Q2 2025 GeneDx Holdings Corp Earnings Call
Operator: to the GeneDx second quarter 2025 earnings conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there'll be a question and answer session.
Operator: To ask a question during the session, you'll need to press star 11 on your telephone. You will then hear an automated message advising your hand is raised. To withdraw your question, please press star 1 again.
Good day, and thank you for standing by. Welcome to the GeneDx Holdings Corp. second quarter 2025 earnings conference call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question during the session, you'll need to press star 1, 1 on your telephone.
You will then hear an automated message. Advising. Your hand is raised.
Operator: Please be advised that today's conference is being recorded.
To ensure your question. Please press star 1 to gain.
Sabrina Dunbar: I would now like to turn the conference over to Sabrina Dunbar. Investor Relations, please go ahead. Thank you, Operator, and thank you to everyone for joining us today.
Please be advised. That today's conference is being recorded. I would now like to turn the conference over to Sabrina Dunbar investor relations. Please go ahead.
Sabrina Dunbar: On the call, we have Katherine Stueland, President and Chief Executive Officer, and Kevin Feeley, Chief Financial Officer.
Thank you, operator. And thank you to everyone for joining us today.
Sabrina Dunbar: Earlier today, GeneDx released financial results for the second quarter and to June 30, 2020. Before we begin, please take note of our caution. We may make forward-looking statements on today's call, including about our business plans, updated 2035 guidance. Forward-looking statements inherently involve risks and uncertainties and only reflect our view as of today, July 29th, and we are under no obligation.
On the call, we have Katherine stulan, president and chief executive officer in Kevin phy Chief Financial Officer earlier today. Gindi X released Financial results for the second quarter and in June 30th 2025.
Before we begin, please take note of our cautionary statements. We may make 4 looking statements on today's call including about our business plans, updated 2025 guidance, and Outlook.
Sabrina Dunbar: When discussing our results, we refer to non-GAP measures, which exclude certain items from recorded results. Please refer to our second quarter 2025 earnings release and slides available at ir.gndx.com for definitions and reconciliations of non-GAP measures and additional information regarding our results, including a discussion of factors that could cause actual results to materially differ from forward-looking results.
Forward-looking statements inherently, involve risks, and uncertainties, and our, and only reflect our view as of today, July 29th, and we are under no obligation to update.
When discussing our results, we refer to non-gaap measures, which exclude certain items from recorded results.
Katherine Stueland: And with that, I'll turn the call over to Katherine. Thanks, Sabrina, and good morning, everyone. Today, I'm incredibly proud to share that our team's work not only met but exceeded expectations, achieving a major milestone of delivering over $100 million in revenue in a single quarter for the first time. Our strong second quarter performance was driven by our core business, underscoring its strength and resilience. These results, coupled with the ever-expanding opportunities ahead, demonstrate that we're just beginning to deliver on the promise of how our genomic technology can fundamentally transform healthcare. Our vision is for a world where genetic information is delivered as early as possible to prevent unnecessary suffering and lead to healthier lives for all.
please refer to our second quarter of 2025 earnings release and slides available at
And with that, I'll turn the call over to Catherine.
Thanks, Sabrina and good morning everyone. Today, I'm incredibly proud to share that our teams work. Not only met but exceeded expectations, achieving a major Milestone of delivering over 100 million dollars in Revenue in a single quarter for the first time.
Our strong second quarter performance was driven by our Core Business. Underscoring its strength and resilience
Katherine Stueland: Today, we're waiting for symptoms to develop and for disease to progress, not only over the course of months, but over the course of years. We've never been more resolute about our commitment to radically change. Shifting from sick care to health care, driving better health outcomes, better economic value, and a better health care system for us all. At a recent all-company meeting, a patient advocate reminded us why we do this. His diagnostic odyssey lasted nearly two decades before he received it. The story highlights a systemic issue. Care often starts too late, with children waiting an average of five years for a genetic diagnosis.
These results coupled with the ever expanding opportunities at demonstrate that we're just beginning to deliver on the promise of how our genomic. Technology can fundamentally transform Healthcare. Our vision is for a world where genetic information is delivered as the earliest possible to prevent unnecessary suffering and lead to healthier lives for all.
Today, we're waiting for symptoms to develop and for disease to progress. Not only over the course of months.
But over the course of years, we've never been more Resolute about our commitment to radically change this.
At a recent all-company meeting,
A patient advocate reminded us why we do this. His diagnostic odyssey lasted nearly two decades before he received a cancer diagnosis.
Katherine Stueland: This is totally unacceptable given the solutions we have in hand today at GeneDx. Thanks to our investment in innovation and scale, genomic testing, once considered slow and costly, now delivers answers not in weeks or even days, but sometimes hours, and at costs lower than ever before. Our technology is shifting healthcare from reactive to proactive, benefiting both patients and the healthcare system. GeneDx is uniquely positioned to bring genomic information into mainstream medicine. We diagnose more rare diseases than anyone in the world and are the number one genetic testing brand amongst pediatric healthcare providers with 80% market share amongst geneticists.
His story highlights a systemic issue. Cara often starts too late with children waiting. An average of 5 years for a genetic diagnosis.
This is totally unacceptable, given the solutions we have in hand today at GDX.
Thanks to our investment and Innovation and scale. Genomic testing once considered slow and costly. Now delivers answers not in weeks or even days but sometimes an hour
And it costs lower than ever before.
Our technology is Shifting Healthcare from reactive to proactive benefiting both patients and the Health Care system.
Katherine Stueland: Our unmatched expertise and proprietary data set enriched for rare disease, inclusive of asymptomatic individuals supported by clinical data and representative of the U.S. population, has enabled us to identify over 500 gene disease relationships to date, ensuring more patients receive answers with greater accuracy. This is what sets GeneDx apart, and why we're the clear leader in ushering in the next era of genomics-informed health. Our competitive advantage grows with every patient we With over 850,000 exomes and genomes and over 7 million phenotypic data points, we've built one of the world's most comprehensive genomic data sets, and we are putting it to work for people.
JDX is uniquely positioned to bring genomic information into mainstream medicine. We diagnose more rare diseases than anyone in the world and are the number one genetic testing brand among pediatric healthcare providers, with 80% market share among geneticists.
Our unmatched expertise and proprietary data set, along with Rich for rare disease, inclusive of asymptomatic individuals supported by clinical data and representative of the U.S. population, has enabled us to identify over 500 gene-disease relationships to date. This ensures that more patients receive answers with greater accuracy.
This is what sets Gene DX apart and why we're the clear leader in ushering in the next era of genomics, informed Healthcare.
Our competitive Advantage, grows with every patient we test.
Katherine Stueland: Our proprietary interpretation platform grows stronger with each new patient we test, building upon our data advantage and leveraging AI to drive greater accuracy, speed, and scalability. Our lead will only continue to expand as we integrate Fabric Genomics and its proprietary algorithms into the core platform. further strengthening our competitive edge and positioning us for unprecedented scale. As we grow the business and reach new clinicians, we will continue to stand out on quality, accuracy, scale, and experience. Put another way, there's no one who can check all the boxes of being better, faster, and cheaper than GeneDx. We have everything we need to remain the leader, even as competition emerges.
With over 850,000 exomes and genomes and over 7 million phenotypic data points, we've built one of the world's most comprehensive genomic data sets, and we are putting it to work for patients.
Our proprietary interpretation platform grows stronger with each new patient. We test building upon our data advantage and leveraging AI to drive greater accuracy speed and scalability.
Our lead will only continue to expand as we integrate Fabric genomics and its proprietary algorithms into the core platform.
Further strengthening our Competitive Edge and positioning us for unprecedented scale.
As we grow the business and reach new clinicians, we will continue to stand out on quality, accuracy, scale and experience.
Put another way, there’s no one who can check all the boxes of being better, faster, and cheaper than GDs.
Katherine Stueland: We've established a strong foothold with geneticists who choose us eight times out of 10, demonstrating the trust we've built in our core market. These geneticists are key influencers and their continued support is helping us win over other specialists as we grow. And that's what's happening today as our reach has broadened and deepened. In the second quarter, pediatric neurologists made up a majority of new exome and genome ordering providers, and we've now captured nearly a third of our target clinicians in the segment. Most of our Q2 volume growth came from patients within our core indications, but we're also seeing early signs of increased adoption as we introduce new indications like cerebral palsy.
We have everything we need to remain the leader even as competition emerges.
We've established a strong foothold with geneticists who choose us, 8 times out of 10 demonstrating the trust we've built in our core Market.
These geneticists are key influencers and their continued support is helping us win over other Specialists. As we grow
And that's what's happening today as our reach has broadened and deepened.
And the second quarter pediatric, neurologist made up a majority of new exome and genome ordering providers. And we've now captured nearly a third of our Target clinicians in the segment.
Katherine Stueland: This expansion has helped us reach 14% of our target patients, which is growth from last quarter, as it represents the same share of a larger patient. In Q2, we also began engaging pediatric immunologists, an entirely new audience, focusing on children with inborn errors of immunity. Based on our experience with pediatric neurologists, we expect to see momentum build in these new indications and call points as our relationships develop. Another growth driver for the second half is the NICU, which represents a billion dollar opportunity. Fewer than 5% of babies in the NICU currently receive a genetic test.
Most of our Q2 volume growth came from patients within our core indication. But we're also seeing early signs of increased adoption as we introduce new indications like cable policy.
This expansion has helped us reach 14% of our Target patients, which is growth from last quarter, as it represents the same share of a larger patient pool.
And Q2 we also began engaging, Pediatric immunologists and entirely new audience focusing on children with inborn errors of immunity.
