Veracyte (VCYT) Q4 2025 earnings summary

Executive summary

• Achieved strong double-digit revenue growth in Q4 and full year 2025, driven by Decipher and Afirma test performance, with Q4 revenue reaching $141 million (up 19%) and full-year revenue at $517 million (up 16%).

• Surpassed profitability targets ahead of schedule, with adjusted EBITDA margin exceeding 27% for 2025 and Q4 margin at 30.1%.

• Served nearly 170,000 patients in 2025 and over 800,000 to date, with over 45,000 patients served in Q4.

• Achieved all 2025 milestones, including Decipher Metastatic launch, Afirma transition to v2 transcriptome, and significant clinical evidence generation.

• Positioned for multiple product launches in 2026, including TruMRD for muscle-invasive bladder cancer and Prosigna for early-stage breast cancer.

Financial highlights

• Q4 2025 revenue was $140.6–$141 million, up 19% year-over-year; testing revenue up 21% to $135.8–$136 million; total test volume ~48,000, up 16%.

• Full-year 2025 revenue reached $517–$517.1 million, up 16%; testing revenue up 18% to $493.2 million.

• Q4 GAAP net income: $41.1 million; full-year GAAP net income: $66.4 million; Q4 adjusted EBITDA: $42.3 million (30.1% margin); full-year adjusted EBITDA: $142.5 million (27.6% margin).

• Q4 non-GAAP gross margin: 75.1%; full-year non-GAAP gross margin: 72.9%.

• Ended Q4 with $412.9 million in cash and cash equivalents, up over $120 million for the year.

Outlook and guidance

• 2026 revenue guidance: $570–$582 million (10–13% growth); testing revenue guidance: $560–$570 million (14–16% growth), excluding new test contributions.

• Adjusted EBITDA margin guidance for 2026: ~25%, with Q1 margin expected to be lower due to seasonality.

• Afirma growth expected in mid to high single digits; Decipher growth projected at ~20%.

• Guidance excludes PPCs; $10 million PPC headwind expected in 2026.

• New product launches (TruMRD, Prosigna) not included in 2026 revenue guidance; expected to drive revenue in 2027 and beyond.