Personalis, Inc. (Nasdaq: PSNL), a leader in advanced genomics
for precision oncology, today reported financial results for the
second quarter ended June 30, 2023 and provided recent business
highlights.
Recent Business Updates
- Announced a collaboration with National Cancer Center Hospital
East and Ono Pharmaceutical Co. Ltd to perform exploratory
biomarker analysis using highly sensitive and comprehensive genomic
tests from Personalis to better predict immunotherapy response for
resectable rectal cancer with mismatch repair deficiency
(dMMR)
- Received notice from the U.S. Department of Veterans Affairs
Million Veterans Program (VA MVP) that it has exercised the first
of four one-year renewal options under the September 2022
contract
- Filed second patent infringement lawsuit against Foresight
Diagnostics as part of the company’s continuing efforts to protect
its investment and industry-leading intellectual property position
in whole genome, tumor-informed minimal residual disease (MRD)
testing
“We continue expanding our biopharma funnel of opportunities for
NeXT Personal® and expect revenue growth to begin ramping later
this year, which allowed us to tighten the revenue guidance range,”
said Chris Hall, President and CEO of Personalis. “We continue to
crisply execute and plan to launch our highly sensitive MRD test
later this year for oncologists. As we and our partners build a
base of supportive evidence, we are paving the way for our
successful entry into the clinical diagnostics market.”
Second Quarter Financial Highlights
- Reported total company revenue of $16.7 million for the second
quarter of 2023, representing an 8% decrease compared with $18.2
million for the second quarter of 2022
- Revenue from pharma tests, enterprise sales, and other
customers of $13.7 million in the second quarter of 2023,
representing a 3% decrease compared with $14.2 million in the
second quarter of 2022; revenue from enterprise customers includes
revenue from Natera of $7.4 million in the second quarter of 2023,
compared with $6.9 million from Natera in the second quarter of
2022
- Revenue from population sequencing for the VA MVP of $3.0
million in the second quarter of 2023, compared with $4.0 million
in the second quarter of 2022
- Cash, cash equivalents, and short-term investments of $137.2
million as of June 30, 2023
- Net loss of $24.0 million, and net loss per share of $0.50
based on a weighted-average basic and diluted share count of 47.7
million in the second quarter of 2023
Third Quarter and Full Year 2023 Outlook
Personalis expects the following for the third quarter of
2023:
- Total company revenue of approximately $17 million
- Revenue from pharma tests, enterprise sales, and other
customers of approximately $14 million, and revenue from population
sequencing of approximately $3 million
Personalis expects the following for the full year of 2023:
- Total company revenue in the range of $70 million to $72
million
- Revenue from pharma tests, enterprise sales, and all other
customers in the range of $61 million to $63 million, and revenue
from population sequencing of approximately $9 million
- Net loss of approximately $103 million reduced from $113
million in 2022 due to realization of headcount reduction savings,
partially offset by investments in clinical evidence generation and
non-cash depreciation expense for the new facility
- Cash usage of approximately $70 million, reduced from $119
million in 2022
Webcast and Conference Call Information
Personalis will host a conference call to discuss the second
quarter financial results after market close on Tuesday, August 8,
2023 at 2:00 p.m. Pacific Time / 5:00 p.m. Eastern Time. The
conference call can be accessed live by dialing 877-451-6152 for
domestic callers or 201-389-0879 for international callers. The
live webinar can be accessed at https://investors.personalis.com. A
replay of the webinar will be available shortly after the
conclusion of the call and will be archived on the company's
website.
About Personalis, Inc.
At Personalis, we are transforming the active management of
cancer through breakthrough personalized testing. We aim to drive a
new paradigm for cancer management, guiding care from biopsy
through the life of the patient. Our highly sensitive assays
combine tumor-and-normal profiling with proprietary algorithms to
deliver advanced insights even as cancer evolves over time. Our
products are designed to detect minimal residual disease (MRD) and
recurrence at the earliest timepoints, enable selection of targeted
therapies based on ultra-comprehensive genomic profiling, and
enhance biomarker strategy for drug development. Personalis is
based in Fremont, California. To learn more, visit
www.personalis.com and connect with us on LinkedIn and Twitter.