Based on our experience with pediatric neurologists, we expect to see momentum build in these new indications and call points as our relationships keep in.
Another growth driver for the second half is the NICU, which represents a billion dollar opportunity.
Katherine Stueland: So this is an important market for us to develop. Each year, 235,000 infants are treated at approximately 800 level 3 or level 4 NICUs that could benefit from rapid genomic testing. 20% of which are already a GeneDx client. Importantly, 42 out of 50 top NICUs have already ordered testing from us this year, and we're continuing to take a top-down and bottom-up approach to scale volume. We recognize the need for three things to succeed in the nation. Data, Product, and Scale. And we now have all three. Our enterprise sales team is equipped with seq-first data demonstrating up to 60% of infants in high-acuity NICUs would benefit from rapid genome sequencing and a CFO calculator that demonstrates the financial benefits of testing to each hospital.
Fewer than 5% of babies in the NICU. Currently receive a genetic test. So, this is an important market for us to develop.
Each year, 235,000 infants are treated at approximately 800 Level 3 or Level 4 NICUs. That could benefit from rapid genomic testing, 20% of which are already GeneDx clients.
Importantly 42 out of 50 topic. Use have already ordered testing from us this year and we're continuing to take a top down and bottom up approach to scale volume.
We recognize the need for 3 things to succeed in the NICU.
Data product and scale. And we now have all 3.
Katherine Stueland: Our ultra-rapid test delivers results in as early as 48 hours, and Epic Aura integrations are supporting a seamless delivery of our testing. We have three health systems live on Epic Aura, and we expect to have a dozen hospitals on board and a few thousand tests performed by year end. As protocols evolved and whole system engagement increases, we're well positioned to scale NICU testing. While the NICU represents a significant and growing frontier for us, an even larger transformative opportunity is the general pediatrics market. This shift is largely driven by recent guidance from the American Academy of Pediatrics recommending pediatricians use exome and genome sequencing as a first-tier test for children with global developmental delay or intellectual disability.
8% of infants and high acute and acute would benefit from Rapid genome sequencing, and a CFO calculator, that demonstrates the financial benefits of testing to each Hospital.
Our Ultra rapid tests delivers results in as early as 48 hours and epic Aura Integrations are supporting a seamless delivery of our testing patient.
We have 3 Health Systems live on Epic Aura and we expect to have a dozen hospitals on board and a few thousand tests performed by year end.
As protocols evolve and whole system engagement increases were well positioned to scale. Make you testing significantly.
While the Nikki represents a significant and growing Frontier for us and even larger transformative opportunity, it's the general Pediatrics Market.
Katherine Stueland: This is a speed change in pediatric health. Previously, pediatricians referred these children to specialists, beginning a long, painful odyssey for families. Now with new guidance that can all. The general pediatrician market remains. of the 60,000 general pediatricians in the U.S., about 25,000 diagnosed children with developmental or intellectual delays, representing 600,000 children who could benefit from our care. To accelerate adoption of the new guidelines, we will have a presence at the annual AAP meeting in September, where we'll engage directly with clinics. We're also investing in continuing medical education to ensure pediatricians understand the new guidance and how to integrate exome and genome testing into their practice.
This shift, is largely driven by recent guidance, from the American Academy of Pediatrics recommending pediatricians. Use EXO and genome sequencing as a first tier text for children, with global developmental delay or intellectual disability.
This is a sea change in Pediatric Healthcare previously, pediatricians referred these children to specialists.
Beginning a long, painful honesty for families.
Now, with new guidance, that can all change.
The general pediatrician market remains untapped. Of the 60,000 general pediatricians in the U.S., about 25,000 diagnose children with developmental or intellectual delays, representing 600,000 children who could benefit from our testing.
To accelerate adoption of the new guidelines, we will have a presence at the annual AAP meeting in September, where we'll engage directly with clinicians.
Katherine Stueland: By collaborating with local AAP chapters and leveraging our marketing engine, we're building awareness and trust in GeneDx, making it easier for pediatricians to navigate this shift and confidently order our. Currently, we're improving our customer experience to make it more accessible to a non-specialist. We're taking a targeted commercial approach in Q3, starting with the fewer than 5% of pediatricians already ordering genetic tests for a high number of CDID. allowing us to learn and refine our strategy before scaling.
We're also investing in continuing medical medical education to ensure pediatricians, understand the new guidance and how to integrate exome and genome testing into their practice.
By collaborating with local AAP chapters and leveraging our marketing engines. We're building awareness and Trust in GDX. Making it easier for pediatricians to navigate this shift and confidently order our pets.
Can currently we're improving our customer experience to make it more accessible to a non-specialist.
We're taking a targeted commercial approach in Q3, starting with the fewer than 5% of Pediatricians already ordering genetic tests for a high number of CD ID patients.
Katherine Stueland: With a $2.5 billion market opportunity ahead, we expect a broader adoption to take 18 to 24 While pediatricians represent a significant long-term opportunity, for the remainder of the year, we expect growth to be driven by our core customer base of specialists diagnosing patients with epilepsy, autism, and DDAD, supplemented by new medications, and then Our work to date has shown the value of testing symptomatic. But we know the next step forward is to provide a diagnosis before symptoms begin with genomic newborn screening. The Guardian study has shown that whole genome sequencing can identify serious treatable genetic conditions in over 3% of newborns.
Allowing us to learn and refine our strategy before scaling up.
With a 2.5 billion dollar market opportunity ahead. We expect a broader adoption to take 18 to 24 months.
While pediatricians represent a significant long-term opportunity. For the remainder of the year, we expect growth to be driven by our core customer base of specialist diagnosing patients with epilepsy autism and DD ID. Supplemented by new indications and the NICU.
Our work today has shown the value of testing symptomatic patients, but we know the next step forward is provide a diagnosis before symptoms. Begin with genomics newborn screening.
The guardian study has shown that whole genome sequencing can identify serious.
Katherine Stueland: 92% of which would have been missed by standards. Legislative progress, such as Florida's Sunshine Genetics Act, is paving the way for broader adoption. With experience screening over 17,000 newborns, our robust underlying data, and our ability to deliver at scale, we are uniquely positioned to play a key role as this initiative expands. All the while, our team is forging partnerships with pharmaceutical companies of every size, because while only 5% of rare diseases have an approved therapy, we know that our unparalleled genomic data can help accelerate the development of new. We are positioned as a partner of choice, ready to support biopharma in harnessing genetic insights to inform and transform their Our commitment is simple.
Treatable genetic conditions in over 3% of newborns 92% of wedge would have been missed by standard screening.
Legislative progress, such as Florida, Sunshine, genetics act, it's Paving the way for broader adoption with experience. Screening over 17,000 newborns are robust underlying data and our ability to deliver at scale. We are uniquely positioned to play a key role as this initiative of evolved.
All the while our team is forging Partnerships with pharmaceutical companies of every size. Because while only 5% of rare diseases, have an approved therapy, we know that our unparalleled genomic data can help accelerate the development of new treatments.
We are positioned as a partner of choice, ready to support bio-pharma, and harnessing genetic insights to inform and transform the therapy of our pipeline.
Katherine Stueland: Get families the answer they need sooner. Helping patients get on the right path to better health while reducing unnecessary cost across Not only are we leaders in genomic testing, but we're extending that lead and continually raising the bar by investing in our strategy, our technology, and our people. While our mission is bigger than profitability, we're proud that we've built a business that is both purposeful and profitable. That success is thanks to our dedicated team of partners and a shared belief in what's possible when innovation meets innovation.
Our commitment is simple: get families the answers they need sooner, helping patients get on the right path to better health while reducing unnecessary costs across the health care system.
Not only are we leaders in genomic testing but we're extending that lead and continually raising the bar by investing in our strategy. Our technology and our people
Kevin Feeley: With that, I'll hand things over. Thanks, Katherine, and thank you all for joining us. We reported second quarter 2025 revenues of $102.7 million, a 49% increase year-over-year. That total includes a record high of $85.9 million in revenue from Exome and Genome, up 69% from the same quarter last year. The average reimbursement rate for Exome and Genome was over $3,700. That's up from approximately $3,400 last quarter, and there's nothing I would call out in the second quarter results as unique or wonderful. We're driving sustainable reimbursement rate improvements across both commercial and Medicaid payers by demonstrating the value necessary to expand policy.
Well, our mission is bigger than profitability. We're proud that we've built a business that is both purposeful and profitable. That success is thanks to our dedicated team, our partners and I shared belief in. What's possible when Innovation meets convictions with that, I'll hand things over to Kevin.
Career. That total includes a record. High of 85.9 million in revenue, from Exo and genome up 69% from the same quarter last year. The average reimbursement rate for excellent genome was over 3,700. A test in the quarter, that's up from approximately 3,400 dollars last quarter and there's nothing. I would call out in the second quarter results as unique or 1 time.
Kevin Feeley: Our use of technology and process design are helping to avoid unnecessary non-medical documentation. As I've often said, revenue cycle improvements aren't always linear, some periods outperform others. Q2 was one of those standout quarters, though, reinforcing our durable, long-term improvement. As we sit here today, business fundamentals have never been stronger, and our serviceable market continues. We remain on track to deliver our full year guide of at least 30% year-over-year volume. We reported 23,102 exome and genome tests in the second quarter of 2020. of 28% compared to the second. The first half of the year has continued to play out as anticipated, providing conviction in the back half and with several catalysts.
We're driving sustainable reimbursement, rate improvements across, both commercial and Medicaid payers by demonstrating the value necessary to expand policy.
