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GeneDx Q1 Revenues up 51 Percent as Firm Sees Growing Demand for Testing

NEW YORK – GeneDx reported after market close on Monday that its first quarter revenues were up 51 percent year over year, driven by skyrocketing whole-genome and whole-exome test volumes.

For the three months ended March 31, the Stamford, Connecticut-based diagnostics company, formerly known as Sema4, booked $62.4 million in total revenues, compared to $43.1 million a year ago and well above the Wall Street consensus estimate of $49.5 million.

Investors reacted favorably to the results. In Tuesday morning trading on the Nasdaq, GeneDx's shares were up 34 percent at $14.85.

Of the total revenues, $61.1 million came from diagnostic tests and $1.3 million from other revenues, compared to $41.9 million and $1.3 million in the year-ago quarter. Also, 72 percent of revenues, or $44.0 million, came from whole-exome and whole-genome testing, almost doubling from the $ 22.4 million in the prior-year quarter. Hereditary cancer testing revenues were $5.5 million, a 28 percent increase from $4.3 million in Q1 2023. Other panel testing generated $10.7 million in revenues during Q1, down 16 percent from $12.7 million in the same period a year ago. Revenues from the legacy Sema4 data information business were $1.3 million, the same as in Q1 2023.

During the quarter, GeneDx performed 55,223 tests in total, including 16,592 whole-exome and whole-genome tests, a 91 percent increase year over year compared to 8,705 in Q1 2023. Hereditary cancer testing volume was 6,868, a 4 percent decline from 7,120 in the prior year. The company delivered 31,763 other panel tests, down 14 percent from 36,953 a year ago.

GeneDx's R&D spending in the quarter declined 21 percent year over year to $11.6 million from $14.6 million, while its SG&A costs dropped 33 percent to $38.5 million from $57.1 million.

Net loss for the quarter was $20.2 million, or $.78 per share, compared to a net loss of $61.0 million, or $3.04 per share, in Q1 2023. Wall Street analysts, on average, had expected a net loss of $.67 per share. Adjusted net loss was $8.5 million, compared to an adjusted net loss of $48.9 million a year earlier.

The company ended the quarter with $83.7 million in cash and cash equivalents and $29.2 million in marketable securities.

GeneDx updated its guidance for 2024, now expecting full-year revenues to be between $235.0 million and $245.0 million, up from a previous guidance range of $220.0 million to $230.0 million. The company continues to expect to become profitable in 2025.