BOSTON and ROLLE, Switzerland, March 4,
2025 /PRNewswire/ -- SOPHiA GENETICS (Nasdaq: SOPH),
a cloud-native software company and leader in data-driven medicine,
today reported financial results for its fourth quarter and fiscal
year ended December 31, 2024.
Fourth Quarter 2024 Financial Highlights
- Revenue was $17.7 million, up 4%
year-over-year or 6% on a constant currency basis excluding
COVID-19-related revenue
- Gross margin was 68.2% on a reported basis and 74.2% on an
adjusted basis, compared to 69.8% and 73.4% in the prior year
period, respectively
- Operating loss was $17.4 million
on a reported basis and $10.2 million
on an adjusted basis, representing year-over-year improvements of
8% and 23%, respectively
Full Year 2024 Financial Highlights
- Revenue was $65.2 million, up 4%
year-over-year or 5% on a constant currency basis excluding
COVID-19-related revenue
- Gross margin was 67.4% on a reported basis and 72.8% on an
adjusted basis, compared to 68.8% and 72.2% in the prior year
period, respectively
- Operating loss was $66.6 million
on a reported basis and $44.8 million
on an adjusted basis, representing year-over-year improvements of
11% and 20%, respectively
"We continued driving widespread adoption of SOPHiA DDM™ in
2024, achieving a record number of analyses, major new customers
wins, and healthy volume growth during the year, despite BioPharma
headwinds which impacted overall performance and resulted in softer
revenue growth than we would have liked," said Jurgi Camblong,
PhD., Chief Executive Officer and Co-founder. "We also refueled the
Company's growth engine in 2024 by launching an exciting suite of
new products and signing a record number of new customers, all
while making meaningful improvements to both operating expenses and
gross margin."
Camblong added, "Looking forward to 2025, we are well positioned
to reaccelerate growth. Catalysts for the year include the new
Liquid Biopsy application MSK-ACCESS® powered with
SOPHiA DDM™ which has already attracted 34 customers since its
launch in Q2, exciting opportunities in the U.S., and an impressive
base of 92 new customers to onboard and expand over the course of
the year."
Business Highlights
Expanding usage of SOPHiA DDM™ worldwide
- Performed a record 352,000 analyses in FY 2024, representing
11% year-over-year volume growth, or 13% when excluding
COVID-related volumes
- Delivered strong analysis volume growth in FY 2024 in NORAM and
APAC with 33% and 40% year-over-year growth, respectively
- Reached 472 core genomics customers as of December 31, 2024, who use SOPHiA
DDM™ regularly to analyze cases of cancer and rare disease, up
from 450 customers at the end of Q4 2023
- Completed implementation for a record 35 new customers during
Q4, up from an average of 19 new customers per quarter for the rest
of 2024
Landing new Clinical customers to fuel future platform
growth
- Signed a record 92 new customers in FY 2024, including 31 new
customers in Q4 2024, who will implement SOPHiA DDM™ and begin
generating revenue over the next twelve months
- Recently signed major new customers across geographies
including M42 in the United Arab
Emirates who is adopting MSK-ACCESS® powered with
SOPHiA DDM™, Fundación Jiménez Díaz in Spain who is adopting MSK-ACCESS®
and MSK-IMPACT® powered with SOPHiA DDM™, and
Mount Sinai in the United States who is adopting HemOnc and
Solid Tumor applications
- Entered into a collaboration with Genesis
Healthcare Co., Japan's
leading private genetic testing research company, to
accelerate access to genomic testing, data, and AI
analytics for the Japanese population and support BioPharma
companies with advanced research and market access
Accelerating platform adoption with new applications
- Signed a total of 34 new customers to the Liquid Biopsy
application MSK-ACCESS® powered with SOPHiA DDM™ since
its launch in Q2 2024
- Completed implementation for a total of 15
MSK-ACCESS® customers who will ramp up usage of the
application over the course of 2025
- Signed a total of 7 customers to MSK-IMPACT®
powered with SOPHiA DDM™ since the Solid Tumor application's launch
in October 2024
- Continued to drive significant demand for
MSK-ACCESS® and MSK-IMPACT® as the
pipeline of ongoing discussions reached more than 60 identified
opportunities going into 2025
Continued driving strong business momentum in the U.S.
