UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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 September 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: 001-37894 FULGENT GENETICS, INC. (exact name of registrant as specified in its charter) Delaware 81-2621304 (State or other juris ...

Fulgent Genetics, Inc. (NASDAQ:FLGT) Q2 2022 Results Earnings Conference Call August 4, 2022 4:30 PM ET Company Participants Nicole Borsje - Investor Relations, The Blueshirt Group Ming Hsieh - Chairman and Chief Executive Officer Brandon Perthuis - Chief Commercial Officer Lawrence Weiss - Chief Medical Officer Paul Kim - Chief Financial Officer Conference Call Participants David Westenberg - Piper Sandler Operator Good day and welcome to the Q2 2022 Fulgent Genetics Earnings Conference Call. As reminder, ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 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: 001-37894 FULGENT GENETICS, INC. (exact name of registrant as specified in its charter) Delaware 81-2621304 (State or other jurisdicti ...

PART I—FINANCIAL INFORMATION [Item 1. Financial Statements (Unaudited)](index=3&type=section&id=Item%201.%20Financial%20Statements%20(Unaudited)) The unaudited financial statements show decreased net income and operating cash flow alongside an increase in total assets Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | March 31, 2022 | December 31, 2021 | | :--- | :--- | :--- | | **Assets** | | | | Cash and cash equivalents | $353,069 | $164,894 | | Total current assets | $765,333 | $611,960 | | Total assets | $1,465,590 | $1,278,720 | | **Liabilities & Equity** | | | | Total current liabilities | $141,714 | $105,310 | | Total liabilities | $152,630 | $112,840 | | Total stockholders' equity | $1,312,960 | $1,165,880 | Condensed Consolidated Statements of Income (in thousands, except per share data) | Metric | Q1 2022 | Q1 2021 | | :--- | :--- | :--- | | Revenue | $320,268 | $359,429 | | Gross Profit | $242,543 | $285,354 | | Operating Income | $201,933 | $266,922 | | Net income attributable to Fulgent | $153,979 | $200,691 | | Diluted EPS | $4.93 | $6.52 | Condensed Consolidated Statements of Cash Flows (in thousands) | Activity | Q1 2022 | Q1 2021 | | :--- | :--- | :--- | | Net cash provided by operating activities | $188,411 | $233,179 | | Net cash provided by (used in) investing activities | $688 | $(216,491) | | Net cash (used in) provided by financing activities | $(934) | $47,347 | | **Net increase in cash and cash equivalents** | **$188,175** | **$64,035** | - The company offers large-scale COVID-19 testing and comprehensive genetic testing using its proprietary NGS technology platform[25](index=25&type=chunk) Revenue by Payor Type (Q1 2022 vs Q1 2021, in thousands) | Payor Type | Q1 2022 | Q1 2021 | | :--- | :--- | :--- | | Insurance | $210,677 | $207,558 | | Institutional customers | $109,468 | $151,569 | | Patients | $123 | $302 | | **Total Revenue** | **$320,268** | **$359,429** | - The company received a Civil Investigative Demand from the U.S. Department of Justice but does not expect a material adverse impact[77](index=77&type=chunk) - In April 2022, the company acquired Inform Diagnostics, Inc. for approximately **$170 million** to expand its pathology test menu[100](index=100&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=22&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses an 11% revenue decrease due to lower COVID-19 test volumes, rising costs, and increased operating expenses Key Operating Metrics (Q1 2022 vs Q1 2021) | Metric | Q1 2022 | Q1 2021 | | :--- | :--- | :--- | | Billable tests delivered | 3.2 million | 3.8 million | | Average price per billable test | ~$99 | ~$95 | | Cost per billable test | ~$24 | ~$20 | - Strong demand for COVID-19 testing was a significant revenue driver in Q1 2022, though its future duration is uncertain[111](index=111&type=chunk) - Revenue decreased by **$39.2 million (11%)** YoY, driven by a **15% decrease** in billable tests from reduced COVID-19 test orders[117](index=117&type=chunk)[119](index=119&type=chunk)[122](index=122&type=chunk) - Cost of revenue increased by **5%** YoY due to higher consulting, labor, and depreciation costs[123](index=123&type=chunk) - Operating expenses rose by **120%** YoY, largely from a **222% increase** in G&A expenses due to higher credit loss provisions and professional fees[117](index=117&type=chunk)[128](index=128&type=chunk) - The effective tax rate decreased from **25% to 24%** due to an international restructuring[133](index=133&type=chunk) - The company's liquidity remains strong, with cash, cash equivalents, and marketable securities totaling **$1.1 billion** as of March 31, 2022[136](index=136&type=chunk) - Net cash from operating activities was **$188.4 million**, a decrease from **$233.2 million** in Q1 2021, due to timing of collections and payments[146](index=146&type=chunk)[147](index=147&type=chunk)[148](index=148&type=chunk) - Management believes existing cash is sufficient to meet cash requirements for at least the next 12 months[143](index=143&type=chunk) [Quantitative and Qualitative Disclosures About Market Risk](index=29&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20About%20Market%20Risk) This disclosure is not required for the company as a smaller reporting company - The company has indicated that this disclosure is not required[159](index=159&type=chunk) [Controls and Procedures](index=29&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded that disclosure controls and procedures were effective, with no material changes to internal controls - The CEO and CFO concluded that the company's disclosure controls and procedures were effective as of March 31, 2022[162](index=162&type=chunk) - No material changes to internal control over financial reporting occurred during the first quarter of 2022[164](index=164&type=chunk) PART II—OTHER INFORMATION [Legal Proceedings](index=30&type=section&id=Item%201.%20Legal%20Proceedings) The company is not currently party to any legal proceedings expected to have a material business effect - The company is not involved in any legal proceedings that management believes would have a material effect on the business[168](index=168&type=chunk) [Risk Factors](index=30&type=section&id=Item%201A.%20Risk%20Factors) No material changes have been made to the risk factors disclosed in the 2021 Annual Report - The company states there have been no material changes to the risk factors set forth in its 2021 Annual Report[169](index=169&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=30&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) Proceeds from the 2016 IPO and subsequent offerings have been used for operations and investments - Net proceeds from the 2016 IPO and subsequent stock sales have been used to fund operations and invested in securities[173](index=173&type=chunk)[178](index=178&type=chunk) [Other Information](index=31&type=section&id=Item%205.%20Other%20Information) The company's Chief Operating Officer, Jian Xie, was appointed to the additional role of President - Effective May 3, 2022, COO Jian Xie was appointed as President, with Ming Hsieh remaining CEO and Chair of the Board[179](index=179&type=chunk) [Exhibits](index=31&type=section&id=Item%206.%20Exhibits) This section refers to the Exhibit Index for a list of all documents filed with the report - This item refers to the Exhibit Index for a list of documents filed with the report[182](index=182&type=chunk)

