SDGR · CIK 0001490978
What Schrodinger, Inc. told the SEC could break it.
Schrödinger's disclosures lean on dependencies it doesn't fully control. For its own drug pipeline it owns no manufacturing and relies entirely on third-party contract manufacturers — for all raw materials, drug substance and finished product — with no long-term supply agreements in place, while its compute-intensive platform runs through a handful of sites including a single internal hosting facility in Clifton, New Jersey whose loss could disrupt operations. Layered on top are customer concentration, with one customer at 17% of 2025 revenue, and trade-policy exposure, as U.S. tariffs on China-sourced raw materials could raise costs and complicate imports for its preclinical and clinical work.
4 self-disclosed vulnerabilities, pulled from its own filings, each in the company’s words, with the source. This is the risk register almost nobody reads.
In its own words
What could break it.
Customer concentration
- One customer = 17% of total revenue (2025)medium
Revenue is concentrated: one customer accounted for 17% of total revenue in 2025 (10% in 2024), and one customer represented 10% of total accounts receivable (68% in 2024); all unnamed.
“For the years ended December 31, 2025 and 2024, one customer accounted for 17 % and 10 % of total F-11 Table of Contents revenues, respectively.”
SEC filing →As of 2026
Geographic concentration
- Primary facilities NY/Portland/Hyderabad + single internal hosting facility (Clifton, NJ)medium
Operations are primarily conducted at facilities in New York, Portland (OR) and Hyderabad (India), plus a single internal compute-hosting facility in Clifton, NJ; a natural disaster or catastrophic event at these sites — particularly the sole hosting facility — could disrupt the compute-intensive platform.
“Our operations are primarily conducted at our facilities in New York, New York, Portland, Oregon, and Hyderabad, India, and our internal hosting facility located in Clifton, New Jersey.”
SEC filing →As of 2026
Regulatory & policy
- U.S. tariffs on China-imported raw materials and drug candidatesmedium
U.S. tariffs and trade-policy uncertainty (notably toward China) could raise the cost of manufacturing and affect import/export of raw materials and product candidates used in preclinical and clinical work, particularly materials imported from China, despite some pharmaceutical-product exemptions.
“import or export of raw materials and finished product candidates used in our preclinical studies and clinical trials, particularly with respect to any product candidates and materials that we import from China.”
Supplier concentration
- Full reliance on third-party CMOs with no long-term supply agreementsmedium
Schrödinger owns no manufacturing facilities and relies entirely on third-party contract manufacturers for all raw materials, drug substance and finished drug product for its proprietary pipeline, with no long-term supply agreements currently in place.
“We rely and expect to continue to rely on third-party contract manufacturers for all of our required raw materials, drug substance, and finished drug product for the preclinical and clinical development of any product candidates we develop ourselves and for any commercial supply of approved products, if any.”
SEC filing →As of 2026
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