Twist Bioscience: 3 Key Takeaways for Long-Term Investors

On its fiscal 2026 fourth-quarter earnings call, held on Nov. 12, 2026, Twist Bioscience (NASDAQ:TWST) announced that fourth-quarter revenue grew 28% year over year to $126.6 million. Achieving positive adjusted EBITDA--a non-GAAP financial metric measuring core operational profitability by excluding interest, taxes, depreciation, and amortization--demonstrates that scaling its manufacturing platform generates cash flow. Three takeaways from management explain how the company plans to sustain its trajectory.

1. Artificial Intelligence Drug Discovery Drives Acceleration

Customers using artificial intelligence to design therapeutic molecules need physical DNA and protein samples to validate their software models. Twist manufactures these custom sequences at scale, building a recurring revenue stream as customers move from initial model testing to full drug discovery programs.

AI Drug Discovery delivered an exceptional year. Orders more than doubled and revenue grew 175% from $21.5 million in fiscal 2025 to $59.1 million in fiscal 2026.
-- Emily Leproust, Chief Executive Officer and Co-Founder

2. Manufacturing Infrastructure Expands Capacity Ahead of Demand

Twist relies on silicon-based DNA synthesis, a proprietary technology that miniaturizes chemical reactions to print millions of genetic sequences in parallel. Management is expanding its equipment fleet from 10 to 16 DNA writers, unlocking higher production capacity for molecular residual disease (MRD)--a personalized test tracking cancer recurrence--and custom gene synthesis.

With all 16 operating, we will have capacity to manufacture more than 50 million pieces of DNA daily, supporting AI drug discovery, nucleic acid therapeutics, MRD and other applications.
-- Patrick Finn, President and Chief Operating Officer

3. Breakeven Threshold Unlocks Profitable Reinvestment

Reaching positive adjusted EBITDA proves that manufacturing leverage is kicking in as revenue scales. Management doesn't plan to rely on external funding, choosing instead to reinvest operational cash flow back into digital systems and production capacity.

Crossing adjusted EBITDA breakeven provides us with more options for how we run Twist. We intend to reinvest our profits in the capabilities, capacity and people that can drive top line growth moving forward.
-- Emily Leproust, Chief Executive Officer and Co-Founder

Looking Ahead

Customer demand is accelerating across next-generation sequencing (NGS)--a high-throughput DNA sequencing technology--and custom gene synthesis. Management relies on proprietary automation engineering, silicon synthesis scale, and automated labs as structural advantages to preserve margins while expanding output.

For fiscal 2027, we expect total revenue of $550 million to $560 million, representing growth of approximately 21% at the midpoint.
-- Adam Laponis, Chief Financial Officer

By expanding silicon-based manufacturing and automated workflows, Twist isn't just scaling production; it's solidifying its role as key infrastructure for biological discovery.

We built Twist for where biology is going. We have the platform, the people and the capital to lead.
-- Emily Leproust, Chief Executive Officer and Co-Founder

The Motley Fool has positions in and recommends Twist Bioscience. The Motley Fool has a disclosure policy.