Adaptive Biotechnologies Corporation · NASDAQ:ADPT
Adaptive Biotechnologies — Q2 2023 Earnings Presentation
13 slides from Adaptive Biotechnologies's earnings presentation, Aug 2, 2023
Slide 1: Second Quarter 2023 Earnings Conference Call
Second Quarter 2023 Earnings Conference Call
Slide 2: Safe Harbor
Safe Harbor This presentation has been prepared by Adaptive Biotechnologies Corporation (“we,” “us,” “our,” “Adaptive” or the “Company”) and is made for informational purposes only. The information set forth herein does not purport to be complete or to contain all relevant information. Statements co
Slide 3: Q2 2023 highlights
Q2 2023 highlights Ensuring sustainable Progressing R&D Achieving operating future revenue growth programs efficiencies ◼ Q2 revenue $48.9M ◼ GNE programs maturing with ◼ Continuing to streamline org. ❑ +12% Y/Y, +30% Q/Q key milestone achieved and advance op. efficiencies ❑ FDA IND acceptance for ❑
Slide 4: MRD: 22% Y/Y rev. growth with laser focused strategy to increase penetration
MRD: 22% Y/Y rev. growth with laser focused strategy to increase penetration clonoSEQ clinical test clonoSEQ MRD Pharma ◼ Q2’23 clinical rev growth of +41% Y/Y; +10% Q/Q ◼ Q2’23 pharma rev growth (excluding milestones) of +14% Y/Y; +38% Q/Q ◼ Q2’23 test delivered volume +52% Y/Y; +13% Q/Q ❑ Revenue
Slide 5: Quarterly clonoSEQ test volume continues to reach an all-time high
Quarterly clonoSEQ test volume continues to reach an all-time high 13,665 13% 12,079 15% 9% 10,526 7% 9,649 8,998 17% 7,698 12,823 11,419 9,079 9,843 7,164 8,178 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 clonoSEQ US volume clonoSEQ tech transfer volume from international sites 5
Slide 6: MRD is evolving into an essential clinical decision-making tool in MM
MRD is evolving into an essential clinical decision-making tool in MM MASTER Trial 3-year PFS Rates for patients that discontinued therapy Therapy Discontinuation Standard risk >85% of multiple myeloma patients with High risk standard or high-risk genetic features who stopped treatment after two Ult
Slide 7: Immune Medicine consists of steady growth toward FY'23 targets
Immune Medicine consists of steady growth toward FY’23 targets 3% $23.0M $22.4M1 Q2’23 revenue performance 5.5 8.4 ❑ Secured milestone from 1st IND acceptance ❑ Decrease in GNE amortization starts to be offset by new 17.5 revenue streams 13.8 ❑ Impact observed in pharma services from strategic and/o
Slide 8: GNE partnership: FDA IND acceptance for 1st cell therapy product candidate
GNE partnership: FDA IND acceptance for 1st cell therapy product candidate TCRs target ✓ IND cleared for 1 therapeutic product candidate • st neoantigens shared • We are focused on supporting GNE in speed to the clinic for this first candidate among many cancer • 2 additional TCR data packages are u
Slide 9: On track with key strategic priorities in autoimmunity
On track with key strategic priorities in autoimmunity High unmet need Drug Discovery to meet the need ▪ Efforts underway to discover MS Novel Targets IBD disease-specific targets ▪ Opportunity to bring TCR Tx Autoimmunity Against targeted therapies to novel patients with autoimmune targets diseases
Slide 10: Q2 2023 financial highlights
Q2 2023 financial highlights Total Revenue ($M) MRD Revenue ($M) Immune Medicine + MRD Immune Medicine [Clinical testing + $48.9 +12% pharma sequencing] $43.7 +3% 23.0 1 22.4 Immune Medicine Revenue ($M) + 2 +22% 25.9 21.3 1 Q2 2022 Q2 2023 All $ and % figures are rounded 1 Includes academic service
Slide 11: Q2 2023 financial highlights
Q2 2023 financial highlights P&L Driving Operating leverage Q2'23 Q1'23 Q2'22 Q/Q % Y/Y % Total Revenue 48.9 37.6 43.7 30% 12% Key ongoing company-wide efforts to drive efficiencies Cost of Revenues (COR) 17.9 18.7 13.2 -4% 35% Gross Margin % 63% 50% 70% 13% -6% ◼ Consolidate into one clinical lab i
Slide 12: FY 2023 guidance
FY 2023 guidance ◼ Revenue: reiterate 2023 full year revenue range $205M - $215M ❑ MRD and Immune Medicine revenue represents ~55% / 45% of total revenue at mid -point ❑ >50% clonoSEQ test volume growth vs FY 2022 ◼ FY 2023 operating expenses: ❑ Expect FY OPEX (including cost of revenue) below FY 20
Slide 13: Appendix: Reconciliation between Adjusted EBITDA and net loss
Appendix: Reconciliation between Adjusted EBITDA and net loss attributable to Adaptive Biotechnologies Corporation 13
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