NASDAQ$GH

Guardant Health Inc · Q2 2023 earnings

Q2 2023 earnings · · Investor relations

Briefing

Reported a revenue increase of 26% year over year, driven by clinical volume growth of 49%.

Guardant Health reported a strong second quarter in 2023, with revenue reaching $137.2 million, a 26% increase compared to the same period in 2022. The growth was primarily driven by a 49% increase in clinical testing volume. The company has raised its full-year 2023 revenue guidance to $545 to $550 million.

  • Revenue for Q2 2023 reached $137.2 million, a 26% increase year-over-year.
  • Clinical tests to customers increased by 49% totaling 43,500 tests.
  • Biopharmaceutical tests increased by 12% totaling 6,700 tests.
  • The company is on track to achieve cash flow breakeven in Therapy Selection within the next 3-6 months

Headline financials

Total Revenue

$137M

Previous: $109M+25.7%
EPS (adj)

-$0.82

Previous: -$1.00+18.0%
Capital Expenditures

-$14M

Previous: -$45.7M+69.3%
Free Cash Flow

-$86.8M

Previous: -$275M+68.5%
Net Income

-$72.8M

Previous: -$229M+68.3%
Operating Income

-$120M

Previous: -$130M+8.2%
Gross Profit

$137M

Previous: $109M+25.7%
Cash & Equivalents

$271M

Previous: $215M+26.0%
Total Assets

$1.84B

Previous: $1.85B-0.7%
Stock-Based Comp

$22.4M

Previous: $25.5M-12.5%

Revenue & EPS history

Guardant Health · Revenue · Quarterly

$137M

Q2 2023+25.7%vs Q2 2022
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Revenue by segment

Guardant Health · $125M total across 1 segment · Q2 2023

  • Oncology Revenue
    $125M+36.0%

Forward guidance

Guardant Health now expects full year 2023 revenue to be in the range of $545 to $550 million, representing growth of 21% to 22% compared to full year 2022. Guardant Health continues to expect full year 2023 operating expenses to be below full year 2022, driven by efficiency measures and continued leverage of its existing infrastructure, and free cash flow to be approximately negative $350 million in 2023.

Tailwinds

  • Full year 2023 revenue is expected to be in the range of $545 to $550 million.
  • Revenue growth of 21% to 22% compared to full year 2022 is expected.
  • Full year 2023 operating expenses are expected to be below full year 2022.
  • Efficiency measures are driving the decrease in operating expenses.
  • Continued leverage of existing infrastructure is contributing to lower operating expenses.

Headwinds

  • Free cash flow is expected to be approximately negative $350 million in 2023.
  • Operating expenses were $202.9 million for the second quarter of 2023.
  • Net loss was $72.8 million for the second quarter of 2023.
  • Gross margin was 61%, as compared to 66% for the corresponding prior year period.
  • Adjusted EBITDA loss was $85.2 million for the second quarter of 2023.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2023

Historical avgQ2 2023

+3.8%

Avg return

Earnings day

+2.6%

Avg return

5 days after

+3.9%

Avg return

30 days after

60%

18 / 30 earnings

Positive

+41.3%

Q4 2018

Best reaction

-30.0%

Q1 2022

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+4.3%+6.6%+36.1%
Q4 2025-3.0%-10.4%-19.9%
Q3 2025+28.5%+35.8%+50.0%
Q1 2025+3.5%-11.2%-14.0%
Q4 2024-9.6%-8.9%-2.7%
Q3 2024+21.6%+24.8%+56.8%
Q2 2024-5.9%-5.3%-26.2%
Q1 2024+20.0%+32.7%+53.8%
Q4 2023-14.3%-13.8%-23.9%
Q3 2023-8.5%-24.7%-10.2%
Q2 2023+4.6%+1.9%-3.1%
Q1 2023+17.2%+12.1%+38.5%
Q4 2022+4.4%+11.7%-12.6%
Q3 2022+3.3%-3.1%+17.5%
Q2 2022+1.6%-6.0%+2.0%
Q1 2022-30.0%-44.3%-32.3%
Q4 2021+6.0%+7.0%-4.3%
Q3 2021-3.8%-5.8%-20.8%
Q2 2021+0.2%-7.7%+15.7%
Q1 2021-3.1%-14.0%-15.8%
Q4 2020-6.7%-5.0%-15.3%
Q3 2020-0.4%-1.1%+9.0%
Q2 2020+0.6%-4.0%+6.8%
Q1 2020+9.0%+19.6%+2.9%
Q4 2019-14.7%-2.1%-25.9%
Q3 2019+11.2%+13.8%+14.4%
Q2 2019+25.8%+18.2%-5.2%
Q1 2019+17.4%+12.0%+40.3%
Q4 2018+41.3%+46.6%+7.9%
Q3 2018-6.7%+3.1%-2.7%
Q2 2018
Q1 2018
Q4 2017
Q3 2017
Q2 2017
Q1 2017

Discussion

Share your read of this quarter. Sign-in carries your eToro identity.

Join the conversation

Sign in with eToro to post your read of this quarter and vote on others'.

Sign in with eToro