[Management View]
Bionano Genomics reported a strategic shift towards focusing on routine users of its optical genome mapping systems, aiming to enhance utilization and profitability. The company emphasized its commitment to supporting existing customers and expanding the use of its VIA software to streamline workflows.

[Outlook]
For 2025, Bionano expects revenues between $29 million and $32 million, with plans to install 15 to 20 new optical genome mapping systems primarily at routine use sites. The company aims to leverage the new CPT code for hematologic malignancies to drive adoption in the U.S.

[Financial Performance]
Q4 2024 revenue was $8.2 million, a 24% decrease YoY due to discontinued clinical services. However, GAAP gross margin improved to 42% from 23% in Q4 2023. Full-year product revenues increased by 1% to $27 million, with consumables and software sales showing growth.

[Q&A Highlights]
Question 1: Sung Ji Nam from Scotiabank inquired about the core revenue growth implied in the 2025 guidance.
Answer: Erik Holmlin clarified that the guidance reflects core revenue growth, with a focus on routine users accounting for 80% of consumables revenue.

Question 2: Sung Ji Nam asked about the potential for Saphyr trade-ins and the net install base.
Answer: Holmlin explained the focus on routine use customers, noting that some systems are backup units, and emphasized revenue per customer over the number of systems.

Question 3: Sung Ji Nam queried about the Stratys Compute collaboration with NVIDIA.
Answer: Holmlin highlighted positive feedback and plans for software updates to improve speed, enhancing customer productivity.

Question 4: Michael Okunewitch from Maxim Group asked about customer acquisition strategies.
Answer: Holmlin stated the focus on routine user sites, particularly in the U.S., leveraging published data and conference success stories.

Question 5: Michael Okunewitch inquired about the application specificity of the CPT code.
Answer: Holmlin confirmed the code is specific to hematologic malignancies but noted potential for future expansion to other applications.

Question 6: Michael Okunewitch sought details on VIA software's role in driving utilization.
Answer: Holmlin described VIA's automation of variant curation and reporting, increasing lab efficiency and capacity for additional indications.

Question 7: Vivian from BTIG asked about the strategy's impact on revenue per customer.
Answer: Holmlin expressed confidence in further growth potential within the routine user group, driven by strategic initiatives.

Question 8: Vivian inquired about OGM's appearance on the Medicare fee schedule.
Answer: Holmlin confirmed its effective listing and consistent pricing, with potential for future price reconsideration.

Question 9: Vivian asked about strengths in the routine user group and menu expansion.
Answer: Holmlin identified hematologic malignancies as the primary driver, with opportunities in constitutional genetic disorders, solid tumors, and cell and gene therapy.

[Sentiment Analysis]
Analysts showed interest in the strategic shift and its implications for growth. Management maintained a positive tone, emphasizing the effectiveness of their strategy and future potential.

[Quarterly Comparison]
| Metric | Q4 2024 | Q4 2023 | YoY Change |
|--------|---------|---------|------------|
| Revenue | $8.2M | $10.8M | -24% |
| GAAP Gross Margin | 42% | 23% | +19% |
| Non-GAAP Operating Expense | $10.6M | $26.6M | -60% |

[Risks and Concerns]
Potential risks include market adoption challenges for novel technologies, volatility in gross margins, and dependency on routine user sites for growth.

[Final Takeaway]
Bionano Genomics is strategically focusing on its core group of routine users to drive growth and profitability. The company's emphasis on optical genome mapping and VIA software adoption is expected to enhance customer efficiency and expand application menus. While facing challenges in market adoption and margin volatility, Bionano remains optimistic about its strategic direction and future revenue potential.