Burning Rock Biotech Limited (NASDAQ:BNR) Q3 2022 Earnings Conference Call November 16, 2022 8:30 AM ET
Company Participants
Yusheng Han - Chairman and CEO
Dr. Shaokun Chuai - COO
Leo Li - CFO
Conference Call Participants
Alexis Yan - Morgan Stanley
Max Masucci - Cowen & Company
Operator
Good day and thank you for standing by. Welcome to the Burning Rock 2022 Third Quarter Earnings Conference Call. At this time, all participants are in listen-only mode. After the speakers’ presentation, there will be a question-and-answer session. [Operator Instructions]. Please be advised that today’s conference is being recorded.
Before we begin, I’d like to remind you that this conference call contains forward-looking statements within the meaning of Section 21(e) of the Securities Exchange Act of 1934, as amended, and as defined in the U.S. Private Securities Litigation Reform Act of 1995. These forward-looking statements can be identified by terminology such as will, expects, anticipates, future, intends, plans, believes, estimates, targets, confidence, and similar statements. Statements that are not historical facts, including statements about Burning Rock’s beliefs and expectations, are forward-looking statements. Such statements are based upon management’s current expectations and current market and operating conditions and relate to events that involve known or unknown risks, uncertainties and other factors, all of which are difficult to predict and many of which are beyond Burning Rock’s control.
Forward-looking statements involve risks, uncertainties, and other factors that could cause actual results to differ materially from those contained in any such statements. Burning Rock does not undertake any obligation to update any forward-looking statements as a result of new information, future events or otherwise, except as required under applicable law. And now I would like to hand the conference over to your main speaker today, Yusheng, CEO. Please go ahead.
Yusheng Han
Thank you. Welcome to Burning Rock’s 2022 Q3 conference call. I'm Yusheng Han, the CEO and Founder of Burning Rock. And our team today has Shannon Chuai, Leo, and Joe. So Q3 was a strong rebound from Q2 for Burning Rock mainly because of the reopening of Shanghai and though we have seen some signals of softer regulation of COVID, we don't think that the economy can fully recover in Q4. And therefore the first thing I want to say that we will adjust the guideline this year to 5% growth despite of the Q3 rebound.
Then let's turn to Page 3 about the highlight of our recent progress. So we listed in London Stock Exchange recently in order to have a better position in capital market. And in terms of our performance, we recorded 22% year-on-year revenue growth in Q3 and it is a strong rebound of 36% Q-on-Q this side. Every therapy selection, the in hospital model volume is back to growth in Q3 with 24% year-on-year growth in a situation that we successfully lowered the selling expense of 15% in Q3 versus Q2. And it's a good chance to profitability of onco deal [ph], which is a relatively mature business. But since we launched the MRD product in March this year, the growth trend is great and volume more than doubled in Q3 versus Q2 to 7 test, sorry, to 700 test.