Genedx Holdings Corp. · NASDAQ:WGS
Genedx — Sema4 Holdings — Q2 2022 Earnings Presentation
25 slides from Genedx's earnings presentation, Aug 15, 2022
Slide 1: 2Q 2022 Earnings Presentation
2Q 2022 Earnings Presentation August 2022 Exhibit 99.2
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements under the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are statements that do not relate to historical facts and events and such statements and opinions pertaining to the future that, for
Slide 3: We are a company committed to improving family health
We are a company committed to improving family health
Slide 4: Our vision remains the same: personalized health and wellness plans based on comprehensive data
Our vision remains the same: to deliver personalized health and wellness plans based on comprehensive data
Slide 5: Our mission is refined: unlocking insights from data
Our mission is refined: Unlocking insights from data, leading to healthier lives and a healthier society
Slide 6: Creating a scalable path to profitable growth
Creating a scalable path to profitable growth Restructure and Reorganize • Revision of management team • Elimination of ~30% of the legacy Sema4 workforce • Reorganizing commercial strategy and structure for efficiency Recognize operational efficiencies • Closing our lab in Branford in December • Mo
Slide 7: Approximately $200M in Cost Savings Identified Through 2023
Approximately $200M in Cost Savings Identified Through 2023 $26 $153 $24 $127 $47 $23 2022 2023 Cumulative One time Recurring 7
Slide 8: A More Focused Business Mix
A More Focused Business Mix Peds / Rare Disease Health Systems Pharma Reproductive & Women's Health Data engine 8
Slide 9: Well positioned to deliver actionable insights for patients, clinicians and researchers
Well positioned to deliver actionable insights for patients, clinicians and researchers
Slide 10: Solutions to guide patients through their family health journey
We are driven every day to be a company of compassion and answers. Our portfolio of information-driven and genomic testing solutions guides patients through their family health journey – from reproductive health and pregnancy planning, through delivery and pediatrics, to screening for hereditary can
Slide 11: Translating into a significant opportunity in Family Health
Translating into a significant opportunity in Family Health Our diagnostic testing total addressable market is $33 billion Women’s Health: $4B NICU & Outpatient: $3B Potential for substantial cost savings via early screening Newborn Screening: $10B Increasing inclusion of genetics in screening progr
Slide 12: 2Q 2022 Highlights
2Q 2022 Highlights 2Q 2022 pro forma YoY revenue growth of 7%1,2 2Q 2022 pro forma1 YoY volume growth of 19% $285M in cash & equivalents as of 6/30/22 Accessioned record volumes at GeneDx (~16k tests in the month of June 2022) Expanded Carrier Volume +28% YoY1, Whole Exome/Genome & NICU Volume +13
Slide 13: Underlying Volume Trends are Robust
Underlying Volume Trends are Robust Pro forma: ~133k tests Reported: ~118k tests +19% YoY and +5% QoQ on a pro forma basis1 $66M in total revenue excluding headwind related 2Q 2022 prior period revenue adjustment1 $78mn of pro forma revenue1,2 $285M in cash & equivalents as of 6/30/22 +$125M undrawn
Slide 14: 2Q Revenue Impacted by Prior Period Adjustments
2Q Revenue Impacted by Prior Period Adjustments 1 30.1 million of revenue adjustments recorded related to prior periods due to our change in estimate 2Q 2022 Reported Revenue 2Q 2022 Prior Period Revenue Adjustment1 2Q 2022 Revenue Excluding Prior Period Revenue Adjustment $36M $30M $66M 14
Slide 15: 2Q 2022 GAAP Financial Highlights
2Q 2022 GAAP Financial Highlights 2Q 20221 – Financial Highlights USD Millions 2Q 2022 2Q 2021 Total Revenue $36.2 $47.0 Gross Profit (Loss) ($29.6) ($1.2) Gross Margin (82%) (2%) GAAP Net Income (Loss) ($85.7) ($46.2) 1 3 months ended 6/30/22 15
Slide 16: 2Q 2022 Non-GAAP Financial Highlights
2Q 2022 Non-GAAP Financial Highlights 2Q 20221 – Non-GAAP2 Financial Highlights USD Millions 2Q 2022 2Q 2021 Revenue $36.2 $47.0 Non-GAAP Gross Profit (Loss) ($27.6) ($1.5) Non-GAAP Gross Margin (76%) (3%) Non-GAAP Net Income (Loss) ($72.9) ($43.5) 1 3 months ended 6/30/22 2 Refer to Appendix for No
Slide 17: 2Q 2022 Non-GAAP Financial Highlights Excluding Prior Period Revenue Adjustment
2Q 2022 Non-GAAP Financial Highlights 2Q 20221 – Non-GAAP Financial Highlights Excluding $30M 2Q22 Prior Period Revenue Adjustment3 USD Millions 2Q 2022 2Q 2021 Revenue $66.3 $47.0 Gross Profit (Loss) $2.5 ($1.5) Gross Margin 4% (3%) Non-GAAP Net Income (Loss) ($42.8) ($43.5) 1 3 months ended 6/30/2
Slide 18: FY 2022 Guidance
FY 2022 Guidance 60%+ growth YoY Implies 460k+ patient tests resulted & 19%+ proforma growth Adjusted gross margin to exceed 10% Resulted Volume1 Revenue $245-255M reported revenue Translates to $269- 279M when excluding ($24M) of prior period revenue adjustments2 Adj. Gross Margin3 4-9% gross margi
Slide 19: 2H 2022 Guidance
2H 2022 Guidance More than 270,000 resulted tests Implies 18% YoY growth on a pro forma basis excluding COVID-19 Adjusted gross margin to exceed 10% Resulted Volume Revenue $154-164M total revenue Implies 7% pro forma revenue growth excluding COVID-19 revenue Adj. Gross Margin1 15-20% in 2H 2022 $16
Slide 20: Our Financial Profile Exiting 2H 2022
Our Financial Profile Exiting 2H 2022 1 $320 million pro forma revenue reflects 2H 2022 guidance on an annualized basis including GeneDx results 2 Adjusted Gross Margin is a non-GAAP measure. Refer to Appendix for non-GAAP Reconciliation 3 Includes Cash & Equivalents, does not include drawing on Sem
Slide 21: Appendix
Appendix sema4 Genek
Slide 22: Historical Pro Forma Resulted Volume & Revenue
Historical Pro Forma Resulted Volume & Revenue1 1Q21 2Q21 3Q21 4Q21 1Q22 2Q224 Pro Forma Resulted Volumes2 Complex Reproductive Health3 46,052 50,155 49,475 61,741 67,907 73,288 Whole Exome, Whole Genome & NICU 3,344 6,698 6,162 6,619 7,395 7,572 Other Diagnostic Testing (Excluding COVID) 49,230 54,
Slide 23: Non-GAAP Gross Margin Reconciliation
Non-GAAP Gross Margin Reconciliation 23
Slide 24: Non-GAAP EBITDA Reconciliation
Non-GAAP EBITDA Reconciliation 24
Slide 25: Non-GAAP Net Loss Reconciliation
Non-GAAP Net Loss Reconciliation1 25 1 See footnotes to adjusted EBITDA reconciliation within the appendix for additional detail on the reconciled line items