CareDx (CDNA) Q2 2024 earnings summary

Executive summary

• Total revenue for Q2 2024 was $92.3 million, up 31% year-over-year, driven by strong growth in testing services, product sales, and digital solutions.

• Testing services volume reached 43,700 tests, a 17% increase year-over-year, marking the fourth consecutive quarter of sequential growth.

• Achieved positive adjusted EBITDA of $12.9 million and non-GAAP net income of $13.6 million, both significant improvements from prior year.

• Ended the quarter with $228.9 million in cash, cash equivalents, and marketable securities, and no debt.

• Expanded payer coverage by 27 million lives and published key clinical studies validating product efficacy.

Financial highlights

• Q2 2024 revenue was $92.3 million, up from $70.3 million in Q2 2023, a 31% increase.

• Adjusted EBITDA was $12.9 million, compared to a $10.4 million loss in Q2 2023.

• Non-GAAP net income was $13.6 million, versus a non-GAAP net loss of $9.9 million in Q2 2023.

• Cash from operations was $18.9 million for the quarter.

• Non-GAAP gross margin improved to 72% in Q2 2024 from 66% in Q2 2023.

Outlook and guidance

• 2024 annual revenue guidance raised to $320–$328 million, up from $274–$282 million previously.

• Full-year adjusted EBITDA guidance increased to a gain of $9–$15 million.

• Non-GAAP gross margin guidance raised to 67–68% for 2024.

• Testing services revenue expected to grow in the mid-twenties percent year-over-year in the second half of 2024, with volume growth in the high teens.