Myriad Genetics Q1 Earnings Call Highlights

Key Points

• Q1 revenue was $200.4 million (up 2% YoY) with an adjusted EBITDA loss of about $5 million, and the company reaffirmed full-year 2026 guidance of $860–$880 million while planning stepped-up commercial and R&D investment and retaining $199 million in available capital.
• Growth in the cancer care continuum drove momentum—hereditary cancer testing volumes rose 14% YoY—and Myriad plans an AI-enabled Prolaris launch in June plus an early limited rollout of Precise MRD (breast) with MolDX coverage submissions and earlier-than-planned expansion into colorectal and renal cancers.
• Prenatal revenue declined 15% YoY but showed signs of stabilization; management is prioritizing a dedicated prenatal sales team, cites a payer coverage win (Cigna), and expects a full commercial launch of FirstGene in H2 2026 that should be margin-accretive and boost prenatal ASPs.

Myriad Genetics NASDAQ: MYGN reported first-quarter fiscal 2026 revenue of $200.4 million, reflecting 2% year-over-year growth and landing within the company’s prior guidance range. Management highlighted continued momentum in hereditary cancer testing and GeneSight, partially offset by a year-over-year decline in prenatal testing volumes. The company reaffirmed its full-year 2026 guidance while emphasizing stepped-up commercial and R&D investment ahead of multiple product launches.

Quarterly results and updated portfolio focus

President and CEO Sam Raha said the company generated “just over $200 million” in Q1 revenue and delivered 385,000 test results. Myriad reported gross margin of 68.7% (Raha cited 69%), which the company said was in line with its full-year expectations. On profitability, Myriad posted an adjusted EBITDA loss of about $5 million (Raha cited $4.5 million) and an adjusted EPS loss of $0.09.

During prepared remarks, leadership reiterated that the company has simplified how it discusses its business categories. Chief Commercial Officer Brian Donnelly said the cancer care continuum category now incorporates both affected and unaffected hereditary cancer testing plus other genomic testing previously described as tumor profiling. Prenatal health includes Prequel, Foresight, SneakPeek, and FirstGene. The mental health category remains GeneSight.

Cancer care continuum: hereditary growth, Prolaris launch, and early MRD rollout

In the cancer care continuum category, Donnelly said first-quarter revenue was $120.2 million, up 4% year-over-year. Hereditary cancer testing volume rose 14% year-over-year, which management said reflected share gains. Raha added that volumes grew 10% in the affected population and 16% in the unaffected population versus the year-ago quarter.

When asked what drove the hereditary strength, Raha pointed to the updated MyRisk panel (63 genes) and noted that a dedicated unaffected hereditary sales force began April 1, meaning it did not contribute to Q1 results. He also said Myriad recently launched disease-specific hereditary cancer panels for breast, prostate, ovarian, and colorectal cancers.

In prostate cancer, Donnelly said Prolaris delivered mid-single-digit growth in both volume and revenue. Myriad is preparing to launch an AI-enabled Prolaris test in June, which Raha said will become “our Prolaris test” after launch and represents a “step up in value” versus the current offering. Management added there is no incremental reimbursement assumed in guidance for the AI-enabled version at this stage.

Myriad also provided an update on Precise MRD, which Raha said launched in March for breast cancer patients with a select group of customers. He said the company had onboarded and trained nearly 12 customer sites in the first six weeks and was “happy with the volume of patient samples received to date.” Raha said clinicians have been satisfied with test quality and turnaround time, while early feedback has prompted changes to make ordering and shipment instructions clearer. He also said the assay has been robust, with yield and turnaround times tracking within internal targets.

Raha said Myriad plans to submit Precise MRD for MolDX coverage for breast cancer in Q3 and for colorectal and renal cancers by the end of the year. He added that, based on customer input, the company is moving up its limited launch of Precise MRD for colorectal and renal to select customers into Q3, earlier than previously planned. Addressing the rationale in Q&A, Raha said interest from community oncologists treating breast cancer patients also extends to other indications, and management wants to learn how to serve multiple cancers within the same practices. Management said accelerating these indications was not expected to materially accelerate personnel expense for MRD.

