Kevin Sun: Yeah. I believe, for the most part — most of all of the wins that we had last year have started paying something. But there are certainly still upside potential in improving the payment rate. Because again, sometimes it’s documentation, sometimes it’s specific processes we have to follow to allow for better payment with them. So they are improving, but there is still more room for improvement to focus on those efforts to improve it as much as we can.
Unidentified Analyst: Okay. Perfect. Thanks, Kevin. And then, just any trends in utilization per ordering clinician to call out? I think we’ve chatted in the past that it takes a certain number of tests that clinicians need to get through, to get their first positive results and really understand the value proposition. So just anything else to call out there?
Kevin Sun: Yeah. No, I think, as we said before because we’re trying to go deeper right now, the number of unique ordering clinicians in any quarter could be flat or even modestly down. But with that same rationale, we would expect the utilization to increase. Because again, if we’re going deeper and making sure it’s integrated in the practice, as Bret mentioned, making sure that the clinicians understand the clinical value and the best places to use the technology and how to get comfort to their patients with it. We do believe that it should drive increases in utilization on a per doctor basis, and that’s where we’re focused right now instead of broad marketing and awareness. It’s really going deep and trying to get advocates and trying to get them to understand where to use it and integrate it into their practice.
Unidentified Analyst: Awesome. Thanks for taking the question.
Operator: One moment for the next question. The next question comes from Mason Carrico with Stephens. Your line is open.
Mason Carrico: Hey, guys. Thanks for the questions. Two quick ones up front for me here, if that’s all right. Maybe on the news of discontinuing the TERT Optional Add-On Assay, could you kind of talk about the cost benefit there from a COGS per test perspective? And second, you guys had previously talked about some ongoing projects to drive down COGS. I think some of those depended more on volumes and scale, others were more project related. So could you just walk through where you stand on some of those today?
Kevin Sun: Yeah. Hey, Mason. So with TERT itself, again, what we assessed as part of the TRUST 2 data set is that there was limited improvement in some of the key statistical measures or performance metrics of the test when TERT was included. And we also have determined through getting feedback from clinicians who used our test that TERT didn’t really impact clinical decision making too much. So the reason that we decided to simplify the DMT and stop testing TERT was just that to simplify it and based on the patient need and how it’s being used in the clinical practice. As a benefit to that decision, though, we should get some improvement in COGS. TERT was a DNA mutation that was run on a separate piece of equipment. And so that was the only use for that equipment and there was also additional processing time and people needed to process those things.
And again, part of the reason we also discontinued it is that we were only able to report out a test result in about a third of the time that was ordered or less. So we haven’t quantified yet exactly what that will be because there will certainly be some direct cost savings from not having to use supplies and the labor. But as we’re still working through what to do with the equipment and now we also have fixed costs that are spread to other parts of the processing. So it should provide some savings, but we haven’t provided definitive detail on that yet. And then it relates to the other cost saving measures, so we’ll continue to focus on all sorts of things, whether it’s systems improvements, whether it’s material costs related to the configurations or different things within the kits, labor efficiency automation, these are all things that we’ll continue to work on as well as technology improvements.
Some of them can go a little bit sooner than others. Some of them take some more work to validate and ensure that it doesn’t affect how the test works. But we’re committed to continue to improve the COGS profile. And as we saw just in Q4, we had just slightly lower volume than Q3, which meant that the fixed portion of the costs were spread over, again, a slightly lower base than in Q3. But we’re also able to reduce the COGS on a per test basis, about 6% in Q4 sequentially, and that’s the lowest cost per test that we’ve had since actually moving into the new laboratory. So we’re committed to improving it and we’ve already demonstrated some improvements to it and we’ll have some more information around TERT specifically once we get fully — the change fully implemented.
Mason Carrico: Got it. Thanks, Kevin.
Operator: [Operator Instructions] One moment for the next question. The next question comes from Dan Brennan with Cowen. Your line is open.
Daniel Brennan: Great. Thanks. Thanks taking the question. Sorry, I joined a few minutes late. I just wanted to understand a little bit, and you probably already addressed this. But in terms of the outlook for ’24, I don’t think you’re giving much, but I’m just wondering if there’s any framework to at least consider from a price volume standpoint how we might think about it?
Kevin Sun: Yeah. We’re going to continue to emphasize throughout the organization our focus on driving ASP improvements. But providing the specific guidance right now remains difficult without having a trend for several quarters in payer reimbursement behavior and whether or not there’s the sustained effectiveness of our updated commercial tactics. So we’re not providing any additional detailed guidance at this point.
Daniel Brennan: Is it fair to think like the Street got $20 million in revenue for 24 versus — they call it $15 million this year? Is like — rather than be completely off sides is — I mean, is there any framework at all to think about magnitude or it’s just impossible at this point?