market
- Delivered 23% year-over-year Clinical revenue growth in the
U.S. in FY 2024, making the country one of the Company's largest
and fastest growing markets going into 2025
- Recently signed Mount Sinai,
one of the leading hospital systems in the world based in
New York City, who is adopting
HemOnc and Solid Tumor applications
- Expanded our partnership with Mayo Clinic as the top-ranked
hospital now plans to adopt additional HemOnc applications
Growing sustainably by maintaining an obsession with
operational excellence
- Remained laser-focused on operational excellence and improved
adjusted operating loss by 23% year-over-year in Q4 2024 and 20%
year-over-year in FY 2024, while also strengthening commercial
teams and maintaining investments in high impact R&D
- Expanded adjusted gross margin by 80bps year-over-year to 74.2%
in Q4 2024 with ongoing, continuous improvements to data
processing, compute, and storage costs
- The Company remains committed to profitable growth and expects
to be approaching adjusted EBITDA breakeven by the end of 2026 and
crossing over to positive adjusted EBITDA in the second half of
2027
2025 Financial Outlook
Based on information as of today, SOPHiA GENETICS is providing
the following guidance:
- Full-year revenue between $72
million and $76 million,
representing growth of approximately 10% to 17% compared to FY
2024
- Adjusted EBITDA loss between $35
million and $39 million,
compared to $40.2 million in FY
2024
Other than with respect to revenue, the Company only provides
guidance on a non-IFRS basis. The Company does not provide a
reconciliation of forward-looking adjusted gross margin (non-IFRS
measure) to gross margin (the most comparable IFRS financial
measure), due to the inherent difficulty in forecasting and
quantifying amortization of capitalized research & development
expenses that are necessary for such reconciliation. In addition,
the Company does not provide a reconciliation of forward-looking
adjusted operating loss (non-IFRS measure) to operating loss (the
most comparable IFRS financial measure), due to the inherent
difficulty in forecasting and quantifying amortization of
capitalized research & development expenses and intangible
assets, share-based compensation expenses, and non-cash portion of
pensions paid in excess of actual contributions, that are necessary
for such reconciliation. The Company does not provide
reconciliation of forward-looking adjusted EBITDA (non-IFRS
measure) to net loss (the most comparable IFRS measure) due to the
inherent difficulty in forecasting and quantifying certain amounts
that are necessary for such reconciliation, including income tax,
depreciation, amortization, fair value adjustments on warrant
obligations, and foreign exchange gain (losses), net. Therefore,
the Company is not able to forecast on an IFRS basis with
reasonable certainty all deductions needed in order to calculate
projected net loss at this time.
Earnings Call and Webcast Information
SOPHiA GENETICS will host a conference call and live webcast to
discuss the fourth quarter and full year 2024 results, and
financial guidance for the full year 2025 on Tuesday, March 4, 2025, at 8:00 a.m. (08:00) Eastern Time / 2:00 p.m. (14:00) Central European Time. The call
will be webcast live on the SOPHiA GENETICS Investor Relations
website, ir.sophiagenetics.com. Additionally, an audio replay of
the conference call will be available on the SOPHiA GENETICS
website after its completion.
Non-IFRS Financial Measures
To provide investors with additional information regarding the
company's financial results, SOPHiA GENETICS has disclosed here and
elsewhere in this earnings release the following non-IFRS
measures:
- Adjusted gross profit, which the company calculates as revenue
minus cost of revenue adjusted to exclude amortization of
capitalized research and development expenses;
- Adjusted gross profit margin, which the company calculates as
adjusted gross profit as a percentage of revenue;
- Adjusted operating loss, which the company calculates as
operating loss adjusted to exclude amortization of capitalized
research and development expenses, amortization of intangible
assets, share-based compensation expense, non-cash portion of
pensions expense paid in excess of actual contributions to match
the actuarial expense, and costs associated with corporate
restructuring;
- EBITDA, which the company calculates as loss for the year
before depreciation, amortization, interest income, interest
expense, fair value adjustments on warrant obligations, foreign
exchange (losses) gains, net, and income tax (expense) benefit;
and
- Adjusted EBITDA, which the company calculates as EBITDA
adjusted to exclude share-based compensation expense, non-cash
pension expenses, and costs associated with restructuring.
