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  "documentTitle": "Twist Bioscience (TWST)",
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  "authorName": "Scorpion Capital",
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  "presentationDate": "2022-11-15 00:00:00",
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  "notes": "The slide uses a highly aggressive, polemical tone to frame the company as a failing entity.",
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      "text": "The only reason Twist has not yet received a going concern qualification is because US auditors, unlike IFRS, only look at solvency 12 months out.",
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      "text": "EBIT margin: -130%",
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      "text": "The only reason Twist has not yet received a going concern qualification is because US auditors, unlike IFRS, only look at solvency 12 months out. Whether the guillotine drops after this audit or next is irrelevant, for the endgame is near – and Twist’s auditor, Price Waterhouse, seems a harsher mistress than usual in scams of this sort - already firing a warning shot, in the form of an unusually broad material weakness in the last opinion, dated Nov 22, 2021, which in plain English says – “watch out below.”",
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      "text": "There is no J-curve at Twist, no operating leverage, no “adjusted EBITDA breakeven” coming “at scale” at $300MM. Until its recent capex frenzy, it was always a low capex, low PP&E, variable cost business with little fixed cost base to amortize.",
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      "text": "Twist is not a going concern by any stretch - if your only reason for existence is a “chip” that enables “the production of cost-effective” DNA but your EBIT margin is negative 130%, then by definition you have no reason to exist.",
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      "text": "Also in our opinion, the Company did not maintain, in all material respects, effective internal control over financial reporting as of September 30, 2021... because material weaknesses in internal control over financial reporting existed...",
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      "text": "Also in our opinion, the Company did not maintain, in all material respects, effective internal control over financial reporting as of September 30, 2021... — Twist 10K filed Nov 23, 2021",
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      "text": "Source: Twist 10K SEC filing",
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      "text": "Twist 10K filed Nov 23, 2021 – auditor opinion",
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