Genomic testing company Personalis reported a net loss per share of USD 0.50 in Q2 2023, beating analysts' expectations by 5.7%. The firm's net losses for the quarter reduced significantly by 12.7% YoY due to lower operating expenses.

During the period, the company reported revenue of USD 16.7 million, a 8.2% YoY decrease, due to a 3% decrease in revenue earned from pharma tests, enterprise, and other customers, and 25% YoY contraction in revenue earned through population sequencing for the US Department of Veterans Affairs Million Veterans Program (VA MVP). 

The company’s operating losses for the period totaled USD 25.3 million, a 9.3% YoY reduction due to lower costs of revenue (down by 15% YoY), lower selling and general expenses (down by 23.9% YoY), and one-off restructuring and other charges, totaling USD 0.2 million. 

For Q2 2023, the company reported the following business updates: 1) Partnered with National Cancer Center Hospital East and Ono Pharmaceutical to perform exploratory biomarker analysis; 2) VA MVP exercised a one-year renewal option under the September 2022 contract; and 3) Filed a second patent infringement lawsuit against Foresight Diagnostics. 

In terms of its Q3 2023 guidance, Personalis expects a revenue of USD 17 million, implying a increase of 14% YoY. For FY2023, the company maintains its revenue guidance of USD 70 million–72 million, implying an increase of 7.7%–11%. The firm maintains its projections of net losses of USD 103 million, down from USD 113 million in 2022 due to savings from layoffs, which are partially offset by investments in clinical evidence generation and non-cash depreciation expense for the new facility. It reduced its expectations of a cash usage for the year to USD 70 million, down from USD 119 million in 2022.