These non-IFRS measures are key measures used by SOPHiA GENETICS
management and board of directors to evaluate its operating
performance and generate future operating plans. The exclusion of
certain expenses facilitates operating performance comparability
across reporting periods by removing the effect of non-cash
expenses and certain variable charges. Accordingly, the company
believes that these non-IFRS measures provide useful information to
investors and others in understanding and evaluating its operating
results in the same manner as its management and board of
directors.
These non-IFRS measures have limitations as financial measures,
and you should not consider them in isolation or as a substitute
for analysis of SOPHiA GENETICS' results as reported under IFRS.
Some of these limitations are:
- These non-IFRS measures exclude the impact of depreciation.
Although depreciation is a non-cash charge, the assets being
depreciated may need to be replaced in the future and these
non-IFRS measures do not reflect capital expenditure requirements
for such replacements or for new capital expenditures;
- These non-IFRS measures exclude the impact of interest expense.
Interest expense will continue to be for the foreseeable future a
recurring expense based on the company's financial liabilities;
- These non-IFRS measures exclude the impact of interest income.
Interest income will continue to be for the foreseeable future
recurring income based on the company's financial assets;
- These non-IFRS measures exclude the impact of income taxes.
Income taxes will continue to be for the foreseeable future a
recurring expense incurred in the various jurisdictions in which
the company operates;
- These non-IFRS measures exclude the impact of foreign exchange
gains (losses),net. Foreign exchange gains and losses will continue
to be for the foreseeable future a recurring expense incurred as
the company participates in transactions outside of the company's
functional currency;
- These non-IFRS measures exclude the impact of fair value
adjustments of warrant obligations. Fair value adjustments on
warrant obligations will continue to be for the foreseeable future
a recurring expense incurred as the company has outstanding warrant
obligations;
- These non-IFRS measures exclude the impact of amortization of
capitalized research and development expenses and intangible
assets. Although amortization is a non-cash charge, the assets
being amortized may need to be replaced in the future and these
non-IFRS measures do not reflect capital expenditure requirements
for such replacements or for new capital expenditures;
- These non-IFRS measures exclude the impact of share-based
compensation expenses. Share-based compensation has been, and will
continue to be for the foreseeable future, a recurring expense in
the company's business and an important part of its compensation
strategy;
- These non-IFRS measures exclude the impact of the non-cash
portion of pensions paid in excess of actual contributions to match
actuarial expenses. Pension expenses have been, and will continue
to be for the foreseeable future, a recurring expense in the
business;
- These non-IFRS measures exclude the impact of costs associated
with corporate restructuring, which we may incur from time to time;
and
- Other companies, including companies in the company's industry,
may calculate these non-IFRS measures differently, which reduces
their usefulness as comparative measures.
Because of these limitations, you should consider these non-IFRS
measures alongside other financial performance measures, including
various cash flow metrics, net income and other IFRS results.
The tables below provide the reconciliation of the most
comparable IFRS measures to the non-IFRS measures for the periods
presented.
Presentation of Constant Currency Revenue and Excluding
COVID-19-Related Revenue
SOPHiA GENETICS operates internationally, and its revenues are
generated primarily in the U.S. dollar, the euro and Swiss franc
and, to a lesser extent, British pound, Australian dollar,
Brazilian real, Turkish lira and Canadian dollar depending on the
company's customers' geographic locations. Changes in revenue
include the impact of changes in foreign currency exchange rates.
We present the non-IFRS financial measure "constant currency
revenue" (or similar terms such as constant currency revenue
growth) to show changes in revenue without giving effect to
period-to-period currency fluctuations. Under IFRS, revenues
recorded in local (non-U.S. dollar) currencies are translated into
U.S. dollars at the average monthly exchange rate for the month in
which the transaction occurred. When the company uses the term
"constant currency", it means that it has translated local currency
revenues for the current reporting period into U.S. dollars using
the same average foreign currency exchange rates for the conversion
of revenues into U.S. dollars that we used to translate local
currency revenues for the comparable reporting period of the prior
year. The company then calculates the difference between the IFRS
revenue and the constant currency revenue to yield the "constant
currency impact" for the current period.
The company's management and board of directors use constant
currency revenue growth to evaluate growth and generate future
operating plans. The exclusion of the impact of exchange rate
fluctuations provides comparability across reporting periods and
reflects the effects of customer acquisition efforts and
land-and-expand strategy. Accordingly, it believes that this
non-IFRS measure provides useful information to investors and
others in understanding and evaluating revenue growth in the same
manner as the management and board of directors. However, this
non-IFRS measure has limitations, particularly as the exchange rate
effects that are eliminated could constitute a significant element
of its revenue and could significantly impact performance and
prospects. Because of these limitations, you should consider this
non-IFRS measure alongside other financial performance measures,
including revenue and revenue growth presented in accordance with
IFRS and other IFRS results.
