Operator: We will take our next question from Dan Arias with Stifel.
Dan Arias: Hi, guys. Thanks for the questions. On MRD Oncodetect, Kevin, you had talked at the Analyst Day about an early access launch, I believe, in 4Q. At the risk of being too granular here on timing, do you see that taking place in the fall rather than closer to the holidays? And the reason I ask the question is just really to sort of understand whether ASCO GI can see having someone that can speak to be an early user or at least being made aware the assay to your point the market is just evolving so quickly. I’m just thinking about clinician feedback and data points around early use.
Kevin Conroy: Yeah. We expect the MRD test to be available by the end of the year, so I would think later in the fourth quarter than earlier. And then it’s going to take a little bit of time to get physician feedback given that we don’t expect until kind of mid to third quarter of next year apply for a MolDX local coverage decision, and then it typically takes about six months to get that. So in terms of being able to offer our Oncodetect test to patients covered by Medicare, that will take about a year. And also, as you know, our commercial payers today aren’t broadly covering MRD. So this is an opportunity that is going to take a little bit of time to play out. We’re bringing to patients and to physicians the very best test possible with the right evidence.
Operator: We’ll take our next question from Jack Meehan with Nephron Research.
Jack Meehan: Thanks. Good afternoon. I wanted to follow up on next-gen Cologuard. Could you just elaborate on the next steps there? I would like to know the timing when you think this portion of BLUE-C might get published in a journal and when you’ll be in a position to submit for the PMA approval?
Kevin Conroy: On the first point, we expect to submit to a journal in the near term, focused on next-generation Cologuard. I’m sorry, what was the second question?
Jack Meehan: Submitting for FDA PMA.
Kevin Conroy: So we expect to have the last module submitted before the end of this year. And then it’s probably — you can think six to nine months for or nine to 12 months, excuse me, for approval.
Operator: We’ll take our next question from Matt Sykes with Goldman Sachs.
Matt Sykes: Hi, thanks for taking my questions. Jeff, just maybe talk a little bit about the gross margin expectations for the balance of the year, just given the strong non-GAAP gross margin of 75%. How are you thinking about sort of COGS trends through the balance of the year? And then secondly, I know it’s far off, but I know you’ve talked in the past about Cologuard 2.0 and sort of the COGS savings for that. Can you just kind of remind us what sort of the magnitude is versus the current version of Cologuard and how that might impact sort of long-term view on gross margins? Thanks.
Jeff Elliott: This is Jeff. First on gross margin. Previously, we had guided to about 73% for the year. Obviously, based on the strength in the first half and the outlook for the rest of the year. I think now, something in the 73.5% to 74% range is more likely. So feeling good about that. Again, this platform was built to scale. And for those of you who came to Madison back in June, you saw the lab, the quality of the people in that team, the quality of the automation and we expect gross margin improvement for years to come. So feeling good about that. When you think of the second half specifically here, I would just note that in the first half, we did have some benefit from that ASP dynamic I talked about earlier, and also what we’d call our care gap business.
