Personalis Reports Second Quarter 2024 Financial Results
Strong Revenue Growth of 35% Year-over-Year Driven by 117% Growth from Biopharma Business
Raises 2024 Full Year Revenue Guidance
Recent Business Accomplishments
- Highlighted clinical performance of NeXT Personal® at the
American Society of Clinical Oncology (ASCO) meeting in May- Compelling breast cancer detection results were presented by Dr.
Isaac Garcia-Murillas (Institute of Cancer Research ,London ) and Prof.Nicolas Turner (Royal MarsdenNHS Foundation TrustUK ). In this study, they found:- NeXT Personal detected cancer recurrence approximately 15 months before imaging
- 100% of patients that recurred were detected with NeXT Personal and 100% of patients that were ctDNA negative were cancer-free at follow up time points
- A presentation by Dr.
Rodrigo Toledo of the Vall d’Hebron Institute of Oncology highlighted the importance of NeXT Personal’s use for immunotherapy monitoring. This data showed:- Baseline levels of ctDNA and the changes detected by NeXT Personal predict therapy response and clinical outcomes for late-stage cancer patients receiving immunotherapy
- NeXT Personal detected cancer progression 81 days before imaging on average
- Compelling breast cancer detection results were presented by Dr.
- Delivered 561 total molecular tests in the second quarter of 2024, a 66% increase compared with the prior quarter, and commenced NeXT Personal Dx commercialization efforts with Tempus AI, Inc. (
Tempus ) - Announced a cross-license agreement with Myriad Genetics, Inc. covering patent estates for tumor-informed approaches to detect minimal residual disease (MRD)
- Successfully settled the IP lawsuit with
Foresight Diagnostics, Inc. (Foresight) with Foresight agreeing to license Personalis’ MRD patents
Second Quarter 2024 Results Compared to Second Quarter 2023
- Reported total company revenue of
$22.6 million in the second quarter of 2024, an increase of 35% compared with$16.7 million - Revenue from pharma testing and services of
$13.2 million in the second quarter of 2024, an increase of 117% compared with$6.1 million - Revenue from Enterprise customers of
$8.0 million in the second quarter of 2024, an increase of 8% compared with$7.4 million - Revenue from population sequencing for the
U.S. Department of Veterans Affairs Million Veterans Program of$1.3 million in the second quarter of 2024, a decrease of 57% compared with$3.0 million
- Revenue from pharma testing and services of
- Other Income of
$3.0 million in the second quarter of 2024, which consists of a non-cash gain of$3.0 million related to fair-value accounting for the outstanding warrants issued toTempus - Net loss of
$12.8 million in the second quarter of 2024, a decrease of 47% compared with$24.0 million - Cash, cash equivalents, and short-term investments of
$87.0 million as ofJune 30, 2024
“The revenue growth depicts growing customer confidence in both our technology and platform. Importantly, the growth in our clinical testing volume means that we can see the impact on patient lives. Now that our collaborators have presented compelling NeXT Personal clinical evidence, we expect to leverage that towards obtaining Medicare coverage and materially increasing the number of patients we can help,” said
Third Quarter and Revised Full Year 2024 Outlook
- Total company revenue in the range of
$21.0 to$22.0 million - Revenue from pharma tests, enterprise sales, and other customers in the range of
$17.0 to$18.0 million - Revenue from population sequencing of approximately
$4.0 million
- Total company revenue in the range of
$79.0 to$81.0 million , an increase from$76.0 to$78.0 million - Revenue from pharma tests, enterprise sales, and all other customers in the range of
$71.0 to$73.0 million , an increase from prior guidance of$68.0 to$70.0 million - Revenue from population sequencing of approximately
$8.0 million - Non-GAAP net loss of approximately
$75.0 million , a decrease from our prior guidance of$77.0 million and excludes any non-cash gain or loss from the outstanding warrants issued toTempus - Cash usage of approximately
$60.0 million , a decrease from our prior guidance of$62.0 million
Webcast and Conference Call Information
About
At
Non-GAAP Financial Measure
To supplement our financial guidance presented in accordance with GAAP, we are presenting expected non-GAAP net loss for the full year ending
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include all statements that are not historical facts and can generally be identified by terms such as “anticipate,” “estimate,” “expect,” “if,” “may,” “future,” “will” or similar expressions. These statements include statements relating to: Personalis’ third quarter and full year 2024 outlook for revenue, non-GAAP net loss, and cash usage, the attributes, advantages or clinical validity of the NeXT Personal Dx test, broad adoption of the NeXT Personal Dx test for patient testing and the benefits to patients from use of the same, and Personalis’ obtaining Medicare coverage. Such forward-looking statements involve known and unknown risks and uncertainties and other factors that may cause actual results to differ materially from any anticipated results or expectations expressed or implied by such statements, including the risks, uncertainties and other factors that relate to the timing and pace of new orders from customers, including from Natera and the