In addition to constant currency revenue, the company presents
constant currency revenue excluding COVID-19-related revenue to
further remove the effects of revenues that are derived from sales
of COVID-19-related offerings, including a NGS assay for COVID-19
that leverages the SOPHiA DDMTM Platform and related
products and solutions analytical capabilities and COVID-19 bundled
access products. SOPHiA GENETICS do not believe that these revenues
reflect its core business of commercializing its platform because
the company's COVID-19 solution was offered to address specific
market demand by its customers for analytical capabilities to
assist with their testing operations. The company does not
anticipate additional development of its COVID-19-related solution
as the pandemic transitions into a more endemic phase and as
customer demand continues to decline. Further, COVID-19-related
revenues did not constitute, and the company does not expect
COVID-19-related revenues to constitute in the future, a
significant part of its revenue. Accordingly, the company believes
that this non-IFRS measure provides useful information to investors
and others in understanding and evaluating its revenue growth.
However, this non-IFRS measure has limitations, including that
COVID-19-related revenues contributed to the company's cash
position, and other companies may define COVID-19-related revenues
differently. Because of these limitations, you should consider this
non-IFRS measure alongside other financial performance measures,
including revenue and revenue growth presented in accordance with
IFRS and other IFRS results.
The table below provides the reconciliation of the most
comparable IFRS growth measures to the non-IFRS growth measures for
the current period.
About SOPHiA GENETICS
SOPHiA GENETICS (Nasdaq: SOPH) is a cloud-native healthcare
technology company on a mission to expand access to data-driven
medicine by using AI to deliver world-class care to patients with
cancer and rare disorders across the globe. It is the creator of
SOPHiA DDM™, a platform that analyzes complex genomic and
multimodal data and generates real-time, actionable insights for a
broad global network of hospital, laboratory, and biopharma
institutions. For more information, visit SOPHiAGENETICS.COM
and connect with us on LinkedIn.
Forward-Looking Statements
This press release contains statements that constitute
forward-looking statements. All statements other than statements of
historical facts contained in this press release, including 2023
guidance and statements regarding our future results of operations
and financial position, business strategy, products and technology,
partnerships, and collaborations, as well as plans and objectives
of management for future operations, are forward-looking
statements. Forward-looking statements are based on our
management's beliefs and assumptions and on information currently
available to our management. Such statements are subject to risks
and uncertainties, and actual results may differ materially from
those expressed or implied in the forward-looking statements due to
various factors, including those described in our filings with the
U.S. Securities and Exchange Commission. No assurance can be given
that such future results will be achieved. Such forward-looking
statements contained in this document speak only as of the date of
this press release. We expressly disclaim any obligation or
undertaking to update these forward-looking statements contained in
this press release to reflect any change in our expectations or any
change in events, conditions, or circumstances on which such
statements are based, unless required to do so by applicable law.
No representations or warranties (expressed or implied) are made
about the accuracy of any such forward-looking statements.
