NeoGenomics (NEO) Piper Sandler 36th Annual Healthcare Conference summary

Market positioning and strategy

• Offers a comprehensive oncology testing portfolio with over 600 tests, serving both community hospitals and oncology practices.

• Maintains strong relationships with pathologists, leveraging these to expand into community oncology.

• Sales force is split between hospital-focused managers and oncology specialists, targeting both diagnosis and therapy selection.

• Investments in commercial teams and new product launches drive volume and market share gains.

• Aims to grow faster than the overall cancer testing market across all modalities.

Market opportunities and growth

• Minimal residual disease (MRD) market projected to reach $40 billion, with low current penetration.

• Next-generation sequencing (NGS) market estimated at $13–14 billion, growing 15%+ annually, but only 30% penetrated.

• Diagnostics market is several billion dollars, growing 4–5% annually, with 70% penetration.

• Holds 25%+ share in the heme market, which is growing at high single to low double digits.

• Solid tumor NGS is a key growth area, with lower current share but higher growth rate.

Product and sales execution

• NGS volumes split 60% heme, 40% solid tumor; solid tumor NGS is expanding rapidly.

• New 500+ gene solid tumor panel has helped capture more solid tumor business.

• Heme portfolio acts as a gateway to sell solid tumor tests, leveraging pathology relationships.

• NGS growth rates: 26% in Q3, 50% in Q1, 40%+ in Q2; expected to remain above market with new products and sales expansion.

• PanTracer Liquid launch in H1 next year and 30% sales force increase in 2025 expected to fuel further growth.