<div id="readability-page-1">Bionano Genomics ( BNGO ) reported first-quarter financial results on Wednesday. The transcript from the company's first-quarter earnings call has been provided below. Benzinga APIs provide real-time access to earnings call transcripts and financial data. Visit https://www.benzinga.com/apis/ to learn more. View the webcast at https://edge.media-server.com/mmc/p/6tmtcpga/ <h2>Summary</h2> Bionano Genomics ( BNGO ) reported Q1 2026 revenue of $6.7 million, a 4% increase year-over-year, with flow cell sales up 17%. The company emphasized strategic pillars focusing on supporting its installed base, increasing OGM utilization, securing reimbursement, and improving profitability. Significant milestones include a 47% increase in reimbursement rates for OGM and the establishment of a new CPT code for genetic disorders. Gross margin improved to 49% in Q1 2026, and the company aims to reach cash flow breakeven by Q4 2027. Management highlighted strong demand, reduction of debt, and ongoing research publications as key growth drivers. <h2>Full Transcript</h2> OPERATOR Good day and welcome to the BIONANO first quarter 2026 earnings conference call. Today's conference is being recorded. At this time I would like to turn the conference over to Webb Campbell from Gilmartin Group. Please go ahead. Webb Campbell (Moderator) Thank you, Liz and good afternoon everyone. Welcome to the BioNano First Quarter 2026 Financial Results Conference Call. On the call today is Dr. Al Luderer, Chairman and Interim CEO of BioNano, and Mark Adamchak, Bionano's Vice President of Accounting and Principal Accounting Officer. After market close today, Bionano issued a press release announcing its financial Results for the first quarter 2026. A copy of the release can be found on the investor relations page of the Company's website. Certain statements made during this conference call may be forward looking statements. Actual results may differ materially from such statements due to several factors and risks, some of which are identified in Bionano's press release and Bionano's reports filed with the SEC. These forward looking statements are based on information available to Bionano today, May 13, 2026, and the Company assumes no obligation to update statements as circumstances change. During our call, we may refer to certain adjusted financial measures which we believe provide useful information for investors. Reconciliations of these measures to GAAP can be found in our press release and slide deck. An audio recording and webcast replay for today's conference call will also be available online on the investor relations page of the Company's website. With that, I will turn the call over to Alex. Alex Thank you Webb and good afternoon everyone. I'm pleased to be here with you all today. Before I share an update on our first quarter, I want to address the recent leadership transition. As announced last week, I'm stepping in as interim CEO and will maintain my role as Chairman. I'd like to thank Eric for his commitment to Bionano Genomics ( BNGO ) over the last decade, bringing this company and our technology from concept to broad validation. I look forward to working with him as he maintains an advisory role to ensure seamless transition. Now, as I step into the CEO role, my highest priority is to sustain business continuity to ensure no disruption to our valued customers and shareholders. Simultaneously, I'll be working closely with my fellow board members to identify the best candidate to lead this organization over the long term. Transforming Bionano Genomics ( BNGO ) from a company focused on R&amp;D to one focused on commercialization and broad product adoption over time, our focus remains on transforming pathology, the discipline that investigates the causes, developments and effects of disease from tedious, slow, costly and labor intensive analog workflows in the past towards streamlined workflows of digital future designed by technology and platform consolidation, automation and powerful AI driven software that make up our products and solutions. Today I will take some time to touch on the progress we're making against our strategy to transform pathology. I want to briefly recap the framework that continues to guide our execution. Beginning in September 2024, we deliberately redirected our focus away from aggressive installed base expansion toward driving profitable growth with existing routine users while being selective about new customer acquisition, placing an emphasis on adding new routine users. Four strategic pillars define how we have and how we will continue to execute against that framework. First, to support and sustain our installed base of routine Optical Genome Mapping (OGM) and Via software users. Second, to increase Optical Genome Mapping (OGM) utilization by routine users by supporting menu expansion and improving ease of use with