Financial Data and Key Metrics Changes - Total revenue for Q3 2025 grew 39% year-over-year to $265.2 million, marking the first time annualized revenue surpassed $1 billion [6][25] - Non-GAAP gross margin improved to 66% in Q3 2025, up from 63% in the prior year, driven by reduced costs [29] - Adjusted EBITDA loss was $45.5 million, an improvement from a loss of $56.2 million in Q3 2024 [30] Business Line Data and Key Metrics Changes - Oncology revenue increased 31% to $184.4 million, with approximately 74,000 tests performed, reflecting a 40% growth in volume [8][25] - Screening revenue from Shield totaled $24.1 million, generated from 24,000 tests, with an average selling price (ASP) of approximately $880 [28] - Biopharma and data revenue grew 18% year-over-year to $54.7 million, supported by two companion diagnostic approvals [27] Market Data and Key Metrics Changes - The screening business is tracking at an annual run rate of approximately $100 million, one year into the commercial launch of the FDA-approved product [6] - Shield tests have shown high adherence rates, with over 90% of ordered cases resulting in completed blood samples [18] Company Strategy and Development Direction - The company aims to expand its commercial infrastructure for Shield, leveraging partnerships with Quest Diagnostics and Path Group to enhance access [19][20] - Continued investment in commercial initiatives and the introduction of new smart applications are expected to drive future growth [14][15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the potential inclusion of Shield in American Cancer Society guidelines, which could enhance commercial coverage [40][41] - The company raised its full-year 2025 revenue guidance to $965-$970 million, reflecting stronger-than-expected performance [31][32] Other Important Information - The company surpassed 1 million cumulative clinical patients tested, highlighting the impact of its tests in clinical practice [7] - The submission of the PMA application to the FDA for Guardant360 Liquid is expected to streamline the product offering and enhance market adoption [11] Q&A Session Summary Question: Can you walk us through the Shield ASP dynamics exiting the year? - Management indicated that the ASP for Shield is currently around $1,495, with expectations for continued strong payment from Medicare Advantage [36][37] Question: Is guideline inclusion by the American Cancer Society a real possibility by year-end? - Management remains optimistic about the potential inclusion and its positive impact on reimbursement rates, although it will take time to translate into payments [40][41] Question: How should we think about 2026 growth for Shield? - Management is confident about long-term growth but refrained from providing specific guidance for 2026 at this time [45][46] Question: Can you provide any KPIs around average testing frequency per physician? - Management reported high adherence rates, with over 90% of ordered Shield tests being completed [80]

Financial Data and Key Metrics Changes - Total revenue for Q3 2025 grew 39% year-over-year to $265.2 million, marking the first time annualized revenue crossed $1 billion [4][23] - Non-GAAP gross margin improved to 66% in Q3 2025, up from 63% in the prior year, driven by reduced costs [25][26] - Adjusted EBITDA loss was $45.5 million, an improvement of $10.7 million compared to a loss of $56.2 million in Q3 2024 [27] Business Line Data and Key Metrics Changes - Oncology revenue increased 31% to $184.4 million, with approximately 74,000 tests performed, reflecting a 40% growth [23][24] - Screening revenue from Shield totaled $24.1 million, generated from 24,000 tests, with an average selling price (ASP) of approximately $880 [25][16] - Biopharma and data revenue grew 18% to $54.7 million, including milestone revenue from two companion diagnostic approvals [24][14] Market Data and Key Metrics Changes - The company surpassed 1 million cumulative clinical patients tested, indicating strong market penetration [5] - Shield tests demonstrated high adherence rates, with over 90% of ordered cases resulting in completed blood samples [17][76] Company Strategy and Development Direction - The company aims to expand its commercial infrastructure for Shield, enhancing access and awareness through partnerships with Quest Diagnostics and Path Group [19][18] - Continued investment in commercial initiatives and the introduction of new applications through the Infinity AI platform are expected to drive future growth [12][11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ongoing demand for Shield and the potential for inclusion in American Cancer Society guidelines, which could enhance commercial coverage [39][38] - The company raised its full-year 2025 revenue guidance to a range of $965 to $970 million, reflecting strong year-to-date performance [28][29] Other Important Information - The company achieved a significant milestone by becoming cash flow positive one quarter earlier than expected, excluding the screening business [5][27] - The introduction of an ultra-sensitive tissue-informed MRD assay is anticipated to complement existing offerings and drive growth [13] Q&A Session Summary Question: Can you walk us through the Shield ASP dynamics exiting the year? - Management indicated that the ASP for Shield is currently around $900, with expectations for stability in Medicare rates at $1,495 for the next two years [32][34] Question: Is guideline inclusion by the American Cancer Society a real possibility by year-end? - Management remains optimistic about potential inclusion but noted that it would take time to translate into reimbursement [37][38] Question: What should we expect for Shield growth in 2026? - Management refrained from providing specific guidance for 2026 but expressed confidence in long-term growth prospects [42][44] Question: Can you discuss the traction for Reveal and its future growth? - Management highlighted that Reveal is the fastest-growing oncology product, with ongoing studies expected to enhance its market position [50][52] Question: What is the timeline for MCD FDA approval based on Shield's trajectory? - Management stated it is too early to provide a specific timeline for FDA approval but remains optimistic about the data being collected [47][48]

Summary of Guardant Health 2025 Investor Day Company Overview - **Company**: Guardant Health (NasdaqGS:GH) - **Event**: 2025 Investor Day held on September 24, 2025 - **Focus**: Updates on business progress, innovation, and future strategies in the liquid biopsy market Key Industry Insights - **Liquid Biopsy Market**: Recognized as a significant and growing sector within healthcare, with Guardant Health positioned as a leader - **Market Opportunities**: - Therapy selection: $10 billion market - Minimal residual disease (MRD): $20 billion market - Cancer screening: $50 billion market - Future potential in multi-disease screening Core Company Highlights - **Innovation and Technology**: - Introduction of the Smart Platform, which integrates genomic and epigenomic data to enhance cancer detection and treatment - Expansion of the Shield product offering to include multi-cancer detection results, launching in October 2025 - **Data Generation**: - The company generates approximately 1 petabyte of data per week, with a total of over 200 petabytes expected to reach 1 exabyte in the coming years - The data treasury is crucial for improving test sensitivity and accelerating product development Financial Performance - **Revenue Guidance for 2025**: Approximately $920 million, reflecting a 24% growth year-over-year - **Growth Metrics**: - Two-year compound annual growth rate (CAGR) increased to 28% - Sustained growth driven by adoption in advanced cancer, MRD, and early detection Product and Service Developments - **Guardant360**: Enhanced therapy selection capabilities with increased reimbursement and 15 new applications launched - **MRD Achievements**: Secured CMS reimbursement for colorectal cancer surveillance and reduced cost of goods sold (COGS) by 50% - **Shield Launch**: Positioned to be one of the most successful diagnostic launches in history, with FDA approval and NCCN guideline inclusion Competitive Advantages - **Biobank**: The largest blood-based biobank with over 1 million patient samples, providing a unique competitive edge - **Infinity AI Learning Engine**: Utilizes multimodal data to enhance clinical applications and patient outcomes Future Directions - **Multi-Disease Screening**: Vision to expand beyond cancer detection to include various serious diseases through routine blood testing - **Clinical Research**: Ongoing studies and partnerships to validate the effectiveness of the Smart Platform and its applications in oncology and beyond Additional Insights - **Employee Satisfaction**: 81% of employees rated Guardant as a great place to work, indicating strong internal culture - **Commitment to Patients**: The company emphasizes patient-first values, driving innovation and execution across its product offerings Conclusion - Guardant Health is positioned for significant growth and innovation in the liquid biopsy market, with a strong focus on data-driven solutions and expanding its product portfolio to enhance patient care and outcomes. The company is committed to leveraging its technological advancements and extensive data resources to redefine cancer diagnostics and treatment.