Tempus AI exceeded its third-quarter outlook and announced an upward revision. The company's oncology segment is reportedly seeing accelerating unit growth, sending its stock up 10%.
Tempus AI reportedly exceeded its third-quarter outlook and raised its guidance. Its stock is up 10% today as a result.
Against a backdrop of growth in its data and applications segment, the company maintained its 2026 revenue target in the $1.6 billion range while indicating additional profit growth. Adjusted EBITDA is expected to remain at approximately $65 million.
The data segment's third-quarter gross margin was 71.5%, above the diagnostics segment's 62.4%, while the overall profit margin reached 64.8%. Tempus is expanding revenue through data licensing agreements, with annual bookings exceeding $550 million.
Natera and Guardant Health both saw their share prices fall today, while the two companies continue to grow in the cancer testing market. Competition for market share with Tempus is expected to remain intense.
Some market participants have pointed to Tempus's rising valuation, making the trajectory of its profit margin in the next quarter a key focus.