Myriad Genetics, Inc.

Good day and thank you for standing by. Welcome to the Myriad Genetics first quarter 2026 earnings call. At this time, all participants are in a listen-only mode. After the speaker's presentation, there will be a question and answer session. To ask a question, you will need to press star 1-1 on your telephone. You will then hear a 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. Now it's my pleasure to hand the conference over to the Senior Vice President of Investor Relations, Matt Scalo. Please proceed.

Good afternoon and welcome to the Myriad Genetics first quarter 2026 earnings call. During the call, we will review the financial results we released today, and afterwards we will host a Q&A session. Our earnings release was issued this afternoon on Form 8K and can be found on our website at investor.myriad.com. I'm Matt Scowles, Senior Vice President of Investor Relations. On the call with me today are Sam Raha, our President and Chief Executive Officer, Ben Wheeler, our Chief Financial Officer, and Brian Donnelly, our Chief Commercial Officer. Joining for Q&A will be Mark Verratti, our Chief Operating Officer. This call can be heard live via webcast at investor.merit.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 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-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. I'll now turn the call over to Sam.

Thanks, Matt. Good afternoon, everyone, and thank you for joining us. I want to welcome our Chief Commercial Officer, Brian Donnelly, to the call, as he will provide quarterly commercial business updates going forward, and our Chief Operating Officer, Mark Barotti, will join us for the Q&A portion of the call. Considering it's been a year that I've been CEO, I thought we'd begin the call by reviewing a number of our key advancements over this time. These include, first, the prioritization of the cancer care continuum. Recall last year, we updated our growth strategy and declared cancer screening and diagnosis as our business of highest importance. Since then, we've prioritized our resources, budget, and focus with this clear direction. And this year, we're making significant investments in the cancer care continuum. including an expansion of our commercial capabilities and increased R&D spend on product development and clinical studies. Second, we have strengthened our organization with leaders that have proven experience and a depth of domain knowledge in oncology, genomics, and advanced diagnostics. We've added significant expertise in multiple levels of the organization, including Ryan Donlegan as CCO, Vishal Sikri as our SVP of product, Dr. Hussein Khoursmeir as our SVP of oncology R&D, along with other team members for operations, tech, sales, and marketing teams. Third, we are continuing to strengthen our execution and improve our agility. We have implemented new processes for decision-making and program oversight, and have also simplified the organization structure and removed layers to serve customers better. This required making tough decisions that affected a number of our employees, not something we take lightly. But the early progress that we're seeing validates these actions and better positions Myriad to succeed as we go forward. There's still significant work ahead, but we have clear line of sight to how we will achieve our goals, including accelerated share gain and sustained profitable growth. And that's why I'm very encouraged about Myriad's current position and direction. Now let's discuss the first quarter results. We reported revenue in the first quarter of just over $200 million. coming within our Q1 revenue guidance range. In terms of testing volume, we delivered 385,000 test results in the first quarter and continued to drive strong volume growth for hereditary cancer testing in both the affected and unaffected populations, where we grew 10% and 16% over the year-ago quarter, respectively. These results reflect our deep relationships across community oncology and other provider networks and ongoing efforts to enhance the testing offerings and overall experience. Brian will provide additional color in his section, but certainly we see strong demand for our MyRisk regulatory cancer test, which will continue to be a cornerstone of our accelerated profitable growth journey going ahead. I'm pleased with the solid growth of our mental health business. First quarter gene site test volume grew 7% year over year, and is the fourth consecutive quarter of mid to high single digit test volume growth year over year. We believe Q1 performance is above market growth, and this is noteworthy considering Genesight has the leading market share. And we continue to manage this business in a very disciplined fashion to drive growth and improve profitability with a defined set of resources, budget, and focus. Next, as we foreshadowed in our last earnings call, first quarter prenatal volume declined year over year. We continue to focus on reactivating accounts, expanding access, and driving new customer wins. We expect these actions, along with the launch of First Gene, to support a return to positive growth in the second half of 2026. As for the impact of adverse weather during the first quarter, we experienced days of slowdown in the first couple of months of the quarter, largely in the Northeast and certain Midwest territories. We saw strong March test results, so we believe weather had a marginal impact overall. Taking weather and first quarter business trends into account, we are reaffirming our 2026 financial guidance. We