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% year-over-year.

• Full-year 2025 revenue was $517 million, a 16% increase, at the high end of guidance, with nearly 170,000 patients served and over 45,000 patients in Q4.

• Achieved profitability target ahead of schedule, with adjusted EBITDA margin exceeding 27% for 2025, surpassing the 25% target.

• Completed transition of Afirma to v2 transcriptome, launched Decipher Metastatic, and expanded clinical evidence for both tests.

• Positioned for multiple product launches in 2026, including TruMRD for bladder cancer and Prosigna for breast cancer.

Financial highlights

• Q4 2025 revenue: $140.6–$141 million (+19% YoY); full-year revenue: $517–$517.1 million (+16% YoY).

• Q4 testing revenue: $135.8–$136 million (+21% YoY); Decipher revenue up 27%, Afirma up 16%.

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

• Q4 GAAP net income: $41.1 million; full-year GAAP net income: $66.4 million.

• Ended Q4 with $412.9 million in cash and equivalents; generated $52.6 million in Q4 operating cash flow.

Outlook and guidance

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

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

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

• Guidance excludes prior period collections (PPCs); $10 million PPC headwind in 2025.