Fulgent Genetics, Inc. (NASDAQ:FLGT) Q1 2022 Earnings Conference Call May 3, 2022 4:30 PM ET Company Participants Nicole Borsje - IR Ming Hsieh - CEO Brandon Perthuis - Chief Commercial Officer Larry Weiss - Chief Medical Officer Paul Kim - CFO Conference Call Participants Kevin DeGeeter - Oppenheimer David Westenberg - Piper Sandler Operator Good day and welcome to the Q1 2022 Fulgent Genetics Earnings Conference Call. Today's conference is being recorded. At this time, I would like to turn the conference ...

Company Overview - Fulgent Genetics was founded in 2011 and is located in Los Angeles, CA [1] - The company's mission is to develop flexible and affordable genomic testing [6] - The company leverages its proprietary NGS platform for broad application [6] Financial Performance - Q1 2022 revenue was $320 million [16] - Q1 2022 billable tests were 32 million [16] - Q1 2022 core revenue increased by 59% year-over-year [16] - Core revenue as of Q1 2022 was $25 million, a 59% year-over-year growth [54] - Adjusted gross margin for Q1 2022 was 762% [57] Acquisitions and Partnerships - Fulgent Genetics acquired Inform Diagnostics, expanding into the pathology testing market [16] - Fulgent Genetics acquired CSI Laboratories, expanding into the somatic genetic testing market [16] - The company has partnerships with Helio Health and Spatial Genomics [16] - The company was awarded a CDC contract worth up to $47 million to study SARS-CoV-2 using NGS [30]

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 001-37894 | --- | --- | --- | |-------------------------------------------|-------------------|------------------------------------------ ...

