01—Abstract
Summary
Summary of the 8-K filed January 13, 2025. Cited figures are marked; the original filing is the authoritative source.
Guardant Health (GH) filed an 8-K on January 13, 2025 furnishing preliminary, unaudited results for Q4 and full year 2024 ahead of the J.P.
Morgan Healthcare Conference. Full-year 2024 revenue was approximately $737 milliona, up 31% year over year, driven by clinical and biopharma test volume growth and rising Guardant360 average selling prices (ASPs). Oncology clinical tests (excluding Shield) rose about 20% to roughly 206,700, and biopharma tests rose about 35% to roughly 40,500.
Q4 revenue was approximately $200 millionb, up 29%, and the company reported about 6,400 Shield screening tests generating roughly $4 million of revenue in the first full quarter of Shield's commercial launch. The key concern for investors is cash burn. Preliminary free cash flow was approximately negative $275 million for full-year 2024 (versus negative $345 million in 2023) and approximately negative $84 million in Q4.
Cash, cash equivalents, restricted cash and marketable debt securities totaled $944 millionc at December 31, 2024. In Q4, the company received $34 million from the sale of part of its Lunit investment, which is recorded in investing activities, and sold no shares under its at-the-market (ATM) program with Jefferies. The figures are explicitly preliminary and subject to change during year-end close and auditor review, and the company has not yet completed its financial statements.
Audited results are expected during the February 2025 earnings call. The company is also scaling commercial infrastructure for Shield, which will likely require continued investment.
02—Key points
Key Highlights
- Full-year 2024 preliminary revenue of approximately $737 million, up 31% year over year, driven by clinical and biopharma volume growth and Guardant360 ASP increases
- Q4 2024 preliminary revenue of approximately $200 million, up 29% year over year
- Oncology clinical tests (excluding Shield) rose about 20% to ~206,700 for FY2024; biopharma tests rose about 35% to ~40,500
- Shield launch: ~6,400 screening tests and ~$4 million of revenue in Q4 2024, the first full quarter of commercial launch
- Preliminary FY2024 free cash flow of approximately negative $275 million, an improvement from approximately negative $345 million in FY2023, though Q4 FCF was negative $84 million versus negative $83 million a year earlier
- Cash, cash equivalents, restricted cash and marketable debt securities of $944 million as of December 31, 2024
- Q4 included $34 million of proceeds from partial sale of the Lunit investment (investing activities); no shares sold under the Jefferies ATM program
03—Questions
Frequently Asked Questions
Why did Guardant release preliminary results before its audited financials?
The company disclosed these figures ahead of its J.P. Morgan Healthcare Conference presentation. It states that year-end close and review procedures are ongoing and that auditors may identify items that cause final results to differ materially. Audited Q4 and full-year results are planned for the February 2025 earnings call.
How much cash does Guardant have and how fast is it burning it?
Cash, cash equivalents, restricted cash and marketable debt securities totaled $944 million at December 31, 2024. Preliminary full-year 2024 free cash flow was approximately negative $275 million, which is smaller than the negative $345 million in 2023, though Q4 2024 burn was about $84 million. At that run rate, the balance sheet provides a multi-year runway, but continued investment in Shield commercialization could affect future burn.
What drove the revenue growth in 2024?
Management attributed the 31% full-year growth to strong clinical and biopharma test volumes and rising Guardant360 average selling prices, following the completion of the Guardant360 LDT upgrade to the Smart Liquid Biopsy platform. Biopharma volume growth (about 35%) outpaced oncology clinical volume growth (about 20%).
How is the Shield cancer screening launch progressing?
Shield generated approximately 6,400 tests and roughly $4 million of revenue in Q4 2024, its first full quarter of commercial launch. Management is focused on rapidly building commercial infrastructure, which suggests higher near-term operating costs in exchange for long-term market opportunity.
Did Guardant raise capital or sell stock under its ATM program in Q4 2024?
No. The filing states that no shares were sold under the at-the-market offering program with Jefferies LLC, established in August 2024, during the three months ended December 31, 2024. The company did receive $34 million from selling part of its Lunit investment in the same period.
04—Continue