Myriad Genetics, Inc.

What they do

Myriad develops and commercializes molecular diagnostic tests that assess disease risk and guide treatment decisions. Its portfolio spans the Cancer Care Continuum (including hereditary cancer, tumor profiling, and MRD testing), Prenatal Health (e.g., Prequel, Foresight), and Mental Health (GeneSight). The company sells primarily to clinicians and community medicine practices in the U.S., with revenue from test volumes and average revenue per test.

Revenue drivers

• Cancer Care Continuum — Largest segment; Q2 2026 revenue $114.1M (down 11% YoY) on 95,000 test volumes (up 6% YoY). Includes hereditary cancer tests (MyRisk, BRACAnalysis), tumor profiling (Precise Tumor, MyChoice CDx), and MRD (Precise MRD).
• Prenatal Health — Q2 2026 volumes 144,000, down 9% YoY, contributing to overall revenue decline. Includes Prequel and Foresight tests.
• Mental Health — GeneSight pharmacogenomic testing; Q2 2026 volumes 140,000, up 4% YoY, providing stable demand.

Recent performance

Q2 2026 revenue was $190.7M, down 11% YoY, with volume down 1% and average revenue per test down 9%. The quarter included an $11.0M reduction from changes in cash collection estimates. Net loss for FY2025 was $366.0M, and revenue declined to $824.5M from $837.6M in 2024. Operating cash flow for FY2025 was $1.8M. Quarter-end cash was $115.2M with long-term debt of $120.7M.

Strategy

Management is executing an initiative called 'Ascend' to increase efficiency, productivity, and scalability, supported by a professional services firm. They are reviewing the product portfolio to optimize capital allocation and shareholder value. Priorities include growing the Cancer Care Continuum via expanded sales team, new products like Prolaris + AI, and expanding Precise MRD to colorectal and renal cancers. They also plan to improve payer engagement and revenue cycle management to stabilize reimbursement.

Risks

• Payer friction and reimbursement pressure — Increased payer friction and reduced reimbursement for hereditary cancer testing drove a 9% decline in average revenue per test and an $11.0M revenue reserve.
• Prenatal volume decline — Prenatal Health volumes fell 9% YoY in Q2 2026, contributing to overall revenue decline.
• Persistent unprofitability — Net losses have been consistent (FY2025 net loss of $366.0M) and the company disclosed it may not achieve profitability.
• Debt and liquidity constraints — Company has long-term debt of $120.7M and only $115.2M in cash, with covenants that could restrict operations if not met.

Outlook

Management revised full-year 2026 guidance downward due to lower Prenatal volumes and conservative reimbursement assumptions. They expect increased costs from the expanded commercial team to pressure Q2 but remain optimistic about the 2027 financial profile. The company is engaging payers and executing revenue cycle initiatives to improve reimbursement predictability.