Matthew Sykes's questions to Neogenomics Inc (NEO) leadership • Q1 2025
Question
Matthew Sykes of Goldman Sachs asked about the sequential step-down in average revenue per test (AUP) in Q1 and how to model it for the rest of the year. He also inquired about the potential synergies from consolidating commercial and operations teams under President & COO Warren Stone.
Answer
CEO Anthony Zook explained that the AUP trend is impacted by test mix, particularly the addition of Pathline's lower AUP business, though AUP by modality continues to improve. President & COO Warren Stone highlighted key synergy opportunities, including optimizing the 'order-to-cash' workflow to reduce friction and improve collections, and rationalizing the test portfolio to focus on the most relevant products. CEO Zook added that the Pathline integration is already benefiting from this streamlined structure.