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TheStreet Open House

Genomic Health's CEO Discusses Q2 2012 Results - Earnings Call Transcript

Stock quotes in this article: GHDX

We refer you to our quarterly report on Form 10-Q for the quarter ended March 31, 2012, filed with the SEC, in particular to the section entitled risk factors for additional information on factors that could cause actual results to differ materially from our current expectations. These forward-looking statements speak only as of the date hereof, and we disclaim any obligation to update these forward-looking statements.

Joining me on the call today are Kim Popovits, our Chairman of the Board, Chief Executive Officer and President; Brad Cole, our Chief Operating Officer; Dean Schorno, our Chief Financial Officer; Steve Shak, Executive Vice President of Research and Development and Chief Medical Officer; Kathy Hibbs, Senior Vice President and General Counsel; Joffre Baker, Senior Research Fellow; and Randy Scott, Genomic Health Co-Founder.

I will now turn the call over to Kim.

Kimberly Popovits

Thanks Emily. Good afternoon everyone and welcome. We delivered strong financial results in the second quarter highlighted by a 16% year-over-year increase in test volume, and a 13% increase in revenues. These results were driven by worldwide growth in tests delivered across all products and notably from new markets, including DCIS breast cancer, colon cancer and international. Our growth in tests and revenue, along with net income generated in the quarter, exemplify the strength of our business model and delivering personalized genomics to patients around the world.

In the second half of the year, we plan to continue investing in our prostate cancer program, the development of clinical applications for next-generation sequencing, and the ongoing expansion of our international commercial business. Additionally as announced today, we have concluded that the best path forward to optimize our investment in the field of clinical genetics is to support the combination of InVitae with a private company, Locus Development, to form a separate independent genetics company under the leadership of Randy, which I will discuss a bit more in detail at the end of the call.

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