PALO ALTO, Calif., Nov. 20, 2025 (GLOBE NEWSWIRE) -- For millions of Americans in the African diaspora, genealogical ties and records were severed by the transatlantic slave trade, creating a 'brick wall' for those seeking to know their full heritage. Today, 23andMe Research Institute announced a landmark expansion of its genetic ancestry reports and features, unveiling more than 250 high-resolution Genetic Groups across Africa. This significant update provides members with African heritage the most detaile ...

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Core Viewpoint - The article discusses the emerging trend of genetic selection in Silicon Valley, where wealthy individuals are increasingly using advanced genetic testing technologies to select embryos based on desirable traits, including intelligence and physical attributes, raising significant ethical concerns [6][9][12]. Group 1: Genetic Testing Technologies - PGT (Preimplantation Genetic Testing) has evolved from basic genetic disease screening to more complex assessments, including PGT-P, which can predict multiple genetic conditions and traits [9][10]. - PGT-M focuses on single-gene disorders, PGT-A on aneuploidy, and PGT-SR on chromosomal structural abnormalities [8]. Group 2: Market Dynamics and Key Players - Companies like Orchid and Herasight are at the forefront of this trend, offering services that include intelligence screening for embryos, with significant backing from venture capital [10][11]. - Nucleus Genomics has created a "gene store" where prospective parents can select from over 2000 diseases and various traits, reflecting a shift towards commodifying genetic selection [12]. Group 3: Ethical Implications - The article highlights the potential dangers of treating genetic traits as determinants of personal worth, which could lead to societal divisions based on genetic "perfection" [12][13]. - The narrative draws parallels to the film "Gattaca," illustrating the risks of a future where genetic selection leads to a stratified society [12].

Financial Data and Key Metrics Changes - Revenue in Q3 2025 totaled $84.1 million, an increase from $81.8 million in Q2 2025, reflecting a year-over-year growth of 15% [16][19] - Non-GAAP gross margin was 44.3%, while GAAP gross margin was 42.2%, showing year-over-year improvement due to streamlined operations [16][19] - GAAP loss for the quarter was $6.6 million, an improvement from a loss of $19 million in the prior quarter [17][19] - Adjusted EBITDA for Q3 was approximately $0.7 million, compared to a loss of $3 million in Q2 2025 [17][19] Business Line Data and Key Metrics Changes - Laboratory services revenue reached nearly $84 million, with precision diagnostics up 7.3% sequentially and 16.4% year-over-year [11][19] - Biopharma revenue increased by 15.4% sequentially and 83.4% year-over-year [11][19] - Anatomic pathology revenue decreased by 7.6% sequentially but increased by 7.2% year-over-year due to timing of collections [11][19] Market Data and Key Metrics Changes - The company has begun to see minimal revenue from its therapeutic development business, primarily related to IP licensing royalties [16][19] - The introduction of new services, such as ultra-rapid whole genome sequencing, is expected to significantly improve patient outcomes in the NICU [12][19] Company Strategy and Development Direction - The company is focused on scaling efficiently and driving innovation across its service offerings, with a commitment to R&D spending [19][20] - The launch of new products, including an enhanced whole genome sequencing service and the expansion of the Beacon carrier screening service, is aimed at strengthening market position [12][13][19] - The company raised its full-year 2025 revenue outlook to $325 million, representing a growth of 15% year-over-year [19][21] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the progress of both laboratory services and therapeutic development, raising the outlook for the remainder of 2025 [7][19] - The company anticipates continued improvement in operating margins driven by increased revenue and operational efficiencies [19][21] - Management highlighted the importance of AI technology in enhancing laboratory services efficiency and precision [10][19] Other Important Information - The company ended Q3 with approximately $787.7 million in cash and equivalents, with expectations to end 2025 with around $800 million [18][22] - The company has not repurchased any shares in Q3, with approximately $139.6 million remaining available for future repurchases [18][19] Q&A Session Summary Question: What is the ultimate operating margin target? - Management noted that gross margins were positively impacted by efficiencies and automation, with expectations for continued improvement in margins due to in-house AI technology development [24][25][27] Question: Can you elaborate on the timing issues in anatomic pathology? - Management confirmed that the decrease in revenue was due to timing issues related to collections, with improvements expected in the upcoming quarters [28][29] Question: How do new products support future growth? - Management expressed excitement about the launch of new products, particularly the ultra-rapid whole genome sequencing service, which is expected to penetrate the NICU market effectively [30][31] Question: What are the updates on FID-007 and its phase two trial? - Management expects to complete enrollment by the end of 2025 and present data at ESMO in 2026, with plans to move to phase three based on positive results [41][42][47]

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" or "Fulgent") about future events based on current views and assumptions. Examples of forward-looking statements made in this presentation include, among others, those related to long-term upside or value, management of risk, anticipated growth and positioning, ad ...

