Rockville, Maryland – GeneDx Holdings Corp. hosted its Q2 2024 Earnings Conference Call on July 30, with key executives providing insights into the company’s performance and future plans. Present during the call were Sabrina Dunbar, Katherine Stueland, and Kevin Feeley, who shared details on the financial results for the second quarter ending June 30, 2024.
Stueland highlighted the company’s strong quarter, with revenues reaching nearly $69 million, an expansion in gross margins to 62%, and a ninth consecutive quarter of cash burn reduction. The company also raised its revenue guidance for the year to $255 million to $265 million, coming closer to achieving profitability. GeneDx’s focus on pediatric patients and healthcare providers has resulted in over 665,000 exomes and genomes sequenced and more than 1 million genetic tests performed.
The company’s strategic focus on whole genome sequencing was emphasized, with an announcement of a partnership with Epic to integrate with health systems and improve patient and provider experiences. Enhancements to the genome product were also unveiled to reduce turnaround time, expand accepted sample types, and increase diagnostic yield. GeneDx is committed to balancing growth and scale with financial discipline to drive future investments and commercial viability.
Progress in expanding access to exome and genome testing nationwide was highlighted, with various states passing legislation to cover rapid genetic testing. State Medicaid programs and commercial payers are also taking steps towards offering whole genome sequencing to patients. The company’s continued efforts to remove barriers to testing and prioritize equitability in healthcare were acknowledged during the call.
From a financial standpoint, revenues from continuing operations grew to $68.9 million in the second quarter of 2024. Adjusted gross profit saw a significant increase, driven by enhanced volume, improved reimbursement rates, and cost efficiencies. GeneDx’s adjusted net loss narrowed to $2.7 million, showing progress towards profitability. The company demonstrated nine consecutive quarters of cash burn reduction, ending the quarter with a strong financial position.
GeneDx’s focus on innovation, cost efficiency, and strategic partnerships positions the company for continued growth and success in the genetic diagnostics industry. As the market leader in exome and genome sequencing, GeneDx remains dedicated to advancing healthcare through genetic testing and personalized medicine. With a clear roadmap for future investments and a commitment to excellence, GeneDx is poised for sustainable growth and profitability in the years ahead.
