Personalis Reports Fourth Quarter and Full Year 2022 Financial Results
Recent Business Highlights
- Announced a continuing partnership with Moderna to provide genomic testing for their upcoming clinical studies evaluating mRNA-4157/V940, an investigational personalized cancer vaccine, jointly developed by Moderna and Merck
- Partnered with Criterium and the
Academic Breast Cancer Consortium (ABRCC) to conduct a prospective clinical trial to validate the clinical performance of the NeXT Personal® assay to evaluate minimal residual disease (MRD) and subsequent recurrence in patients with early-stage, resectable triple negative breast cancer (TNBC) - Initiated a research collaboration with
University Medical Center Hamburg-Eppendorf (UKE) and its newFleur-Hiege Center for Skin Cancer Research , where Dr.Klaus Pantel , Dr.Christoffer Gebhardt , and team are using NeXT Personal to track tumor response to immunotherapy (IO) in patients with melanoma, with the aim of gathering evidence to advance the use of ultra-sensitive MRD detection in routine clinical practice for IO therapy monitoring
“We are excited to have completed our strategic review of the business, which has resulted in a new threefold focus on winning in MRD, leveraging our technology to power companies working on personalized cancer vaccines, and supporting pharmaceutical customers with clinical trials,” said
Fourth Quarter Highlights
- Reported total company revenue of
$16.7 million for the fourth quarter of 2022 and$65.0 million for the full year of 2022.- Revenue from pharma tests, enterprise, and other customers of
$15.8 million in the fourth quarter of 2022 compared with$15.4 million in the fourth quarter of 2021; revenue from enterprise customers includes revenue from Natera of$8.2 million in the fourth quarter of 2022 - Revenue from population sequencing for the
U.S. Department of Veterans Affairs Million Veterans Program (VA MVP) of$0.9 million in the fourth quarter of 2022, which is initial revenue from the new contract awarded inSeptember 2022 , compared with$5.3 million in the fourth quarter of 2021
- Revenue from pharma tests, enterprise, and other customers of
- Cash, cash equivalents, and short-term investments of
$167.7 million as ofDecember 31, 2022
Fourth Quarter and Full Year 2022 Financial Results
- Revenue of
$16.7 million in the fourth quarter 2022; revenue of$65.0 million in the full year 2022 - Net loss of
$31.1 million , and net loss per share of$0.67 based on a weighted-average basic and diluted share count of 46.3 million in the fourth quarter 2022; net loss of$113.3 million , and net loss per share of$2.48 based on a weighted-average basic and diluted share count of 45.7 million in the full year 2022
First Quarter and Full Year 2023 Outlook
- Total company revenue of approximately
$17.5 million - Revenue from pharma tests, enterprise sales, and other customers of approximately
$14.5 million - Revenue from population sequencing of approximately
$3.0 million
- Total company revenue in the range of
$68 million to$72 million , based on its strategic review of accounts and pruning of unprofitable business - Revenue from pharma tests, enterprise sales, and all other customers in the range of
$59 million to$63 million - Revenue from population sequencing of approximately
$9.0 million - Net loss of approximately
$103 million , down from$113 million in 2022 due to realization of headcount reduction savings, partially offset by investments in clinical evidence generation and non-cash depreciation expense for the new facility - Cash usage of approximately
$75 million , down from$119 million in 2022
Webcast and Conference Call Information
About
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from the results predicted and reported results should not be considered an indication of future performance. Forward-looking statements include all statements that are not historical facts and can generally be identified by terms such as “aim,” “continue to,” “expect,” “future,” “goal,” or “will” or similar expressions and the negatives of those terms. These statements include, but are not limited to, statements regarding the company’s first quarter and full year financial guidance, cash runway, the company’s business outlook, and the company’s goals and aims. Forward-looking statements involve known and unknown risks, uncertainties and other factors that may cause Personalis’ actual results, performance, or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward-looking statements. These risks, uncertainties and other factors relate to, among others: the timing and pace of new orders from customers, including from Natera, which accounted for an estimated 49% of the company’s total revenue in the fourth quarter and an estimated 41% for the full year of 2022; the launch and market adoption of new products and new product features, such as NeXT Personal; the timing of tissue, blood, and other specimen sample receipts from customers, which can materially impact revenue quarter-over-quarter and year-over-year; whether orders for the NeXT Platform and revenue from biopharmaceutical customers and Natera increase or decrease in future periods; ability to demonstrate