Core Insights - Natera reported Q3 CY2025 results that exceeded Wall Street's revenue expectations, with a year-on-year sales increase of 34.7% to $592.2 million [1][9] - The company's full-year revenue guidance was raised to $2.22 billion, which is 6.1% above analysts' estimates [1] - Natera's GAAP loss per share was $0.64, which was 74.5% below analysts' consensus estimates [1] Company Overview - Natera, founded in 2003 and rebranded in 2012, specializes in genetic tests for prenatal screening, cancer detection, and organ transplant monitoring using proprietary cell-free DNA technology [4] Revenue Growth - Natera achieved a compounded annual growth rate of 42.4% in sales over the last five years, outperforming the average healthcare company [5] - The company's annualized revenue growth over the last two years was 46.3%, indicating strong and accelerating demand [6] Financial Performance - Q3 revenue was $592.2 million, surpassing analyst estimates of $514.4 million by 15.1% [7] - The company raised its full-year revenue guidance from $2.06 billion to $2.22 billion, reflecting a 7.8% increase [7] - Operating margin was reported at -16.5%, a decline from -8.9% in the same quarter last year [7] Sales Volume and Market Dynamics - Sales volumes increased by 21.4% year-on-year, compared to 28% in the same quarter last year [7] - The number of tests processed reached 893,600 in the latest quarter, with a two-year average growth of 20.8% year-on-year, indicating that revenue growth was supported by price increases [8]

Financial Data and Key Metrics Changes - Revenue for Q3 2025 was $19.5 million, a 23% increase from $15.9 million in Q3 2024, continuing a trend of accelerating growth [26][32] - Adjusted gross margin remained flat at 73.1% year-over-year, despite a 40% increase in data processed by the platform [12][28] - Adjusted EBITDA loss was $10.2 million, an 8% increase from the prior year loss of $9.4 million, indicating improved operating leverage when excluding certain charges [31][33] Business Line Data and Key Metrics Changes - The company signed 31 new customers in Q3, bringing the total for 2025 to 94, surpassing the 92 customers signed in all of 2024 [5][18] - Revenue from the US market grew 30% year-over-year, contributing significantly to overall growth [7][15] - HMONK analysis volumes grew 18% year-over-year, while liquid biopsy testing saw over 2,000 analyses conducted in Q3, marking a 300% increase year-over-year [16][26] Market Data and Key Metrics Changes - EMEA region experienced a 24% revenue growth, with the UK and Belgium growing 120% and 70% respectively [15] - Asia-Pacific saw a 35% increase in analysis volume, with Japan beginning to contribute revenue as partnerships ramp up [16][19] - Latin America showed softness, but recent booking momentum suggests potential for recovery [16] Company Strategy and Development Direction - The company is focused on expanding its customer base and increasing the adoption of its applications, particularly in the US and liquid biopsy markets [5][10] - Strategic partnerships, such as with AstraZeneca for liquid biopsy testing, are expected to enhance market access and drive future growth [10][20] - The introduction of SOPHiA DDM Digital Twins aims to leverage multimodal data for better treatment decisions, indicating a shift towards more advanced AI-driven solutions [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business's momentum, citing strong customer signings and a healthy pipeline for future growth [36] - The company raised its 2025 revenue guidance to $75 million-$77 million, reflecting optimism about continued growth [32][33] - Management acknowledged challenges such as elevated social charges and foreign exchange impacts but emphasized ongoing efforts to optimize costs and maintain growth [30][33] Other Important Information - The company analyzed over 99,000 patients across 70 countries in Q3, showcasing the extensive use of its platform [12] - Total cash burn for Q3 was $13.1 million, a 36.5% increase year-over-year, but the company maintains a strong cash position of $81.6 million [31][32] Q&A Session Summary Question: Why is the Q4 growth guidance lower than Q3? - Management indicated a conservative approach to guidance, emphasizing strong momentum but wanting to ensure continued overachievement [39][41] Question: How many liquid biopsy customers are generating revenue? - Approximately 20% of the 60 liquid biopsy customers have started routine analyses, with expectations for significant ramp-up in the coming quarters [42][45] Question: What is the outlook for biopharma R&D spending in 2026? - Management expressed optimism about biopharma spending, noting a favorable position for SOPHiA in the market and strong pipeline activity [50][53] Question: How did customer onboarding times trend in Q3? - Implementation activities remained healthy, with a substantial backlog still present, indicating strong future revenue potential [74] Question: What is the expected contribution from AstraZeneca in Q4? - AstraZeneca's contributions are expected to ramp up in Q4, with revenue recognized upon hitting project milestones [60][62]

