GeneDx (WGS) investor relations material

Financial performance and policy coverage

• Achieved 32% year-over-year volume growth, returning to adjusted profitability a quarter ahead of expectations.

• Policy coverage for whole genome sequencing expanded to 88% of commercial lives, up from 47% a quarter ago.

• Full benefit of new policy coverage not yet realized in earnings; revenue growth lags volume growth.

• Revenue guidance for the year reaffirmed at a minimum of $475 million, with focus on converting demand into recognized revenue in the second half.

• Seasonal uplift in collection rates expected in Q4, with policy wins anticipated to drive further growth into 2027.

Product mix, reimbursement, and operational strategy

• Ongoing shift from exome to whole genome testing, with exome still representing the majority of tests.

• Introduced Exome-to-Genome Reflex product to manage transition and optimize reimbursement, as exome is currently reimbursed at higher rates.

• Collection rates for genome and exome tests are both around 32%, with a goal to reach 70% within a few years through improved revenue cycle management.

• Administrative denials, not medical necessity, are the main barrier to higher collection rates; investments in process, people, and AI aim to address this.

• Recent commercial and Medicaid policy wins will take several quarters to impact collections, with full benefits expected beyond 2026.

Market development and customer engagement

• New AAP guidelines recommend exome/genome as first-line diagnostics for pediatric developmental delay, with material volume impact expected by Q4.

• Significant educational efforts underway to support pediatricians and improve ease of ordering and reporting.

• NICU market showing solid growth, but broader adoption and higher utilization rates remain a work in progress.

• Over a third of Level 3/4 NICUs are active customers, but utilization rates are still low compared to potential.