GeneDx Reports Third Quarter 2023 Financial Results
Oct 31, 2023 11:39:38 GMT
icemandios, lookingforatenbagger, and 1 more like this
Post by na on Oct 31, 2023 11:39:38 GMT
Reported total revenue of $53M with more than 40% year-over-year growth of exome and genome test revenue
Expanded gross margins to 48% in continuing operations and delivered 52% year-over-year cash burn reduction
Strengthened balance sheet with $75M debt facility from Perceptive Advisors and initiated a $40M annual cost savings plan
Updated guidance to deliver $187-$192M in FY 2023 revenue and reiterate path to profitability in 2025
Cash Position: Cash, cash equivalents, marketable securities and restricted cash were $115 million as of September 30, 2023. Total Company use of cash for the third quarter of 2023 was $42 million, an improvement of 51% year-over-year and 21% sequentially. The use of cash in the third quarter included final payments of approximately $15 million to discharge legacy Sema4 (WGS) operating payables in July and $2 million of severance payments. Excluding these items, representative continuing operations cash burn was $25 million in the third quarter of 2023.
Net Loss1: Total Company net loss for the third quarter of 2023 narrowed to $42.3 million. Total Company adjusted net loss for the third quarter of 2023 narrowed to $21.2 million2, an improvement of 70% year-over-year and 45% sequentially.
Revenue1: Revenue for the third quarter of 2023 was $53.3 million, compared to $83.2 million in the third quarter of 2022.
Gross Margin1: Gross margin for the third quarter of 2023 was 47%. Adjusted gross margin for the third quarter of 2023 was 51%.
GeneDx has updated its full year 2023 guidance. The continuing operations of GeneDx, excluding the financial impacts from the discontinued Legacy Sema4 diagnostic testing business, are expected to:
Drive full year 2023 revenues of $187-$192 million (updated from previous guidance of $205-$220 million);
Expand gross margin profile in 2023 and beyond (unchanged);
Use $75 to $79 million of net cash for the second half of 2023 (updated from previous guidance of $75-$85 million), inclusive of servicing obligations of the exited business activities (unchanged); and
Turn profitable in 2025 (unchanged)