Slide 1: Q4 2023 Business and Financial Presentation
Q4 2023 Business and Financial Presentation February 22, 2024 © Verac yt e , In c . Al l ri gh t s res erv ed . © Veracyte, Inc. All rights reserved.
Slide 2: Forward-looking statements and non-GAAP information
Forward-looking statements and non-GAAP information This presentation contains forward-looking statements, including, but not limited to our statements related to our plans, object ives, and expectations (financial and otherwise), including with respect to 2024 financial and operating results; state
Slide 3: Key Q4 2023 Results and FY 2024 Outlook
Key Q4 2023 Results and FY 2024 Outlook 1. Strong Q4 2023 revenue of $98.2M driven by Decipher Prostate and Afirma 2. Ended Q4 with $216.5M of cash,1 and generated ~$15.6M of cash from operations during the quarter 3. Published the clinical validity study for Percepta Nasal Swab in CHEST 4. Acquired
Slide 4: Our vision is to transform cancer care for patients
KP- Revise to leverage innovative image that conveys cancer, AI, “smart diagnostics” that are differentiated by our “grid” process Our vision is to transform cancer care for patients all over the world © Verac y t e, I nc . All right s res erv ed. © Veracyte, Inc. All rights reserved. 4
Slide 5: A novel platform for growth
assays + c d genomic linic al d A novel Br oa s s is t e d d a t a mini ata AI-a ng platform for evidence gene growth ef fici ent rat ion e t& market expansio ng s ed n bu at a ine Ro More Data pp ti en roa r Diffe ch Veracyte More Insights Diagnostics Platform More Evidence More Utility © Veracyte,
Slide 6: Delivered Q4 total revenue growth of 22%
Q4 2023 REVENU E AND VOLUM E Delivered Q4 total revenue growth of 22% Total Revenue by Quarter1 Total Volume by Quarter 33,836 31,809 32,544 2,643 $98.2 28,788 2,748 2,861 28,001 $90.3 $90.1 $4.1 2,940 $3.7 2,322 $80.3 $82.4 $4.6 $4.1 $4.0 $4.0 $6.8 $6.1 $3.2 $3.9 29,683 31,193 29,061 $90.4 25,679 2
Slide 7: Strong non-GAAP gross margin
Q4 2023 NON- GAAP GROSS MARGI N AND OPERATI NG EXPENSE Strong non-GAAP gross margin Non-GAAP Gross Margin by Quarter1 Non-GAAP Operating Expense by Quarter1,2 $65.6 $58.1 $59.3 $57.7 68% 67% 69% 70% 67% $51.1 $21.9 $20.1 $21.9 $20.6 $16.8 $25.0 $25.2 $24.9 $23.8 $23.2 3 $18.7 $11.1 $12.7 $12.5 $13.3
Slide 8: Cash balance of $216.5M
Q4 2023 CASH BALANC E Cash balance of $216.5M1 • Q4 cash generated by operations Cash balance1 of $15.6M $216.5 $202.5 • Testing growth and working capital $191.1 $178.9 $177.9 performance resulted in higher than projected cash balance • 2024 outlook: • Q1 slight cash usage • Ending 2024 cash balanc
Slide 9: 2024 revenue guidance of $394M to $402M
2024 REVENU E GUID ANC E1 ,2 2024 revenue guidance of $394M to $402M $394-$402 $361.1 $18.9 $15.6 $296.5 • Expect product and testing revenue $33.4 growth of 13% to 15% $220.1 $12.6 • Anticipate biopharma and other $19.9 $12.0 revenue to be down ~50% $326.5 $250.5 $188.2 20213 2022 2023 2024 Guidanc
Slide 10: Contact Us
Contact Us INVESTORS investor@Veracyte.com MEDIA media@Veracyte.com twitter.com/Veracyte linkedin.com/company/Veracyte veracyte.com CORPORATE HQ 6000 Shoreline Court, Ste. 300 South San Francisco, CA w94080 650.243.6300 © Verac y t e, I nc . All right s res erv ed. © Veracyte, Inc. All rights reserv
Slide 11: © Veracyte, Inc. All rights reserved.
© Veracyte, Inc. All rights reserved. 2/22/2024 11
Slide 12: Reconciliation of Non-GAAP Financial Measures Q4 2023
Q4 2023 Reconciliation of Non-GAAP Financial Measures (Unaudited) (In thousands of dollars) Identified Expenses Acquisition Related Intangible Assets GAAP Expenses (1) Amortization Expense Other (4) Total Non-GAAP Measure Three Months Ended December 31, 2023 Total revenue $ 98,199 $ — $ — $ — $ 98,1
Slide 13: Reconciliation of Non-GAAP Financial Measures Q3 2023
Q3 2023 Reconciliation of Non-GAAP Financial Measures (Unaudited) (In thousands of dollars) Identified Expenses Acquisition Related Intangible Assets GAAP Expenses (1) Amortization Expense Other (4) Total Non-GAAP Measure Three Months Ended September 30, 2023 Total revenue $ 90,108 $ — $ — $ — $ 90,
Slide 14: Reconciliation of Non-GAAP Financial Measures Q2 2023
Q2 2023 Reconciliation of Non-GAAP Financial Measures (Unaudited) (In thousands of dollars) Identified Expenses Acquisition Related Intangible Assets GAAP Expenses (1) Amortization Expense Other (4) Total Non-GAAP Measure Three Months Ended June 30, 2023 Total revenue $ 90,322 $ — $ — $ — $ 90,322 C
Slide 15: Reconciliation of Non-GAAP Financial Measures Q1 2023
Q1 2023 Reconciliation of Non-GAAP Financial Measures (Unaudited) (In thousands of dollars) Identified Expenses Acquisition Related Intangible Assets GAAP Expenses (1) Amortization Expense Other (4) Total Non-GAAP Measure Three Months Ended March 31, 2023 Total revenue $ 82,422 $ — $ — $ — $ 82,422
Slide 16: Reconciliation of Non-GAAP Financial Measures Q4 2022
Q4 2022 Reconciliation of Non-GAAP Financial Measures (Unaudited) (In thousands of dollars) Identified Expenses Acquisition Related Intangible Assets GAAP Expenses (1) Amortization Expense Other Total Non-GAAP Measure Three Months Ended December 31, 2022 Total revenue $ 80,297 $ — $ — $ — $ 80,297 C