intangible assets | | 1,016 | | | 1,016 | | | 1,016 | | | 2,032 | | | 8,144 | |
Amortization of patent license (3) | | 516 | | | — | | | — | | | 516 | | | — | |
Disposition of short-read assets (4) | | 611 | | | (45,490) | | | — | | | (44,879) | | | — | |
| | | | | | | | | | |
Interest expense (5) | | 369 | | | — | | | — | | | 369 | | | — | |
Income tax benefit (6) | | — | | | — | | | — | | | — | | | (546) | |
Restructuring (7) | | — | | | — | | | 963 | | | — | | | 394,751 | |
| Non-GAAP net loss | | $ | (41,945) | | | $ | (35,945) | | | $ | (39,951) | | | $ | (77,890) | | | $ | (84,356) | |
| | | | | | | | | | |
| GAAP basic net loss per share | | $ | (0.14) | | | $ | (0.03) | | | $ | (0.14) | | | $ | (0.17) | | | $ | (1.57) | |
Change in fair value of contingent consideration (1) | | — | | | — | | | — | | | — | | | (0.06) | |
| | | | | | | | | | |
Settlement charges (2) | | — | | | 0.05 | | | — | | | 0.06 | | | — | |
| | | | | | | | | | |
Amortization of acquired intangible assets | | — | | | — | | | — | | | 0.01 | | | 0.03 | |
| | | | | | | | | | |
| | | | | | | | | | |
Disposition of short-read assets (4) | | — | | | (0.15) | | | — | | | (0.15) | | | — | |
| | | | | | | | | | |
| | | | | | | | | | |
Restructuring (7) | | — | | | — | | | — | | | — | | | 1.32 | |
| Other adjustments and rounding differences | | — | | | 0.01 | | | 0.01 | | | — | | | — | |
| Non-GAAP basic net loss per share | | $ | (0.14) | | | $ | (0.12) | | | $ | (0.13) | | | $ | (0.25) | | | $ | (0.28) | |
| | | | | | | | | | |
| GAAP gross profit | | $ | 12,638 | | | $ | 12,841 | | | $ | 14,684 | | | $ | 25,479 | | | $ | 13,313 | |
Settlement charges (2) | | — | | | 500 | | | — | | | 500 | | | — | |
Amortization of acquired intangible assets | | 183 | | | 183 | | | 183 | | | 366 | | | 4,528 | |
Amortization of patent license (3) | | 516 | | | — | | | — | | | 516 | | | — | |
Disposition of short-read assets (4) | | 611 | | | 306 | | | — | | | 917 | | | — | |
Restructuring (7) | | — | | | — | | | 348 | | | — | | | 12,375 | |
| Non-GAAP gross profit | | $ | 13,948 | | | $ | 13,830 | | | $ | 15,215 | | | $ | 27,778 | | | $ | 30,216 | |
| | | | | | | | | | |
| GAAP gross profit % | | 32 | % | | 35 | % | | 37 | % | | 33 | % | | 17 | % |
| | | | | | | | | | |
| Non-GAAP gross profit % | | 36 | % | | 37 | % | | 38 | % | | 36 | % | | 39 | % |
| | | | | | | | | | |
| GAAP total operating expense | | $ | 57,248 | | | $ | 21,198 | | | $ | 59,537 | | | $ | 78,446 | | | $ | 487,100 | |
Change in fair value of contingent consideration (1) | | — | | | — | | | — | | | — | | | 18,700 | |
Settlement charges (2) | | (284) | | | (16,304) | | | — | | | (16,588) | | | — | |
| | | | | | | | | | |
Amortization of acquired intangible assets | | (833) | | | (833) | | | (833) | | | (1,666) | | | (3,616) | |
Disposition of short-read assets (4) | | — | | | 45,796 | | | — | | | 45,796 | | | — | |
Restructuring (7) | | — | | | — | | | (615) | | | — | | | (382,376) | |
| Non-GAAP total operating expense | | $ | 56,131 | | | $ | 49,857 | | | $ | 58,089 | | | $ | 105,988 | | | $ | 119,808 | |
(1)Change in fair value of contingent consideration during the six months ended June 30, 2025 was due to fair value adjustments of milestone payments payable upon the achievement of a milestone event.