are expecting sequential revenue growth in the low single digits in the second quarter and accelerating through the remaining quarters as our expanded commercial team begins to positively impact second half. In addition, we reaffirm our positive adjusted EBITDA target range. While Ben will talk through this in more detail, our confidence is grounded in continued strong regulatory cancer testing, growth, solid ongoing demand for our gene site mental health tests, and improved prenatal business, as well as early contributions from the expansion of our commercial team. Beyond Q1 revenue, we reported solid gross margin of 69% in line with our four-year range. It's important to have a strong gross margin profile at a time when Myriad is making significant strategic investments, such as the expansion of our commercial organizations. ahead of a number of major new product launches in 2026. And you can see these investments beginning to run through the adjusted OPEX line. Ultimately, we reported an adjusted EBITDA loss of $4.5 million and an adjusted EPS loss of 9 cents in Q1. And as Ben will address in this section, we have a solid balance sheet and liquidity position. Turning to our cancer care continuum strategy, the big news in Q1 was March launch of Precise MRD breast cancer patients for a select set of customers. While it's early days, we're certainly very encouraged about this product and the impact it can have for patients and clinicians. I'll provide more commentary on the next slide. Before I get to that, we recently launched a variety of disease-specific MyRisk regulatory cancer panels on our stated timeline and are on track to launch our AI-enhanced Prolaris prostate cancer test in June. And thanks again to Pathomic for their partnership on this. We look forward to providing an update on these new tests as we move through the year. Now, regarding Precise MRD, let me provide an update on our plans and on early feedback from Alpha customers. The conversations with customers have reaffirmed our assessment of the MRD market, that while greater than 75% of cancer care in the United States happens in the community, we're still in the formative stage for how clinicians are incorporating MRD testing in community oncology. And that's where Myriad has a strong, established presence, serving nearly 3,500 oncologists today. And as more clinical publications and presentations demonstrate the significant potential benefits of ultrasensitive MRD testing for breast and other cancers, this addressable market expands. And Myriad is well positioned to serve this growing opportunity. For the alpha stage of the commercialization of precise MRD for breast cancer, we're closely monitoring test utilization customer experience, and internal operational efficiency. While it's early in the implementation of our program, let me share some key takeaways from the first six weeks of the launch. First, in terms of test utilization, we've onboarded and trained nearly a dozen customer sites and onboarded and started engaging even more clinicians. We're happy with the volume of patient samples received to date, and some clinicians have already ordered tests for multiple patients based on being satisfied with the results of the first patients tested with precise MRD. Next, in terms of customer experience, clinicians have been satisfied with the quality of our test and the turnaround time for getting results from when they placed the order. We have received some input on how to make the ordering easier and also learned from early samples received how we can make instructions for sample shipment clearer. This and other input is already being used to make changes to improve customer experience in the alpha phase and for future expanded launch phases. Finally, in terms of operational efficiency, our MRD assay itself has proven to be robust and has performed extremely well. We've been pleased with the yield of our assay and also early numbers for turnaround time for the baseline and monitoring assays, all of which are tracking within our pre-established internal targets, which we believe will allow us to be competitive with other on-market tests. Now, let me update you on the overall plan for Precise MRD. We're pleased with the growing body of clinical evidence. This data shows that precise MRDs high sensitivity and an ability to detect disease down to one part per million. We believe our MRD platform can help guide clinical decision making for patients in their journey of cancer care and has the ability to detect presence and recurrence meaningfully earlier than the standard of care with imaging and therefore can have positive impact for patient outcomes. In addition to the multiple presentations and updates already in 2026, including recently at AACR, we look forward to sharing additional updates on clinical studies along with collaborators at the upcoming ASCO conference at the end of May. In terms of Moldex submissions, our plan remains to submit progress to Q3 for colorectal and renal by the end of this year. We still plan to expand commercial testing progress in Q3 beyond our current select set of community practices. However, that's based on customer input and interest. We're moving up the launch of Precise MRD for colorectal cancer and renal to a select set of customers into Q3. In summary, we're tracking for the plan for Precise MRD that we laid out in Q1 and are looking forward to serving more clinicians and patients over the course of this year while also managing our financials. Now, let me hand it over to our CCO, Brian Dodley. Brian.