Burning Rock Biotech Limited (NASDAQ:BNR) Q3 2021 Earnings Conference Call November 16, 2021 8:00 AM ET Company Participants Yusheng Han - Chief Executive Officer Shannon Chuai - Chief Operating Officer Leo Li - Chief Financial Officer Conference Call Participants Max Masucci - Cowen & Company Sean Wu - Morgan Stanley Operator Good day and thank you for standing by. Welcome to the Burning Rock's 2021 Third Quarter Earnings Conference Call. At this time, all participants are in a listen-only mode. After the ...

Financial Data and Key Metrics Changes - In Q4 2020, the company achieved a revenue growth of 49% year-over-year, with in-hospital channel growth notably strong at triple digits year-over-year [31][30] - The gross profit margin improved further in Q4 2020, trending into the mid-70s, with the central-lab GP margin reaching 76.8% [33][30] - The initial guidance for 2021 full year revenue is RMB610 million, implying a year-over-year growth rate of 42% [35] Business Line Data and Key Metrics Changes - The therapy selection segment has seen significant progress, with the company expanding its product menu and successfully completing licensing for new tests [27] - The early detection segment has accumulated around 10,000 samples over five years, with plans to commercialize a 6-cancer test earlier than originally planned [8][9] Market Data and Key Metrics Changes - The company has established a strong position in the Chinese molecular diagnostics market, particularly in the early detection of multiple cancers, which covers a larger total addressable market compared to single-cancer tests [16][10] - The in-hospital revenue model has shown strong growth, with four new hospitals contracted in Q4 2020, bringing the total to nearly 10 for the year [31] Company Strategy and Development Direction - The company aims to increase penetration in the NGS-based cancer therapy selection market and expand its product offerings [27] - There is a focus on launching the 6-cancer test and building a multi-channel commercial team to support early detection efforts [29][10] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the challenges posed by COVID-19, particularly in January 2021, but expressed confidence in the long-term strategy and product quality [30][35] - The company is optimistic about the regulatory path for early detection products, having initiated discussions with the NMPA [58][61] Other Important Information - The company has completed the typing test for its OncoCompass Target kit, which is a significant milestone towards NMPA approval [25] - The early access program for the 6-cancer test is designed to gather real-world data and feedback, which is crucial for future commercialization [44][66] Q&A Session Summary Question: Guidance on quarterly revenue modeling and R&D investment - Management indicated that Q1 2021 is expected to be soft due to COVID impacts, but year-over-year growth is still anticipated [38] - R&D spending is expected to increase significantly due to expanded clinical programs and product development efforts [40] Question: In-hospital revenue momentum and future expectations - Management expects in-hospital revenue to continue growing stronger than central-lab revenue, driven by new hospital contracts [42] Question: Launching the 6-cancer product with limited data - Management clarified that while prospective validation is important, the encouraging response from potential collaborators justified the quicker launch [44][45] Question: Revenue contribution from in-licensed products - Management noted that potential revenue from in-licensed products is expected to be minimal in 2021 due to ongoing tech transfer and validation processes [52] Question: Regulatory approval process for early detection products - Management confirmed that discussions with regulators have been positive, indicating a potential shift towards accepting multi-cancer early detection products [58][61]

2020 Recap - The company completed 273,000 cumulative tests, with 72,000 tests completed in-hospital[8] - The company experienced a 33% year-over-year (YoY) revenue growth in 2H20 and a 43% gross profit growth[8] - Central-lab revenue increased by 26% in 2H20, with 44% of tests being blood-based during 2020[8] - In-hospital revenue increased by 63% in 2H20, with 29 contracted hospitals for reagent kits, an increase of 10 during 2020[8] Early Detection - The company completed the product development of a 6-cancer test and initiated early access[8] - The company's 6-cancer test covers 49% of China's urban cancer incidence by cancer type[29] - The 6-cancer test validation cohort showed 983% specificity and 806% sensitivity[23] Liquid Biopsy Therapy Selection - The company's OncoCompass Target kit & software passed the typing test in October 2020 and a concordance study is planned for 2H2021[42] - High reproducibility for variants with VAF above 05% was observed in liquid biopsy results[41] Financials - The company's revenue in 2020 was RMB 4299 million, a 13% increase YoY[48] - Gross profit in 2020 was RMB 3139 million, a 15% increase YoY[48] - The company projects 2021 revenue to be RMB 610 million[48]

Burning Rock Biotech Limited (NASDAQ:BNR) Q3 2020 Earnings Conference Call November 20, 2020 8:00 AM ET Company Participants Yusheng Han - Founder, Chairman and Chief Executive Officer Joe Zhang - Chief Technology Officer Shannon Chuai - Chief Operating Officer Leo Li - Chief Financial Officer Conference Call Participants Doug Schenkel - Cowen David Lee - Bank of America Ethan Ding - Morgan Stanley Operator Ladies and gentlemen, thank you for standing by and welcome to the Burning Rock's 2020 Q3 Earnings Co ...

Burning Rock Biotech Limited (NASDAQ:BNR) Q2 2020 Earnings Conference Call August 11, 2020 8:00 AM ET Company Participants Yusheng Han - Founder & Chief Executive Officer Leo Li - Chief Financial Officer Shaokun Chuai - Chief Operating Officer Conference Call Participants Doug Schenkel - Cowen & Company Sean Wu - Morgan Stanley Operator Ladies and gentlemen, thank you for standing by. And welcome to the Burning Rock's 2020 the Second Quarter Earnings Conference Call. At this time, all participants are in a ...