Vishal Sikri: Yeah, I think as we look at the data that we have within the company, one of the nice things about what Neo has is data across all of our modalities, whereas others maybe will have it primarily in NGS, but as we grow our NGS product portfolio, our data will also grow at the same time. So what we can get to in a couple of years, it’s going to be much different than where we are today in terms of our data offerings as a whole. And on top of that, the LIMS investment that we’re doing, which will allow us to structure the data in the right way, will also make us successful for the informatics side. Altogether the next couple of years, we still have a long way to go there. I mean, I think we have to build in the right steps, but how we’re building it is more important right now for the next year and getting it two years out as to what we can do with that data from where we are today.
Operator: The next question comes from Mike Matson with Needham & Company.
Mike Matson : Just wan1ted to ask one on the LIMS project. So, you mentioned you could start to see some of the benefits of that in the second half, so, just curious what those benefits could be. I mean, is it margins? Is it per turnaround times it market share, or all the above?
Chris Smith: Look, I think there’s a lot. It’s probably all the above and Melody’s on the call as well, Melody, do you want to take that initially and then Jeff maybe can talk about financial stuff, but Melody?
Melody Harris: I think first and foremost, Mike, it’s really around operational efficiency and productivity in the lab. But I think we are expecting to see a lot of pickup with regard to leverage there, because we currently are on multiple different systems, and obviously that causes a lot of cutting and pasting and things like that we’re hoping to eliminate. But as far as then, Vishal mentioned the ability to use our data better. It’s really an overall enterprise digital architecture that we’re working, and LIMS is the start of that. But we’re also leveraging, various platforms for better connectivity to our patients, better connectivity to EMR better connectivity into our billing systems and our backend ERP and the LIMS system is really the big driver for all of that for us. Jeff, comments on the, the cost structure?
Jeff Sherman : And I would add one other thing as well. I mean, it will give us just better visibility from a client service perspective on where our tests are in the process, and allow for really self-service on where tests are in the process. So I think it helps our client communication and giving them up to date on where we are with the testing process.
Melody:
Chris Smith : And maybe Warren, you can talk to this, but look, we’re spending probably as much on the customer experience component as we are on the LIMS as far as digitization. And it’s interesting, I think in this business, for us to ultimately get to where we want to go, we got to win on customer experience and we got to win on the ability to serve the patient. And I think, do you want to just give what we’re doing on the digitization and the platform. That’s going to tie to LIMS.
Warren Stone : Building on what said in terms of LIMS being this sort of foundational element for us to start a digital transformation. This is providing a building blocks for us. And additionally we’re investing in what we calling a digital front to our customers, which will then be the platform for self-service. It’ll be the platform to allow customers to track the status of test in real time. Something that is certainly missing today and ultimately will allow us to increase stickiness to those customers, which is an important element from our protect, expand, acquire a commercial strategy. Something else that we look to expect to see value in the latter part of 2024.
Operator: Our next question comes from Mason Carrico with Stephens Inc.
Mason Carrico: For the ADx business, you had called out you framed it up in previous quarters these. The headwinds that you’d be facing rationalizing some testing sites, low margin business as well as you’re facing some macro conditions. I guess the question is, could you kind of break out I guess how much of an impact each of those two buckets have? As we look ahead into this year, when do you think we start to lap kind of rationalizing that low margin business going forward and really how are you thinking about accelerating growth in this business this year?
Chris Smith : Yes, why don’t I take it up front and then Vishal, can pick it up. I mean we made that decision, but those contracts took some time. So I think you’ll start to see that piece start to kick in probably in the second half of the year. We haven’t broken out where the impact is, but I think even more importantly, Vishal maybe talk about strategically all the things that your team’s doing in other modalities, just NGS and why that’s still relatively new and why you give confidence in the acceleration of the growth.
Vishal Sikri : If you look at what pharma is coming up to us for, right, we are still investing heavily in modalities, what I call our traditional modalities like IAC, that’s not going anywhere from an oncology, pharma perspective, that’s our bread and butter. But as we launch new products in the NGS side in particular, and we’re seeing that trend and as Chris mentioned, usually what we see in pharma is a movement and moving towards technologies three to five years ahead of clinical. We’re already seeing that trend moving from Phish as an example to NGS. We didn’t have the right products until we launched them last year. So we’re starting to see that movement into more and more usage cases in NGS, which also have higher AUPs for that matter.