Fulgent Genetics, Inc. (NASDAQ:FLGT) Q4 2021 Earnings Conference Call February 23, 2022 4:30 PM ET Company Participants Nicole Borsje - Investor Relations Ming Hsieh - Chief Executive Officer Brandon Perthuis - Chief Commercial Officer Paul Kim - Chief Financial Officer Larry Weiss - Chief Medical Officer Conference Call Participants Kevin DeGeeter - Oppenheimer. Sung Ji Nam - BTIG David Westenberg - Piper Sandler Operator Good day and welcome to the Fourth Quarter 2021 Fulgent Genetics Earnings Conference ...

iuloent Founded in 2011 | Located in Los Angeles, CA | NASDAQ:FLGT Disclaimer 2 Forward-Looking Statements and Market Data This presentation contains forward-looking statements, which are statements other than those of historical facts and which represent the estimates and expectations of Fulgent Genetics, Inc. (the "Company") about future events based on current views and assumptions. Examples of forward-looking statements made in this presentation include, among others, those related its anticipated growt ...

Financial Data and Key Metrics Changes - Revenue totaled $228 million, representing a 124% increase compared to Q3 2020 and a 48% sequential increase [6][20] - Approximately 2.2 million tests were delivered in the quarter, more than doubling the volume from Q3 last year [6][20] - GAAP EPS was $3.93, with adjusted non-GAAP income of $126.3 million or $4.05 per diluted share [7][24] - Gross margin increased to 80.9%, up more than 6 percentage points year-over-year [22] Business Line Data and Key Metrics Changes - Core business revenue grew almost 300% year-over-year to over $40 million, driven by key areas including KSI, CSI, and revenue from China [7][20] - COVID-19 testing revenue accounted for approximately $180 million, exceeding guidance by about $100 million and growing 105% year-over-year [20][21] - Non-GAAP operating margin increased over 5 percentage points from the second quarter to 71.8% [23] Market Data and Key Metrics Changes - The company served over 1,000 schools and supported back-to-work mandates with a new online platform for vaccine records and testing results [18] - The company is expanding its presence in the Chinese market, with quarterly sales in the NGS test menu showing growth [10] Company Strategy and Development Direction - The company is focused on expanding its core NGS business and integrating the CSI acquisition to enhance its oncology capabilities [8][15] - A strategic investment in Helio Health aims to commercialize lab-developed tests, including the Helio Liver liquid biopsy test [11][12] - The company plans to aggressively expand its sales team to support growth in the oncology market and leverage managed care contracts [16][36] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the ongoing strength in core business and the potential for sustainable growth despite volatility in COVID testing [10][28] - The company anticipates total revenues of approximately $930 million for the year, up from previous guidance of $800 million, primarily driven by COVID-related testing [27][29] Other Important Information - The company ended the quarter with $877 million in cash, cash equivalents, and marketable securities, generating $152 million from cash operations [24][25] - The company is continuously evaluating M&A opportunities to complement its expanding platform [29] Q&A Session Summary Question: Can you quantify the portion of revenue that came from third-party reimbursement? - Management indicated that approximately 160 million lives are covered under insurance contracts, with most revenue coming from COVID testing [32] Question: How do you think about appropriate sizing for the clinical oncology sales force over the next 18 to 24 months? - Management believes the sales force will need to be significantly larger, focusing on states with strong managed care contracts [36] Question: How do you think about buybacks or balance sheet management given the current balance sheet profile? - Management stated that while buybacks are an option, the primary focus is on investing in the business and executing post-COVID M&A strategy [38]