|
SOPHiA GENETICS
SA
Consolidated
Statement of Loss
(Amounts in USD
thousands, except per share data)
(Unaudited)
|
|
|
|
|
|
|
|
Three months
ended
December 31,
|
|
Year ended
December 31,
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Revenue
|
|
$
17,733
|
|
$
17,048
|
|
$
65,173
|
|
$
62,371
|
|
Cost of
revenue
|
|
(5,631)
|
|
(5,150)
|
|
(21,236)
|
|
(19,458)
|
|
Gross
profit
|
|
12,102
|
|
11,898
|
|
43,937
|
|
42,913
|
|
Research and
development costs
|
|
(9,143)
|
|
(9,759)
|
|
(34,366)
|
|
(36,969)
|
|
Selling and marketing
costs
|
|
(7,854)
|
|
(7,966)
|
|
(29,369)
|
|
(28,423)
|
|
General and
administrative costs
|
|
(12,665)
|
|
(13,269)
|
|
(46,953)
|
|
(53,301)
|
|
Other operating income,
net
|
|
116
|
|
150
|
|
183
|
|
954
|
|
Operating
loss
|
|
(17,444)
|
|
(18,946)
|
|
(66,568)
|
|
(74,826)
|
|
Interest
income
|
|
655
|
|
961
|
|
3,362
|
|
4,547
|
|
Interest
expense
|
|
(681)
|
|
(150)
|
|
(1,913)
|
|
(588)
|
|
Fair value adjustments
on warrant obligations
|
|
104
|
|
—
|
|
370
|
|
—
|
|
Foreign exchange gains
(losses), net
|
|
2,824
|
|
(5,917)
|
|
3,479
|
|
(7,628)
|
|
Loss before income
taxes
|
|
(14,542)
|
|
(24,052)
|
|
(61,270)
|
|
(78,495)
|
|
Income tax
expense
|
|
(616)
|
|
(8)
|
|
(1,223)
|
|
(486)
|
|
Loss for the
period
|
|
(15,158)
|
|
(24,060)
|
|
(62,493)
|
|
(78,981)
|
|
Attributable to the
owners of the parent
|
|
(15,158)
|
|
(24,060)
|
|
(62,493)
|
|
(78,981)
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted
loss per share
|
|
$ (0.23)
|
|
$ (0.37)
|
|
$ (0.95)
|
|
$ (1.22)
|
|
SOPHiA GENETICS
SA
Consolidated
Statement of Comprehensive Loss
(Amounts in USD
thousands)
(Unaudited)
|
|
|
|
|
|
|
|
Three months
ended
December 31,
|
|
Year ended
December 31,
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Loss for the
period
|
|
$
(15,158)
|
|
$
(24,060)
|
|
$
(62,493)
|
|
$
(78,981)
|
|
Other comprehensive
(loss) income:
|
|
|
|
|
|
|
|
|
|
Items that may be
reclassified to statement of loss
|
|
|
|
|
|
|
|
|
|
Currency translation
adjustments
|
|
(7,530)
|
|
(3,382)
|
|
(9,679)
|
|
15,037
|
|
Total items that may
be reclassified to statement of loss
|
|
(7,530)
|
|
(3,382)
|
|
(9,679)
|
|
15,037
|
|
Items that will not
be reclassified to statement of loss (net of tax)
|
|
|
|
|
|
|
|
|
|
Remeasurement of
defined benefit plans
|
|
558
|
|
71
|
|
327
|
|
(212)
|
|
Total items that
will not be reclassified to statement of loss
|
|
558
|
|
71
|
|
327
|
|
(212)
|
|
Other comprehensive
(loss) income for the period
|
|
$
(6,972)
|
|
$
(3,311)
|
|
$
(9,352)
|
|
$
14,825
|
|
Total comprehensive
loss for the period
|
|
$
(22,130)
|
|
$
(27,371)
|
|
$
(71,845)
|
|
$
(64,156)
|
|
Attributable to
owners of the parent
|
|
$
(22,130)
|
|
$
(27,371)
|
|
$
(71,845)
|
|
$
(64,156)
|
|
SOPHiA GENETICS
SA
Consolidated Balance
Sheet
(Amounts in USD
thousands)
(Unaudited)
|
|
|
|
|
|
December
31,
|
|
|
2024
|
|
2023
|
|
Assets
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
80,226
|
|
$
123,251
|
|
Accounts
receivable
|
|
7,436
|
|
13,557
|
|
Inventory
|
|
5,868
|
|
6,482
|
|
Prepaids and other
current assets
|
|
5,875
|
|
4,757
|
|
Total current
assets
|
|
99,405
|
|
148,047
|
|
Non-current
assets
|
|
|
|
|
|
Property and
equipment
|
|
5,209
|
|
7,469
|
|
Intangible
assets
|
|
28,998
|
|
27,185
|
|
Right-of-use
assets
|
|
14,168
|
|
