Cxbladder Test Volumes Steady in Q4 24

Pacific Edge today announces tests processed at its laboratories in the three months to the end of March 2024 were steady on the prior quarter. 

The result, achieved with a smaller sales force, has benefited from previously reported improvements in sales force efficiency and a growing contribution of tests from Kaiser Permanente following the incorporation of Cxbladder tests into its electronic medical records system. In addition, throughput in Q4 24, has been supported by a traditional seasonal catch up in the US after the slow Thanksgiving-Christmas holiday period and sustained ordering from physicians. 

Volumes in Q4 24¹ rose to 7,210 tests, a figure up 0.4% on the 7,183 tests in Q3 24. US volumes were 6,099 tests up 1.0% on the 6,041 tests of the prior quarter. Asia Pacific volumes were down 2.7% on the prior quarter to 1,111 tests, with the result impacted by the traditional slowdown in New Zealand post the Christmas period. 

We entered Q4 24 with fewer sales reps, down to an average of 16 FTEs across the quarter from 21 FTEs in Q3 24. This drop reflects the lagged impact of the reorganization in Q2 24 and other initiatives aimed at preserving capital. The combination of fewer FTEs and efficiency gains has driven our sales force efficiency metric up 30.4% (381 tests per average FTE over the quarter in Q4 24 vs 292 in Q3 24). 

Tests per unique ordering clinician (our preferred metric for measuring customer commitment to Cxbladder) increased to 6.7 in Q4 24, from 5.9 in Q3 24 reflecting efficiency improvements and the company’s determination for sales territories to operate profitably. 

Test volumes for the 12 months to the end of March 2024 (FY 24) were up 3.4% to 32,633 from 31,565 in FY 23 with the easing of growth reflecting the ongoing uncertainty over Medicare coverage and the associated reorganization. 

Further details on test volumes and other developments in the quarter are included in the investor update released today. 

Review the Investor Update.

¹ Volumes in some prior quarters of FY24 are marginally different from those reported in earlier investor updates reflecting post period adjustments