NASDAQ$GRAL

Grail Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

GRAIL's second quarter revenue grew, and the company prioritized its portfolio and corporate restructure extending its cash runway.

GRAIL reported a 43% year-over-year increase in revenue to $32.0 million for the second quarter of 2024. The company's strategic update includes reducing overall spend and focusing on core multi-cancer early detection priorities, which is expected to extend the cash runway into 2028.

  • Revenue in the second quarter was $32.0 million, representing 43% growth year over year.
  • Net loss for the quarter was $(1.6) billion, including amortization and impairment of acquisition-related intangible items.
  • Adjusted gross profit was $16.0 million.
  • Cash and cash equivalents totaled $958.8 million as of June 30, 2024.

Headline financials

Total Revenue

$32M

Previous: $42.1M-24.0%
EPS

-$51.06

Previous: -$12.45-310.1%
Adjusted Gross Profit

$16M

No prior period
Adjusted EBITDA

-$139M

No prior period
Capital Expenditures

-$1.39M

No prior period
Free Cash Flow

-$1.59B

No prior period
Net Income

-$1.59B

Previous: -$193M-721.2%
Operating Income

-$1.64B

Previous: -$204M-703.1%
Gross Profit

-$33.5M

Previous: -$24.3M-37.9%
R&D Expense

$94.2M

No prior period
Stock-Based Comp

$55.1M

Previous: $47.1M+17.0%

Revenue & EPS history

Grail Inc · Revenue · Quarterly

$32M

Q2 2024-24%vs Q2 2023
Beat estimate in 2 of 4 quarters(50%)
ActualEstimate

Revenue by segment

Grail Inc · $26.7M total across 2 segments · Q1 2024

  • Screening revenue
    $23.5M
  • Development services
    $3.18M

Forward guidance

GRAIL anticipates reducing its burn in 2025 to $325 million and expects $27 million in savings in 2024, net of anticipated severance and benefits costs.

Tailwinds

  • Focusing resources on core multi-cancer early detection priorities.
  • Progressing toward completion of registrational studies.
  • Planning premarket approval application submission.
  • Reducing existing headcount and planned hires for 2024 by approximately 30%.
  • Substantially decreasing investment in product programs beyond Galleri.

Headwinds

  • Reducing overall spend.
  • Restructuring costs.
  • Reducing the size of the commercial organization.
  • Streamlining investments in the enterprise business.
  • Making reductions in general and administrative expense.

Historical earnings impact

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

Avg. return before/after earnings

Based on 8 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

-4.0%

Avg return

Earnings day

-0.4%

Avg return

5 days after

+4.5%

Avg return

30 days after

50%

4 / 8 earnings

Positive

+4.8%

Q3 2023

Best reaction

-23.6%

Q1 2025

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-0.8%+12.5%+10.2%
Q3 2025-1.9%-3.9%+7.1%
Q1 2025-23.6%-10.9%-3.7%
Q4 2024-14.7%-8.1%-36.6%
Q3 2023+4.8%-7.2%+46.9%
Q3 2024+4.1%-3.3%+35.8%
Q2 2023+0.1%+9.0%-11.8%
Q2 2024+0.1%+9.0%-11.8%
Q1 2024
Q4 2023
Q1 2023
Q3 2020
Q3 2019

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