Prenatal health: year-over-year decline, stabilization signs, and FirstGene ahead

Myriad’s prenatal health business declined year-over-year in the quarter. Donnelly said Q1 prenatal revenue was $41.9 million, down 15% year-over-year, though he also cited “signs of stabilization,” including quarter-over-quarter volume growth during Q1. Raha acknowledged prenatal volumes were “a bit softer than we expected” and said the company is focused on reactivating accounts, expanding access, and winning new customers.

Management highlighted several catalysts for a return to growth in the second half of 2026:

• Dedicated prenatal sales focus: Donnelly said the company shifted from a combined women’s health team to portfolio-specific teams, with a prenatal team focused exclusively on Foresight, Prequel, and the upcoming FirstGene launch.
• Payer dynamics: Donnelly said that in April, Cigna updated its policy to cover expanded carrier screening panels, including Foresight Universal Plus, calling it “an important step forward for the category.”
• FirstGene launch: Donnelly said Myriad continues early access clinical testing and is seeing “strong enrollment momentum” in the CONNECTOR study. He described FirstGene as a simultaneous screen of patient carrier status, fetal single gene, fetal chromosome, and fetal RHD status in a single integrated report, available at an 8-week gestational age with results delivered within 14 days. He said the company remains on track for a full commercial launch in the second half of 2026.

On preparedness, Raha said the company has not had recent internal operational issues affecting prenatal order-to-report execution, stating, “We have no issues there at all.”

In Q&A, CFO Ben Wheeler said Myriad expects FirstGene average selling price to be “a boon to overall prenatal ASP” and that the company will bill using existing codes initially. On margins, Wheeler said FirstGene will carry somewhat higher processing costs than the existing prenatal portfolio, but management expects stronger ASPs to outweigh that, resulting in “margin accretive” performance for the prenatal portfolio overall.

Mental health: GeneSight revenue growth aided by reimbursement trends

In mental health, Donnelly said GeneSight delivered $38.3 million in revenue, up 24% year-over-year, on 7% volume growth. He attributed the revenue performance to improved reimbursement trends and payer coverage “aided by biomarker legislation,” as well as continued revenue cycle workflow optimization. Donnelly also said GeneSight expanded its ordering base to more than 39,000 clinicians in Q1, a record.

Wheeler said Myriad has seen sequential improvements in GeneSight average revenue per test for multiple quarters and described the aggregation of coverage wins in biomarker law states as a meaningful tailwind. He added that Q1 2025 was GeneSight’s softest ASP quarter, and management views Q1 2026 as a baseline to build upon.

Investments, guidance, and expectations for a stronger second half

Myriad reaffirmed full-year fiscal 2026 guidance of revenue between $860 million and $880 million, adjusted gross margin of 68% to 69%, and adjusted EBITDA of $37 million to $49 million. Wheeler said the company expects sequential revenue growth in the low single digits in Q2 and acceleration through the remainder of the year, supported by prenatal improvement, early contributions from an expanded commercial team, and revenue cycle initiatives.

Donnelly said Myriad is investing $35 million over the next several years to strengthen commercial capabilities and support upcoming launches. He said the company expanded its sales team by more than 100 account executives compared to last year, with an emphasis on oncology, and expects new territories to take several quarters to reach peak productivity. In Q&A, Wheeler said about two-thirds of operating expenses are related to personnel and described the timing of hiring and commercial investment as a key lever in balancing launch readiness with profitability goals.

Addressing expense cadence, Wheeler told analysts the company plans to manage operating expenses as revenue grows and acknowledged that achieving the company’s adjusted EBITDA targets will require “some phasing of expense” through the year. He also said Myriad maintains access to $199 million in capital, which he said provides flexibility to invest in the company’s strategy while maintaining financial discipline.

About Myriad Genetics NASDAQ: MYGN

Myriad Genetics NASDAQ: MYGN is a molecular diagnostics company that develops and commercializes genetic tests designed to assess an individual's risk for various hereditary conditions and to guide personalized treatment decisions. The company's core business centers on predictive medicine, with a focus on hereditary cancer risk assessment through its flagship BRACAnalysis® test for BRCA1 and BRCA2 gene mutations. In addition to oncology, Myriad offers tests in women's health, neurology and pharmacogenomics to support more informed clinical decision-making.

Among its product offerings are the myRisk® Hereditary Cancer test, which screens for mutations across multiple cancer-related genes, and Prequel®, a non-invasive prenatal test for assessing fetal chromosomal abnormalities.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.