Myriad Genetics, Inc.

greetings and welcome to the myriad genetics third quarter 2022 financial earnings conference call during the presentation all participants will be in a listen only mode afterwards we will conduct a question and answer session at that time if you have a question please press the one followed by the four on your telephone if at any time during the conference you need to reach an operator please press star zero as a reminder this conference is being recorded today Tuesday, November 1st, 2022. I would now like to turn the conference over to Matt Scalo. Please go ahead.

Thanks, Grant, and good afternoon, and welcome to Myriad Genetics' third quarter 2022 earnings call. During the call, we'll review the financial results we released today, and afterwards, we'll host a Q&A session. Our quarterly earnings release was issued this morning in Form 8K and can be found on our website, at investor.myriad.com. I'm Matt Scalo, Senior Vice President of Investor Relations, and on the call with me today is Paul Diaz, our President and Chief Executive Officer, Brian Rigsby, our Chief Financial Officer, and Nicole Lambert, our Chief Operating Officer. This call will be heard via webcast at investor.myriad.com, and a recording will be archived in the investor section of our website along with this slide presentation. Please note that some of the information presented today contains projections or other forward-looking statements regarding future events or the future financial performance of the company. These statements are based on management's current expectations and the actual events or results may differ materially and adversely from the expectations for a variety of reasons. We refer you to the documents the company files from time to time with the SEC, specifically the company's annual report on Form 10-K, its quarterly reports on Form 10-Q, and the current reports on Form 8-K. These documents identify important risk factors that could cause the actual results to differ materially from those contained in our projections or forward-looking statements. With that, I'll turn the call over to Paul.

Thanks, Matt. Good afternoon, everyone, and thank you for joining us. On today's call, we will discuss our Q3 results, along with highlights from the quarter and updates on our strategic transformation and growth plan. I want to start by thanking all of our teammates for their hard work and dedication this quarter to advancing our mission and our vision to make genetic testing and precision medicine more accessible to help people take more control of their health and enable providers to better detect, treat, and prevent disease. I also want to thank our healthcare provider partners and their patients for their continued confidence in us 2022 remains a year of strategic investment as we continue to build a foundation for accelerated growth and advance our mission of improving health and well-being for all. This was a challenging quarter for us as we faced external headwinds, including a stronger US dollar, and failed to advance our commercial strategy as quickly as we had hoped. However, we are pleased with our performance in many areas of the business in what is typically our seasonally weakest quarter of the year. After excluding divested businesses, quarterly testing volume grew 12% from the second quarter. Hereditary cancer testing volume returns a positive growth in the third quarter, up 4% year over year. And GeneSight had yet another strong performance with volumes up 34% year over year in Q3. GeneSight continues to produce strong results with two years of consecutive quarterly volume growth, which we believe speaks to GeneSight's market durability. Finally, we saw double-digit quarterly volume growth year-over-year in Polaris, My Choice CDX, and BRAC Analysis CDX. I'm also pleased to report that the Moldex program assigned the My Risk Hereditary Cancer Test CPT code 81479 and provided favorable test-specific pricing for My Risk at $1,743 per test. This action supports longer-term pricing stability from IRIS that some have questioned, and when combined with improving volume growth this quarter, reinforces our positive outlook for our hereditary cancer testing franchise going into Q4 and 2023. Despite significant cost pressures on wages, supply chain, and freight charges, we continue to operate with strong gross margins, which year-to-date are approximately 70%, in line with our long-term guidance range, that we laid out at our investor day back in 2021. Each of our products contributes to this figure, giving us confidence across all of our businesses that we have a solid foundation to accelerate growth for all of our current and new tests. Finally, in a separate press release was issued this morning announcing our acquisition of Gateway Genomics, an example of how Mira Genetics is utilizing a disciplined capital deployment strategy leveraging our strong balance sheet to support longer-term growth. Let me spend a few minutes highlighting the transaction on the next slide. Gateway Genomics represents an exciting addition to Myriad Genetics. Its leading product, SyncPeak, has already helped 750,000 parents learning their baby's fetal sex from home as early as six weeks into pregnancy. And the company's 2022 full-year projected revenues are approximately $20 million. The core Gateway business is expected to grow at more than 20% compounded annually over the next three to five years, excluding synergies, and is expected to be neutral to Myriad's earnings and operating cash flows in 2023. Gateway's business is also expected to be accretive to Myriad's growth rate, earnings, and operating cash flows in 2024. The company's mission, strong reputation, and overall approach to market which is to explore new ways to provide genetic insights to women who are pregnant or planning a family, are well aligned with our vision for our women's health business. And with over 4 million unique visits to Gateway's website year-to-date, we see significant potential synergies across our existing customer bases. As we look to the future, Myriad Genetics is positioning itself to drive 9% to 12% organic revenue growth, with a number of catalysts on the horizon beyond that as we continue to execute on our transformation efforts. We continue to enhance our core commercial organization with prudent investments in technologies and innovations. We are excited about Firstgene, MiraGenetics' next-generation prenatal offering. From broader coverage and faster turnaround time to fewer inconclusive results in certain areas, we expect Firstgene will make a significant impact on the prenatal care of our patients. FirstGene is complementary to our current prenatal portfolio and targets a market of over 1 million patients in the U.S. We are preparing for a second half 2023 commercial launch. We plan to launch our liquid biopsy technology for tumor profiling in the second half of 2023 as well, with this new test offering as part of our suite of precise oncology solutions. Our provider partners will benefit from an overall ease of use and a better understanding of results. We continue to invest in new and emerging technologies to ensure that MiraGenetics remains on the frontier of innovation. Lastly, our proprietary MRD product is on track with a resource use only introduction in the second half of 2023 with our pharma and oncology partners. This will be followed by a commercial launch that we expect to happen in the second half of 2024. We are excited about a number of differentiating features of our liquid and MRD technologies and how we can uniquely position them in this fast-growing market to win significant market share. With that, I'd like to turn it over to Nicole Lambert, our Chief Operating Officer, to discuss our Q3 operating results and new innovations in more detail. Nicole?