| --- | --- | --- | --- | |-------|-------|-------|-------| | | | | | | | | | | | | | | | Disclaimers 2 Forward-Looking Statements This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are subject to the "safe harbor" created by those sections. These forward-looking statements include, but are not limited to, statements concerning: estimated sizes of the tota ...

Revenue Generation and Market Potential - Castle Biosciences' primary revenue is generated from the DecisionDx®-Melanoma test, which has a total addressable market (TAM) of approximately $540 million in the U.S.[90] - The company launched the DecisionDx®-SCC test in August 2020, targeting high-risk cutaneous squamous cell carcinoma patients, with an estimated U.S. TAM of approximately $820 million[92] - Castle Biosciences estimates that approximately 415,000 patients annually undergo endoscopic biopsy for Barrett's Esophagus, representing a TAM of approximately $1 billion[92] - The acquisition of AltheaDx in April 2022 is expected to expand the U.S. TAM by approximately $5 billion, focusing on pharmacogenomic testing for mental health conditions[92] - The company initiated a clinical study for a genomic test aimed at predicting response to systemic therapy in inflammatory skin conditions, with a potential TAM of approximately $1.9 billion[92] Test Report Growth and Utilization - The number of test reports delivered for dermatologic tests increased by 33.6% in Q3 2022 compared to Q3 2021, driven by growth in DecisionDx-Melanoma and DecisionDx-SCC tests[94] - For the nine months ended September 30, 2022, the total number of test reports generated was 31,775, compared to 19,876 in the same period of 2021, reflecting significant growth[94] - Approximately 75% of clinicians ordering the DecisionDx-SCC test also ordered the DecisionDx-Melanoma test during the nine months ended September 30, 2022, indicating strong cross-utilization[97] - The number of test reports delivered is a key metric for evaluating growth in adoption among healthcare providers[106] Reimbursement and Coverage - The company has received Medicare coverage for both DecisionDx-Melanoma and DecisionDx-UM, covering approximately 50% of the addressable patient populations for these tests[90] - The company has received local coverage determinations for its tests, covering approximately 60 million lives under Medicare and Medicare Advantage[98] - The reimbursement rate for the DecisionDx-UM test is set at $7,776 for 2022, based on the median private payor rate[98] - The reimbursement rate for the DecisionDx-Melanoma test is $7,193 for 2022, also based on the median private payor rate[98] - The TissueCypher test has a payment rate of $2,513 published in the CMS Clinical Laboratory Fee Schedule for 2022[100] - The IDgenetix multi-gene panel is reimbursed by Medicare at approximately $1,500[100] - The company expects to finalize the LCD for DiffDx-Melanoma by the end of Q2 2023[100] Financial Performance and Expenses - Net revenues for the three months ended September 30, 2022, increased by $13.5 million, or 57.7%, to $37.0 million compared to the same period in 2021, primarily due to a $12.3 million increase in revenue from dermatologic tests[123] - The increase in dermatologic revenue was driven by a 33.6% increase in total test report volumes, attributed to the expansion of the dermatologic sales force and increased patient flow from easing COVID-19 restrictions[127] - Cost of sales for the three months ended September 30, 2022, was $8.9 million, a 96.9% increase from $4.5 million in the same period in 2021[123] - Research and development expenses for the three months ended September 30, 2022, were $10.9 million, up 45.4% from $7.5 million in the same period in 2021[123] - Selling, general and administrative expenses increased by 62.1% to $36.6 million for the three months ended September 30, 2022, compared to $22.6 million in the same period in 2021[123] - Gross margin for the three months ended September 30, 2022, was $25.8 million, with a gross margin percentage of 69.8%, down from 77.9% in the same period in 2021[125] - The company reported a net loss of $20.2 million for the three months ended September 30, 2022, compared to a net loss of $11.8 million in the same period in 2021, reflecting an increase of 71.7%[123] - Net revenues for the nine months ended September 30, 2022, increased by $29.7 million, or 42.9%, to $98.7 million, primarily due to a $27.3 million increase in revenue from dermatologic tests[142] - The increase in dermatologic revenue was primarily attributable to a 46.4% increase in test volumes, reflecting higher test reports delivered across offerings[142] Cash Flow and Financial Position - As of September 30, 2022, the company had cash and cash equivalents of $134.2 million and marketable investment securities of $131.8 million, compared to $329.6 million and no marketable securities as of December 31, 2021, respectively[155]. - Cash and cash equivalents at the end of the period on September 30, 2022, were $134.2 million, down from $329.6 million at the beginning of the period[160] - Net cash used in operating activities for the nine months ended September 30, 2022, was $35.7 million, primarily due to a net loss of $46.5 million and increases in accounts receivable of $5.7 million[161] - Net cash used in investing activities for the nine months ended September 30, 2022, was $162.1 million, mainly from purchases of marketable investment securities of $131.8 million and the cash portion of the AltheaDx purchase consideration of $27.0 million[162] - Net cash provided by financing activities for the nine months ended September 30, 2022, was $2.3 million, consisting of $1.8 million from contributions to the employee stock purchase plan and $0.7 million from the exercise of stock options[163] Cost Management and Economic Impact - The company expects cost of sales to increase in absolute dollars as the number of tests performed increases and with the expansion of laboratory capacity[112] - The company has seen fluctuations in net income due to the timing of development activities and revenue recognition[100] - The impact of macroeconomic conditions, including inflation and labor shortages, is being actively monitored by the company[104] - Inflationary pressures are impacting personnel costs, and the company anticipates further impacts on other cost areas within the next twelve months[166] Employee and Operational Changes - Stock-based compensation expense totaled $9.2 million for the three months ended September 30, 2022, compared to $5.2 million for the same period in 2021, with expectations for further increases in future periods[137] - Stock-based compensation expense totaled $26.4 million for the nine months ended September 30, 2022, compared to $14.9 million in the same period in 2021, reflecting an increase in headcount from 311 to 517 employees[154] - The increase in net cash used in operating activities by $19.5 million for the nine months ended September 30, 2022, compared to the same period in 2021, was primarily due to higher operating expenses associated with growth in headcount[161] Acquisitions and Contingent Consideration - The change in fair value of contingent consideration related to acquisitions may result in additional payments of up to $125 million based on achieving certain commercial milestones[117] - The change in fair value of contingent consideration for the nine months ended September 30, 2022, resulted in a net gain of $18.0 million related to the acquisition of Cernostics[149] - The change in fair value of contingent consideration liability related to the acquisition of Cernostics decreased by $20.8 million during the three months ended June 30, 2022, due to changes in management's projections[168] Internal Controls and Reporting - The company has not experienced any changes in internal control over financial reporting that materially affected its financial reporting during the third quarter of 2022[172]

