NeoGenomics expands Indica Labs partnership for digital pathology
The expanded rollout will use cloud-based HALO AP, which the Oct. 15 release identifies as research use only in the United States.
Adrian Kessler
A broader digital pathology rollout is planned across cancer-testing operations after NeoGenomics, Inc. NASDAQNEO expanded its Indica Labs partnership on Thursday. The collaboration extends a technology relationship dating to 2015, but the Oct. 15 release gives no deployment deadline or financial terms.
The Oct. 15 announcement says the cloud-based HALO AP image management platform will underpin the expansion. Its vendor-neutral design is intended to accommodate third-party and internally developed AI tools while limiting integration costs, although the release gives neither a laboratory count nor a spending or savings target.
NeoGenomics is a Florida-based cancer genetics testing and information-services company with a laboratory network spanning the United States and England.
Shares closed at US$16.88 on Nasdaq at 4 p.m. EDT on Oct. 14, before the announcement, according to Google Finance's NASDAQNEO quote. The next financial update is due Oct. 28.
Oct. 15 Release Omits Capacity Estimates
NeoGenomics says the infrastructure should streamline operations and give customers access to digital capabilities without heavy capital investment or complex IT integration. The announcement does not quantify additional testing capacity, turnaround-time improvements or an expected effect on margins.
The financial baseline comes from its July 28 second-quarter results: clinical testing volume increased 2 per cent from a year earlier, while average revenue per clinical test rose 12 per cent. Total revenue reached US$202 million for the quarter ended June 30, up 11 per cent.
Adjusted gross margin reached 48 per cent in that quarter, an increase of 260 basis points from a year earlier. That measure excludes acquired-intangible amortization and stock-based compensation, so it differs from the reported gross margin of 46 per cent.
Cash and cash equivalents stood at US$146 million on June 30. Thursday's release does not specify upfront investment or recurring platform fees.
"This expanded partnership represents an important step in building the infrastructure needed for the next generation of oncology care," Indica Labs chief executive Steven Hashagen said in NeoGenomics' release.
NeoGenomics also expects the infrastructure to support AI co-development and clinical trial collaborations while expanding its curated pathology datasets. It wants testing capabilities ready as AI-based biomarker applications emerge alongside the antibody-drug conjugate pipeline, although the Oct. 15 announcement identifies no specific application launch or contracted research programme.
Digital Pathology Products Have Different Uses
The regulatory qualification is explicit in Thursday's release: HALO AP is for research use only in the United States and is not FDA cleared for clinical diagnostic use. The company says it is CE-IVDR marked for in-vitro diagnostic use in Europe, the United Kingdom and Switzerland.
Tempus AI, Inc. NASDAQTEM launched Paige Predict on Jan. 21, describing AI applications that predict the likely presence of biomarkers from digitized tissue slides. Tempus says the predictions help clinicians prioritize confirmatory tissue-based tests, including when tissue is scarce.
Its stated scope covers 123 biomarkers and oncogenic molecular pathways across 16 cancer types. Those are predictions intended to inform testing decisions, rather than a performance specification for NeoGenomics' planned infrastructure.
Danaher Corporation NYSEDHR, through Leica Biosystems, has a separate offering involving Indica Labs. Leica's March 31 launch announcement describes Aperio HALO AP DX software paired with its Aperio GT 450 DX scanner for clinical digital pathology in the United States.
That product combination differs from the HALO AP platform named in NeoGenomics' announcement.
The next scheduled financial update is Oct. 28, after U.S. markets close. Those third-quarter results will provide the next financial baseline; the Oct. 15 partnership announcement gives no rollout cost or completion date.
