MDxHealth SA (OTC:MXDHF) Q1 2023 Earnings Conference Call May 15, 2023 4:30 AM ET

Company Participants

Michael McGarrity - Chief Executive Officer

Ron Kalfus - Chief Financial Officer

Conference Call Participants

Andrew Brackmann - William Blair

Thomas Vranken - KBC Securities

Mark Massaro - BTIG

Operator

Greetings. Welcome to the MDxHealth First Quarter 2023 Earnings Call. At this time, all participants are in a listen-only mode. A question-and-answer session will follow the formal presentation. [Operator Instructions] As a reminder, this conference is being recorded.

Before we begin, I would like to remind everyone that we will make forward-looking statements during today's call. Whether in prepared remarks or during the Q&A session, these forward-looking statements are subject to inherent risks and uncertainties. These risks and uncertainties are detailed in the risk factors section of our filings with the Securities and Exchange Commission, specifically in the company's annual report on Form 20-F.

It is now my pleasure to introduce your host, Michael McGarrity, Chief Executive Officer. Thank you sir. You may begin.

Michael McGarrity

Thanks Kyle and thank you all for joining us for our first quarter 2023 release of results for MDxHealth. With me today is Ron Kalfus, Chief Financial Officer.

2022 was a transformative year for MDxHealth, and we are confident that our first quarter 2023 results reflect this transformation as well as our continued commitment to operating discipline and commercial execution.

When I joined MDxHealth in 2019, we set out to build the leading growth company exclusively focused on precision diagnostics and urology. To accomplish this, we have been thoughtfully putting in place the fundamental pieces needed to generate long-term sustainable growth and value creation.

And now we are confident that we have an uncommon set of drivers to consistently deliver this growth over time based on our recent receipt of coverage from Medicare for our select test, which now allows for a full menu of revenue-generating tests with Select, Confirm and GPS all included in the Gold Standard National Comprehensive Cancer Network or NCCN guidelines.

Our sales channel fortified by the acquisition of the GPS test we believe is best-in-class and capable of additional growth opportunities in evidence with our Resolve MDX test introduced in 2022. Our gross margin is beginning the expected trend of growth and allows for the corresponding reduction in cash used from operations.

And finally, we have clear visibility to operating profitability. Before I turn the call over to Ron for a review of our operating results, -- let me first comment on our business focus and progress. Our Q1 2023 revenue grew by 141% over Q1 2022. We -- and when excluding the acquisition of GPS, our revenue increased 39%.