Our use of technology and process design are helping to avoid unnecessary, non-medical, documentation, and procedural denials.
And have often said revenue cycle. Improvements aren't always linear some periods. Outperform others Q2 was 1 of those standout quarters though. Reinforcing our durable long-term Improvement trends
As we sit here today, business fundamentals, have never been stronger and our serviceable Market continues to expand. We remain on track to deliver our full year guide of at least 30% year-over-year, volume growth.
We reported 23,120 XM and genome tests in the second quarter of 2025 up, 28% compared to the second quarter of last year.
Kevin Feeley: This quarter, the majority of growth came from existing docs, and we are seeing strong early signals that new indications like cerebral palsy are driving increased same-sex And importantly, our expansion into new indications makes GeneDx even more attractive to new account targets. in the back half of this year and beyond, we'll begin to layer on new growth curves from the NICU and from pediatric immunologists and others. and from the pediatricians, backed by AAP, and from newborn screening. and from international contribution. And of course, all of that is supplemented by the long-term potential to establish a meaningful, diversified revenue stream by putting the unparalleled nature of the GeneDx data to work for healthcare partners to accelerate drug distribution.
the first half of the year has continued to play out as anticipated, providing conviction in the back half and with several catalysts to come
This quarter, the majority of growth came from existing docks, and we are seeing strong early signals that new indications like cerebral. Palsy are driving. Increased same store sales.
And importantly, our expansion into new indications, makes GDX. Even more attractive to new account targets.
in the back half of this year Beyond, we'll begin to layer on New Growth curves from the NICU and from Pediatric immunologists and other specialists,
And from the pediatricians backed by AAP and for newborn screening.
Kevin Feeley: Over the last 10 years, we've moved from pioneering exomaniac to gaining the hard-earned trust of the expert community, to developing the best-in-class product. becoming the largest provider of rare disease. All of this has established unique credibility for GeneDx to lead in all of.
And from International contribution. And of course, all of that is supplemented by the long-term potential to establish a meaningful Diversified Revenue stream by putting the unparalleled nature of the Genji. X data to work for healthcare partners to accelerate drug Discovery and development.
Over the last 10 years, we've moved from pioneering EXO and genome to gaining the hard-earned trust of the expert community.
To developing the best-in-class product to become the largest provider of rare disease diagnosis.
Kevin Feeley: returning to Gross Margin. we again expanded Total Company Adjusted Gross Margin to a record high of 71%, driven by all three of favorable makeshift, improved reimbursement, and lower costs. There is room to run in terms of reducing COGs in the future by combining the best of capabilities between GeneDx and Fabric as we lean into the best possible algorithms to optimize dry lab processes.
All of this has established unique credibility for GDX to lead in all of these new markets.
Now, turning to gross margin.
We again expanded total company adjusted gross margin, to a record high of 71%, which driven by all 3 of favorable makeshift, improve reimbursements and lower cogs.
Kevin Feeley: Jump is operating. $158 million. That is up in terms of aggregate dollars representing investments in future growth in the addition of fabric. However, we're driving increase. total OPEX was 56% of revenue in the second quarter of 2025, compared to 65% in the second quarter of 2020. team has the experience necessary to properly balance innovation and growth with the skill to relentlessly look further. And we'll do just that moving. where we see clear opportunities to invest, to accelerate growth, to open new markets, and to take share.
There is room to run in terms of reducing cogs in the future, by combining the best of capabilities between GDs and fabric as we lean into the best possible algorithms to optimize dry lap processes.
Adjusted operating expenses were 58 million.
That is up in terms of aggregate dollars representing investments in future growth in the addition of fabric. However, we're driving increased leverage. Total Opex was 56% of Revenue in the second quarter of 2025 compared to 65% in the second quarter of 2024.
Our team has the experience necessary to properly, balance Innovation and growth with the skill to relentlessly look for efficiency.
Kevin Feeley: We will. all within an envelope of staying proud. On the bottom line, we generated $15 million in adjusted net income in the second quarter. That's our fourth consecutive quarter of profitability on that basis, having now cemented the business sustainably. Our business has the bones for durable, high growth, all with the ability to drive EPS decreases. On the balance sheet, cash, cash equivalents, and marketable securities totaled $135.5 million as of June 30th, 2019. As a reminder, the second quarter of 2025 included a payment of $33.2 million at closing to a quarter.
And we'll do just that moving forward where we see clear opportunities to invest to accelerate growth to open new markets and to take share we will do. So all within an envelope of saying profitable,
On the bottom line, we generated 15 million in adjusted net income in the second quarter of 2025. That's our fourth consecutive quarter of profitability on that basis. Having now, cemented, the business sustainably in the black
Our business has the bones for durable, high growth, all with the ability to drive EPS depreciation over time.
Balance sheet, cash, cash equivalents, and marketable securities total $135.5 million as of June 30, 2025.
As a reminder, the second quarter of 2025 included a payment of $333.2 million at closing to acquire Fabric.
Kevin Feeley: And now on to guidance. We're raising our top line total revenue guidance to between $400 and $415 million per full year 2025. We're raising exome and genome revenue guidance to deliver between 48 and 52% growth for the full year 2020. The math on that is exome and genome revenue of $345 to $355 million.
And now on to guidance. We're raising our top line, total revenue guidance to between $400 million and $415 million for full year 2025.
We're raising EXO and genome revenue guidance to deliver between 48% and 52% growth for the full year 2025.
Kevin Feeley: We reaffirm our expectation to deliver at least 30% exo and genome volume growth for full year 2025. We're raising our expectation for full year adjusted growth margin to between 68 and 71%. And we once again reaffirm our expectation to remain profitable each quarter for the full year of 2025 on an adjusted growth margin.
The math on that is EXO and genome revenue, with $345 million to $355 million.
We reaffirm our expectation to deliver at least 30% EXO and genome volume growth for full year 2025.
Katherine Stueland: And I'll turn it back to Katherine. Thank you, Kevin, and thank you to our entire team for their continued dedication to the patients and families we serve. We believe the future of healthcare is about proactive, personalized care. That means understanding as early as possible whether a person has a genetic condition so that care can be tailored, risks can be managed, and outcomes improved. This is the future of medicine, this is the genome era, and we're proud to be leading the way.
2025 on an adjusted, net income basis.
That'll turn you back to Catherine. Thank you. Kevin. And thank you to our entire team, for their continued dedication, to the patients and families. We serve
We believe the future of healthcare is about proactive, personalized care.
That means understanding as early as possible whether a person has a genetic condition so that care can be tailored, risks can be managed, and outcomes improved.
Operator: With that, we welcome your questions. Thank you. As a reminder, if you would like to ask a question, please press star 11 on your telephone. We also ask that please wait for your name and company to be announced before proceeding with your question. One moment while we compile the Q&A roster.
This is a future of medicine. This is the genome era and we're proud to be leading the way.
With that, we welcome your questions.
Thank you. As a reminder, if you would like to ask a question, please press star, 1, 1, 1 on your telephone. We also ask that you please wait for your name and company to be announced before proceeding with your question. One moment while we compile the Q&A roster.
David Westenberg: Our first question for the day will be coming from David Westenberg of Piper Sandler. Your line is open. Oh, thank you for taking the question. Congrats on such a great quarter. My first one here is for Kevin. ASPs trounced, you know, estimates by a lot. And you kind of mentioned there's no one-time thing in the quarter, but, you know, it was a pretty big move.
Our first question for the day will be coming from David Westenberg of Piper Sandler. Your line is open.
Kevin Feeley: So can you maybe go back a couple quarters, assuming this is ebbs and flows, are there a discreet drivers to think about over the last four quarters, maybe like a few states that all covered all at the same time or anything that think about your benefits that, you know, maybe manifested this quarter that we could think about maybe comping or any other thing in kind of the go-forward basis? Yeah, thanks, Dave. I say if you if you were to roll back the clock, go back towards the end of 2023, we made major overhauls to the team and processes across the revenue cycle.
Oh, thank you for taking the question. Um, congrats on on such a great quarter. Um, my first 1 here is for Kevin, ASP is trounced um, you know, estimates by a lot and you you kind of mentioned There's No 1 time um thing in the quarter but you know, it it was a pretty big move. So can you maybe go back a couple quarters. Assuming this is es and flows, are there a couple discrete drivers to think about over the last 4 quarters? Maybe like a few states that 1 that that all covered all at the same time or anything that
Think about, um, you your benefits that, you know, maybe manifested this quarter that we could think about maybe comping or any other thing in the in in kind of the go forward basis.
Katherine Stueland: to identify ways to more closely adhere to documentation requirements on a payer-by-payer basis, and that's paid off handsomely. And so as it relates to reducing denials across commercial payers, it's more so our continued ability to improve payment rates. by reducing what I'll call unnecessary documentation or procedural denials. That work has been ongoing for a year and we continue to invest in finding ways to adhere to necessary requirements to get paid fairly for the work that we've done. And of course, on the Medicaid population, a large portion of our business does run through Medicaid, state Medicaid programs, and there's been a steady flow of new states picking up Medicaid coverage over the last year to two years.
Yeah, thanks. Dave. I I'd say if you, if you were to roll back the clock, we go back. Towards the end of 2023, we made major overhauls to the team and processes across the revenue cycle to identify ways to uh, more closely adhered to documentation requirements on a pear by payer basis and that's paid off handsomely. Um, and so as it relates to reducing denials across commercial payers, it's more. So our continued ability to improve payment rates. Um, by reducing what I'll call unnecessary, documentation, or procedural denials that work has been ongoing for a year and we continue to invest in finding ways, um, to adhere to necessary requirements, to get paid, fairly for the work that we perform. And of course, on the Medicaid population, a large portion of our business does does run through Medicaid State, Medicaid programs. And there's been a, a steady flow of new States picking up Medicaid.