15,635
|
|
Deferred tax
assets
|
|
1,767
|
|
1,720
|
|
Other non-current
assets
|
|
5,762
|
|
6,100
|
|
Total non-current
assets
|
|
55,904
|
|
58,109
|
|
Total
assets
|
|
$
155,309
|
|
$
206,156
|
|
Liabilities and
equity
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
Accounts
payable
|
|
$
5,220
|
|
$
5,391
|
|
Accrued
expenses
|
|
13,217
|
|
17,808
|
|
Deferred contract
revenue
|
|
5,732
|
|
9,494
|
|
Lease liabilities,
current portion
|
|
2,190
|
|
2,928
|
|
Warrant
obligations
|
|
444
|
|
—
|
|
Total current
liabilities
|
|
26,803
|
|
35,621
|
|
Non-current
liabilities
|
|
|
|
|
|
Borrowings
|
|
13,237
|
|
—
|
|
Lease liabilities, net
of current portion
|
|
14,603
|
|
15,673
|
|
Defined benefit pension
liabilities
|
|
3,839
|
|
3,086
|
|
Other non-current
liabilities
|
|
337
|
|
334
|
|
Total non-current
liabilities
|
|
32,016
|
|
19,093
|
|
Total
liabilities
|
|
58,819
|
|
54,714
|
|
Equity
|
|
|
|
|
|
Share
capital
|
|
4,188
|
|
4,048
|
|
Share
premium
|
|
472,244
|
|
471,846
|
|
Treasury
shares
|
|
(702)
|
|
(646)
|
|
Other
reserves
|
|
61,037
|
|
53,978
|
|
Accumulated
deficit
|
|
(440,277)
|
|
(377,784)
|
|
Total
equity
|
|
96,490
|
|
151,442
|
|
Total liabilities
and equity
|
|
$
155,309
|
|
$
206,156
|
|
SOPHiA GENETICS
SA
Consolidated
Statement of Cash Flows
(Amounts in USD
thousands)
(Unaudited)
|
|
|
|
|
|
Year ended
December 31,
|
|
|
2024
|
|
2023
|
|
Operating
activities
|
|
|
|
|
|
Loss before
tax
|
|
$ (61,270)
|
|
$ (78,495)
|
|
Adjustments for
non-monetary items
|
|
|
|
|
|
Depreciation
|
|
4,575
|
|
5,508
|
|
Amortization
|
|
4,021
|
|
2,828
|
|
Finance (income)
expense, net
|
|
(5,210)
|
|
2,934
|
|
Interest expense from
borrowings
|
|
—
|
|
—
|
|
Fair value adjustments
on warrant obligations
|
|
(370)
|
|
—
|
|
Expected credit loss
allowance
|
|
(523)
|
|
214
|
|
Share-based
compensation
|
|
16,488
|
|
15,242
|
|
Intangible assets
write-off
|
|
—
|
|
—
|
|
Movements in provisions
and pensions
|
|
1,617
|
|
308
|
|
Research tax
credit
|
|
(726)
|
|
(1,129)
|
|
Loss on disposal of
property and equipment
|
|
—
|
|
28
|
|
Gain on disposal of
lease liability
|
|
—
|
|
(733)
|
|
Working capital
changes
|
|
|
|
|
|
Decrease (Increase) in
accounts receivable
|
|
5,892
|
|
(6,500)
|
|
(Increase) decrease in
prepaids and other assets
|
|
(1,157)
|
|
1,375
|
|
Decrease (Increase) in
inventory
|
|
69
|
|
(874)
|
|
(Decrease) Increase in
accounts payables, accrued expenses, deferred contract
revenue, and other liabilities
|
|
(7,385)
|
|
6,871
|
|
Cash used in
operating activities
|
|
(43,979)
|
|
(52,423)
|
|
Income tax
paid
|
|
(536)
|
|
(801)
|
|
Interest
paid
|
|
(1,728)
|
|
(6)
|
|
Interest
received
|
|
3,421
|
|
4,655
|
|
Net cash flows
used in operating activities
|
|
(42,822)
|
|
(48,575)
|
|
Investing
activities
|
|
|
|
|
|
Purchase of property
and equipment
|
|
(244)
|
|
(1,494)
|
|
Acquisition of
intangible assets
|
|
(195)
|
|
(263)
|
|
Capitalized development
costs
|
|
(7,737)
|
|
(7,469)
|
|
Proceeds upon maturity
of term deposits
|
|
—
|
|
17,546
|
|
Purchase of term
deposits
|
|
—
|
|
—
|
|
Net cash flow
(used in) provided from investing activities
|
|
(8,176)
|
|
8,320
|
|
Financing
activities
|
|
|
|
|
|
Proceeds from exercise
of share options
|
|
405
|
|
226
|
|
Proceeds from
borrowings, net of transaction costs
|
|
13,930
|
|
—
|
|
