MDxHealth SA

2025 earnings conference call. At this time, all participants are in the listen-only mode. Following the presentation this morning, there will be a question-and-answer session. To ask a question, you may press star and then 1 on your touch-tone phone. To withdraw your question, you may press star and 2. As a reminder, this call is being recorded. I would now like to hand over the conference to John Francis from LifeSci Advisors. Thank you and over to you.

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, John. And thank you all for joining us for our third quarter 2025 Earnings Conference Call for MDX Health. With me today is Scott McMahon, Interim Chief Financial Officer. We've been very consistent in our message and mission that MDX Health is driven by three core operating principles, focus, execution, and growth. We are excited to report results that are consistent with that internal mandate, From a focus perspective, we continue to identify high-value differentiated assets as demonstrated by our recent acquisition of the exosome diagnostics business, further positioning MDX Health with the most comprehensive industry-leading menu of precision diagnostics in urology. From an initial elevated PSA to and through each point along the diagnostic pathway of prostate cancer, MDX Health can deliver clinically actionable diagnostics for clinicians and patients. With respect to execution, every operating group within our company has supported our growth with an uncommon discipline, as evidenced by the following. Our sales organization has delivered a compound annual growth rate of 45% over the last four years. while significantly reducing our sales and marketing expenses as a percentage of revenue. This reflects our team's steadfast commitment to building trust and accountability with our urology customers, allowing us to confidently invest in additional growth opportunities. Our laboratory operations group has also kept pace with the increasing scale of our business while improving our gross margin profile through optimal efficiency and productivity. From a customer experience perspective, our entire team knows that we are only as good as our customers think we are. The emphasis we place on the customer experience has in fact become foundational to our culture. There is nothing we do not metric and manage to help improve upon the customer experience. And through these efforts, I believe we are now resetting the industry gold standard for turnaround time from sample to result, which is clearly one of the most important patient and clinician-driven metrics. And finally, as it relates to growth, we are confident that MDX Health will continue to deliver market-leading growth driven by focus and execution. coupled with a very sound and disciplined new product and acquisition strategy. As we go forward, we also expect to achieve sustained top-line growth while advancing operating profitability, following our first adjusted EBITDA profitable quarter in Q2, delivered again in Q3, as well as achieving positive adjusted EBITDA on a year-to-date basis. I would now like to highlight the results from our third quarter that we believe reflect our focus execution and growth. Q3 revenue of $27.4 million represents 18% growth over 2024. Even with our decision to forego focus on our previously planned germline offering, an adjusted EBITDA came in at $1 million. Our total OpEx is essentially flat for Q3 in year-to-date over 2024, up a mere 1 percent on 20 percent year-to-date top-line growth, while absorbing material acquisition-related expenses. We successfully closed on the transformative ExoDx acquisition, and at the end of Q3, we began the integration. from an operational and Salesforce perspective. And this process will be our highest priority throughout Q4. We've strengthened our laboratory operation with now three labs, and we'll focus on installing and advancing our quality and operating discipline goals with the team from ExoDx in the Massachusetts facility. Finally, our total use of cash for Q3 was less than a million dollars. We are confident in completing the integration of the ExoDx acquisition in this fourth quarter. The integration will be focused on the following key operational areas of the business. For the commercial operation, our diligence of the ExoDx opportunity led us to execute a strategic expansion of our sales organization. From 50 direct sales reps among six geographic regions to now 60 direct sales reps across eight regions. This expansion was informed by a detailed review of the customer base and ordering patterns by urologists and large urology groups, and was specifically designed to optimize cross-selling opportunities of our combined customer base. As I noticed, when we announced the acquisition, This strategy mirrors the growth thesis of our GPS acquisition, leveraging the potential to drive growth through our now expanded menu and customer base. We are conducting cross-training of sales reps and integrating into the newly formed regions. Through this acquisition, we are confident that our best-in-class sales team will continue to execute on our growth strategy demonstrated by our track record of consistent and sustainable sales rep productivity, and fortified by the high-performing and high-quality sales reps we retain from ExoDX, slotting them opportunistically to further drive growth in customer engagement. Lastly, on the commercial customer front, We will be converting our select customers over to ExoDx throughout Q4 and would expect to discontinue select by year end. We are confident, as we have noted, that the ExoDx test provides optimal and clinically actionable results for patients and clinicians while providing additional ease of use. We will strive for seamless integration and provide an update at the beginning of the year on our progress and what we expect to be a successful transition. We are also focused on our laboratory operational integration with our expanded laboratories operations in California, Texas, and now Massachusetts. We will focus on efficiencies designed to advance our continuously improving gross margin as well as advancing our information systems to drive additional operational efficiency, all while maintaining our relentless focus on performance metrics that achieve operating excellence and improve customer experience. Finally, we are integrating our client service and revenue cycle management teams to best serve our patients, customers, and payers. as we strive for world-class service standards within the industry. Based on prioritizing the successful integration and customer engagement, as well as conversion of Select to EXO-DX, we have set aside our entry into the Germline market. While we had expected material revenue contribution from Germline in the second half of this year, we are maintaining our 2025 revenue guidance of $108 to $110 million. and we'll revisit and re-evaluate the germline opportunity as we enter 2026. Finally, as part of the ExoDx acquisition, we commented on the broad IP and clinical scientific data in multiple cancers, including prostate. We will be actively evaluating strategic opportunities from this platform, both within MDX Health, as they apply to our urology focus, and through partnering opportunities as they may present themselves. We now believe and are confident that no other company is better positioned to improve the patient journey through prostate cancer diagnosis and treatment, and that 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 our third quarter. Scott?