Kevin Feeley: We're now up to 30. five states that cover exome genome on an outpatient basis, which includes just two new ones this quarter that picked up coverage, and 17 that cover rapid genome on the inpatient side. So there's no doubt that we're benefiting from more and more state medications. coverage. That's of course volume that we've been serving well ahead of coverage. So it was always there in terms of volume but not necessarily paid volume and happy to see that pulling through.
Bridge over the last, uh, year to, to 2 years. We're now up to 30.
David Westenberg: My comment on the second quarter is more so to say there's nothing I would call out that's leading to that higher rate of the second quarter as anything outside of us just continuing to collect better by reducing denial. So no major appeal wins to call out just the good hard work to ensure that we're boosting collection rate by avoiding Thank you very much.
5 states that cover ex genome on an outpatient basis which includes just 2 new ones. This quarter um that picked up coverage and 17 that cover, um, rapid genome on the inpatient side. So there's no doubt that we're benefiting from more and more State, Medicaid, uh, coverage. That's, of course, volume that we've been serving well ahead of coverage. Um, so it was always there in terms of volume but not necessarily paid volume and happy to see that pulling through my comment on the second quarter is more so to say um there's nothing I would call out that's leading to that higher rate of the second quarter as as anything outside of us just continuing to collect better by reducing denial. So no major appeal wins to to call out just a good hard work, um, to ensure that we're boosting collection rates by avoiding unnecessary denial.
Katherine Stueland: This is probably more for Katherine.
Katherine Stueland: If you're thinking about going after the pediatric market in 2026, can you talk about balancing an economically sound approach with going after this really big opportunity and how we should think about kind of the rampant investment there? Maybe that's a little bit of Kevin too, but anyway, thank you. Yeah, that's great. So, the general pediatric opportunity is, of course, a massive one, and it's one that we have to build. And so, I think your question about how do we balance particularly the core of our business and growth in pneuro, where we've been continuing to see great success versus building a market is really important.
Okay. Uh, thank you very much. And, um, bro, this is probably more for Catherine. Um, is is you're thinking about going after the Pediatric Market, uh, in 2026? Can you talk about, um, you know, balancing and economically sound approach with necessity and going with, you know, going after this really big opportunity, um, and and how we should think about kind of the ramp and investment there. I think maybe that's a little bit of Kevin too. But anyway, thank you.
Katherine Stueland: You know, the runway on the pneuro side of things continues to be a really critical opportunity for us. So, we're going to continue to put the vast majority of our focus, of course, there for the remainder of this year and into 2026 and 27 as well as we start to build this broader general pediatrician market. The first step for us beyond the guidelines being published really comes down to a number of things. So, one, our sales team will continue to focus on pneuros, but we've got a very targeted approach to the pediatricians who are ordering testing from us today.
Katherine Stueland: So, we feel like we've got the right balance keeping our eye on the ball for the near-term opportunity.
Katherine Stueland: I would say second will be at AAP, which is in September. We'll start to educate the general pediatricians at that meeting and through local chapters and through medical education. Our market access team is bringing the guidelines to all of the payers to ensure that the medical policy really gets updated to be in line with AAP guidelines. And then we'll continue to extend our marketing investment that we kicked off in June of this year to raise awareness. So, we think that we're taking a really prudent approach to the investment in the current market expansion in pneuros and other specialists while we take on the future market on general pediatricians.
Pediatrician Market, the, the first step for us, um, beyond the guidelines being published, um, really comes down to, um, uh, a number of things. So 1, um, our, our sales team will continue to focus on ped neuros, but we've got a very targeted approach to the pediatricians, who, who, um, are ordering testing from us today. Um, so we feel like we've got the right balance, keeping our eye on the ball for the near-term opportunity. Um, I would say second will be at AAP, which is in September. We'll start to to educate. Um, the general pediatric, General pediatricians, um, at that meeting and through local chapters and through medical education. Um, our Market access team is bringing the guidelines to all of the payers to ensure that, um, that the medical policy really gets updated to be in line with AAP guidelines.
Katherine Stueland: I'd say the other piece that we have an eye on is how do we continue to make it easier for a non-expert to order our testing. So, we've begun to invest earlier this year, in fact, already embedded in our plans for 2025 in simplifying the ordering experience, making it easier for a non-expert to understand the results and the clinical action plans, the next steps. So, our product and technology team has, I would say, a really important roadmap that we need to realize to fully be able to take over that general pediatrician.
Um, and then we'll continue to extend um our marketing investment that we kicked off um, in June of this year to, to raise awareness. So, um, we think that we're taking a really prudent approach to the um, investment in the, the current Market expansion in Pedro's and other Specialists. While we take on um, the the the future Market on, um, General pediatricians. I'd say the other piece that we have an eye on is um, how do we
Katherine Stueland: Thank you so much and congrats again. Thank you. One moment for the next question.
We continue to make it easier for a non-expert to order our testing. So, um, we've begun to invest earlier this year. In fact, um, already embedded in our, um, and our plans for 2025, um, in simplifying, the ordering experience making it easier for, um, a non-expert to understand the results and the clinical action plans, the next steps. So, um, our product and Technology team has, um, I would say a really important roadmap that we need to realize to um, fully be able to to um, take over that General pediatrician opportunity.
Thank you so much, and congrats again.
Thank you. 1 moment for the next question.
Dan Brennan: And our next question will be coming from the line of Dan Brennan of TD Cal when your line is open. Great, thank you. And congrats, obviously, on a really strong quarter.
And our next question will be coming from the line of Dan Brennan of TV Account. When you mine is open.
Katherine Stueland: Maybe could you speak a little to when Katherine and Kevin, you both touched on it during the prepared remarks, but just as we think about. volumes, which were, you know, good in the quarter. You talked about the bridge to the second half. Just give us a little color on how the NICU is going. Kind of what's, how do we think about the impact in the back half of the year, you know, from the EMR integrations as well, from some of these newer indications, just wondering, you know, how the early progress has been and kind of what we assume to kind of bridge to the 30 percent volume growth.
Great. Thank you and uh congrats obviously on a really strong quarter. Um, maybe could you speak a little to when Katherine and Kevin you both touched on it during the prepared remarks? But just as we think about
Katherine Stueland: Awesome. So starting with the outpatient opportunity, as we said, most of the volume that we saw in the second quarter came from our core, meaning pediatric neurologists who had been ordering from us. About 25% of the volume growth came from new clinics. And so I think what we saw in Q2 was continued great growth in terms of the existing indications starting to be amplified by new indications as well. We kicked off cerebral palsy in March. We started calling on pediatric immunologists in April. So we expect that those are going to continue to really pick up.
Volumes which are, you know, good in the quarter, you talked about the bridge to the second half, just give us a little color on how the the niku is going. Kind of, what's how do we think about the impact in the back half of the year? Um, you know, from the EMR Integrations and as well from some of these newer indications. Just wondering, you know how the early progress has been in kind of what we assume to kind of Bridge to the 30% Vine growth.
Katherine Stueland: We saw some early indications that it amplified Q2, but we think Q3 and Q4 are going to be when we start to see the additional benefits from new indications. So as we think about the conscores of Q3 and Q4, we think volume growth will be bolstered by new indications in the second half of the year. On the NICU side of things, that's such an important new market for us, and we're really pleased with all of the progress that we've made. We have three health systems that are live with EPIC, and we're seeing volumes come through those three health systems. And we'll have 12, at least 12, in the second half of the year.
Awesome. Um, so starting with the outpatient opportunity, as we said, um, most of the volume that we saw in the second quarter came from, um, from our core meaning, pediatric neurologist who had been ordering from us, um, about 25%, um, uh, of the volume growth, um, came from New clinicians. Um, and so, I think what we saw in Q2 was, um, was continued great growth in terms of the, the existing indications, um, starting to be Amplified by new indications as well. We kicked off, um, terrible policy in March, we started calling on pediatric, immunologists in April, so we expect that those are going to continue to really pick up. Um, we saw some early indications that it amplifies you too, but we think 23 and 24, um, are going to be when we start to see the additional benefits from from new indications.
Um, so as we think about the Contours of Q3 and Q4, we think volume growth will be both bolstered by new indications, um, uh, in the the second half of the year on the NICU side of things. Um, you know, it's, that's such an important New Market for us. And we're really pleased with all of the the progress that we've made. We have 3 health systems that um, are alive with epic and we're seeing volumes come through those 3 Health Systems.
Katherine Stueland: So the sales team will really be focused, and this is an enterprise sales team, so it's different from the outpatient team. They're focused now on pulling those volumes through once EPIC sites are coming online.
Dan Brennan: So we'll see some contribution in Q3, but I think the real boost will be in Q4 in terms of the few thousand tests for the full year. Great. Sorry. I think I don't know if my phone went in now, but thank you for that. And maybe if you can hear me, hopefully you can hear me okay.
Thank you for um, in terms of the the 2000 test for for the full year.
Kevin Feeley: Just on price. So, Kevin, obviously, really strong price quarter. Would you be-could you give us a sense of what the prior period collection was in the quarter so we can kind of do our math? Looks like you're kind of guiding for the back half of the year somewhere between, call it $34.50, like low $3600s in order to get to your exome genome revenue growth. Obviously, it's a bit of a step down, but still super solid. Just wondering if you can help us think through what's baked in and kind of the prior period impact this quarter.
