Guardant Health Q2 2023 Earnings Report
Key Takeaways
Guardant Health reported a strong second quarter in 2023, with revenue reaching $137.2 million, a 26% increase compared to the same period in 2022. The growth was primarily driven by a 49% increase in clinical testing volume. The company has raised its full-year 2023 revenue guidance to $545 to $550 million.
Revenue for Q2 2023 reached $137.2 million, a 26% increase year-over-year.
Clinical tests to customers increased by 49% totaling 43,500 tests.
Biopharmaceutical tests increased by 12% totaling 6,700 tests.
The company is on track to achieve cash flow breakeven in Therapy Selection within the next 3-6 months
Guardant Health
Guardant Health
Guardant Health Revenue by Segment
Forward Guidance
Guardant Health now expects full year 2023 revenue to be in the range of $545 to $550 million, representing growth of 21% to 22% compared to full year 2022. Guardant Health continues to expect full year 2023 operating expenses to be below full year 2022, driven by efficiency measures and continued leverage of its existing infrastructure, and free cash flow to be approximately negative $350 million in 2023.
Positive Outlook
- Full year 2023 revenue is expected to be in the range of $545 to $550 million.
- Revenue growth of 21% to 22% compared to full year 2022 is expected.
- Full year 2023 operating expenses are expected to be below full year 2022.
- Efficiency measures are driving the decrease in operating expenses.
- Continued leverage of existing infrastructure is contributing to lower operating expenses.
Challenges Ahead
- Free cash flow is expected to be approximately negative $350 million in 2023.
- Operating expenses were $202.9 million for the second quarter of 2023.
- Net loss was $72.8 million for the second quarter of 2023.
- Gross margin was 61%, as compared to 66% for the corresponding prior year period.
- Adjusted EBITDA loss was $85.2 million for the second quarter of 2023.