Exact Sciences Corporation EXAS reported first-quarter 2022 net loss of $1.04, much wider than the net loss of 18 cents in the year-ago period. However, the metric was narrower than the Zacks Consensus Estimate of a loss of $1.12.

Revenues in Detail

First-quarter consolidated revenues were $486.6 million, up 21% year over year. The metric exceeded the Zacks Consensus Estimate by 5.3%.

Segments in Detail

Screening revenues, including laboratory service revenues from Cologuard, PreventionGenetics, and immaterial revenues from Biomatrica products, were $306.5 million, reflecting a year-over-year increase of 27.5% driven by Cologuard volumes. In the quarter, 9,000 new healthcare providers ordered Cologuard.

Precision Oncology revenues, including laboratory service revenues from global Oncotype products, were $152.6 million, up 17.9% year over year.

Exact Sciences Corporation Price, Consensus and EPS Surprise

Exact Sciences Corporation price-consensus-eps-surprise-chart | Exact Sciences Corporation Quote

Revenues from COVID-19 testing totaled $27.4 million, down 15.2% year over year.

Margin

In the quarter under review, Exact Sciences' gross profit (excluding the amortization of acquired intangibles) rose 20.5% to $351.9 million. Gross margin contracted 33 basis points (bps) to 72.3%.

Research and development expenses contracted 11.5% year over year to $102.2 million. Sales and marketing expenses increased 24.7% to $232.2 million. General and administrative expenses contracted 36.6% year over year to $169.8 million.

Adjusted operating expenses were $504.2 million in the first quarter, down 11.5% year over year. Adjusted operating loss totaled $152.3 million, narrower than the year-ago operating loss of $277.4 million.

Financial Update

Exact Sciences exited first-quarter 2022 with cash and cash equivalents, and marketable securities of $816.9 million compared with $1.03 billion at the end of 2021.

The company reported no long-term debt on its balance sheet at the end of first-quarter 2022.

2022 Outlook

The company now expects revenues in the range of $1,985-$2,032 million (an improvement from the earlier projected range of $1,975-$2,027 million) for 2022. The Zacks Consensus Estimate for the same is pegged at $2.01 billion.

For 2022, the company now expects Screening revenues in the range of $1,350-$1,372 million (earlier projection $1,340-$1,367 million). The company has reaffirmed its guidance for Precision Oncology revenues at the band of $595-$610 million. The company has also maintained its outlook for COVID-19 testing revenues at the band of $40-$50 million.