Capitalized borrowing
transaction costs
|
|
—
|
|
—
|
|
Payments of principal
portion of lease liabilities
|
|
(2,750)
|
|
(3,043)
|
|
Net cash flow
provided from (used in) financing activities
|
|
11,585
|
|
(2,817)
|
|
Decrease in cash and
cash equivalents
|
|
(39,413)
|
|
(43,072)
|
|
Effect of exchange
differences on cash balances
|
|
(3,612)
|
|
5,018
|
|
Cash and cash
equivalents at beginning of the year
|
|
123,251
|
|
161,305
|
|
Cash and cash
equivalents at end of the year
|
|
$
80,226
|
|
$
123,251
|
|
SOPHiA GENETICS
SA
Reconciliation of
IFRS Net Loss to EBITDA and Adjusted EBITDA
(Amounts in USD
thousands)
(Unaudited)
|
|
|
|
|
|
|
|
Three months
ended
December 31,
|
|
Year ended December
31,
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Loss for the
period
|
|
$
(15,158)
|
|
$
(24,060)
|
|
$
(62,493)
|
|
$
(78,981)
|
|
Exclude the impact
of:
|
|
|
|
|
|
|
|
|
|
Depreciation
|
|
$
1,136
|
|
$
1,170
|
|
$
4,575
|
|
$
6,030
|
|
Amortization
|
|
1,152
|
|
811
|
|
4,021
|
|
2,828
|
|
Interest
income
|
|
(655)
|
|
(961)
|
|
(3,362)
|
|
(4,547)
|
|
Interest
expense
|
|
681
|
|
150
|
|
1,913
|
|
588
|
|
Fair value adjustments
on warrant obligations
|
|
(104)
|
|
—
|
|
(370)
|
|
—
|
|
Foreign exchange gains
(losses), net
|
|
(2,824)
|
|
5,917
|
|
(3,479)
|
|
7,628
|
|
Income tax
expense
|
|
616
|
|
8
|
|
1,223
|
|
486
|
|
EBITDA
|
|
$
(15,156)
|
|
$
(16,965)
|
|
$
(57,972)
|
|
$
(65,968)
|
|
Adjustments to
EBITDA:
|
|
|
|
|
|
|
|
|
|
Share-based
compensation expense(1)
|
|
5,078
|
|
4,211
|
|
16,488
|
|
15,247
|
|
Non-cash pension
expenses (income)(2)
|
|
1,027
|
|
(625)
|
|
1,306
|
|
(394)
|
|
Costs associated with
restructuring(3)
|
|
—
|
|
1,232
|
|
—
|
|
1,232
|
|
Adjusted
EBITDA
|
|
$
(9,051)
|
|
$
(12,147)
|
|
$
(40,178)
|
|
$
(49,883)
|
|
SOPHiA GENETICS
SA
Reconciliation of
IFRS Revenue Growth to Constant Currency Revenue
Growth
and Constant
Currency Revenue Growth Excluding COVID-19-Related
Revenue
(Amounts in USD
thousands, expect for %)
(Unaudited)
|
|
|
|
|
|
|
|
Three months
ended
December 31,
|
|
Year ended December
31,
|
|
|
2024
|
|
2023
|
|
Growth
|
|
2024
|
|
2023
|
|
Growth
|
|
IFRS
revenue
|
|
$
17,733
|
|
$
17,048
|
|
4 %
|
|
$
65,173
|
|
$
62,371
|
|
4 %
|
|
Current period
constant currency impact
|
|
192
|
|
—
|
|
|
|
129
|
|
—
|
|
|
|
Constant currency
revenue
|
|
$
17,925
|
|
$
17,048
|
|
5 %
|
|
$
65,302
|
|
$
62,371
|
|
5 %
|
|
COVID-19-related
revenue
|
|
(35)
|
|
(106)
|
|
|
|
(78)
|
|
(319)
|
|
|
|
Constant currency
impact on COVID-19-related revenue
|
|
(2)
|
|
—
|
|
|
|
—
|
|
—
|
|
|
|
Constant currency
revenue excluding COVID-19-related revenue
|
|
$
17,888
|
|
$
16,942
|
|
6 %
|
|
$
65,224
|
|
$
62,052
|
|
5 %
|
|
SOPHiA GENETICS
SA
Reconciliation of
IFRS to Adjusted Gross Profit and Gross Profit
Margin
(Amounts in USD
thousands, except percentages)
(Unaudited)
|
|
|
|
|
|
|
|
Three months
ended
December 31,
|
|
Year ended December
31,
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Revenue
|
|
$
17,733
|
|
$
17,048
|
|
$
65,173
|
|
$
62,371
|
|
Cost of
revenue
|
|
(5,631)
|
|
(5,150)
|
|
(21,236)
|
|
(19,458)
|
|
Gross
profit
|
|
$
12,102
|
|
$
11,898
|
|
$
43,937
|
|
$
42,913
|
|
Amortization of
capitalized research and development
expenses(4)
|
|
1,061
|
|
619
|
|
3,524
|
|
2,099
|
|
Adjusted gross
profit
|
|
$
13,163
|
