Myriad Genetics, Inc. · NASDAQ:MYGN
Myriad Genetics — Q2 2023 Earnings Presentation
22 slides from Myriad Genetics's earnings presentation, Aug 3, 2023
Slide 1: Second Quarter 2023 Earnings
Second Quarter 2023 Earnings August 3rd, 2023 ©2023 Myriad Genetics, Inc. All rights reserved. ©2023 Myriad Genetics, Inc. All rights reserved. Myriad.com
Slide 2: Forward-looking statements and Non-GAAP financial measures
Forward-looking statements and Non-GAAP financial measures Some of the information FORWARD-LOOKING STATEMENTS presented here today may These statements are based on management’s current expectations and the actual events or contain projections or results may differ materially and adversely from thes
Slide 3: Revealing the power of genetic science – for everyone
TM Revealing the power of genetic science – for everyone Mission We advance health and well-being for all, empowering every individual by revealing the answers inside each of us. Vision As a leader in genetic testing and precision medicine, we provide insights that help people take control of their
Slide 4: Second quarter operating and financial highlights
Second quarter operating and financial highlights New credit facility adds financial flexibility; on-track to Double-digit revenue growth Testing volume growth driven Positive Trend in Gross achieve positive adjusted despite payor headwinds across each Business Unit Margin and Adj. OpEx operating ca
Slide 5: Pillars of long-term growth and profitability
Pillars of long-term growth and profitability Top-tier science delivering products that are clinically validated and demonstrate proven utility (quality, access and cost) in real world clinical settings Automated, scalable, and cost-effective laboratory operations and technology platform Strong digi
Slide 6: Mark Verratti, Chief Commercial Officer
Mark Verratti Chief Commercial Officer ©2023 Myriad Genetics, Inc. All rights reserved. Myriad.com 6
Slide 7: Our commercial team is delivering strong performance
Our commercial team is delivering strong performance We’re seeing strong sales performance Myriad Commercial Platform across all product lines • Tenured salesforce is hitting their stride with turnover down to 10% • Driving deeper penetration in existing accounts • Landing new accounts, including wi
Slide 8: Oncology: MyRisk and Prolaris continue strong momentum
Oncology: MyRisk and Prolaris continue strong momentum Oncology Operational results Quarterly highlights ~52k • Q2 ’23 test volume increased 11% compared to Q2 ’22. Q2 ‘23 volume • Hereditary cancer testing (HCT) volumes in Oncology grew 18% in Q2 ‘23 compared to Q2 ‘22. $80.7 million • Prolaris rev
Slide 9: Women's Health: Strong MyRisk and Prenatal volume momentum continues in 2023
Women’s Health: Strong MyRisk and Prenatal volume momentum continues in 2023 Women’s Health Operating results Quarterly highlights ~187k • Q2 ’23 HCT volumes in Women’s Health grew 21% YOY, making this the fourth consecutive Q2 ‘23 volume quarter of positive YOY growth. • Q2 ’23 prenatal testing vol
Slide 10: Mental Health: GeneSight test volume continues strong growth trajectory
Mental Health: GeneSight test volume continues strong growth trajectory Mental Health Operating results Quarterly highlights • In Q2 ’23, added approximately 4,000 ~117k clinicians who ordered GeneSight for the first time. Q2 ‘23 volume • Achieved record lead generation in 1H ’23 (80,000+ leads). $3
Slide 11: Nicole Lambert, Chief Operating Officer
Nicole Lambert Chief Operating Officer ©2023 Myriad Genetics, Inc. All rights reserved. Myriad.com 11
Slide 12: Q2 2023 operational highlights fueling our growth
Q2 2023 operational highlights fueling our growth Team engagement Market perception Efficiency & speed 86% 63-84% 5.5 days of our team rate Net Promotor Score Quick recovery back to Myriad as a “Great among current Myriad our industry-leading lab Place To Work” providers ordering across turn-around
Slide 13: Labs of the Future driving innovation, scale, lower costs and high-performance culture
Labs of the Future driving innovation, scale, lower costs and high-performance culture Myriad Genetics Headquarters and Dr. Walter Gilbert Innovation Center SOUTH SAN FRANCISCO Central Lab Operations SALT LAKE CITY Industry-leading turn-around times, higher volume lab operations, Advanced Incubate n
Slide 14: Investments driving momentum in Hereditary Cancer Testing
Investments driving momentum in Hereditary Cancer Testing Electronic medical records (EMR) clinic 2023 go-live of unified provider integrations across MyRisk portal across enterprise MyRisk results delivered via EMR MyRisk Unified Provider Portal Orders 2Q '21 2Q '22 2Q '23 Jan '23 Feb '23 Mar '23 A
Slide 15: Bryan Riggsbee, Chief Financial Officer
Bryan Riggsbee Chief Financial Officer ©2023 Myriad Genetics, Inc. All rights reserved. Myriad.com 15
Slide 16: Hereditary cancer test and GeneSight volumes drive Q2 '23 performance
Hereditary cancer test and GeneSight volumes drive Q2 ’23 performance Select test volume and growth rates ,000’s ,000’s Other growth contributors: 100 100 90 90 Prenatal volumes +71% YOY reflects 80 80 contribution from SneakPeek Early 70 70 +23% Gender DNA test 60 60 50 50 40 40 Prolaris volumes +1
Slide 17: Revenue in Q2 '23 grew 10% YOY, excluding change in revenue estimates
Revenue in Q2 ’23 grew 10% YOY, excluding change in revenue estimates Total revenue Q2 ‘23 total revenue growth reflects: $183.5M • Strong volume growth of 17% in 2Q $179.3M ‘23 compared to 2Q ‘22. ~$12M • Challenging payor dynamics negatively affected Q2 ‘23 total +10%* revenue by an estimated $4 m
Slide 18: On track to achieve full-year revenue and non-GAAP financial guidance
On track to achieve full-year revenue and non-GAAP financial guidance All figures in millions, except per share amounts Total revenue Adjusted operating expense* Adjusted EPS* $0.00 $195 $150 $144.5 $183.5 $181.2 $(0.08) $133.4 $(0.21) ($0.24) $155 $120 1Q '23 2Q '23 3Q '23E 4Q '23E 1Q '23 2Q '23 3Q
Slide 19: Increased financial flexibility; on-track to achieve positive adjusted operating cash flow in Q4 '23
Increased financial flexibility; on-track to achieve positive adjusted operating cash flow in Q4 ‘23 Total cash and cash equivalents at end of second quarter of 2023 $127.8 Amount available to draw under the asset-based credit facility* 23.5 Adjusted operating cash flow Expected initial cash payment
Slide 20: Reaffirm 2023 revenue and non-GAAP financial guidance
Reaffirm 2023 revenue and non-GAAP financial guidance All figures in millions, except per share amounts 2023 Full-Year Financial Guidance Full-Year Comments Total revenue $730 - $750 2023 annual growth between 8% - 11% over 2022. Gross margin % 68% - 70% GM expected to fluctuate in any quarter given
Slide 21: Investment considerations: Myriad strengths and strategic advantages
Investment considerations: Myriad strengths and strategic advantages Significant market growth in focused business areas Leader in genetic testing and precision medicine Best-in-class product quality • Long-term growth strategy on track • Broad and growing commercial capabilities Strong scalable wit
Slide 22: Q&A
Q&A ©2023 Myriad Genetics, Inc. All rights reserved. Myriad.com 22