Via and Ionic adoption. Third, to build the support needed for Optical Genome Mapping (OGM) reimbursement and inclusion in Medical Society guidelines and recommendations and fourth, to improve profitability, scalability, et cetera through lower costs, higher volumes and continuous improvement in product quality. Now turning to our first and second pillars which are focused on supporting our installed base and driving greater utilization of our products. Q1 2026 flow cells sold were up 17% year over year at 8,178 units, which is a record unit sales volume for any Q1 that we have reported removing flow cells tied to sales of new Optical Genome Mapping (OGM) systems in both periods. Flow cells sold to existing customers were up 21% year over year in Q1. Recall that we entered the first quarter with some constraints on flow cell production, but the supply is starting to catch up. We saw improvement in the first quarter and expect to see continued improvement in flow cell production for the remainder of 2026. Now breaking down our revenue segments, consumable revenue was up to 3.9 million in Q1, up 20% year over year. Our strong growth in consumables revenue is evidence of our strategy in action as we prioritize routine users and focus on Optical Genome Mapping (OGM). Software revenue was 1.2 million in quarter one, down 40% year over year as we had a very large software sale in the prior year that is expected to supply the user for their needs in both 2025 and 2026. Other revenue was 1.6 million in quarter one, up 36% year over year. We believe this ongoing shift towards higher proportion of recurring revenues reflects a healthier, more predictable business mix and is directly aligned with our strategy. Now regarding our second pillar, increasing Optical Genome Mapping (OGM) utilization by supporting software adoption and menu expansion, we continue to receive very positive feedback on our recent software and COMPUTE upgrades. These upgrades focus on enabling customers to expand their menus and increase utilization, in some cases doubling weekly cancer sample throughput without any hardware change. Via's reach extends well beyond ogm. It remains the gold standard for CNV analysis on micro arrays and adoption amongst ngs and long read sequencing labs continues to grow. These non Optical Genome Mapping (OGM) Via users represent both a durable software revenue stream and a natural entry point into broader bionanoadoption. We also continued development in support of our IONIC system which delivers high purity DNA and RNA for Optical Genome Mapping (OGM) and NGS workflow at scale. Now, regarding our third pillar, building support for Optical Genome Mapping (OGM) reimbursement and inclusion in Medical Society guidelines, I'm pleased to highlight two significant reimbursement milestones that both took effect in the first quarter. First, the 2026 clinical lab fee schedule reflected a 47% increase in in the payment determination for the Category 1 CPT code for Optical Genome Mapping (OGM) and hematologic malignancies. The reconsidered payment determination is now $1,853.22, up from $1,263.53. This increase reflects meaningful advocacy work by our customers and the community, and it substantially improves the reimbursement economics for labs running Optical Genome Mapping (OGM) for cancer research. Second, a new Category 1 CPT code for Optical Genome Mapping (OGM) in constitutional genetic disorders established by the American Medical association in 2025, received a final payment determination of $1,263.53, also effective January 1, 2026. This code covers Optical Genome Mapping (OGM) using evaluation of constitutional chromosome abnormalities, interrogation of structural and copy number variants. Together, these two codes now cover Optical Genome Mapping (OGM)'s primary application areas and represent significant reimbursement infrastructure supporting routine adoption. The pricing of the constitutional code at 1,600, $2,663.53 higher than what micro raised costs are priced at is consistent with the needs of laboratories seeking to move forward from their legacy methods. We believe these CPT codes reduce barriers to adoption and may pave the way for even more routine use of Optical Genome Mapping (OGM) across oncology and clinical genetic research communities globally. On the publications front, momentum continues. We announced that 28 publications describing the utility of Optical Genome Mapping (OGM) for analysis of rare diseases were released in Q1 2026, representing an approximately 56% increase over Q1 2025. The total numbers of samples analyzed in those studies 78 represents a 225% increase compared to 2025. There were 1,991 genomes published in the first quarter of 2026, representing a 158% year over year increase over Q1 2025. These publications span a broad range of conditions, including neurodevelopmental, neuromuscular, neurodegenerative, immunological