Quanterix Corporation (NASDAQ:QTRX) Q4 2022 Earnings Call Transcript

Page 4 of 4

Kyle Mikson: Right, yes. And sorry for cutting you off there, Mike. Maybe Masoud, you guys are almost halfway through this assay redevelopment program. Is most of the heavy listening kind of done and the remainder here is just smooth sailing, or is the second half of the plan more challenging?

Masoud Toloue: Yes, great question, Kyle. So, I wouldn’t say that necessarily one part is more challenging than the other. I would say that I think the beginning phase, the first quarter – we’re actually two quarters in. We said it would be six quarters. The first sort of quarter is kind of, hey, what are we going to implement, and what are the changes that are going to be most beneficial to scale, and identifying the gap that we currently have to scale. And I would say that the team has pretty thoroughly accomplish that and begun to tackle some of those biggest gaps to being able to scale production and making these assays. And so, I think that was the sort of most interesting and most important phase that we completed. And then in terms of next phases, it’s blocking and tackling and making the changes and implementing them and then putting them into production. So, we feel confident here things are on track and going according to our progress.

Kyle Mikson: Great. If I could ask one final one on, I guess the competitive landscape in neurology diagnostics as that kind of evolves here. Not all of these newer tests here are detecting p-Tau 181 or 217, but the field has become more crowded clearly, and some of these companies already have launched tests or have reimbursements, so it’s interesting. Just was wondering, Masoud, if you could like speak to the recent dynamics in the space and how your 181 LDT is kind of faring in the research and I guess clinical possibly markets, and then any revenue expected this year from the LDTs, including MS I guess this year or in €˜24?

Masoud Toloue: Yes, I would break the LDT revenue in sort of two phases. One, I would say I think €˜23 revenue from the LDT is not going to be – are not going to have a significant impact. And the two phases I would break that down to is clinical studies. There are a lot of cases where the LDT is being used in a clinical phase or clinical study where the results are being reported back to a patient. And I think that probably is going to be more substantial than the other phase, which is the aid to a diagnostic or aid to a test or a therapy. I think for that to pick up any sort of materiality, would require a drug in the market. So, that’s kind of how we view the LDT phase. And then, on your question on the competitors, yes, I think we’ve looked at this.

Clearly, the folks coming and doing work on the neuro side is a great validation that this is a really important field, and others feel that this is going to be a neural decade in the next several years. But I would say, when you look at, hey, who has a sample to answer platform where you can go blood in and result out where you can scale the platform and really look at phosphorylated versions of these complicated proteins, I don’t think anyone else does it better than us.

Kyle Mikson: Okay. That was great, Masoud. Thanks a lot for that. Congrats on the progress, guys. Appreciate it.

Operator: And I’m showing no further questions. This concludes today’s conference call. Thank you for participating. You may now disconnect.

Follow Quanterix Corp (NASDAQ:QTRX)

Page 4 of 4