Dan Brennan's questions to MDxHealth (MDXH) leadership • Q1 2025
Question
Dan Brennan (via an unknown analyst on the line) asked for more detail on the accelerated tissue growth, including doctor adoption rates for the combined portfolio, pricing opportunities for GPS, and the reasons for slower growth in liquid-based tests.
Answer
CEO Michael McGarrity explained that tissue growth is driven by both a 'push' from pathology partners and successful penetration within large urology practices, leading to 'sticky', compliant adoption without expanding the sales force. On pricing, he noted the focus is on both advancing ASPs and reducing COGS through scale and efficiency. Regarding liquid tests, McGarrity described the slower growth as a tactical decision to focus sales incentives on the higher-margin, higher-growth tissue-based portfolio, which is performing as planned.