Kevin Sun: It’s very challenging and difficult at this point based on the factors we’ve just said. But as we said, we will continue to focus the team on driving those ASP improvements to drive revenue improvements, which we were able to demonstrate in Q3 and Q4 with the change in tactics, be able to get some improvements there. So that’s where the focus will continue to be, but yeah, we’re just not providing detailed guidance right now.
Daniel Brennan: And on the TRUST 2 study, I think you talked about it’s really important to engage with payers. Like what kind of payers are you specifically looking to engage with and any potential timeline of like review and decisions?
Bret Christensen: Yeah. Hi Dan, it’s Bret. Yeah. TRUST 2 is going to help us with all outstanding payers that don’t have a policy, a positive policy yet for DMT, specifically the nationals. We think it’s a large cohort, 20,000 patients, our highest in — negative predictive value that we have to date of 99.7, but all of our publications show over 99%. So it will help with the majority of payers and the discussions that we’re having to date. And we expect that publication probably in the next several months. So it’s a really good opportunity you for us to put that in front of payers and restart any negative policy decisions, but also continue the ones that we’re having to date.
Daniel Brennan: Got it. And just maybe one final one on that. So, is NPV definitely the most important metric to consider? Like what else would the payers look at in the study?
Bret Christensen: Yeah. Since it’s a rule out test and what clinicians are looking to do is just rule out the need for biopsy and further procedures. The negative predictive value is really the — by far the most important factor for us. It’s what they point to as a rule out test and we’re pleased with that result.
Daniel Brennan: Right. Okay. Great. Thank you.
Operator: One moment for the next question. The next question comes from Conner Chamberlain with Craig-Hallum. Your line is open.
Conner Chamberlain: Hey, good afternoon. This is Connor on for Alex. Thanks for taking my questions. So you’ve been working on getting these commercial payers online for years now. Can you maybe talk about how DermTech has evolved their approach in talking with these payers over time? Thanks.
Bret Christensen: Hey, Connor. Yeah. We’ve been working a while to get payers on board, but if you remember, we went public in 2019, had a bit of a blackout with COVID, but quickly got back on track with payers adding 42 million covered lives last year, seven of the top 10 Blues. So we’re having really good progress. These discussions just take time and they take more time with the nationals who tend to drag their feet and do a little bit more analysis. So the discussions are going well. It’s impossible to predict when they’ll come through. But TRUST 2 again is a really good opportunity for us to put some strong data in front of these payers and we’re optimistic that we’ll continue to progress throughout the year.
Conner Chamberlain: Great. And then just one more here. With current OpEx pushing about $80 million run rate for ’24 and we’re still getting minimal gross profit, just how do we make this math work?
Kevin Sun: So we believe we have cash runway in the first quarter of 2025, not exceeding 12 months from today’s 10-K filing date based on our cash on hand, our most recent cash usage in our future operating projections. We’re going to continue to focus on driving ASP improvements to improve revenue, and we’ll continue to focus on trying to find cost saving measures and efficiencies wherever we can.
Conner Chamberlain: Great. Thanks for the update.
End of Q&A:
Operator: I show no further questions at this time. This will conclude today’s conference call. Thank you for your participation. You may now disconnect.
