MDxHealth SA

Good day, ladies and gentlemen, and welcome to the MDX Health second quarter of 2025 earnings conference call. All participants will be in listen-only mode. A question and answer session will follow the formal presentation. If anyone should require operator assistance during the conference, please press the star key and then zero on your telephone keypad. Please note that this event is being recorded. I would now like to turn the conference over to John Francis of LifeSci Advisors. Please go ahead.

Before we begin, I would like to remind everyone that the company will make forward-looking statements during today's call. Whether in prepared remarks or during the Q&A session, these forward-looking statements are subject to inherent risks and uncertainties. These risks and uncertainties are detailed in the risk factor section of the company's filings with the Securities and Exchange Commission, specifically in the company's annual report on Form 20F. I'll now turn the call over to Michael McGarrity, Chief Executive Officer.

Thanks, Jen. And thank you all for joining us for our Q2 2025 Earnings Conference Call for MDX Health. With me today is Scott McMahon, Interim Chief Financial Officer. We are quite excited to provide an update that reflects our unwavering focus on growth, operating discipline, and commercial execution. Each of these results, both individually and collectively, demonstrate our progress in becoming the growth vertical focused solely into urology in the molecular diagnostic space. We believe MDX Health has clearly established a reputation for consistent growth and execution, as demonstrated by the highlights from our Q2 results that we announced today. Our Q2 revenue of $26.6 million represents 20% growth and marks our 17th consecutive quarter of 20% or greater revenue growth. Our Q2 adjusted EBITDA of $1.4 million represents our first quarter of adjusted EBITDA profitability, which we anticipated and guided to at the beginning of 2024. Our ability to project and deliver expected results throughout our P&L demonstrate our consistent execution across our operating disciplines led by our best in class sales team. We are currently in our fifth straight year of unbroken 20% quarterly growth. In fact, we have doubled our revenue over the past three years with the same number of reps we had post the GPS acquisition in 2022. In my experience, this only happens when our sales team has full command of their territories and an understanding of the adoption profile of their customers. The result is sustainable adoption and forecast accuracy, which is difficult to establish, but powerful when institutionalized within a sales team. And finally, we are pleased to announce our pending acquisition of the ExoDx business from Biotechnic Corporation. We are confident that this will be a transformative acquisition for MDX Health that is expected to provide accelerated top-line revenue growth and immediate accretion to our EBITDA operating profitability. It is important to note that we applied the same rigor in our evaluation process for ExoDx as we did for our Resolve MDX and GPS tests, both of which continue to be highly successful in our end markets. By applying the same rationale, diligence, and business case thesis for all of our potential strategic growth opportunities, I believe MDX Health will retain its position as the sole provider of answers at every point in the diagnostic pathway of prostate cancer. While the SELECT test has been included in the MDX Health menu since well before my arrival, a number of developments have created a market shift away from this test as an ideal solution for post-PSA pre-biopsy diagnostics. These factors include SELECT's requirement for a digital rectal exam, as well as the pandemic-associated advent of home testing kits. As we assess these evolving market dynamics, we identified ExoDx as the best-in-class alternative to select, from both an accuracy and ease-of-use perspective. And we have long respected the position that ExoDx has garnered in the market. We also now have the opportunity to consider collaboration for distribution into the primary care setting, with the DRE no longer limiting the viability of this market opportunity. With the addition of EXO DX to our menu, we will significantly strengthen our pathway solution while also accelerating our revenue scale and growth potential. We expect this acquisition to be a creative to our now positive adjusted EBITDA in the fourth quarter post the closing of this acquisition, which is expected in September. In addition to the immediate benefits to our P&L, we're also excited about the broader strategic implications from this acquisition. As part of our due diligence process, we have prospectively identified multiple cross-selling opportunities made possible from this acquisition, as the existing ExoDx customer base creates overlap opportunity with our customers currently utilizing Confirm and GPS tests. We therefore believe this acquisition provides us with the opportunity to build an even higher level of strategic and comprehensive partnerships with new and existing customers. As MDX Health becomes increasingly viewed as the main provider of a full pathway of precision solutions for prostate cancer patients. Following our anticipated close in September, I plan to provide a more granular view of 2026 contributions to our P&L. But for now, I am confident in saying that we expect the additional revenue contribution from ExoDx in 2026 to exceed $20 million. Finally, as part of the acquisition, we are also bringing over a significant library of potential applications of the Exosome technology with broad IP, and clinical scientific data in multiple cancers, including prostate. We look forward to evaluating strategic opportunities from this platform, either within MDX Health or through strategic partnering opportunities as they may present themselves. Although we have not yet provided formal guidance for 2026, based on our continued momentum, an initial assessment of the impact from the ExoDx test for a full year, we believe that revenue growth for 2026 could exceed 30%, while our adjusted EBITDA margins could approach 10%. As we get additional color on customer transition, as well as organizational and operating structure detail post-acquisition, we anticipate providing more detail on the financial impact for the remainder of 2025 from the ExoDx acquisition on our Q3 results call and release in November. To summarize, I believe no other company is better positioned to help improve the patient journey through prostate cancer diagnosis and treatment, and our results continue to reflect our success in bringing value to this patient population. I will follow up with closing comments and a view forward But first, let me turn the call over to Scott McMahon for a review of our financial and operating results for the second quarter.