Tempus AI (TEM) Q3 2026 earnings summary

Executive summary

• Q3 revenue was $411.5M, up 23% YoY; Adjusted EBITDA reached $25.6M versus $1.5M, and net loss narrowed to $14.9M from $80.0M.

• Gross profit increased 27% to $266.7M; growth came from Diagnostics and Data & Applications, with oncology volume up 32%.

• Data licensing and modeling bookings exceeded $550M in 2026, including agreements with BMS and Pathos.

Financial highlights

• Revenue was $411.5M versus $334.2M in Q3’25; gross profit was $266.7M, and non-GAAP gross profit was $271.2M.

• Operating loss was $56.9M versus $61.0M; non-GAAP operating income was $14.4M versus an $8.7M loss.

• GAAP net loss was $14.9M versus $80.0M; non-GAAP net income was $13.4M, or $0.07 per diluted share.

• Cash and marketable securities totaled $854.4M at quarter-end.

Outlook and guidance

• 2026 revenue guidance increased to $1.60B–$1.605B, representing ~25% YoY growth; Adjusted EBITDA expectation remained ~$65M.

• Q4 revenue guidance was $458M–$463M, with continued oncology, improving hereditary, and ~30% Data & Applications growth versus Q4’25.

• Three-year top-line growth outlook was ~25%; investment is planned alongside meaningful Adjusted EBITDA and positive cash flow.

• xT pricing is expected to add $80M of oncology ASP benefit in 2027; xT and xF could add ~$750 of incremental ASP over several years, subject to approval.