SOPHiA GENETICS (SOPH) Q4 2025 earnings summary

Executive summary

• Achieved record revenue growth in 2025, reaching $77.3M, with a 22% CAGR since 2020 and over 391,000 analyses performed, expanding the customer base to 993 globally and connecting 1,000+ institutions across 75 countries.

• Signed major BioPharma contracts, including the largest project in company history with AstraZeneca, and two of the largest U.S. health systems, adding up to 60,000 annual analyses.

• U.S. market remains underpenetrated but grew 50% year-over-year in Q4 2025, with strong expansion in North America and Asia Pacific.

• Leadership transition announced: Ross Muken to become CEO in July 2026, with Jurgi Camblong moving to Executive Chairman.

• Highly recurring revenue model with annualized revenue churn below 1% and net dollar retention at 115% in 2025.

Financial highlights

• FY 2025 revenue reached $77.3M, up 19% year-over-year; Q4 2025 revenue was $21.7M, up 22% year-over-year.

• Adjusted gross margin was 74.2% in FY 2025, up 140 basis points; reported gross margin was 67.4%.

• Operating loss for 2025 was $70.9M; adjusted operating loss was $45.5M; adjusted EBITDA loss was $41.5M.

• Cash and cash equivalents at year-end 2025 were $70.3M; cash burn improved 6% year-over-year to $50.4M.

• Raised $15.5M via ATM facility and expanded credit facility by $25M.

Outlook and guidance

• FY 2026 revenue guidance is $92M–$94M, representing 20%-22% growth.

• Adjusted EBITDA loss expected to improve to $29M–$32M in 2026, with breakeven targeted by end of 2026 and positive adjusted EBITDA in H2 2027.

• Gross margins expected to expand slightly in 2026, supported by cost optimization and targeted headcount reductions.

• Continued growth expected in U.S. market and expansion of new applications such as Liquid Biopsy.

• Industry forecasts indicate NGS market CAGR of ~7% (2025-2026) and global genetic testing CAGR of 20%+ by 2030.