and malformation syndromes, and comes from institutions across Europe, Asia, South America, and the United States. I want to take a few minutes to highlight a few recent publications and presentations that really stand out. First, in April 2026, a landmark study led by scientists from Johns Hopkins University School of Medicine and the University of Texas, Maryland Anderson Cancer center was published in the American Journal of Hematology demonstrating that Optical Genome Mapping (OGM) can significantly outperform traditional analytic methods for detection of structural variation and chromosomal abnormalities in multiple myeloma. This was the largest published multiple myeloma cohort to date with 211 samples. Optical Genome Mapping (OGM) identified relevant chromosomal abnormalities in 92% of patients previously found to be normal by karyotyping and successfully resolved 82% of multiple myeloma samples that had previously failed karyotype. Altogether, Optical Genome Mapping (OGM) also detected additional pathogenic structural abnormalities not identified by karyotyping or fish in approximately 30% of subjects. The authors recommended revising laboratory workflows to include Optical Genome Mapping (OGM) and ngs, which we believe has the potential to drive growth in adoption and utilization of Optical Genome Mapping (OGM) in this large and very challenging indication. Second, a publication from the Stanford Burnham Presbyter Medical Discovery Institute described the application of Optical Genome Mapping (OGM) to detect genomic alterations introduced by different gene editing technologies, including transposons, lentivirus transduction and CRISPR Cas9 mediated locus insertion. This study demonstrated that Optical Genome Mapping (OGM) can be a valuable quality control tool for cell line genome integrity in pre clinical and clinical development of gene editing therapies, reinforcing Optical Genome Mapping (OGM)'s growing role in the pharmaceutical industry and cell and gene therapy development. Third, at the 2026American College of Medical Genetics and Genomics or ACMG annual meeting held this past March in Baltimore, Bionano Genomics ( BNGO ) had 12 studies presented, representing a twofold increase over 2025 and spanning cancer, genomics, immunologic malignancies, constitutional genetic disorders, rare diseases, and reproductive disorders. And finally, last but not least, Bionano Genomics Symposium 2026, held in late February, brought together over 1,250 registrants from 73 countries and featured 35 outside speakers giving 33 presentations and 50 posters across four days. A defining theme was Optical Genome Mapping (OGM) at Scale. Dr. Alexander Hershen from Radbound University Medical center described plans to reach 3,000 samples per year through full automation, while Dr. Adam Smith of LabCorp demonstrated that a scaled stratus workflow can process 10,000 cancer samples per year at less than 1/8 the capital investment of a comparable long read sequencing platform. Symposium 2026 reinforced that Optical Genome Mapping (OGM) is moving from early adoption into scale. Now regarding our fourth pillar, the numbers speak for themselves on the profitability front. From a high 20% gross margin profile in 2023, we have systematically driven that figure higher over the past several years, reaching 49% in Q1 2026. Operating expenses have followed a similar trajectory of disciplined reduction as revenue scales and our mix continues to tilt towards higher margin consumables and software. We expect these trends to eventually carry us towards cash flow breakeven I'll now turn the call over to Mark Adamcheck, our Principal Accounting Officer, to review our Q1 2026 financial highlights and provide and discuss our expectations for Q2 and the full year 2026 mark. Mark Adamcheck Thanks Al Revenue for the first quarter of 2026 was $6.7 million, up 4% compared to Q1 2025 and at the high end of our guidance range of 6.5 to 6.7 million. As we noted on our Q4 2025 call, we expected Q1 to be the lightest quarter of the year consistent with the typical seasonality of our business. We sold 8178 nano channel array flow cells up 17% compared to Q1 2025. This growth was achieved despite an ongoing supply constraint which we continue to see ease. Turning to profitability, adjusted gross margin for the first quarter of 2026 was 49% compared to 46% in Q1 2025 and reflecting continued operational efficiencies under our strategy, adjusted operating expense for the first quarter was 9.1 million compared to 8.5 million in Q1 2025. We ended the quarter with 24.7 million in cash, cash equivalents and available for sale securities, including 10.3 million subject to certain restrictions. Based on factors described in our 10k, we expect our cash Runway to extend into 2027. We also expect to fully retire our outstanding senior secured convertible debt this month, which marks a