Financial Performance - Q3 2025 revenue was $205.7 million[7], a decrease of 4% year-over-year[33] - Adjusted gross margin in Q3 2025 was 70.1%[7], a decrease of 50 basis points year-over-year[33] - Adjusted EBITDA for Q3 2025 was $10.3 million[7] - Adjusted EPS for Q3 2025 was $0.00[7], a decrease of $0.06 year-over-year[33] - Adjusted operating expenses decreased by $1 million year-over-year in Q3 2025[7] Volume Growth - Hereditary cancer test volume grew 11% year-over-year[8] - GeneSight volume grew 8% year-over-year[8], reflecting ongoing growth acceleration from Q1 '25[30] - Prolaris test volume showed positive growth year-over-year[8] Strategic Initiatives - The company is focused on the Cancer Care Continuum (CCC) to accelerate growth[7, 9, 11] - The company aims to grow revenue at or above market in Prenatal Health and Mental Health[7, 9, 12] - Myriad has commenced a multi-year program to invest >$35 million in its commercial capabilities addressing the Cancer Care Continuum[40] 2025 Financial Guidance - The company reiterates its 2025 financial guidance, with total revenue expected to be between $818 million and $828 million[42] - Gross margin is projected to be between 69.5% and 70.0%[42] - Adjusted operating expenses are expected to be between $562 million and $568 million[42] - Adjusted EBITDA is projected to be between $27 million and $33 million[42] - Adjusted EPS is expected to be between $(0.02) and $0.02[42]

Core Viewpoint - The article discusses the controversial trend in Silicon Valley where elite individuals are using genetic screening technologies to select embryos based on desirable traits, including intelligence, leading to ethical concerns about eugenics and societal implications [4][14]. Group 1: Genetic Screening Technologies - The article outlines various genetic screening technologies, including PGT-M for single-gene disorders, PGT-A for aneuploidy, PGT-SR for chromosomal structural abnormalities, and PGT-P for polygenic disease risk assessment [6][8]. - PGT-P technology, which allows for the prediction of complex traits such as intelligence and physical appearance, has gained traction since the birth of the first baby using this method in 2020 [8][9]. Group 2: Emergence of Companies - Companies like Orchid and Herasight are at the forefront of offering embryo selection services based on intelligence, with claims of detecting IQ differences of up to 15 points among embryos [11][12]. - Nucleus Genomics has created a "gene store" where prospective parents can select from over 2,000 traits, including disease resistance and personality characteristics, raising ethical questions about commodifying human life [12][13]. Group 3: Ethical Implications - The article raises concerns about the potential societal impact of genetic selection, suggesting that if society begins to view genetic endowment as a determinant of personal ability and destiny, it could lead to a collapse of existing value systems [14][16]. - The narrative draws parallels to the film "Gattaca," which depicts a future where genetic selection creates a divide between the genetically elite and the underprivileged, emphasizing the risks of unchecked genetic engineering [13][14].

Financial Data and Key Metrics Changes - GeneDx reported third quarter 2025 revenues of $116.7 million, a 52% increase year over year [13] - Adjusted gross margin expanded to 74%, driven by favorable mix shift, improved reimbursement, and lower COGS [17] - Adjusted net income for the quarter was $14.7 million, with adjusted basic EPS of $0.51 [20] Business Line Data and Key Metrics Changes - Revenue from exome and genome testing reached $98.9 million, up 66% from the same quarter last year [13] - The company performed 25,702 exome and genome tests in the third quarter, with growth accelerating from 24% year over year in Q1 to 33% in Q3 [14] - The average reimbursement rate for exome and genome testing was over $3,800 in Q3, up from approximately $3,700 in the previous quarter [16] Market Data and Key Metrics Changes - GeneDx is the largest provider of rare disease diagnoses globally, with over 10,000 rare diseases impacting one in 10 Americans [8] - The NICU market remains underpenetrated, with less than 5% of NICU patients receiving genetic testing [9] - The company is expanding its presence in international markets, leveraging the Fabric Genomics platform [11] Company Strategy and Development Direction - GeneDx aims to drive high profitable growth, offer best-in-class diagnostics, and build network effects to usher in the next era of precision medicine [6] - The company is focused on expanding its sales force, nearly doubling it over the coming quarters [9] - GeneDx is investing in customer experience and medical education to drive utilization and adoption of its testing services [9][19] Management's Comments on Operating Environment and Future Outlook - Management raised 2025 revenue guidance to $425 to $428 million, reflecting strong momentum [5] - The company expects continued volume growth in exome and genome testing, with a forecast of at least 30% volume growth for the full year 2025 [22] - Management expressed confidence in maintaining profitability while investing in long-term growth initiatives [20][50] Other Important Information - The company discontinued its hereditary cancer offerings, which generated $1.2 million in Q3 2025 [22] - GeneDx received FDA breakthrough device designation for its ExomeDx and GenomeDx tests, validating its technology [7] Q&A Session Summary Question: Has there been an uptick in volume for chromosomal microarray testing? - Management noted that most pediatricians are hearing about updated guidelines for the first time from GeneDx, indicating a need for education [31] Question: What is the outlook for average selling prices and margins? - Management indicated that ASPs may decrease slightly in Q4 due to new market entries but emphasized that this impact should be transitory [34][36] Question: What is the growth outlook for the NICU market? - Management highlighted that NICU volumes are growing nicely and are expected to ramp significantly in the coming quarters [42][45] Question: What is the strategy for expanding the sales force? - Management confirmed plans to double the sales force and emphasized the importance of hiring the best talent available [53][54] Question: What is the expected impact of the FDA breakthrough designation? - Management explained that the designation signals the uniqueness of their test and facilitates an expedited regulatory review process [67][68]