Great. Sorry, I think. Um, I don't know if my phone went in there, but thank you for that. And maybe if you can hear me, um, hopefully you can hear me. Okay. Just on price. So Kevin, um, obviously really strong price quarter. Would you be, could you give us a sense of what the prior period collection was in the quarter? So we can kind of do our math. Um, looks like you're kind of guiding for the back half of the Year somewhere between Co 3450 like low 3600s. In order to get to your Exo genome Revenue growth. Um, obviously it's a bit of a step down, but still super solid. Just wondering if you can help us, think through what's baked in and kind of the prior period impact this quarter.
Kevin Feeley: Yeah. So what's, if you look at pricing for the remainder of the year, you take 3718 we just posted in the second quarter. I think that's a good number, Dan, and the reason didn't call out anything kind of unique or one-off is that number I think is reflective of our cash collection experience in the second quarter and today and should be relied upon. Now, from a guide perspective, the guide does absorb the ability as we enter into new indications or new call points to see a higher denial rate on the new stuff, if you will, and therefore, if you do the math on the guide anchored in achieving the 30% for the full year, which we remain convicted in, the guide allows for that rate to step down some in the back half of the year.
Yeah. Um, so what's if you look at pricing for the remainder of the year, you take the
3718. We just posted in the second quarter, I think that's a good number and, um, and the reason it didn't call out anything kind of unique or 1 off, is that number, I think, is reflective of our cash collection experience in the second quarter and today, and should be relied upon. Now, from a, from a guide perspective, the guy does OBS absorb the ability as we enter into new indications or new call points to see a higher denial rate on on the new stuff if you will. Um, and therefore, if you do the math on, uh, the guide anchored in achieving the 30% for the full year,
Kevin Feeley: There's no particular reason to believe that that rate would step down other than the nature of submitting things for the first time to payers on the new. a new quote. The level of out-of-period adjustments have been fairly consistent over the past two years. The numbers disclosed in the quarter, it ranges anywhere from like $3 to $6 million, but I think important to properly characterize the Q2 performance as really representative of the collection rate. And frankly, a function of the fact that we continue to reduce denials and improve collection.
Katherine Stueland: I'm going to sneak one more in. Katherine, you sent in the prepared remarks. I think you said less than 5% of pediatricians already order for GP and IDD, so kind of, if you do the quick math, that's like over 2,000 pediatricians.
We remain convicted in. Um, it does the guide allows for the right to step down some in the back, half of the year. We have no particular reason to believe that that rate would step down other than the inherent nature of uh submitting things. For the first time to payers on the new indications and new call points. Uh, the level of at a period adjustments have been fairly consistent over the past 2 years. Um, the numbers disclosed in the quarter, um it ranges anywhere from like 3 to 6 million dollars. But I think important to uh properly characterize the Q2 performance as really representative of the collection rate and frankly, um, a function of the fact that we continue to reduce denials and improve collections
I'm going to speak one more in Catherine. You said I'm the prepared remarks.
Um, I think you said less than 5% of Pediatricians already ordered.
Katherine Stueland: That's where maybe your target early. Do you think you can begin to see some volume impact this year from those pediatricians, just trying to solve for like, what that early opportunity might look like? Thank you. Yeah, so we are going to be talking to pediatricians who are ordering from us today, but we don't want to distract our team from ensuring that they are really focused on the pedoneuro and other specialists that are embedded into our plan. You know, I would say contribution to this year from general pediatricians is going to be very minimal. And I think we'll start to see some more volumes in 2026 without a doubt.
Um, for GP and ID. So kind of, if you do the quick math, that's like over 2,000 pediatricians. That's where maybe your target early. Do you think you can begin to see some volume impact this year? From those pediatricians just trying to solve for like what that early opportunity might look like um thank you.
Katherine Stueland: But I would say minimal for this year, because we do want to make sure that the team continues to focus on the important growth opportunity that we have from the current year. Great. Okay. Thank you.
Yeah, so we are going to be talking to to pediatricians who are ordering from us today. Um, but we don't want to distract our team from ensuring that they are really focused on the the PED neuro and other Specialists that are embedded into our plans. Um, you know, I would say contributions to this year, from General pediatricians is going to be very minimal. Um, and the, I think we'll start to see, you know, some, some more volume in 2026 without a doubt. Um, but I, I would say minimal for this year, um, because we do want to make sure that the, the team continues to, to focus on the, um, on on the important growth opportunity that we have from from the core.
Great. Okay. Thank you.
Operator: One moment for the next question.
Thank you. 1 moment for the next question.
Subbu Nambi: And our next question is coming from the line of Subbu Nambi of Guggenheim. Your line is open. Hey, guys. Thank you for taking my question. Amazing, Porter. A follow-up to Dave's question, you are targeting 60,000 or so pediatricians. First, how do you go about identifying pediatricians who have ordered genetic tests at some point? I know you're going to use a targeted commercial approach where you're going to learn before scaling up. What are the signs you're looking for? What would make you expand quicker or slower? Wonderful.
And our next question is coming from the line of subu nambi of Guggenheim. Your line is open.
Hey guys, thank you for taking my question. I'm using Porto as a follow-up to Dave's question. You are targeting 60,000 or so pediatricians. First, how do you go about identifying pediatricians who have ordered genetic tests at some point? I know you're going to use a targeted commercial approach.
Um, going to learn before scaling up? What are the signs you're looking for? What would make you expand quicker or slower?
Katherine Stueland: So just to zoom out to the general pediatrician opportunity, really, if you think about it, there's 60,000 pediatricians in the U.S. About 25,000 of them see about 600,000 patients who have DDID. So as we think about that target group of pediatricians that we'll first focus on as we start to enter the Gen P's market, it would be the 25,000 who today are diagnosing patients with DDID. Of course, we want to see a day where all pediatricians are ordering this testing, but we think that from a segmentation standpoint that 25,000 is the right area for us to focus on.
Wonderful. So just to zoom out to the general pediatrician opportunity. Really, if you think about it, there are 60,000 pediatricians in the U.S.
Katherine Stueland: And so as we think about the sales force and planning to expand it as we enter into 2026, the 25,000 will be the area that we really stay focused on in the beginning.
Are ordering this testing, but we think that from a segmentation standpoint that 25,000 is, is the right is the right area for us to focus on. Um, and so as as we think about the the sales force, um, and planning to expand it as as we entered it to 2026, um, the the 25,000 will be the area that that we really stay focused on in in the beginning.
Kevin Feeley: Thank you for that, Katherine.
Kevin Feeley: This one's for Kevin. The other panels were pretty strong compared to our estimate. What drove that strength? I thought you were deprioritizing targeted panels. And then along those lines, how should we think about it in Q3 and Q4? Yeah, so you're thinking about it correctly that the sales team is not out there targeting and not incentivized, frankly. bring in anything other than. That said, as we activate new accounts, there are some non exome, non genome orders that count along for the ride with new doctors, which then tells us there's an opportunity to educate physicians around the clinical benefits, pro exome and genome to continue our effort.
Regard, thank you for that catching. Um, this is this 1's for Kevin. Um, the other panelists were pretty strong compared to our estimate. What group? That strength, I thought you were deep prioritizing, targeted panel. Um, and then along those lines. How should we think about it in Q3? And Q4,
yeah, so you're thinking about it correctly that the sales team is, uh,
Kevin Feeley: really move the industry away from individual gene tests and multi-gene panels on. So, the growth there I would say is nothing more than some success on activating new accounts and gives us an opportunity to further educate those positions now that they're available. We tend to expect, since we're not incentivizing the commercial team to grow that other panel line, so tend to expect flat or some slight attrition in that other panel line with pick up in exome and genome. Well, at the same time, I'd say, as we move further down the road to pediatricians, we'll have to learn some of the initial experience to see if we see any.
not out there targeting um and not incentivized frankly for the past 2 years to bring in anything other than EXO and genome that said, as we activate new accounts, there are some non-ac on genome orders that come along for the ride, um, with new doctors, um, which then tells us, there's an opportunity to educate Physicians around the clinical benefits, uh, for EXO and genome to continue, um, our efforts to, um,
Really move the industry away from Individual Gene, tests and multi-gene panels onto EXO and genome. So, the growth there I would say is is nothing more than some success on activating new accounts.
And gives us an opportunity to further educate those positions now that they're active orders of Genius.
Um, I, you know, we we tend to expect since we're not incentivizing the commercial team, uh, to grow that other panel line. So tend to expect, uh, flat or some slight attrition in that other panel line with pickup, and, and EXO and genome, um,
Kevin Feeley: CMA Chromosome Microwave Orders as we first start to. Pediatricians, but none of that expected to impact volume. And, Kevin, just to be clear, you're doing all of this passively, not incentivizing, but you're taking in orders when it comes. Correct. Got it.
While at the same time, I, I'd say, um, as we move further down the road to pediatricians, we'll have to learn some of the initial experience to see if we see an increase in CMA chromosome, microarray orders as we first start through approach, uh pediatricians. But none of that expected to impact uh volumes in the second half of the year in a meaningful way.
And Kevin just to be clear. You're doing all of this passively not incentivizing but you're taking in orders when it comes.
Correct.
Operator: And last one for me, guys.
Kevin Feeley: During the last quarter, you mentioned that there is a waiting room of clients for Epic Aura, and did you make meaningful steps to onboard all those clients, and is there still backlog, so to speak, of systems waiting to integrate? Yeah, we absolutely have made progress. So as I said, we have three that are live and we're continuing to bring more Epic Aura sites on and we continue to build a pipeline there. So we're really pleased with how that business is continuing to shape up. And as I said, you know, we're contemplating that the fourth quarter we'll see the impact of those Epic Aura implementations in a more meaningful way than in Q3, but we're pleased to see volumes coming through when we're bringing on Epic Aura.
