Slide 1: First Quarter 2024 Earnings Results
First Quarter 2024 Earnings Results April 30th, 2024 1
Slide 2: Safe Harbor Statements
Safe Harbor Statements This presentation has been prepared by NeoGenomics, Inc. (“we,” ”us,” “our,” “NeoGenomics” or the “Company”) and is made for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy securities, nor shall there be any sale of any
Slide 3: Mission and Vision
Mission We save lives by improving patient care. Vision We are becoming the world's leading cancer testing, information, and decision support company by providing uncompromising quality, exceptional service, and innovative solutions.
Slide 4: 1st Quarter 2024 Highlights
1st Quarter 2024 Highlights Revenue Adj. Gross Profit • Total Quarter Revenue Increased 14% — Clinical Revenue Increased 17% Up 14% Up 19% — ADx Revenue Decreased 3% To $156M To $71M • 50+% growth in NGS ― Approaching 30% of Total Clinical Revenue 12th Consecutive • Adjusted Gross Margin increased t
Slide 5: Momentum Continues
Momentum Continues Total Quarterly Revenues Quarterly Adj. EBITDA $155.6 $156.2 $9.3 $152.0 $146.9 $3.3 $3.5 $138.7 -$1.2 $137.2 -$2.0 -$7.1 $128.8 -$11.6 $125.1 -$16.3 $117.2 -$19.0 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 Q1'22 Q2'22 Q3'22 Q4'22 Q1'23 Q2'23 Q3'23 Q4'23 Q1'24 ($ in mil
Slide 6: 1st Quarter 2024 Strategic Priorities Highlights
1st Quarter 2024 Strategic Priorities Highlights Accelerate Profitably Grow Drive Value Advanced The Core Business Creation Diagnostics • Increased volumes in the base • New Product Development and launches • Drive operating efficiencies and business and NGS improve Gross Margins • Further improveme
Slide 7: First Quarter 2024 Financial Results
First Quarter 2024 Financial Results
Slide 8: 1st Quarter Clinical Services Results
1st Quarter Clinical Services Results • Revenue Grew 17% to $135M • Revenue per Test Improved 11% Due to Mix and Pricing • Volume Increased 5% • Continuing to See the Benefits of Investments Made in Field Resources in 2022 and 2023 Q2 Q3 Q4 Q1 Revenue 2022 Revenue 2023 Revenue 2024 Revenue $Millions
Slide 9: 1st Quarter Clinical Services Revenue per Test
1st Quarter Clinical Services Revenue per Test • 12th Consecutive Quarter of Revenue per Test Growth • Revenue per Test Increased 11% over Prior Year to $447 • Focused on Higher-Value Tests • Positive Contributions from Q2 Q3 Q4 Q1 Revenue Cycle Management 2022 Rev/Test 2023 Rev/Test 2024 Rev/Test I
Slide 10: 1st Quarter Advanced Diagnostics Results
1st Quarter Advanced Diagnostics Results • Revenue declined 3% over the prior year to $22M • Adjusted gross profit and adjusted gross margin increased over prior year • Leadership change to align commercial strategies and Q2 Q3 Q4 Q1 execution 2022 Revenue 2023 Revenue 2024 Revenue Revenue $Millions
Slide 11: 1st Quarter Income Statement
1st Quarter Income Statement Income Statement In $Millions 1Q24 %vPY Clinical Services $134.5 17.1% Quarter Improvement in Revenue Growth, Adjusted Gross Margin and Adjusted EBITDA • Quarterly financial information is unaudited. Growth corresponds to prior period 2022. Advanced Diagnostics Reference
Slide 12: 1st Quarter Balance Sheet
1st Quarter Balance Sheet Balance Sheet In $Millions Dec-23 Mar-24 Cash and cash equivalents 342.5 331.9 Marketable securities, financialat fair value 72.7 52.9 • Cash and Marketable Securities: $385 million • Quarterly information is unaudited. Growth corresponds to prior period 2022. Accounts rece
Slide 13: FY 2024 Expectations
FY 2024 Expectations Strategic Focus to Drive Long-Term Profitable Growth 10% – 12% • Affirming FY 2024 Revenue and AEBITDA Revenue Growth guidance. FY: $650 – $660 Million • Focusing on Long-term Sustainable Revenue Growth • Adjusted EBITDA Growth Exceeds Revenue Growth Due to Improving Gross 600%
Slide 14: Q1'24 Summary
Q1’24 Summary • Q1 Revenue growth was 14%, Adjusted Gross Profit increased by 19% and Adj. EBITDA grew by $11M or 149% • Key strategic initiatives continue to drive revenue growth and improve financial performance • Well-positioned to comply with FDA Final Rule on Regulation of LDTs • 2024 guidance
Slide 15: All rights reserved
© 2023 NeoGenomics Laboratories, Inc. All rights reserved. All other trademarks are the property of their respective owners. Rev. 02/20/2024
Slide 16: Appendix
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Slide 17: Balance Sheet March 31, 2024
(unaudited) March 31, 2024 December 31, 2023 Balance Sheet ASSETS Current assets March 31, 2024 Cash and cash equivalents Marketable securities, at fair value $ 331,914 52,916 $ 342,488 72,715 (unaudited, in thousands) Accounts receivable, net 140,279 131,227 Inventories 20,320 24,156 Prepaid assets
Slide 18: Income Statement, March 31, 2024
Three Months Ended March 31, Income Statement, NET REVENUE 2024 2023 March 31, 2024 Clinical Services Advanced Diagnostics $ 134,535 21,705 $ 114,869 22,351 (unaudited, in thousands) Total net revenue 156,240 137,220 COST OF REVENUE 90,771 82,406 GROSS PROFIT 65,469 54,814 Operating expenses: Genera
Slide 19: Statements of Cash Flows, March 31, 2024
Statements of Cash Flows, Three Months Ended March 31, March 31, 2024 CASH FLOWS FROM OPERATING ACTIVITIES 2024 2023 (unaudited, in thousands) Net loss $ (27,061) $ (30,795) Adjustments to reconcile net loss to net cash used in operating activities: Depreciation 9,905 9,048 Amortization of intangibl
Slide 20: Adjusted Gross Margin, March 31, 2024
Three Months Ended March 31, Adjusted Gross Margin, Clinical Services: 2024 2023 % Change March 31, 2024 Total revenue (GAAP) $ 134,535 $ 114,869 17.1 % (unaudited, in thousands) Cost of revenue (GAAP) $ 76,844 $ 67,292 14.2 % Adjustments to cost of revenue(5) (4,607) (4,264) Adjusted cost of revenu
Slide 21: Adjusted EBITDA, March 31, 2024
Adjusted EBITDA, March 31, 2024 Three Months Ended March 31, 2024 2023 (unaudited, in thousands) Net loss (GAAP) $ (27,061) $ (30,795) Adjustments to net loss: Interest income (4,834) (3,224) Interest expense 1,685 1,757 Income tax benefit (620) (2,925) Depreciation 9,905 9,048 Amortization of intan
Slide 22: Adjusted EBITDA, 2024 Guidance
Adjusted EBITDA, GAAP net loss in 2024 will be impacted by certain charges, including: (i) expense related to the amortization of intangible assets, (ii) non-cash stock based compensation, (iii) restructuring charges and (iv) other one-time expenses. These charges have been included in GAAP net loss