Ginkgo Results Presentation Deck slide image

Ginkgo Results Presentation Deck

While we're focused on costs in this environment, our business model has several unique levers we can pull to drive towards profitability Platform Scale Our platform benefits from scale Physical scale drives decreasing unit costs to execute work, which can drive lower costs to customers as well as improve margins The learnings generated from executing more work can drive efficiencies in our work as well, yielding improved outcomes and higher probability of technical success (and downstream value) CODEBASE LOWER FOUNDRY COST STRUCTURE, IMPROVED PROGRAM TECHNICAL SUCCESS ADD NEW PROGRAM DEMAND FOR MORE PROGRAMS LOWER COST PER PROGRAM VALUE SHARE (ROYALTY/EQUITY) CUSTOMER VALVE PROPOSITION Program Risk Sharing We can adjust how we structure contracts based on market conditions and our priorities (e.g. near-term cash vs. longer-term value) Risk to Revenue High Upfront Fees No / Low Downstream Value (e.g. a traditional CRO model) No / Low Upfront Fees High Downstream Value When profitable / well capitalized, can lean into our differentiated p(success) Can shift focus towards need to preserve cash cost-covering upfront fees if Return if Successful Program Choice We can direct business development efforts towards programs with a higher probability of success and lower expected effort (e.g. CDKS) higher lower Standard Cell Program (Standardized CDK modules in any configuration) TDP Module TDP Module p(success) Cost to Ginkgo CDK-Enabled Cell Program (Mix of modular work and new capabilities) TDP Module TDP Module lower higher Bespoke Cell Program (Primarily new biology or capabilities) Non-standard engineering loop Non-standard engineering loop 22 Property of Ginkgo Bioworks Q2 2022 UPDATE & BUSINESS REVIEW
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