Champions Oncology Inc Q2 2021 Earnings Call Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Matt Hewitt - Craig-Hallum Capital Group LLC - Analyst : Thank you for taking the questions and congratulations on the strong start to the year. I would -- I'd like to dig in a little bit on some of these new offerings. Maybe, first off, the Lumin platform. Maybe if you could provide a little bit of feedback on what you're hearing from the initial customers that have signed up, any details or metrics that you can provide as far as number of seats or anything along those lines? And then and how do you expect that, that database platform to expand over the coming quarters and years? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. DECEMBER 14, 2020 / 9:30PM, CSBR.OQ - Q2 2021 Champions Oncology Inc Earnings Call

Question: Matt Hewitt - Craig-Hallum Capital Group LLC - Analyst : That's really helpful. Thank you. And then you launched a couple of more services on the ex vivo side and not sure when those hit the market, if those are in a kind of a beta launch as well, but maybe some initial feedback on those.

Question: Matt Hewitt - Craig-Hallum Capital Group LLC - Analyst : That's great. And then shifting gears to the flow cytometry. Obviously, you got your first order last quarter. Now you're announcing that you've gotten a couple more. Maybe talk about though the hurdle rate that you're seeing from customers, as far as how big of a deal was it to get that first one under your belt? And is that just getting that one signed, I guess it is now two quarters ago is getting that signed really just kind of opening the floodgates? And how should we thinking about the cadence for additional flow cytometry wins? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. DECEMBER 14, 2020 / 9:30PM, CSBR.OQ - Q2 2021 Champions Oncology Inc Earnings Call

Question: Matt Hewitt - Craig-Hallum Capital Group LLC - Analyst : And then maybe one last one from me and you just brought it up. COVID obviously, we're seeing another spike in cases, varies across the country. But we are seeing an increased utilization of hospitals and more lockdowns coming on. Where besides floor, you may be seeing a little impact, if any? Thank you.

Question: Matt Hewitt - Craig-Hallum Capital Group LLC - Analyst : Understood. Thank you.

Question: Scott Henry - ROTH Capital Partners LLC - Analyst : Thank you. Good afternoon. And congratulations on the strong results.

Question: Scott Henry - ROTH Capital Partners LLC - Analyst : I just had a couple of questions. First, on the top line revenues, any comments how sequentially we should expect that to go? Would you think about continuing growth quarter, sequential quarters for Q3 and Q4 fiscally?

Question: Scott Henry - ROTH Capital Partners LLC - Analyst : Perfect. And the Lumin Bioinformatics, how should we think about the revenue potential of that segment? And I don't know without giving specific numbers, I'm just trying to understand the magnitude how we should think about it perhaps relative to flow cytometry? Just trying to get my arms around that and what it could mean in the long run?

Question: Scott Henry - ROTH Capital Partners LLC - Analyst : Okay, fair enough. And now I would expect that would be a high margin business. Is it in fact, significantly higher margins than your current business?

Question: Scott Henry - ROTH Capital Partners LLC - Analyst : Okay. And I guess it may depend just on the size of it, but would you expect in fiscal year 2022 that you would disclose revenue by segment? Or would you just kind of blend in flow cytometry and everything else into a basket? Just trying to get a sense of how we can monitor the progress there.

Question: Scott Henry - ROTH Capital Partners LLC - Analyst : All right, fair enough. And I guess we'll have final questions when it comes to gross margins, I guess it sounds like business is really good gross margins, kind of take that upfront hit. But at some point, I would imagine we'd be at a steady state or that upfront hit would be a diminishing impact on the overall margins. When would you expect, the gross margins would start ticking higher again? I mean, is that a second half of this year event or maybe business is really good, and it doesn't again impact until fiscal year 2022. Just any color you can provide would be great.

Question: Scott Henry - ROTH Capital Partners LLC - Analyst : Okay, great. Thank you for taking the questions.