attributes or advantages of NeXT Personal or the Personalis NeXT Platform; the evolution of cancer therapies and market adoption of the company’s services; risks associated with COVID-19 or other health epidemics or pandemics; unstable market, economic and geo-political conditions, which may significantly impact the company’s business and operations and the business and operations of Personalis’ customers and suppliers; and legal proceedings to enforce patents, and the presumed validity or enforceability of the company’s patents or other intellectual property rights. These and other potential risks and uncertainties that could cause actual results to differ materially from the results predicted in these forward-looking statements are described under the captions “Risk Factors” and “Management’s Discussion and Analysis of Financial Condition and Results of Operations” in Personalis’ Quarterly Report on Form 10-Q for the quarter ended
|
|
|||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS |
|
|||||||||||||||
(in thousands, except share and per share data) |
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
Year Ended |
|
||||||||||
|
|
2022 |
|
|
2021 |
|
|
2022 |
|
|
2021 |
|
||||
|
|
(unaudited) |
|
|
|
|
|
|
|
|
|
|||||
Revenue |
|
$ |
16,722 |
|
|
$ |
20,682 |
|
|
$ |
65,047 |
|
|
$ |
85,494 |
|
Costs and expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of revenue |
|
|
14,410 |
|
|
|
12,686 |
|
|
|
51,697 |
|
|
|
53,837 |
|
Research and development |
|
|
16,569 |
|
|
|
14,512 |
|
|
|
64,912 |
|
|
|
49,312 |
|
Selling, general and administrative |
|
|
17,828 |
|
|
|
13,709 |
|
|
|
63,969 |
|
|
|
47,698 |
|
Total costs and expenses |
|
|
48,807 |
|
|
|
40,907 |
|
|
|
180,578 |
|
|
|
150,847 |
|
Loss from operations |
|
|
(32,085 |
) |
|
|
(20,225 |
) |
|
|
(115,531 |
) |
|
|
(65,353 |
) |
Interest income |
|
|
1,160 |
|
|
|
81 |
|
|
|
2,396 |
|
|
|
367 |
|
Interest expense |
|
|
(47 |
) |
|
|
(59 |
) |
|
|
(201 |
) |
|
|
(184 |
) |
Other income (expense), net |
|
|
(88 |
) |
|
|
1 |
|
|
|
61 |
|
|
|
(42 |
) |
Loss before income taxes |
|
|
(31,060 |
) |
|
|
(20,202 |
) |
|
|
(113,275 |
) |
|
|
(65,212 |
) |
Provision for (benefit from) income taxes |
|
|
8 |
|
|
|
(3 |
) |
|
|
40 |
|
|
|
14 |
|
Net loss |
|
$ |
(31,068 |
) |
|
$ |
(20,199 |
) |
|
$ |
(113,315 |
) |
|
$ |
(65,226 |
) |
Net loss per share, basic and diluted |
|
$ |
(0.67 |
) |
|
$ |
(0.45 |
) |
|
$ |
(2.48 |
) |
|
$ |
(1.49 |
) |
Weighted-average shares outstanding, basic and diluted |
|
|
46,264,217 |
|
|
|
44,808,998 |
|
|
|
45,704,805 |
|
|
|
43,886,730 |
|
|
|
|||||||||||||||
SUPPLEMENTAL REVENUE INFORMATION |
|
|||||||||||||||
(in thousands) |
|
|||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
Year Ended |
|
||||||||||
|
|
2022 |
|
|
2021 |
|
|
2022 |
|
|
2021 |
|
||||
|
|
(unaudited) |
|
|
|
|
|
|
|
|
|
|||||
Pharma tests and services |
|
$ |
7,400 |
|
|
$ |
9,335 |
|
|
$ |
29,552 |
|
|
$ |
30,282 |
|
Enterprise sales |
|
|
8,251 |
|
|
|
5,807 |
|
|
|
26,641 |
|
|
|
8,774 |
|
Population sequencing |
|
|
887 |
|
|
|
5,304 |
|
|
|
8,443 |
|
|
|
45,671 |
|
Other |
|
|
184 |
|
|
|
236 |
|
|
|
411 |
|
|
|
767 |
|
Total revenue |
|
$ |
16,722 |
|
|
$ |
20,682 |
|
|
$ |
65,047 |
|
|
$ |
85,494 |
|
|
||||||||
CONSOLIDATED BALANCE SHEETS |
||||||||
(in thousands, except share and per share data) |
||||||||
|
|
|
|
|
|
|
||
|
|
2022 |
|
|
2021 |
|
||
Assets |
|
|
|
|
|
|
||
Current assets |
|
|
|
|
|
|
||
Cash and cash equivalents |
|
$ |
89,128 |
|
|
$ |
105,585 |
|
Short-term investments |
|
|
78,530 |
|
|
|
181,479 |
|
Accounts receivable, net |
|
|
16,642 |
|
|
|
18,468 |
|
Inventory and other deferred costs |
|
|
8,591 |
|
|
|
5,610 |
|
Prepaid expenses and other current assets |
|
|
6,808 |
|
|
|
7,089 |
|
Total current assets |
|
|
199,699 |
|
|
|
318,231 |
|
Property and equipment, net |
|
|
61,935 |
|
|
|
19,650 |
|
Operating lease right-of-use assets |
|
|
26,480 |
|
|
|
53,822 |
|
Other long-term assets |
|
|
4,586 |
|
|
|
4,825 |
|
Total assets |
|
$ |
292,700 |
|
|
$ |
396,528 |
|
Liabilities and Stockholders’ Equity |
|
|
|
|
|
|
||
Current liabilities |
|
|
|
|
|
|
||
Accounts payable |
|
$ |
12,854 |
|
|
$ |
9,221 |
|
Accrued and other current liabilities |
|
|
19,013 |
|
|
|
18,110 |
|
Contract liabilities |
|
|
1,264 |
|
|
|
3,982 |
|
Total current liabilities |
|
|
33,131 |
|
|
|
31,313 |
|
Long-term operating lease liabilities |
|
|
41,041 |
|
|
|
52,797 |
|
Other long-term liabilities |
|
|
389 |
|
|
|
2,117 |
|
Total liabilities |
|
|
74,561 |
|
|
|
86,227 |
|
Commitments and contingencies |
|
|
|
|
|
|
||
Stockholders’ equity |
|
|
|
|
|
|
||
Preferred stock, |
|
|
— |
|
|
|
— |
|
Common stock, |
|
|
5 |
|
|
|
4 |
|
Additional paid-in capital |
|
|
579,456 |
|
|
|
557,558 |
|
Accumulated other comprehensive loss |
|
|
(912 |
) |
|
|
(166 |
) |
Accumulated deficit |
|
|
(360,410 |
) |
|
|
(247,095 |
) |
Total stockholders’ equity |
|
|
218,139 |
|
|
|
310,301 |
|
Total liabilities and stockholders’ equity |
|
$ |
292,700 |
|
|
$ |
396,528 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20230223005193/en/
Investor Relations Contact:
investors@personalis.com
415-202-5678
Media Contact:
pr@personalis.com
650-752-1300
Source: