Oxford Nanopore Technologies (LON:ONT) Releases Quarterly Earnings Results

Oxford Nanopore Technologies (LON:ONT) released its quarterly earnings results on Wednesday. The company reported GBX (4.90) EPS for the quarter, Digital Look Earnings reports. Oxford Nanopore Technologies had a negative return on equity of 35.45% and a negative net margin of 54.66%.

Here are the key takeaways from Oxford Nanopore Technologies’ conference call:

• First-half revenue was £116.7 million, up 12.3% at constant currency but below expectations, with China revenue down approximately 16% and the Middle East down approximately 14%. Management said lost first-half revenue in the Americas will not be recovered in the second half.
• Profitability improved substantially: gross margin rose 400 basis points to 62.2%, adjusted operating expenses fell 7%, and the adjusted EBITDA loss narrowed 54% to £22.1 million. The company maintained its targets for adjusted EBITDA breakeven in 2027 and positive free cash flow in 2028.
• Oxford Nanopore signed a cross-licensing agreement with a global diagnostics company that includes a $20 million upfront payment in the second half of 2026, $50 million of committed product purchases through 2028, and low- to mid-single-digit royalties over the life of the patents. The upfront payment is excluded from core guidance and will be recognized at 100% gross margin.
• The company is refocusing its strategy on research whole-genome sequencing, biopharma workflows, and selected clinical applications, while simplifying its portfolio and aligning R&D more closely with customer needs. Management is targeting more than £700 million of revenue and adjusted EBITDA margins above 15% by 2030, though it acknowledged that adoption and execution must improve.
• Device revenue grew 32.6%, led by PromethION and particularly the P2i, while clinical revenue rose 35.4% and biopharma revenue increased 25%. Management expects new device placements and easier comparisons after lapping prior-year research programs to support stronger consumable growth in the second half.

Oxford Nanopore Technologies Stock Up 0.5%

LON:ONT opened at GBX 165.30 on Friday. The company has a market cap of £1.61 billion, a price-to-earnings ratio of -10.95 and a beta of 0.91. The company has a debt-to-equity ratio of 9.86, a quick ratio of 6.01 and a current ratio of 3.52. The stock’s fifty day moving average price is GBX 118.99 and its two-hundred day moving average price is GBX 122.52. Oxford Nanopore Technologies has a 52-week low of GBX 95.61 and a 52-week high of GBX 211.40.

Wall Street Analyst Weigh In

A number of equities analysts have commented on the company. Peel Hunt reissued a “hold” rating and issued a GBX 153 price objective on shares of Oxford Nanopore Technologies in a research note on Monday, July 13th. Royal Bank Of Canada restated an “outperform” rating and issued a GBX 225 target price on shares of Oxford Nanopore Technologies in a research note on Tuesday, May 26th. Citigroup cut Oxford Nanopore Technologies to a “buy” rating in a report on Monday, July 20th. Deutsche Bank Aktiengesellschaft reiterated a “buy” rating and set a GBX 195 price target on shares of Oxford Nanopore Technologies in a research report on Thursday. Finally, Berenberg Bank decreased their price objective on shares of Oxford Nanopore Technologies from GBX 220 to GBX 200 and set a “buy” rating on the stock in a report on Wednesday. Four equities research analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company. According to data from MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of GBX 193.25.

Trending Headlines about Oxford Nanopore Technologies

Here are the key news stories impacting Oxford Nanopore Technologies this week:

• Positive Sentiment: Broker confidence remains supportive: Berenberg reaffirmed its “buy” rating, while Deutsche Bank also maintained a “buy” rating and set a GBX 195 price target. These endorsements suggest analysts see potential upside despite the company’s current losses. Berenberg maintains buy rating Deutsche Bank rating
• Positive Sentiment: Strategic focus and long-term growth target: Oxford Nanopore is narrowing its losses and sharpening its strategy, with management targeting approximately $700 million in revenue by 2030. The plan could improve investor confidence if the company can translate its technology platform into faster, more profitable growth. Oxford Nanopore strategy and revenue target
• Neutral Sentiment: CEO incentive-plan share issuance: The company reported the vesting of awards under its chief executive’s long-term incentive plan and issued new shares. The issuance aligns management with long-term performance but may modestly dilute existing shareholders. CEO long-term incentive plan share issuance
• Negative Sentiment: Losses remain substantial: Oxford Nanopore reported quarterly earnings of negative GBX 4.90 per share, alongside a negative net margin of 64.85% and negative return on equity of 29.43%. Berenberg also reduced its price target from GBX 220 to GBX 200, indicating that execution and profitability concerns remain. Oxford Nanopore earnings report

About Oxford Nanopore Technologies

Oxford Nanopore Technologies’ goal is to bring the widest benefits to society through enabling the analysis of anything, by anyone, anywhere. The Group has developed a new generation of nanopore-based sensing technology that is currently used for real-time, high-performance, accessible, and scalable analysis of DNA and RNA. The technology is used in more than 125 countries, to understand the biology of humans, plants, animals, bacteria, viruses and environments as well as to understand diseases such as cancer.