meaningful balance sheet milestone that further simplifies our financial profile. Building on this progress, we expect revenue to grow throughout the year as we continue executing on our plan for the full year 2026. We are reaffirming revenue guidance of 30 to 33 million representing growth of 5 to 16% over 2025 for Q2 2026, we are initiating guidance of 7.5 to 7.8 million, representing 12 to 16% growth over Q2 2025. We are very excited about the work and the journey ahead of us at Bionano. With that, I will turn the call back over to Al for closing remarks. Al Luderer Thanks, Mark. So Q1 was strong, very strong start to the year and I'm encouraged by the momentum we're carrying into the rest of 2026. We have a clear strategy, a focused team, and the technology the market is increasingly embracing. I look forward to updating you on our continued progress. And with that, let's open it up for questions. OPERATOR Thank you all for joining. We will now open the line for questions. If you'd like to ask a question at this time, please press Star 11 on your telephone and wait for your name to be announced. To withdraw your question, please press star 11 again. Our first question comes from Yi Chen with HC Wainwright. Yi Chen (Equity Analyst) Thank you for taking my questions. Could you provide some comment regarding if you expect the company to achieve operating cash flow break even either late this year or sometime in 2027? Thank you. Hi, thanks for the question. Let me ask Mark to comment on that. Mark? Mark Adamcheck Yeah. Thanks. No, we do not expect to reach cash flow breakeven by the end of 2026. And you know, we are taking the necessary steps that we can to reduce that burn as much as possible by Q4 of 2027, but we're not providing guidance as to whether or not we can achieve that. Al Luderer Okay, and do you expect any additional catalysts that could potentially occur either later this year or in 2027 that could help the top line growth or improve gross margin or further reduce operating expenses? Well, I think there's several catalysts this year. The first catalyst, which actually was really planted in the first quarter, which is the CPT code and the strong reimbursement. So I think we are starting to see some impact in our dedicated installed base. It's a little hard to measure right now, but I think that's part of the reason we are experiencing very, very strong demand. So we're pleased about that. The second one is certainly, I think from my point of view, the elimination of our debt is a very strong step forward in terms of controlling our destiny and our future. Now that doesn't mean we wouldn't take other debt for certain applications if it was called for and timely. So I think that's a big deal. And I think those are the two major things that we have pushing and we have several publications that are coming out that will be highly complementary and also expansive on what's been shown by Hopkins and D. Anderson. So we're getting great adoption out there. So I think we're going to try to make it very public about how people feel about this. And the neatest thing about this, and I've been a director of this company since 2011, so I have lived through this. And in the early days it was our clinical medical executives who are identifying what could be done and helping people to identify how to do it. Today it's all of our users that are out there and they are setting the standard and the path so they are now leading and that's a huge transition transformation for this company. Got it. Thank you. Thank you. OPERATOR As a reminder, if you'd like to ask a question at this time, please press star 11 on your Touchstone phone. That will conclude today's question and answer session. This concludes today's conference call. Thank you for participating. Disclaimer: This transcript is provided for informational purposes only. While we strive for accuracy, there may be errors or omissions in this automated transcription. For official company statements and financial information, please refer to the company's SEC filings and official press releases. Corporate participants' and analysts' statements reflect their views as of the date of this call and are subject to change without notice.</div>

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Bionano Genomics (NASDAQ:BNGO) reported Q1 2026 revenue of $6.7 million, a 4% year-over-year increase, with flow cell sales up 17%. The company highlighted strategic pillars focused on supporting its installed base, increasing Optical Genome Mapping (OGM) utilization, securing reimbursement, and improving profitability. Key milestones include a 47% increase in reimbursement rates for OGM and a new CPT code for genetic disorders. Gross margin improved to 49%, and the company aims for cash flow breakeven by Q4 2027, driven by strong demand and reduced debt.

Transcript: Bionano Genomics Q1 2026 Earnings Conference Call