Pacific Edge Releases Quarterly Volumes for Q3 FY25

Cxbladder test volumes steady amid seasonal slow down

Pacific Edge today announces tests processed at its laboratories in the three months to the end of December 2024 (Q3 25) were steady on the prior quarter (Q2 25).

Novitas’ deliberations remained the overriding challenge to test volume growth, although the seasonal holiday slowdown also impacted volumes in the quarter. Against this, the addition of one FTE to the US sales team for the last month of the period, steady demand from our US customer Kaiser Permanente, the sustained benefits of our sales force efficiency gains, and an uplift in demand from the US clinicians most supportive of our tests diluted the impact of these factors.

Total laboratory throughput (TLT) in Q3 25 rose 0.7% to 7,092 tests from 7,042 tests in Q2 25¹. US TLT was 5,808 tests up 2.2% on the 5,682 in Q2 25. Our sales force efficiency metric was 379 tests per sales FTE, flat on the prior quarter.

Tests per unique US ordering clinician (our preferred metric for measuring customer commitment to Cxbladder) was up 9.1% in Q3 25 to 7.0 compared to 6.4 in Q2 25, while unique ordering clinicians in the quarter fell to 834 down from 890 in Q2 25.

These trends reflect the ongoing impact of Medicare uncertainty and the sales force efforts to maximise demand from Cxbladder’s strongest supporters. Asia Pacific volumes were down 5.6% to 1,284 tests from 1,360¹ in Q2 25, a move that largely reflected the seasonal holiday slowdown in New Zealand.

The Q3 25 investor update also provides a detailed analysis of the finalized ‘Genetic Testing in Oncology: Specific Tests’ (L39365) Local Coverage Determination released on Thursday 9 January, and Pacific Edge’s response to it including:

1. Our determination to pursue a preliminary injunction if our efforts to negotiate a withdrawal or revision to the finalized LCD prove unsuccessful
 
2. The path the company has set to regaining reimbursement certainty and our confidence of achieving that goal

We also highlight the recent successes we have had contracting with the BlueCross Blue Shield network of health insurers to make our tests ‘in-network, creating a new non-Medicare revenue stream in the US.

View the Quarterly Update

¹ APAC test volumes for Q2 25 have been revised to 1,360 from the 1,363 reported in the October 2024 Investor Update.