Got it. And last 1 from you guys. Um during the last quarter um you you mentioned that there's a waiting room of clients for epicura and uh did you make meaningful steps to onboard all those clients and is there still backlog so to speak of systems waiting to integrate.
Kevin Feeley: Perfect.
Operator: Thank you so much, guys. Thank you.
Yeah, we we absolutely have made progress. So as I said, we have 3 that are live and we're continuing to bring more epic or our sights on and we we continue to, to build the pipeline there. So, um, we're really pleased with how that business is continuing to, to shape up. Um, and as I said, you know, we're, we're contemplating that, the, the fourth quarter will, will will see the the, um, uh, the impact of those epicura. Implementations in a more meaningful way than in Q3. But we're pleased to see volumes coming through, when we're bringing on Epic War sites.
Perfect, thank you so much, guys.
William Bonello: One moment for the next question.
William Bonello: And our next question will be coming from the line of William Bonello of Craig Hellam. Your line is open. Hey, guys, thanks for taking the questions. A couple of things.
Thank you. One moment for the next question.
And our next question will be coming from the line of William belleau of Craig Helm. Your line is open.
Kevin Feeley: Kevin, I know you don't give quarterly guidance, but, you know, given the commentary about a lot of the impact, at least on the NICU side, really being more Q4 than Q3, and the hopes to, you know, avoid a repeat of Q1, can you give us any kind of sense of how you think, you know, volume growth might shake out between the third and the fourth quarter? Yeah, hey, Bill. Look, the guide is anchored on our conviction today to deliver that 30% or more volume growth for the full year. So, if you take last year's test count at 30% or more, that gets you to about 96,900 tests.
Hey guys, thanks for taking the questions, couple of things. Uh, Kevin, I know you don't give quarterly guidance but, um, you know, given the commentary about a lot of the impact at least on the NICU side, really, being more q, q, q for than Q3. Uh, and then the hopes to, you know, avoid a repeat of of q1. Can you give us any kind of sense of how you think, you know, volume growth might shake out between the third and the fourth quarter?
Kevin Feeley: You want to back out what we just resulted in the first half of the year, that leaves... roughly 53,200 in the back half of the year. There is a seasonal dynamic that I'll remind everybody about with 2-4 invariably being the strongest of any quarter throughout the year. Q1 the lightest of any quarter during the year, and Q3 does have some summer calendar effects to it. But we sit here today reaffirming that 30% full year, year-over-year guide because of our conviction in it. So you might expect the second half of the test to kind of fall out with about 54% of that back half number.
Yeah, hey Bill. Um, look, the guide Is Anchored on our conviction today to deliver that 30% or more volume growth for the full year. So, if you take last year's test counts, um, at 30%, uh, or more that gets you to about 96,900, tests your to back out what we just, uh, resulted in the first half of the year that leaves, uh, roughly 53,200 in the back half of the Year. There is a seasonal Dynamic that I'll remind everybody about with 24, um, invariably being the strongest of any quarter throughout the year. Um,
Lightest of any quarter during the year and Q3 does um have some summer calendar effects to it. Um, but we sit here today, reaffirming that 30% full year year-over-year guide because of our conviction in it. So you might expect the second half of the test to kind of fall out with about, uh, 54% of that back, half number in the fourth quarter.
Kevin Feeley: Okay, that's really helpful.
Kevin Feeley: And then just on that number, and I know you addressed this a little bit in response to Dan's question, but I mean, it still is a really big ramp that's implied in the back half of the year. And I guess, you know, if it's, you know, based on, you know, Katherine's comments about maybe a few thousand NICU tests, that doesn't really quite get you there. So maybe just give us a little reason, a little bit more color on your level of confidence and, you know, why you feel so confident that either the new indications are really going to be kicking in, or you're seeing an acceleration in the growth from the pediatric neurologists, or, you know, allow us to believe that that ramp's going to happen.
Okay, that's really helpful. Uh and then just on that number and and I know you addressed this a little bit in in response to to Dan's question but I mean it it it still is a a really big ramp that's implied in the in the back half of the of the year. And I guess um you know if it's if it's you know, based on, you know, Katherine's comments about maybe a few thousand Nick you tests that doesn't that doesn't really quite get you there. So maybe just give us a little reason, a little bit more color on your level of of confidence and, and you know why you feel so confident that that either the new indications are really going to be kicking in or you're seeing an acceleration in, in, in the growth from the pediatric neurologist or, you know,
Well, allow us to believe that that that ramp's going to happen.
Kevin Feeley: Yeah, the majority of the second half ramp coming from outpatient, although that's not to understate the long-term importance of the NICU or our confidence to win that market. But if you look at the second half of the year, you know, some of that confidence comes in the acceleration of growth we've now had in the second quarter, right? First quarter was 24% year-over-year, second quarter 28%. In order to get to the full-year guide of 30% or more, the 30% mark would infer about 33% in the second half of the year, and has available to it a lot of levers that the first half didn't, which includes some more time for new indications like cerebral palsy and others that we'll be launching into to mature in terms of ramp from existing docs and new accounts activation.
Kevin Feeley: The first half didn't have available to it any impact from pediatric immunologists that will be to see an inflection in the second half of the year, and we continue to see a growing increase in same-store sales as I called out. So a nice signal we saw in the second quarter was some of the talking points around new indications and a broader focus on education for physicians we think is making us more attractive to new accounts, but also just giving us a great reason to get back into the doctor's office to re-educate them on the benefits.
Yeah, the the majority of the second half ramp coming from outpatient, although, um, that's not to understate the long-term importance of of the NICU or our confidence to win that market. Um but if you look at the second half of the year um you know some of that confidence comes in the acceleration of growth we've now had in the second quarter right? First quarter was 24% year-over-year second quarter 28% in order to get to the the full year guide of 30% uh or more. The 30% mark would infer about 33% in the second half of the year and um, has available to it a lot of levers that the first half didn't, which includes, um, some more time for new indications like cerebral palsy and others. Um, that will be launching into to mature in terms of ramp from existing docks and new accounts activation.
Um, the first half didn't have available to it. Any impact from pediatric immunologist that will begin, um, to see an inflection in the second half of the year, um, and we continue to see uh a growing increase in in same store sales as I as I called out. So a nice signal. We saw in the second quarter was some of the talking points around new indications in a broader focus on education for Physicians.
Kevin Feeley: Xoma and Genome first, and with a broader set of indications to talk about. We're seeing signs that that's going to help increase same. That's really helpful. Thanks a lot. That's all I had. Thank you.
We think, um, it's making us more attractive to new accounts, but also just giving us a great reason to get back into the doctor's office to re-educate them on the benefits of EXO and genome first.
And with a broader set of indications to talk about. Um,
We're we're seeing scientists that's going to help increase same store sales.
That's really helpful. Uh, thanks a lot that's all I had.
Mark Massaro: One moment for the next question. And our next question will be coming from the line of Mark Massaro of BTIG. Your line is open. Hey guys, congratulations for a very nice quarter. I know in Q4 of 24, I believe your payment or denial rates were somewhere in the 50 percent range, and then I think in Q1, I believe you made some improvements. Your denial rate, I think, was somewhere around the high 40s or so.
Thank you. One moment for the next question.
And our next question will be coming from the line of Mark mesario of btig. Your line is open.
Hey guys, uh, congratulations for a a very nice quarter.
Kevin Feeley: Kevin, you talked about improvements in revenue cycle management, so I would just be curious where you're at today with the denial rate or the pay rate percentage. Yeah, the paid rates now, and you're tracking correctly, Mark. So thanks. The paid rate is now mid 50s. So a nice step up, up a couple hundred basis points this quarter over last, you know, and I We remain convicted that there's still a lot of room to run to reduce denials over time. Like I said, the guide assumes that on the portion of volume coming from new indications or new call points.
I know in um in Q4 of 24 I believe your um your payment or denial rates were somewhere in the 50% range. And then I think in q1 uh I believe you made some improvements your denial rate I think was somewhere around the high 40s or so. Um,
Kevin, you, you talked about improvements in revenue cycle management so I would just be curious where you're at today with the denial rate or or the the pay, the pay rate percentage.
Kevin Feeley: There's just an inherent nature and therefore we've left some conservative room in the guide. But as we sit here today, the team is more well armed to have that back and forth boxing match. payers than we've ever been, than we've ever been. So, yeah. I think you're tracking correctly. Awesome.
Yeah, the paid rates now. Um, and you're you're tracking correctly Mark. Um, some things the paid rate is now uh mid-50s. Um so a nice Step Up of a couple hundred basis points this quarter over last um, you know and I, I think we remain convicted that there's still a lot of room to run to reduce denials over time. Like I said, the guide assumes that on the portion of volume coming from new indications or new call points. Um, there's just an inherent nature um, and therefore we've left some conservative room in the guide but as we sit here today the team is more well-armed to have that back and forth. Boxing match with uh payers and then we've ever been you know, then we've ever been
um,
Kevin Feeley: I know, I think you guys have touched on this, but there were some inbounds this morning about the rationale to increase the Exome Genome Revenue Guide, but to hold the Exome Genome Volume Guide. I'm pretty sure it has a lot to do with the success with the higher ASPs on Exome Genome, but can you maybe just fill that rationale out a little bit further just for folks? Yeah, I think it reflects our best estimate of how the year is going to play out. Obviously, we're very pleased with the performance in reimbursement rates. We think those rates are durable and we'll expect to see them rise.
