Myriad(US:MYGN) Globenewswireยท2025-05-06 20:05Core Insights - Myriad Genetics reported a challenging first quarter of 2025, with mixed performance across its product lines, leading to a reduction in its financial guidance for the year [3][5][17] Financial Performance - First quarter 2025 revenue was $196 million, a decline of 3% year-over-year, but a 5% increase when excluding $16 million in headwinds [5] - Gross margin for the first quarter was 69%, an increase of 40 basis points year-over-year, attributed to improved laboratory efficiencies [5] - The company reported a GAAP net loss of $0.1 million, or $0.00 EPS, influenced by a $29 million tax benefit, while adjusted EPS was $(0.03) [5][12] Product Volumes and Revenue - Total product volumes increased by 1% year-over-year to 385,000 tests, with notable growth in prenatal testing volumes, which rose by 11% [6][5] - Hereditary cancer testing revenue decreased by 2% year-over-year to $86.3 million, while tumor profiling revenue fell by 5% to $29.3 million [5][24] - Pharmacogenomics revenue saw a significant decline of 20% year-over-year, primarily due to UnitedHealthcare's reduction in coverage for GeneSight tests [5][15] Updated Financial Guidance - The updated financial guidance for 2025 includes a revenue range of $807 - $823 million, down from the initial guidance of $840 - $860 million [17] - Adjusted EPS guidance was revised to a range of $(0.02) - $0.02, reflecting the current business outlook [17] Cash Flow and Liquidity - Cash flow used in operations for the first quarter was $16.3 million, with adjusted cash flow used in operations at $10.4 million, a decrease of $1.1 million year-over-year [8] - As of March 31, 2025, the company had cash and cash equivalents of $92 million, with an additional $42 million available under its asset-based credit facility [9] Business Segment Performance - The Oncology segment generated revenue of $77.7 million, while the Women's Health segment contributed $87.2 million in revenue for the first quarter of 2025 [10][11] - MyRisk testing volume in the affected population grew by 11% year-over-year, indicating a positive trend in hereditary cancer testing despite revenue challenges [13] Operational Highlights - Operating expenses for the first quarter were $163.2 million, a slight decrease from the previous year, while adjusted operating expenses increased to $140.6 million [12] - The company is focusing on reducing overall expenditures while prioritizing investments in new product development and revenue growth initiatives [3][5]