Business
NeoGenomics Announces CEO Departure and Initiates CEO Search
Board Appoints Executive Chair and Interim Office of the CEOAnticipates First Quarter Results Below Guidance and Withdraws 2022 GuidanceFT. MYERS, FL /
About this update from Neogenomics, Inc.
[{"type":"text","content":"Board Appoints Executive Chair and Interim Office of the CEOAnticipates First Quarter Results Below Guidance and Withdraws 2022 GuidanceFT. MYERS, FL / ACCESSWIRE / March 28, 2022 / NeoGenomics, Inc. (NASDAQ:NEO) (the \"Company\"), a leading provider of cancer-focused genetic testing services and global oncology contract research services, today announced that the Board of Directors (the \"Board\") and Mark Mallon, Chief Executive Officer, have agreed that Mr. Mallon will step down as CEO and member of the Board, effective immediately. This mutual agreement was not the result of any disagreements about strategy with management or the Board, inappropriate action by CEO, or any violation of company policy or any accounting irregularity. The Board has retained Russell Reynolds to conduct a search for the Company's next CEO.The Board has appointed current Chair Lynn Tetrault, Esq. as Executive Chair and established an Interim Office of the CEO to provide seamless leadership continuity and operational management of the Company while the Board conducts the CEO search. The Interim Office of the CEO will be comprised of Chief Financial Officer, William Bonello, Chief Strategy and Corporate Development Officer, Douglas Brown, and Chief Culture Officer, Jennifer Balliet. Each of these executives will remain in their current positions while carrying out their new responsibilities.The Company currently expects revenue for Q1 2022 may be below the low end of its prior guidance of $118 - $120 million and EBITDA for Q1 2022 will be below the low end of its prior guidance of $(15) - $(12) million. The larger than anticipated EBITDA loss was primarily driven by higher than anticipated Clinical Services cost of goods sold. The Company intends to take immediate action to address performance and costs while continuing to invest prudently in the RaDaR™ Assay. The Company plans to report full Q1 2022 results on April 27, 2022. Additionally, the Company has withdrawn its 2022 annual financial guidance issued February 23, 2022.Lynn Tetrault, Executive Chair of NeoGenomics said, \"We thank Mark for his contributions to the Company and wish him the best in the future. We are taking immediate steps to improve our business performance. We remain committed to our strategy and the creation of long-term value for our shareholders. We're fortunate to have an e...