So yeah, um, I think I think your tracking correctly and and appreciate it.
Rationale, to increase the XM genome Revenue guide. Uh, but to hold the XM genome volume guide. Um, I'm pretty sure it has a lot to do with the, uh, success with the, um, with the higher asps on XM genome. Uh, but can you maybe just fill that rationale out a little bit further just for folks?
Kevin Feeley: And so, felt it's important to reflect our confidence in the overall reimbursement dynamic to raise the revenue number, while at the same time, our outlook for the year has been and remains today even more confident in that 30% or higher volume mark, which is why we reaffirmed it. Awesome.
Katherine Stueland: And if I can sneak one more in, I'd be curious if you guys could expand a little bit more about how the Fabric Genomics is tracking relative to your expectations. I know that there were some customers that Fabric had that you guys may not have had. So just be curious how that's going and to what extent can that expand some of your options. Yeah, Fabric, we're really happy that we acquired it. So just out of the gate, it's a fantastic team. Our team has begun really mapping out what integration looks like from porting our data into Fabric in order to ensure that we can really drive better diagnoses in a decentralized way, putting our data to work for more patients, as well as how do we think about the best of Fabric, the best of GeneDx, and our ability to really put the strongest AI features into our interpretation capability.
Yeah, I think it reflects our, our best estimate of how the the year is going to play out, obviously. Um, we're very pleased with the performance in reimbursement rates. We think those rates are durable and we'll expect to see them Rise. Um, and so felt it important to reflect our confidence in the overall reimbursements Dynamic, uh, to raise the revenue number. While at the same time, our outlook for the year, uh, has been and remains today. Even more confident, in that 30% or higher volume, Mark, which is why we reaffirm that.
Awesome. And if I can sneak 1 more in, I'd be curious. If you guys could expand a little bit more about how the fabric genomics uh, is tracking relative to your expectations. Uh, I know that there there were some customers that that fabric had that you guys may not have had, so just be curious how, how that's going and and to what extent can that expand some of your opportunities.
Katherine Stueland: So we're excited about it. They're on track with our plan this year in terms of their revenues, their gross margins. The teams have had a fantastic time collaborating and really starting to work together. So we're excited about it. And again, as we think about the potential for where Fabric can really help us drive the business, we've begun hiring sales reps for the international opportunity. So we're excited about the potential to start driving utilization of Fabric via GeneDx in international markets. It's also a really important asset as we think about how to solve newborn screening and ensure that patients have standardized results, whether a baby's born in London or in Los Angeles.
Yeah, fabric. We're we're really happy that we acquired it. Um, so just out of the gate. It's, it's a fantastic team. Um, our team has begun, um, really mapping out, um, what integration looks like from porting our data into fabric, um, in order to ensure that we can really drive better diagnoses in a decentralized way, putting our data to work for more patients as well as how do we think about, um, the best at fabric, the best of GDX and our ability to, to, um, uh, really put the strongest AI features, um, into our interpretation, um, capability. So, um, we're excited about it. They're they're on track with um, with our plan this year, in terms of their revenues, their gross margins. Um the the teams that have have had a fantastic time, collaborating, and really starting to work together. So um, we're excited about
It. And again, as we think about the, the potential for where fabric can really help us drive the business. Um, uh, We've begun hiring sales reps for the international opportunity. Um, so we're excited about the the potential to start driving um utilization of fabrics via GDX. Um, in international markets, it's also a really important asset as we think about how to solve newborn screening.
Katherine Stueland: So we're really excited about the future potential within the capabilities of GeneDx. So it's off to a great start. It's great to hear.
Um, and ensure that patients have standardized results, whether a baby's born in London, um, or in, um, in Los Angeles. So we're really excited about the the future potential within the the capabilities of of GDX. So it's, it's off to a great start.
Operator: Thanks, guys.
It's great to hear. Thanks guys.
Operator: Thank you. One moment for the next question. And the next question will be coming from the line of Brandon Couillard of Wells Fargo. Your line is open. Hey guys, thanks. Good morning. Kevin, do you think the second quarter volume growth benefited from any catch-up benefit from the weather-related disruptions you encountered in the first quarter at all? Yeah, I think in the first quarter, we said weather might have impacted Q1, one to two days, let's call that four or 500 tests. And we also said at that time, missed appointments due to weather events in our space are not typically lost, but just deferred and sometimes deferred for weeks or even months.
Thank you.
1 moment for the next question.
And the next question will be coming from the line of Brandon Kaleo of Wells Fargo. Your line is open.
Hey guys, thanks. Good morning. Um, Kevin, do you think the second quarter volume growth benefited from any catch-up benefit from the, you know, after the weather-related disruptions you encountered in the first quarter at all?
Brandon Couillard: And we saw that play out as expected. Yeah, equal to the one or two days we called out as weather in Q1 and carried over to Q2, and then we saw nice, good growth on top.
Yeah, I think in the first quarter, we said whether might have impacted the q1 1, to 2 days. Let's call that, uh, 4, 500 tests. Um, and we also said, at that time, missed appointments due to whether events in our space are not typically lost, but just deferred and sometimes deferred for weeks or even months, um, and we saw that play out as expected. Um,
So yeah equal to the 1 or 2 days we called out as weather in q1 and carried over to Q2. And then we saw a nice good growth on top of that.
Kevin Feeley: Okay, and then how much of the sequential OPEX growth came from the fabric deal as opposed to kind of organic investments? And how are we thinking about OPEX in the second half? Fabric was about a million dollars of OPEX in the quarter, that's a partial quarter, right? We've owned the asset for two months in the in the second quarter. Look, as I said in my prepared remarks, certainly where we see opportunities to invest, to seize a leadership position in all these new markets. We will make those investments. I think at the same time, we wanna signal that we think we have ample room for the business to drive leverage such that we can make substantial investments to dominate these markets while still driving a profitable business.
Okay. Um, and then how much of the sequential Opex growth came from the fabric deal, as opposed to kind of organic Investments and however we think about um Opex uh in the second half.
Fabric was about a million dollars of Opex, um, in the quarter that's a partial quarter where we we've owned the asset for 2 months and the in the in the second quarter. Um, look, as I said, in my prepared remarks, um, certainly where we see opportunities to invest to to seize a leadership position and all these new markets,
Kevin Feeley: We think that's important to do in the long run for shareholders, and we thought it's important to call.
Uh we want to signal that. We think we have ample room for the business to drive, leverage such that we can make some substantial Investments to dominate these markets while still driving a profitable business. Um we think that's important to do uh in the long run for shareholders and um we thought important to, to call that out.
Katherine Stueland: Great. Last one, Katherine, the data business, you know, picked up a little bit in terms of revenue. Anything to watch out for on the pharma partnership front? Any milestones to look forward to later this year? Certainly. So, you know, I think that business is healthy, and we're really happy to see same-store sales there, both in terms of patient matching and in terms of people interested in GeneDx Discover, which is our data visualization product. So, we're bringing on new customers, we're continuing to sign more contracts within existing customers, and I expect we'll continue to print and repeat that.
alright, last 1, Katherine
The data business. Yep, picked up a little bit in terms of Revenue. Um, anything to watch out for on the farmer partnership fronts. Um, any Milestones um, to look forward to later this year. Thank you.
Katherine Stueland: Throughout the course of this year, we remain really optimistic about the future ability for us to put data to work in a much more meaningful way, and we're starting to turn our attention to what that can look like in the future in terms of much broader collaborations with pharma companies. But today, we're happy with the way that that business continues to perform, and we remain really optimistic about the potential for it in the future.
Certainly. So, you know, I think that business is, is, is healthy. Um, and and we're really happy to see, um, same store sales there, um, both in terms of patient matching and in terms of, um, people interested in, um, seeing the X discover, which is our data visualization product. Um, so we're we're bringing in new customers. We're continuing to sign more contracts within existing customers, and I expect, we'll continue to rinse and repeat that throughout the course of this year, we remain. Um, we remain really optimistic about, um, the future. Um, uh, ability for us to put data to work and a much more meaningful way. And, um, we're, we're starting to turn our attention to what that can look like in the future and in terms of
Of, um, much broader collaborations with Pharma companies. Um, but today we're happy with the way that that business continues to to perform, um, and we remain really optimistic about the potential for in the future.
Great, thanks.
Tycho Peterson: Thank you. And our next question will be coming from the line of Tycho Peterson of Jeffries. Your line is open. Okay, thanks. I appreciate all the color you guys have given on the AAP guidelines. Just one question we've gotten is just on the reliance on geneticists, you know, readiness to interpret reports, pediatricians are spread thin, workload, etc. Maybe just talk a little bit about the role you think they might play and to what degree that could be a rate limiting factor for adoption. Yeah, that is a fantastic question, Tycho. So a couple of things. Pediatricians, their time is indeed tight.
Thank you.
And our next question will be coming from the line of Tau Peterson of Jeffrey's. Your line is open
Hey thanks. Um, I appreciate all the color you guys have given on the. The AAP guidelines just 1 question. We've gotten is just on the Reliance on geneticists. Um, you know, Readiness to interpret reports pediatricians are spread thin workload, Etc. Maybe just talk a little bit about the role, you think they might play in in to what degree they, that could be a rate limiting factor for adoption.
Katherine Stueland: I think they have on average about 12 minutes per patient. We need to really make it easier for one of those clinicians to have access to testing. So when we talk about our customer experience, making it a best-in-class customer experience, it includes simplifying the entire ordering process on the front end as well as on the back end. How do we simplify the report to make it easier for them to understand so they're not reliant on a genetic counselor or a genetic expert? So how do we simplify the report? How do we make the care plans really easy to understand as well?
