Personalis(US:PSNL)2023-05-02 16:00Revenue Performance - Total revenue increased by 24%, or $3.6 million, in Q1 2023 compared to Q1 2022, reaching $18.86 million[107]. - Revenue from pharma tests, enterprise, and other customers rose by 35% to $15.9 million in Q1 2023, driven by higher sales to Natera[107]. - Revenue from population sequencing decreased by 14% to $3.0 million in Q1 2023 due to reduced task orders from the VA MVP[107]. - Natera accounted for 50% of total revenue in Q1 2023, up from 27% in Q1 2022[122]. - Revenue from pharma tests and services decreased by 16%, or $1.2 million, in Q1 2023 due to non-recurring projects and variability in clinical trial spending[123]. - Revenue from enterprise sales increased by 130%, or $5.3 million, in Q1 2023, driven by a 150% increase in samples processed for Natera[124]. - Other revenue increased by 33%, or less than $0.1 million, in Q1 2023 due to higher revenue from university research projects[127]. Financial Outlook - The company expects to reduce cash usage to approximately $75 million in 2023, down from $119 million in 2022, following a 30% workforce reduction and closure of operations in China[111]. - Net loss for Q1 2023 was $28.66 million, compared to a net loss of $28.21 million in Q1 2022, with a net loss per share of $0.61[121]. - Total costs and expenses increased by 12%, or $5.2 million, in Q1 2023, with cost of revenue rising by 29%, or $3.2 million[128]. - Research and development expenses decreased by 3%, or $0.5 million, in Q1 2023, primarily due to workforce reduction[131]. - Selling, general and administrative expenses decreased by 9%, or $1.4 million, in Q1 2023, also due to workforce reduction[133]. - Restructuring and other charges amounted to $3.9 million in Q1 2023, related to workforce reduction and closure of China operations[135]. - Interest income increased by 770% to $1.253 million in Q1 2023 due to higher yields on investments[138]. - As of March 31, 2023, cash and cash equivalents totaled $148.9 million, down from $167.7 million at the end of 2022[141]. Corporate Developments - The company announced a partnership with Moderna to support personalized cancer vaccine development, including for a Phase 3 melanoma trial[111]. - The new corporate headquarters in Fremont, California, is approximately three times larger than the previous location, allowing for expanded laboratory and R&D capabilities[106]. - The company aims to focus on immunotherapy monitoring, breast cancer, and lung cancer over the next 2-3 years, collaborating with leading cancer centers and academic institutions[104]. Accounting Policies - The company considers revenue recognition, stock-based compensation, and leases as critical accounting policies and estimates due to their potential impact on financial statements[155]. - There have been no material changes to critical accounting policies and estimates compared to the previous fiscal year ended December 31, 2022[156].