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. Actual results may differ materially from the results
predicted and reported results should not be considered an
indication of future performance. Forward-looking statements
include all statements that are not historical facts and can
generally be identified by terms such as “aim,” “continue to,”
“expect,” “future,” “goal,” or “will” or similar expressions and
the negatives of those terms. These statements include, but are not
limited to, statements regarding NeXT Personal’s ability to predict
responses to immunotherapy, the company entering into the clinical
diagnostics market with NeXT Personal in 2023 and becoming a
critical partner in cancer recurrence monitoring and detection,
effective defense and enforcement of the company’s patents, the
company’s third quarter and full year financial guidance, expected
revenue growth, cash runway, the company’s business outlook, and
the company’s goals and aims. Forward-looking statements involve
known and unknown risks, uncertainties and other factors that may
cause Personalis’ actual results, performance, or achievements to
be materially different from any future results, performance or
achievements expressed or implied by the forward-looking
statements. These risks, uncertainties and other factors relate to,
among others: the timing and pace of new orders from customers,
including from Natera, which accounted for 44% of the company’s
total revenue in the second quarter, and the VA MVP; the launch and
market adoption of new products and new product features, such as
NeXT Personal; the timing of tissue, blood, and other specimen
sample receipts from customers, which can materially impact revenue
quarter-over-quarter and year-over-year; whether orders for the
NeXT Platform and revenue from biopharmaceutical customers and
Natera increase or decrease in future periods; ability to
demonstrate attributes or advantages of NeXT Personal or the
Personalis NeXT Platform; the evolution of cancer therapies and
market adoption of the company’s services; risks associated with
health epidemics or pandemics; unstable market, economic and
geo-political conditions, which may significantly impact the
company’s business and operations and the business and operations
of Personalis’ customers and suppliers; and the outcome of legal
proceedings to enforce patents, and the presumed validity or
enforceability of the company’s patents or other intellectual
property rights. These and other potential risks and uncertainties
that could cause actual results to differ materially from the
results predicted in these forward-looking statements are described
under the captions “Risk Factors” and “Management’s Discussion and
Analysis of Financial Condition and Results of Operations” in
Personalis’ Annual Report on Form 10-K for the year ended December
31, 2022, filed with the Securities and Exchange Commission (SEC)
on February 23, 2023, its Quarterly Report on Form 10-Q for the
quarter ended March 31, 2023, filed with the SEC on May 3, 2023,
and its Quarterly Report on Form 10-Q for the quarter ended June
30, 2023, being filed with the SEC later today. All information
provided in this release is as of the date of this press release,
and any forward-looking statements contained herein are based on
assumptions that we believe to be reasonable as of this date. Undue
reliance should not be placed on the forward-looking statements in
this press release, which are based on information available to us
on the date hereof. Personalis undertakes no duty to update this
information unless required by law.
PERSONALIS, INC.
CONDENSED CONSOLIDATED
STATEMENTS OF OPERATIONS (unaudited)
(in thousands, except share and
per share data)
Three Months Ended June
30,
Six Months Ended June
30,
2023
2022
2023
2022
Revenue
$
16,699
$
18,240
$
35,559
$
33,467
Costs and expenses
Cost of revenue
11,907
13,959
26,037
24,908
Research and development
17,852
16,288
34,425
33,386
Selling, general and administrative
12,134
15,874
26,231
31,360
Restructuring and other charges
152
—
4,037
—
Total costs and expenses
42,045
46,121
90,730
89,654
Loss from operations
(25,346
)
(27,881
)
(55,171
)
(56,187
)
Interest income
1,465
349
2,718
493
Interest expense
(39
)
(50
)
(86
)
(109
)
Other income (expense), net
1
50
(25
)
69
Loss before income taxes
(23,919
)
(27,532
)
(52,564
)
(55,734
)
Provision for income taxes
36
14
50
21
Net loss
$
(23,955
)
$
(27,546
)
$
(52,614
)
$
(55,755
)
Net loss per share, basic and diluted
$
(0.50
)
$
(0.60
)
$
(1.11
)
$
(1.23
)
Weighted-average shares outstanding, basic
and diluted
47,669,513
45,637,838
47,204,891
45,316,795
PERSONALIS, INC.
SUPPLEMENTAL REVENUE
INFORMATION (unaudited)
(in thousands)
Three Months Ended June
30,
Six Months Ended June
30,
2023
2022
2023
2022
Pharma tests and services
$
6,083
$
7,257
$
12,416
$
14,819
Enterprise sales
7,386
6,891
16,844
11,007
Population sequencing
3,000
4,055
6,005
7,556
Other
230
37
294
85
Total revenue
$
16,699
$
18,240
$
35,559
$
33,467
PERSONALIS, INC.
CONDENSED CONSOLIDATED BALANCE
SHEETS (unaudited)
(in thousands, except share and
per share data)
June 30, 2023
December 31, 2022
Assets
Current assets
Cash and cash equivalents
$
97,195
$
89,128
Short-term investments
40,012
78,530
Accounts receivable, net
10,132
16,642
Inventory and other deferred costs
8,140
8,591
Prepaid expenses and other current
assets
5,476
6,808
Total current assets
160,955
199,699
Property and equipment, net
59,486
61,935
Operating lease right-of-use assets
24,660
26,480
Other long-term assets
3,937
4,586
Total assets
$
249,038
$
292,700
Liabilities and Stockholders’
Equity
Current liabilities
Accounts payable
$
8,847
$
12,854
Accrued and other current liabilities
16,408
19,013
Contract liabilities
3,337
1,264
Total current liabilities
28,592
33,131
Long-term operating lease liabilities
40,326
41,041
Other long-term liabilities
4,034
389
Total liabilities
72,952
74,561
Commitments and contingencies
Stockholders’ equity
Preferred stock, $0.0001 par value —
10,000,000 shares authorized; none issued
—
—
Common stock, $0.0001 par value —
200,000,000 shares authorized; 48,507,101 and 46,707,084 shares
issued and outstanding at June 30, 2023 and December 31, 2022,
respectively
5
5
Additional paid-in capital
589,418
579,456
Accumulated other comprehensive loss
(313
)
(912
)
Accumulated deficit
(413,024
)
(360,410
)
Total stockholders’ equity
176,086
218,139
Total liabilities and stockholders’
equity
$
249,038
$
292,700
View source
version on businesswire.com: https://www.businesswire.com/news/home/20230808313616/en/
Investor Relations Contact: Caroline Corner
investors@personalis.com 415-202-5678
Media: pr@personalis.com
Personalis (NASDAQ:PSNL)
Historical Stock Chart
From Oct 2023 to Nov 2023
Personalis (NASDAQ:PSNL)
Historical Stock Chart
From Nov 2022 to Nov 2023
