On November 15, 2021 Biodesix, Inc. (Nasdaq: BDSX), a leading data-driven diagnostic solutions company with a focus in lung disease, reported its financial and operating results for the third quarter ended September 30, 2021 and provided a corporate update (Press release, Biodesix, NOV 15, 2021, View Source [SID1234595627]).
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"The third quarter was highlighted by the growth of our core lung diagnostics and biopharma service product offerings, which grew year-over-year 51% and 133% respectively, despite the headwinds from the COVID-19 Delta variant, offset by expected reductions in COVID-19 testing from increased vaccination rates and adoption of non-laboratory testing," said Scott Hutton, CEO of Biodesix. "Driven by the productivity from our growing sales force, and expanding body of clinical evidence supporting the value of our tests, we expect growth in core lung diagnostics testing to continue through the remainder of the year and into 2022. We are very pleased with the initial results from the ORACLE study recently presented at CHEST as they demonstrate that the Nodify XL2 test is performing as expected in the clinic, is changing physician decisions, and reducing unnecessary interventions on benign nodules. In addition to the CHEST and other data releases this quarter, we are pleased to announce that we have launched our 72-hour liquid NGS test ahead of schedule to a select group of physicians, with broad US launch still anticipated for the first quarter of 2022. Given the material progress made across all aspects of our base business this past quarter, we look forward to finishing strong through the end of 2021."
Third Quarter 2021 Financial Results
For the three-month period ended September 30, 2021, as compared to the same period of 2020 (where applicable):
Total revenue of $6.5 million was driven by our core lung diagnostic revenue of $4.5 million, an increase of 51%;
Continued lung diagnostic year over year growth despite recent surges in COVID-19 Delta variant;
Lung diagnostic growth driven primarily from sales of Nodify nodule management tests and sales force expansion;
Services revenue of $1.5 million, an increase of 133%;
Clinical trial services showed improvement and we expect further recovery in clinical trial enrollments in remainder of 2021;
COVID-19 testing revenue of $0.5 million, a decline of 91%;
Decline commensurate with our prior commentary on the expectation of COVID-19 testing declines, excluding any potential impact of the Biden administration COVID-19 Action Plan;
Gross margin was $3.8 million or 58% as a percentage of revenue as compared to 40% in the quarter ended June 30, 2021, primarily as a result of the mix shift of sales to higher margin lung diagnostic and services;
Operating expenses (excluding direct costs and expenses) of $16.9 million, which includes an investment in the planned expansion of our sales force, increased 46%;
Remain on track to double size of lung focused direct and dedicated sales force in 2021;
Includes non-cash stock compensation expense of $1.4 million;
Recorded a non-cash gain of $3.1 million in the period associated with our PPP loan forgiveness from the Small Business Administration;
Net loss of $11.5 million, an increase of 30%; and
Cash and cash equivalents of $47.9 million.
For a full list of Biodesix’s press releases and webinars, please visit Biodesix.com.
Conference call and webcast information
Management will host an investor conference call and webcast today, November 15, 2021 at 9:00 a.m. Eastern Time.
An archived replay of the webcast will be available on the Company’s website for a period of 90 days.