Myriad Genetics, Inc.

good day and thank you for standing by welcome to the myriad genetics second quarter 2024 financial earnings conference call at this time all participants are in listen only mode after the speaker's presentation there will be a question and answer session to ask a question during the session you'll need to press star 1 1 on your telephone you will then hear an automated message advising your hand is raised to withdraw your question please press star 1 1 again please be advised that today's conference is being recorded I would now like to hand the conference over to your first speaker, Matt Scalo, Senior Vice President of Investor Relations. Please go ahead.

Thanks, Gerald, and good afternoon, and welcome to the Myriad Genetics second quarter 2024 earnings call. During the call, we will review the financial results we released today, and afterwards, we will host a question and answer session. Our quarterly earnings release was issued this afternoon on Form 8K and can be found on our website at investor.myriad.com. I'm Matt Scalzo, Senior Vice President of Investor Relations, and on the call with me today are Paul Diaz, our President and Chief Executive Officer, Scott Leffler, our Chief Financial Officer, Sam Ra, our Chief Operating Officer, and Mark Verratti, our Chief Commercial Officer. This call can be heard live 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 in these statements are based on management's current expectations, and the actual events or results may differ materially and adversely from these 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 its current reports on Form 8. 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. I'll now turn the call over to Paul.

Thanks, Matt, and good afternoon, everyone, and thank you for joining us. On today's call, we will discuss the highlights from our strong second quarter performance and provide an update on the progress we continue to make accelerating profitable revenue growth. First, I want to thank my Myriad teammates and our provider partners for their continued support and commitment to advancing our mission and vision to make genetic testing and precision medicine more accessible to help people take more control of their health. Our board of directors and the entire Myriad team is incredibly excited about how our management team has come together this year under the leadership of Sam Raha, our Chief Operating Officer, Scott Leffler, our Chief Financial Officer, and Dr. George Daniker, the new president of our oncology division. We're also thrilled to welcome Jennifer Fox as our new chief legal officer, along with several strong new additions to our payer markets, technology, women's health, and urology teams. Next slide, please. We continue to deliver on our commitment to our patients and shareholders as we achieve 15% revenue growth in the second quarter compared to last year. reflecting both volume and revenue per test improvements across the portfolio. Our focus on profitable growth came through as we reported a 17% increase in gross profits, adjusted EBITDA of 12 million, and a positive adjusted EPS of 5 cents in the second quarter. We also generated positive adjusted free cash flow of $8 million as our capital expenditures continued to return to a more normalized level as compared to last year. Market dislocation contributed modestly to the 25% revenue growth in prenatal testing this quarter, which should accelerate in the second half of 2024. As I mentioned last quarter, we expect market share gains will take time to realize, but we are excited to be in the process of converting three large new health system accounts in the fourth quarter of this year. Second quarter saw continued payer coverage wins, including a recent decision by Blue Shield of California to follow the state's biomarker law and add gene sites to its medical policy for commercial and managed Medicaid beneficiaries. We also continue to reinforce our prenatal offerings with the launch of our expanded carrier screening panel, Foresight Universal Plus. In light of our continued positive momentum, we are raising 2024 financial guidance and increasing our long-term revenue growth target to 12%. This is an important step up as reflects progress we've made over the last four years. We remain optimistic about our future and the evolution of our product portfolio as we continue to enhance our existing products, publish additional clinical validation studies, improve reimbursement, and launch new products. At the same time, we continue to improve access and ease of use for our customers as we accelerate EMR integrations for new customers and make meaningful progress in our labs as a future initiative. We continue to anchor ourselves around those things that our customers tell us they rank as the most important. Diagnostic tools that have proven clinical validity and utility, a lab that offers a comprehensive set of offerings that they most often need, reliable, fast turnaround times, ease of use from the time of order to the receipt of clinically actionable results, and tests that are affordable for their patients. These customer insights continue to solidify our strategic pillars to drive long-term profitable growth and innovation, including increased investment in research and development and continuous improvement in customer service and commercial execution as we invest in our technology platform, including AI tools to power our operations and scale our infrastructure in lab, revenue cycle, and administrative support functions to improve everything we do. Now I'll turn it over to Mark.