OSCIENCES Tra n sfo r m i n g D i s e a s e M a n a g e m e nt A u g u s t 8 , 2 0 2 2 D i s c l a i m e rs 2 F O R W A R D - L O O K I N G S T A T E M E N T S This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are subject to the "safe harbor" created by those sections. These forward-looking statements include, but are not limited to, statements concerning ...

Castle Biosciences, Inc. (NASDAQ:CSTL) Q2 2022 Earnings Conference Call August 8, 2022 4:30 PM ET Company Participants Camilla Zuckero - Executive Director of IR & Corporate Communications Derek Maetzold - Founder, President & CEO Frank Stokes - CFO Conference Call Participants Mason Carrico - Stephens Tom Peterson - Baird Puneet Souda - SVB Leerink Operator Good afternoon, and welcome to the Castle Biosciences Second Quarter 2022 Conference Call. As a reminder, today’s call is being recorded. We will begin ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended June 30, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _________ Commission File Number: 001-38984 CASTLE BIOSCIENCES, INC. (Exact name of registrant as specified in its charter) Dela ...

Tra n sfo rmi n g D i s e as e M a n age me nt M a y 9 , 2 0 2 2 D i s c l a i m e r s 2 F O R W A R D - L O O K I N G S T A T E M E N T S This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which are subject to the "safe harbor" created by those sections. These forward-looking statements include, but are not limited to, statements concerning: estimated sizes of ...

Castle Biosciences, Inc. (NASDAQ:CSTL) Q1 2022 Results Conference Call May 9, 2022 4:30 PM ET Company Participants Camilla Zuckero - Executive Director of Investor Relations and Corporate Communications Derek Maetzold - Founder, President and Chief Executive Officer Frank Stokes - Chief Financial Officer Conference Call Participants Puneet Souda - SVB Leerink Catherine Schulte - Baird Mason Carrico - Stephens Thomas Flaten - Lake Street Capital Markets Kyle Mikson - Canaccord Mark Massaro - BTIG Operator Go ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (Mark One) ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended March 31, 2022 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _________ Commission File Number: 001-38984 CASTLE BIOSCIENCES, INC. (Exact name of registrant as specified in its charter) Del ...

Castle Biosciences, Inc. (NASDAQ:CSTL) Q4 2021 Earnings Conference Call February 28, 2022 4:30 PM ET Company Participants Camilla Zuckero - Executive Director of Investor Relations and Corporate Communications Derek Maetzold - Founder, President and Chief Executive Officer Frank Stokes - Chief Financial Officer Conference Call Participants Catherine Schulte - Baird Puneet Souda - SVB Leerink Kyle Mikson - Canaccord Thomas Flaten - Lake Street Capital Disclaimer*: This transcript is designed to be used along ...

Table of Contents UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2021 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________ to _________ Commission File Number: 001-38984 CASTLE BIOSCIENCES, INC. (Exact name of registrant as specified in its charter) Delaware ...