(2)Balances for the three months ended June 30, 2026 and March 31, 2026 and the six months ended June 30, 2026 include litigation settlement charges and related legal fees in connection with the agreement entered into with Personal Genomics of Taiwan, Inc.
(3)Balances for the three and six months ended June 30, 2026 include amortization of a patent license acquired in connection with the agreement entered into with Personal Genomics of Taiwan, Inc.
(4)Balances for the three months ended June 30, 2026 and March 31, 2026 and the six months ended June 30, 2026 include amounts related to the disposition of short-read assets, including the gain on the sale of certain assets related to our short-read DNA sequencing technology and related clustering, sequencing reagent, and detection technologies, and related non-recurring customer transition costs.
(5)Interest expense for the three and six months ended June 30, 2026 is related to the liability incurred in connection with the agreement entered into with Personal Genomics of Taiwan, Inc.
(6)A deferred income tax benefit during the six months ended June 30, 2025 is primarily related to the change in the deferred tax liability balance resulting from the accelerated amortization of acquired intangible assets and IPR&D impairment.
(7)Restructuring-related costs incurred in connection with the 2025 plan during the three and six months ended June 30, 2025 consist primarily of costs included in cost of revenue related to excess inventory and purchase commitment losses, as well as costs included in operating expenses related to employee separation, accelerated depreciation, IPR&D impairment, and accelerated amortization of acquired intangibles.
PacBio Appoints Mark Van Oene as President and Chief Executive Officer
Christian Henry to Transition from President and Chief Executive Officer Following Six Years of Leadership; Effective August 5, 2026
MENLO PARK, Calif., August 5, 2026 – Pacific Biosciences of California, Inc. (NASDAQ: PACB) ("PacBio"), a leading developer of high-quality, highly accurate sequencing solutions, today announced that its Board of Directors has appointed Mark Van Oene as President and Chief Executive Officer, effective August 5, 2026. Mr. Van Oene, who has served as Chief Operating Officer, succeeds Christian Henry, who has stepped down as President and Chief Executive Officer after six years leading PacBio. Mr. Van Oene has also been appointed to serve on PacBio's Board of Directors, effective August 5, 2026. Mr. Henry will continue to serve on PacBio’s Board of Directors and has agreed to serve as a business advisor to the company at least through the end of 2026, in order to facilitate an orderly transition.
Mr. Van Oene joined PacBio in 2021 as Chief Operating Officer and has played a central role in advancing the company's operational execution, commercial strategy, product development roadmap and clinical application development as well as leading AI-related product improvements and collaborations. During his tenure, he has worked closely with the executive leadership team and Board of Directors to strengthen PacBio's position as a leader in long-read sequencing and to support PacBio’s strategy to expand adoption across research and future clinical applications.
"Mark is an accomplished leader with deep experience building and scaling global life sciences and clinical diagnostic businesses, which has become an increasing focus of PacBio’s long-term strategy," said John Milligan, Ph.D., Chair of PacBio's Board of Directors. "Over the past several years, he has become an integral member of PacBio's leadership team and has helped shape our strategic priorities, strengthen our operational capabilities, and position the company for its next phase of growth, particularly with respect to AI-enabled product solutions and larger-scale AI and clinical related collaborations. The Board conducted a thoughtful succession planning process and unanimously concluded that Mark is the right leader to build on PacBio's strong foundation and drive long-term value creation for our customers, employees, and stockholders."
Dr. Milligan continued, "On behalf of the Board, I also want to express our sincere gratitude to Christian for his outstanding leadership and many contributions to PacBio. During his tenure, Christian guided the company through a period of significant transformation, including expanding our product portfolio, strengthening our commercial organization, advancing our technology leadership, and positioning PacBio to pursue substantial long-term growth opportunities, especially in clinical and AI-related markets. We thank him for his unwavering commitment to PacBio and wish him continued success."
"It has been an extraordinary privilege to serve as PacBio's President and Chief Executive Officer and to work alongside such an exceptional team,” said Christian Henry, reflecting on the leadership transition. Together, we have transformed the company, introduced groundbreaking innovations, expanded our customer base and commercial capabilities, and strengthened our position in the scientific and clinical research markets as a leader in highly accurate long-read sequencing. I am incredibly proud of what we have accomplished."
