Berkshire Grey, Inc. develops and provides intelligent, AI-powered robotic solutions that automate complex supply chain operations. These systems are utilized across the ...
Berkshire Grey, Inc., headquartered in Bedford, Massachusetts, is a pioneering force in the Intelligent Enterprise Robotics (IER) space. Founded in 2013 by Dr. Thomas Wagner, a former executive at iRobot, the company focuses on automating high-variability tasks in retail, e-commerce, and logistics environments. Their core business model revolves around developing ...Berkshire Grey, Inc., headquartered in Bedford, Massachusetts, is a pioneering force in the Intelligent Enterprise Robotics (IER) space. Founded in 2013 by Dr. Thomas Wagner, a former executive at iRobot, the company focuses on automating high-variability tasks in retail, e-commerce, and logistics environments. Their core business model revolves around developing proprietary AI-driven software integrated with robotic hardware to handle unstructured loads, such as picking, sorting, and packing individual items—tasks traditionally requiring significant human labor.
The company’s product portfolio includes advanced solutions like the Scoop™ robotic trailer unloader and various automated storage and retrieval systems. By leveraging computer vision and machine learning, their systems adapt to the dynamic nature of warehouse inventory, reducing the need for manual touchpoints. This focus on 'Physical AI' aims to alleviate operational bottlenecks caused by labor shortages and the increasing demand for rapid order fulfillment.
From a financial perspective, Berkshire Grey navigated the public markets via a business combination with Revolution Acceleration Acquisition Corp, eventually being listed on the Nasdaq. In 2023, the company was taken private by SoftBank Group Corp. in an all-cash transaction, reflecting SoftBank’s strategic interest in scaling advanced robotics. The company's 'bill of materials' (BOM) and cost structure are heavily weighted toward high-end sensor arrays, specialized robotic end-effectors, and robust edge computing hardware.
Key people include Dr. Thomas Wagner, whose leadership has defined the company's R&D-centric culture. The firm consistently pushes the boundaries of human-robot collaboration, aiming to provide modular solutions that scale alongside a client’s business growth. Despite the transition to private status, the company continues to operate as an essential unit within SoftBank’s broader ecosystem, aiming to transform supply chain infrastructure globally. Their mission is to enable retailers and logistics providers to operate with unprecedented speed and accuracy, effectively modernizing the 'back-end' of modern commerce.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$65.8M
+29.5%
-52.6%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$-102.8M
+33.0%
-56.2%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
-8.0%
+50.7%
-3829.2%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
-172.9%
+46.5%
-188.0%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
-156.1%
+48.2%
-229.6%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$-114.1M
+3.4%
-45.6%
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
-173.2%
+25.4%
-207.2%
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
12.2%
—
+70.0%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
2.86x
-41.7%
-37.9%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Good day, and thank you for standing by. Welcome to the Berkshire Grey’s Third Quarter 2022 Earnings Conference Call. At this time, all participants are in a listen-only mode. After the speaker’s prepared remarks, there will be a question-and-answer session. [Operator Instructions] I would now like to turn the conference call over to David Calusdian, an Investor Relations Representative for Berkshire Grey. Please go ahead, sir.
David Calusdian: Thank you, Joe, and thanks to everyone for joining Berkshire Grey’s third quarter 2022 earnings conference call. Earlier today, we issued a news release announcing our financial results. The release is available on our Investor Relations website at ir.berkshiregrey.com. Leading today’s discussion will be Berkshire Grey’s Founder and Chief Executive Officer, Tom Wagner; and our Chief Financial Officer, Mark Fidler. Following management’s prepared remarks, we will open up the call to your questions. Before we get started, we would like to inform you that certain statements made during this conference call may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act. Future operating performance and financial results of the business may differ materially from those expressed or implied in any forward-looking statements provided on this conference call due to various uncertainties and risk factors. Information concerning these uncertainties and risk factors is contained in our filings with the SEC, and we refer you to those forward-looking statements disclaimer that accompanied our press release this morning regarding our financial results. Forward-looking statements included in this call are based on information currently available to us and represent the company’s current view as of the date these statements are made. We do not commit to updating these statements. As a reminder, we will be making – referring to some non-GAAP financial measures during today’s call. A detailed reconciliation of GAAP and non-GAAP measures can be found in our earnings news release issued today, which will be furnished to the SEC and is available now on our IR website. These non-GAAP measures are in addition to and not a substitute for or superior to measures of financial performance prepared in accordance with GAAP and should not be considered as an alternative to any performance measures derived in accordance with GAAP. With that, I’ll turn the call over to CEO, Tom Wagner.
Tom Wagner: Thank you, Dave, and good morning, everyone. Welcome to our third quarter of 2022 earnings call. Today, Mark and I will update you on our quarterly performance, operational execution, long-term strategic alignment with customers and the continued favorable macro environment driving the long-term demand for automation. We will also provide some real world feedback about how well our systems are performing at customers’ locations. First, let’s talk about the quarter. We delivered revenue of …
