SOPHiA GENETICS (SOPH) Q2 2025 earnings summary

Executive summary

• Q2 2025 revenue grew 16% year-over-year to $18.3 million, driven by new business, advanced applications, and record new customer signings.

• Signed the largest contract in company history: a multi-year AI partnership with AstraZeneca focused on breast cancer.

• Cash burn improved 35% year-over-year to $8.7 million, reflecting cost management.

• AI-powered platform analyzed over 350,000 patients in 2024, serving 800+ institutions in 70+ countries.

• Genomics business accounted for over 90% of total annual revenue in 2024, with 490 customers using the platform in Q2 2025.

Financial highlights

• Total Q2 2025 revenue: $18.3 million, up from $15.8 million in Q2 2024.

• Gross profit: $12.3 million; gross margin: 67% reported, 74.4% adjusted.

• Adjusted EBITDA loss: $11.7 million in Q2 2025; full-year expected between $35–$39 million, improving from $40.2 million in 2024.

• Cash and cash equivalents at quarter-end: $94.8 million, supported by a $35 million credit facility draw.

• Revenue for 2024 was $65.2 million, with a 23% CAGR from 2020 to 2024.

Outlook and guidance

• Reaffirmed 2025 revenue guidance of $72–$76 million (10–17% growth), with adjusted EBITDA loss expected between $35–$39 million.

• Q4 expected to be the strongest quarter; AstraZeneca revenue recognition to begin in Q4 and ramp in 2026.

• Adjusted gross margin anticipated to expand slightly in 2025.

• Targeting adjusted EBITDA breakeven by end of 2026 and positive adjusted EBITDA in H2 2027.

• Growth driven by new offerings in Liquid Biopsy, Solid Tumors, and U.S. market expansion.