Yeah, that is a fantastic question to sew a couple of things. Um pediatricians their time is in the tight. Um I think they have on average about 12 minutes per patient. We need to really make it easier for um for 1 of those clinicians to have access to testing. So um when we talk about our customer experience making it a best-in-class customer experience, it includes simplifying, the entire order and process um on the front end as well as on the back end. How do we simplify the reports to make it easier for them to understand? So they're not reliant on a genetic, counselor or a
Katherine Stueland: So part of our customer experience that our product team is building out really, I would say, streamlines and simplifies that entire experience. So they're not needing to be beholden to a genetic counselor or another genetic expert. And part of that includes taking the knowledge base of genetic counselors and ensuring that whether it is through CAT capabilities or otherwise throughout that entire customer experience that we can really scale the knowledge base that is currently existing within only about 2,000 genetic counselors that are out there. So we think the customer experience challenge and opportunity is real, and we're really excited about building that out.
Genetic experts. Um, so what, how do we simplify the report? How do we make the care plans, really? Um, easy to understand as well? So, part of our customer experience that our product team is building out really, um, I would say, streamlines and simplifies that entire experience so they're not needing to be beholden to a genetic counselor or another genetics expert. Um, and part of that includes taking the knowledge base of genetic counselors and and ensuring that whether it is through cat capabilities or otherwise. Um, throughout that entire customer experience that um, that that we can, um, really scale the, the knowledge base that is currently existing within only about 2,000. Um, genetic counselors that that are out there, so, um, we think that customer experience, um, talent and opportunity is real, and we're really excited about building.
Katherine Stueland: Importantly is also how do we take some of the workload off of the pediatrician and empower parents? So how much of the parent portal can we build to make it easier and even more informed by a parent who's super motivated to make sure that their child gets an answer? So there's really this nice push and pull between how we simplify the ordering and report and customer service experience for the pediatrician, but also how do we engage with parents in a really smart way to offload some of the work from the pediatrician as well?
That out. Um, importantly, it is also...
How do we take some of the workload off of the pediatrician and Empower parents. Um, so how much of the the, um, of the, the parent portal? Can we build to make it um, easier and even more informed, by a parent who's super motivated to make sure that their child gets an answer? So there's really kind of this nice push and pull between how we simplify the the ordering.
Katherine Stueland: So that is really an important part of what our team has started building, and we expect that we'll start to see some of those features in 2026 that we think will help unlock the market.
That we think will help unlock the market.
Katherine Stueland: Okay, that's helpful. And then maybe just following up on on, you know, the pediatric market, just commercial payers, how do you think about the timeline to really get them on board? What's needed to operationalize? Obviously, guidelines put a lot of pressure on them to come on board. But what, you know, how do you think about the timelines? Yeah, you're right. Guidelines do put a lot of pressure. They don't guarantee, but it certainly is an important tool that we will use to make the case to payers. Look, as we outlined that 18 to 24 months from the time point between God.
Okay, that’s helpful. And then maybe just following up on, um, you know, the pediatric market, just commercial payers. How do you think about the timeline to really get them on board? What’s needed to operationalize? Obviously, guidelines put a lot of pressure on them to come on board. But what, you know, how do you think about the timelines?
Katherine Stueland: and Inflection in terms of pull-through is to build the product features Katherine just talked about. It's to educate positions. get them aware of the benefits and the guidelines, frankly. There's a lot of buy-side analysts who probably follow AAP guidelines more closely than pediatricians. there is education for us to do, while at the same time that gives us the lead time to build the dossier, to approach payers, to ensure they're up-to-date with the latest literature, with the latest clinical and economic data to show that the use of these tests frontline not only alleviates suffering and gives better insights to physicians, but can help avoid unnecessary costs for the system and for insurers.
Yeah, you're right guidelines. Do put a lot of pressure. They don't they don't guarantee, but it certainly is an important tool um that we will use to make the case to payers, um, look as we outline that, that 18 to 24 months from the time point between guidelines and inflection. In terms of pull through, is to build the product features. Katherine just talked about, it's to educate Physicians, um, get them aware of the benefits and the guidelines. Frankly, there's a lot of, there's a lot of buy side analysts. Who probably follow AAP guidelines more closely than pediatricians, so, um, there is education for us to do well at the same time that gives us the lead time to, to build the dossier to approach payers to ensure they're up to date, um, with the latest literature, um, with the latest clinical. And economic data, to show that the use of these tests Frontline, not only alleviate suffering, and gives better insights to Physicians.
Katherine Stueland: And so rest assured we'll be making that case in earnest and are already getting started.
Katherine Stueland: Okay, last one, you know, as you kind of lap, you know, some of the biomarker bills that got added over the last 12 months, what should we be watching on kind of the state front, you know, for the back half of the year, and then, you know, on Medicaid, have you sized the potential headwinds from the, you know, big, beautiful bill cuts that were laid out? So, we were pleased to see additional states come on this past quarter, and so we're now up to 35 in the outpatient, 17 in the inpatient, and we've expanded our government affairs team on the state side of things.
But can help avoid unnecessary costs for the health system and for insurers. Um, and so, rest assured, we'll be making that case, um, in Earnest and and are already getting started on that.
Okay, last 1, um, you know, as you kind of lap, you know, some of the biomarker bills that got added over the last 12 months, what should we we be watching on kind of the state front, you know, uh, for the back half of the year and then, you know, on on Medicaid. Have you decided to Potential headwind from the, you know, big beautiful Bill cuts that were laid out?
Katherine Stueland: So, we're full court press in terms of continuing to drive the statewide. On HR 1, I think the reality is not a material impact directly on our business, but of course, any changes in Medicaid impacts every hospital system. I think what is beneficial for us is the health economic data that we have generated, and that our field continues to generate that ensures that we're actually making the health economic impact. Healthcare system, and every dollar that is allocated towards it go further. We're making the healthcare system more efficient going back to the pediatrician opportunity. And then Nick, you opportunity.
So, um, we were pleased to see additional States, come on, um, uh, this past quarter. And, uh, so we're now up to 35 and the outpatient 17, and the inpatient, and our, we've expanded our our government, our government Affairs, team on the state side of things. So we're we're full court, press in terms of, um, of continuing that to drive the, the Statewide, um, on hr1. Um, you know, I, I think the reality is, um, not a material impact directly on our business. But of course, any changes in Medicaid impacts, um, impacts every hospital system. I think, um, what is beneficial for us is the health economic data that we have generated. Um, and that our field continues to, to generate the, um, insurers that we're actually making the Health Care system and
Katherine Stueland: The 5 years on average that a child is undiagnosed is costing the healthcare system. Um, a lot of money today, and getting an answer as early as possible is going to save the healthcare system dollars. So. Um, the, the health economic data that we, um, that we are putting in front of. Medicaid in front of payers in front of health systems in front of policy makers. Um, is part of what is making the opportunity 1 that is beneficial, both from a clinical care perspective, but also in terms of. The overall health care spend in this country, so.
Katherine Stueland: So we think that there's only strength ahead in terms of our ability to both impact and affect change for the better for these kids, get an earlier diagnosis and save everyone money along the way.
Every dollar that is allocated, towards it go further. Um, we're making the Healthcare System, more efficient, um, going back to the that pediatrician opportunity and then Nick, you opportunity the 5 years on average. That a child is undiagnosed is costing the Health Care System. Um, a lot of money today and getting an answer as early as possible is going to save the Health Care System dollars. So, um, the the health economic data that we, um, that we are putting in front of Medicaid in front of payers in front of Health Systems in front of policy makers. Um, is part of what is making the Genex opportunity, 1 that is beneficial. Both from a clinical care perspective, but also in terms of the overall health care spend in the country. So um,
so we think that there's only strength ahead in terms of our ability to, to both impact. Um,
Kevin Feeley: Thank you very much. Dates, Tycho, as Katherine said, look, we picked up two news dates with outpatient coverage despite some of the headline noise out. I think a strong signal. Go back a year, there were 28 states, and we're now to 35 covering the test outcome. significant progress. In terms of what that number will be a year from now, it's hard to tell. A lot of factors outside of our control.
You know, an effect change for the better for these kids. Get an earlier diagnosis and save everyone money along the way.
Um, as Katherine said, look, we picked up 2 new states with outpatient coverage, despite some of the headline noise out there.
Um, I think a strong signal. Go back a year. There were 28 states.
Operator: From a guide perspective, we don't count on any new states picking up coverage, and we take those as they come, but Okay, thank you.
And we're now up to 35 covering the test outpatient. So significant progress, um, in terms of what that number will be a year from now, it's hard to tell, um, a lot of factors outside of our control, from a guide perspective. Um, we don't count on any new States picking up coverage and we take those as they come. But um, certainly the the momentum is there
Okay, thank you.
Operator: Thank you.
Sabrina Dunbar: And that does conclude today's Q&A session.
Sabrina Dunbar: I would like to go ahead and turn the call back over to Kathy Suitley for closing remarks. Please go ahead. Thank you all for your questions and for joining our call today. As we look ahead, we remain focused on execution, innovation, and expanding access to genomic insights that can truly transform care. Thank you for your continued support and belief in our vision. We look forward to updating you on our continued momentum next quarter.
Thank you all for your questions and for joining our call today. As we look ahead, we remain focused on executing innovation and expanding access to genomic insights that can truly transform care. Thank you for your continued support and belief in our vision. We look forward to updating you on our continued momentum next quarter.
Operator: This does conclude today's conference call. You may all disconnect.
This does conclude today's conference call. You may all disconnect.