Company: BLLN
Filing Date: 2025-12-10
Form Type: 10-Q
Source: 0001628280-25-056321
Chunk: 242

Company: BillionToOne, Inc.
Filing Date: 2025-12-10
Form: 10-Q
Item: Part I, Item 1
Chunk 242
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3. Quantitative And Qualitative Disclosures About Market Risk

We are exposed to market risks in the ordinary course of our business. Market risk represents the risk of loss that may impact our financial position due to adverse changes in financial market prices and rates. Our market risk exposure is primarily the result of fluctuations in interest rates, inflation and foreign currency exchange rates.

Interest Rate Risk

We are exposed to market risk related to changes in interest rates. We had cash and cash equivalents of $97.3 million, $191.5 million and $195.2 million as of December 31, 2023 and 2024 and September 30, 2025, respectively. Our cash and cash equivalents consist of cash held in sweep accounts, checking accounts, and lock-box accounts. The cash and cash equivalents are primarily for working capital purposes. Such interest earning instruments carry a degree of interest rate risk. Our financing arrangement with Western Alliance Bank subjected us to variable amount of interest on the principal balance outstanding, the debt was extinguished in 2024. Our debt facility with Oberland Capital is at a fixed rate of interest. The effect of a hypothetical 10% change in interest rates would not have had a material impact on our financial statements for the years ended December 31, 2023 and 2024 or the nine months ended September 30, 2025.

Inflation risk

We do not believe that inflation has had a material effect on our business, financial condition, or results of operations. If our costs were to become subject to significant inflationary pressures, we may not be able to fully offset such higher costs through increases in revenue as increases in inflation rates may also negatively affect demand for our product offerings, and our ability to raise capital and cashflow. Our inability or failure to fully offset any such higher costs could harm our business, financial condition, and results of operations.

Foreign currency exchange rate fluctuations

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Our operations are currently conducted almost entirely in the United States as international markets contribute less than 1% of our revenue. If we choose to expand internationally, our results of operations and cash flows may become subject to fluctuations due to changes in foreign currency exchange rates. In periods when the U.S. dollar declines in value as compared to the foreign currencies in which we incur expenses, our foreign currency-based expenses will increase when translated into U.S. dollars. In addition, future fluctuations in the value of U.S. dollar may affect the price at which we sell our tests outside the United States. To date, our