SOPHiA GENETICS SA

Good morning. My name is Kelsey, and I'll be your conference operator today. At this time, I would like to welcome everyone to the Sophia Genetics Third Quarter 2025 Earnings Conference Call. Kellen Sanger, Sophia Genetics Head of Strategy, Investor Relations. You may begin.

Thank you, and good morning, everyone. Welcome to the Sophia Genetics Third Quarter 2025 Earnings Conference Call. Joining me today to discuss the results are Dr. Yurgy Kamblong, our co-founder and chief executive officer, Ross Mukin, our company president, and George Cardosa, our chief financial officer. I'd like to remind you that management will make statements during this call that are forward-looking statements within the meetings of federal securities law. These statements involve material risks and uncertainties that could cause actual results or events to materially differ from those anticipated, and you should not place undue reliance on forward-looking statements. Additional information regarding these risks, uncertainties, and factors that could cause results to differ appears in the press release issued by Sophia Genetics today and in the documents and reports filed by Sophia Genetics from time to time with the Securities and Exchange Commission. During this call, we will present both IFRS and non-IFRS financial measures. A reconciliation of IFRS to non-IFRS measures is included in today's earnings press release, which is available on our website. With that, I will now turn the call over to Jurgi.

Thanks, Kellen, and good morning, everyone. I will start with a brief recap of Q3 performance and an update on major growth drivers. I will then turn the call over to Ross, who will provide a more detailed update on the business. George will close with a review of our Q3 financial performance before we take your questions. For the last several quarters, we've highlighted that the business momentum has been strong. New customer signings are being at record levels and bookings have exceeded expectations. In Q3, these efforts continue to pay off as revenue growth accelerated for a third consecutive quarter. Revenue grew 23% year-over-year in Q3. Given the strong performance and the accelerating momentum we're seeing across the business, we're raising our 2025 revenue guidance to $75 to $77 million. Our performance continues to be driven by the three growth drivers we outlined at the start of the year, implementing and expanding across new accounts, growing in the U.S. market, and capitalizing on new applications such as MSK Access. Starting with the first growth driver, in Q3 we signed 31 new customers. This brings our total new customers signed in 2025 to 94, surpassing the 92 customers we signed in all of last year. Our focus remains on implementing and expanding across these new accounts. From an expand perspective, we have an excellent quarter as we successfully encouraged many of our existing customers to adopt additional applications. In Q3, we expanded our footprint at several top-ranked institutions. Gustave Roussy in Paris is adding new solid tumor applications to the broad suite of SOFIA apps they use today. Institut Pauli-Calmet in Marseille signed a major expand deal to add IMHONG, erythritic cancer, and solid tumor applications. In addition, New South Wales Pathology in Australia is adding an IM-ONC application, and Tulane University in the U.S. is adding new applications in solid tumors. Congratulations to the team on this major expense, as well as the 31 new customers landed in the quarter. I look forward to this customer implementing SOFIA-DVM and beginning to generate revenue over the next few months. On implementations, we were happy to see 15 sizable new customers move to routine in Q3. We also implemented an abnormally large number of expand opportunities during the quarter. Between both land and expand, total new business implemented in Q3 was strong. The second growth driver I will highlight is our continued growth in the US market. In Q3, US revenue grow an impressive 30% year-over-year, on top of an increasingly larger base. We also signed a strong cohort of new customers to fuel growth. In Q3, we landed Gazinger Health System in Pennsylvania, who is adopting Sophia DDM for pharmacogenomics, Baylor Scott and White Health in Texas, who is adopting Sophia DDM for EMONC, and Thermo Fisher Life Labs, who is adopting Solitumor liquid biopsy and rare disorders applications. Welcome all to the SOFIA community. The third course driver I will cover is the continued success of our liquid biopsy application, MSK Access. As part of the updates today, I will take a moment to reflect on liquid biopsy business abroad, the progress we have made, and what the future holds. Two years ago, we partnered with Memorandum Fund Catering to industrialize their world-renowned tests and make liquid biopsy testing accessible to every lab in the world. This presented a series of challenges, not only due to the very small amount of circulating tumor DNA in a blood sample, but also because of workflow heterogeneity from lab to lab. In other words, reliably decentralizing liquid biopsy is complex, and many variables are at play. To solve for this complexity, we leveraged decades of experience in our diverse data network to build proprietary AI agents that standardize, harmonize, and analyze liquid biopsy data. These agents, which power MSK Access and other SOFIA applications, apply AI to find signals in the noise and deliver actionable insights to our customers. Thanks to these AI capabilities, MSK Access is now available to labs across the globe. Since its launch last year, we have now signed more than 60 liquid biopsy customers worldwide. As our liquid biopsy network has grown, biopharma companies have recognized the value of such a network. Several months ago, we announced that AstraZeneca would sponsor the global deployment of MSK access. For AZ, high-quality and affordable liquid biopsy testing is critical for expanding market access. In addition, The data generated from the network offers immense value for drug development and commercialization. During the quarter, we announced the next phase of our liquid biopsy strategy. In September, we announced a partnership with Mirai Genetics to develop MSK access into a regulated companion diagnostic in the U.S. And then in October, we announced a collaboration with Adam Innovations to do the same in Japan. Together, along with Sophia's robust regulated footprint in Europe, Sophia and its partners will offer biopharma a first-of-its-kind hybrid global CDX assay, fit for purpose, depending on the needs of the local market. This innovative CDX will provide biopharma companies with a unique and cost-effective offering to potentially expedite drug development and approval. Post-approval, it will also enable more patients to gain access to tumor profiling benefits from liquid biopsy. As we continue our mission to expand access to best-in-class cancer care, I would like to take a moment to look towards the future. Last month, at ESMO, we announced a breakthrough technology called Sophia DDM Digital Twins. Digital Twins goes beyond genomics by leveraging multimodal data to help oncologists make better treatment decisions. The AI-powered research tool creates dynamic virtual representations of individual patients to simulate potential outcomes and help oncologists select the best treatment. Starting with non-cancer, oncologists can now generate digital twins for genomic patients analyzed with SOFIA DDM, including MSK access. This revolutionary tool takes SOFIA's mission of data-driven medicine to the new age by leveraging AI and the collective intelligence for our community to provide oncologists with real-time, real-world decision support based on multimodal data. Please stay tuned for more updates on the development of digital twins and the expansion of this exciting technology. Before I hand it over to Ross, I would like to recognize the SOFIA team for their continued ability to deliver amazing new products like digital twins and drive revenue growth without increasing costs. In Q3, we held growth margins strong at 73.1% on an adjusted basis, despite the data processed by our platform growing over 40% year-over-year. This performance was driven by innovations from our tech and data science teams who continue to engineer new ways to optimize data compute and processing power of Sophia DDM. I was also proud that we carried growth down to the bottom line. In Q3, we improved adjusted EBITDA 13% year-over-year after excluding the impact of elevated Swiss social charges on stock-based compensation. Excluding these charges, operating expenses remained mostly flat on a constant currency basis, a testament to the natural operating leverage in our business and strong expense control across our teams. In conclusion, Q3 was an excellent quarter for SOFIA. Revenue accelerated once again and cost performance improved. We have built an expansive global network of customers who use Sophia DDM each day to generate insights for their patients. In Q3 alone, Sophia DDM analyzed over 99,000 patients across 70 countries worldwide. Thank you again to the team for an excellent quarter and for the impact you're making. With that, I will now turn the call over to Ross. will provide a more detailed update on Q3 business performance.