Mr. Henry continued, "Mark has been an outstanding partner since joining PacBio. He brings exceptional operational expertise, strategic vision, and a deep commitment to our customers and employees. I have complete confidence that he is the right leader to guide PacBio into its next chapter, and I look forward to a continued partnership with Mark, both as an employee during this transition period, and as a member of the Board, as he implements his strategy and vision to advance the company’s mission under his leadership."
"I am honored to have the opportunity to lead PacBio at such an exciting time in the company's evolution, especially as we continue our pivot into further supporting the clinical markets and developing AI-related product solutions and clinically relevant databases," said Mark Van Oene, incoming President and Chief Executive Officer. "PacBio has built an industry-leading technology platform, an incredibly talented team,
and a passionate customer community that is driving scientific and clinically important discoveries around the world. I am grateful to Christian for his leadership, mentorship, and partnership over the past several years. His vision and dedication have positioned PacBio for a tremendous future, and I look forward to building on that strong foundation."
Mr. Van Oene added, "As we look ahead, we remain focused on delivering innovative sequencing solutions that enable our customers to answer some of biology's most important questions, expanding adoption of HiFi sequencing worldwide, executing with operational excellence, increasing our support of the clinical and diagnostics markets, and playing a leading role in developing AI-related HiFi sequencing solutions and databases, all as part of our continuing effort to create long-term value for our stockholders."
Mr. Henry will work closely over the coming months with Mr. Van Oene to ensure a seamless leadership transition.
About PacBio
PacBio (NASDAQ: PACB) is a premier life science technology company that designs, develops, and manufactures advanced sequencing solutions to help scientists and clinical researchers resolve genetically complex problems. Our products and technologies, which include our HiFi long-read sequencing, address solutions across a broad set of research applications including human germline sequencing, plant and animal sciences, infectious disease and microbiology, oncology, and other emerging applications. For more information, please visit www.pacb.com and follow @PacBio.
PacBio products are provided for Research Use Only. Not for use in diagnostic procedures.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including, but not limited to, statements regarding PacBio's leadership transition, future strategy, growth opportunities, including with respect to HiFi sequencing, commercial execution, technology leadership, expanding customer adoption and scientific discovery, future clinical opportunities, operational execution, stockholder value creation, and other future events and expectations. You should not place undue reliance on forward-looking statements because they are subject to assumptions, risks, and uncertainties and could cause actual outcomes and results to differ materially from currently anticipated results, including, challenges inherent in developing, manufacturing, launching, marketing and selling new products, and achieving anticipated new sales; potential cancellation of existing instrument orders; assumptions, risks and uncertainties related to the ability to attract new customers and retain and grow sales from existing customers; risks related to PacBio's ability to successfully execute and realize the benefits of acquisitions; the impact of new, increased or enhanced tariffs and export restrictions; rapidly changing technologies and extensive competition in genomic sequencing; unanticipated increases in costs or expenses; high costs of computer memory components; interruptions or delays in the supply of components or materials for, or manufacturing of, PacBio products and products under development; potential product performance and quality issues and potential delays in development timelines; the possible loss of key employees, customers, or suppliers; customers and prospective customers curtailing or suspending activities using PacBio's products; third-party claims alleging infringement of patents and proprietary rights or seeking to invalidate PacBio's patents or proprietary rights; risks associated with international operations; and other risks associated with general macroeconomic conditions and global economic or political instability, including war and other international conflicts, such as the conflicts in the Middle East, among others. Additional factors that could materially affect actual results can be found in PacBio's filings with the Securities and Exchange Commission, including its most recent reports on Forms 8-K, 10-K and 10-Q, and include those listed under the caption “Risk Factors.” These forward-looking statements are based on current expectations and speak only as of the date hereof; except as required by law, PacBio disclaims any obligation to revise
or update these forward-looking statements to reflect events or circumstances in the future, even if new information becomes available.
Contacts
Investors:
ir@pacb.com
Media:
pr@pacb.com