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (unaudited) (in thousands, except share and per share data) |
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Three Months Ended |
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Six Months Ended |
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2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
||||
Revenue |
|
$ |
22,580 |
|
|
$ |
16,699 |
|
|
$ |
42,105 |
|
|
$ |
35,559 |
|
Costs and expenses |
|
|
|
|
|
|
|
|
|
|
|
|
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Cost of revenue |
|
|
14,543 |
|
|
|
11,907 |
|
|
|
28,575 |
|
|
|
26,037 |
|
Research and development |
|
|
12,957 |
|
|
|
17,852 |
|
|
|
25,728 |
|
|
|
34,425 |
|
Selling, general and administrative |
|
|
11,973 |
|
|
|
12,134 |
|
|
|
23,575 |
|
|
|
26,231 |
|
Restructuring and other charges |
|
|
— |
|
|
|
152 |
|
|
|
— |
|
|
|
4,037 |
|
Total costs and expenses |
|
|
39,473 |
|
|
|
42,045 |
|
|
|
77,878 |
|
|
|
90,730 |
|
Loss from operations |
|
|
(16,893 |
) |
|
|
(25,346 |
) |
|
|
(35,773 |
) |
|
|
(55,171 |
) |
Interest income |
|
|
1,136 |
|
|
|
1,465 |
|
|
|
2,495 |
|
|
|
2,718 |
|
Interest expense |
|
|
(9 |
) |
|
|
(39 |
) |
|
|
(18 |
) |
|
|
(86 |
) |
Other income (expense), net |
|
|
2,968 |
|
|
|
1 |
|
|
|
7,537 |
|
|
|
(25 |
) |
Loss before income taxes |
|
|
(12,798 |
) |
|
|
(23,919 |
) |
|
|
(25,759 |
) |
|
|
(52,564 |
) |
Provision for income taxes |
|
|
4 |
|
|
|
36 |
|
|
|
11 |
|
|
|
50 |
|
Net loss |
|
$ |
(12,802 |
) |
|
$ |
(23,955 |
) |
|
$ |
(25,770 |
) |
|
$ |
(52,614 |
) |
Net loss per share, basic and diluted |
|
$ |
(0.24 |
) |
|
$ |
(0.50 |
) |
|
$ |
(0.50 |
) |
|
$ |
(1.11 |
) |
Weighted-average shares outstanding, basic and diluted |
|
|
52,394,678 |
|
|
|
47,669,513 |
|
|
|
51,536,632 |
|
|
|
47,204,891 |
|
SUPPLEMENTAL REVENUE INFORMATION (unaudited) (in thousands) |
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Three Months Ended |
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Six Months Ended |
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2024 |
|
|
2023 |
|
|
2024 |
|
|
2023 |
|
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Pharma tests and services |
|
$ |
13,197 |
|
|
$ |
6,083 |
|
|
$ |
23,009 |
|
|
$ |
12,416 |
|
Enterprise sales |
|
|
7,958 |
|
|
|
7,386 |
|
|
|
15,930 |
|
|
|
16,844 |
|
Population sequencing |
|
|
1,280 |
|
|
|
3,000 |
|
|
|
2,780 |
|
|
|
6,005 |
|
Other |
|
|
145 |
|
|
|
230 |
|
|
|
386 |
|
|
|
294 |
|
Total revenue |
$ |
22,580 |
$ |
16,699 |
$ |
42,105 |
$ |
35,559 |
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CONDENSED CONSOLIDATED BALANCE SHEETS (unaudited) (in thousands, except share and per share data) |
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Assets |
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Current assets |
|
|
|
|
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|
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Cash and cash equivalents |
|
$ |
47,747 |
|
|
$ |
56,984 |
|
Short-term investments |
|
|
39,225 |
|
|
|
57,195 |
|
Accounts receivable, net |
|
|
12,921 |
|
|
|
17,730 |
|
Inventory and other deferred costs |
|
|
9,164 |
|
|
|
10,474 |
|
Prepaid expenses and other current assets |
|
|
4,046 |
|
|
|
4,361 |
|
Total current assets |
|
|
113,103 |
|
|
|
146,744 |
|
Property and equipment, net |
|
|
52,662 |
|
|
|
57,366 |
|
Operating lease right-of-use assets |
|
|
17,166 |
|
|
|
17,852 |
|
Other long-term assets |
|
|
2,571 |
|
|
|
3,137 |
|
Total assets |
|
$ |
185,502 |
|
|
$ |
225,099 |
|
Liabilities and Stockholders’ Equity |
|
|
|
|
|
|
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Current liabilities |
|
|
|
|
|
|
||
Accounts payable |
|
$ |
9,936 |
|
|
$ |
14,920 |
|
Accrued and other current liabilities |
|
|
19,248 |
|
|
|
23,941 |
|
Contract liabilities |
|
|
4,174 |
|
|
|
3,288 |
|
Short-term warrant liability |
|
|
775 |
|
|
|
5,085 |
|
Total current liabilities |
|
|
34,133 |
|
|
|
47,234 |
|
Long-term operating lease liabilities |
|
|
36,524 |
|
|
|
38,321 |
|
Long-term warrant liability |
|
|
1,513 |
|
|
|
4,942 |
|
Other long-term liabilities |
|
|
1,060 |
|
|
|
5,161 |
|
Total liabilities |
|
|
73,230 |
|
|
|
95,658 |
|
Commitments and contingencies |
|
|
|
|
|
|
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Stockholders’ equity |
|
|
|
|
|
|
||
Preferred stock, |
|
|
— |
|
|
|
— |
|
Common stock, |
|
|
5 |
|
|
|
5 |
|
Additional paid-in capital |
|
|
606,863 |
|
|
|
598,364 |
|
Accumulated other comprehensive loss |
|
|
(120 |
) |
|
|
(222 |
) |
Accumulated deficit |
|
|
(494,476 |
) |
|
|
(468,706 |
) |
Total stockholders’ equity |
|
|
112,272 |
|
|
|
129,441 |
|
Total liabilities and stockholders’ equity |
|
$ |
185,502 |
|
|
$ |
225,099 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20240807799344/en/
Investor Relations Contact:
investors@personalis.com
646-277-1279
Media:
pr@personalis.com
Source: