Tempus AI (NASDAQ:TEM) surged 9% in premarket trading on Friday after the genetic testing company posted a smaller-than-expected loss per share for the second quarter and raised its revenue guidance.
The firm reported a loss of $0.22 per share, beating analysts’ forecasted loss of $0.25. Revenue reached $314.6 million, surpassing the consensus estimate of $297.8 million.
Genomics revenue soared 115.3% year-over-year to $241.8 million, fueled by robust volume growth in Oncology testing, which rose 26%, and Hereditary testing, up 32%.
Data and services income climbed 35.7% to $72.8 million, buoyed by a 40.7% increase in Insights, Tempus’s data licensing segment.
“The business is performing well with revenues and margins growing faster than expected, contributing to our continued improvement in adjusted EBITDA on a year-over-year basis,” said Eric Lefkofsky, Founder and CEO of Tempus.
He added, “We saw significant re-acceleration of our clinical volumes which grew 30% in the quarter, as we delivered more than 212,000 NGS tests. Combined with our continued leadership in AI and progress toward building the largest foundation model in oncology, we’re hitting our stride as we approach our 10th anniversary.”
For the full year 2025, Tempus raised its revenue forecast to $1.26 billion, slightly above its previous projection of $1.25 billion and the $1.248 billion consensus. Adjusted EBITDA is expected to improve by roughly $110 million compared to 2024, reaching $5 million.
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