|
$
12,517
|
|
$
47,461
|
|
$
45,012
|
|
|
|
|
|
|
|
|
|
|
Gross profit
margin
|
|
68.2 %
|
|
69.8 %
|
|
67.4 %
|
|
68.8 %
|
|
Amortization of
capitalized research and development
expenses(4)
|
|
6.0 %
|
|
3.6 %
|
|
5.4 %
|
|
3.4 %
|
|
Adjusted gross
profit margin
|
|
74.2 %
|
|
73.4 %
|
|
72.8 %
|
|
72.2 %
|
|
SOPHiA GENETICS
SA
Reconciliation of
IFRS to Adjusted Operating Loss
(Amounts in USD
thousands)
(Unaudited)
|
|
|
|
|
|
|
|
Three months
ended
December 31,
|
|
Year ended
December 31,
|
|
|
2024
|
|
2023
|
|
2024
|
|
2023
|
|
Operating
loss
|
|
$
(17,444)
|
|
$
(18,946)
|
|
$
(66,568)
|
|
$
(74,826)
|
|
Amortization of
capitalized research & development
expenses(4)
|
|
1,061
|
|
619
|
|
3,524
|
|
2,099
|
|
Amortization of
intangible assets(5)
|
|
90
|
|
193
|
|
497
|
|
729
|
|
Share-based
compensation expense(1)
|
|
5,078
|
|
4,211
|
|
16,488
|
|
15,247
|
|
Non-cash pension
expense(2)
|
|
1,027
|
|
(625)
|
|
1,306
|
|
(394)
|
|
Costs associated with
restructuring(3)
|
|
—
|
|
1,232
|
|
—
|
|
1,232
|
|
Adjusted operating
loss
|
|
$
(10,188)
|
|
$
(13,316)
|
|
$
(44,753)
|
|
$
(55,913)
|
|
Notes to the
Reconciliation of IFRS to Adjusted Financial Measures
Tables
|
|
|
(1)
|
Share-based
compensation expense represents the cost of equity awards issued to
our directors, officers, and employees. The fair value of awards is
computed at the time the award is granted and is recognized over
the vesting period of the award by a charge to the income statement
and a corresponding increase in other reserves within equity. These
expenses do not have a cash impact but remain a recurring expense
for our business and represent an important part of our overall
compensation strategy.
|
|
|
|
(2)
|
Non-cash pension
expense consists of the amount recognized in excess of actual
contributions made to our defined pension plans to match actuarial
expenses calculated for IFRS purposes. The difference represents a
non-cash expense but remains a recurring expense for our business
as we continue to make contributions to our plans for the
foreseeable future.
|
|
|
|
(3)
|
Costs associated with
restructuring consists of compensation paid to employees during
their garden leave period, severance, and any other amounts legally
owed to the employees resulting from their termination as part of a
planned workforce reduction, which we undertook to optimize our
operations. Additionally, it includes any legal fees incurred as
part of the restructuring process. While such actions are not
planned going forward as part of our regular operations, we expect
such expenses could still be incurred from time to time based on
corporate needs.
|
|
|
|
(4)
|
Amortization of
capitalized research and development expenses consists of software
development costs amortized using the straight-line method over an
estimated life of five years. These expenses do not have a cash
impact but remain a recurring expense generated over the course of
our research and development initiatives.
|
|
|
|
(5)
|
Amortization of
intangible assets consists of costs related to intangible assets
amortized over the course of their useful lives. These expenses do
not have a cash impact, but we could continue to generate such
expenses through future capital investments.
|
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SOURCE SOPHiA GENETICS
