Tempus AI (NASDAQ:TEM) reported second-quarter financial results Thursday after market close.
Here are the key highlights.
• Tempus AI stock is facing resistance. Why are TEM shares declining?
Tempus AI Q2 Earnings
Tempus AI revenue was $382.5 million in the second quarter, up 22% year-over-year. The revenue total beat a Street consensus estimate of $379.7 million, according to data from Benzinga Pro.
Revenue for the Diagnostics segment was $289.3 million, up 20% year-over-year. Data and Applications revenue was $93.2 million in the quarter, up 28% year-over-year.
The company reported a loss of four cents per share in the quarter, beating a Street consensus estimate of a loss of 14 cents per share.
Oncology volume growth was up 31% year-over-year in the quarter.
Data Licensing & Modeling revenue was up 36% year-over-year in the quarter.
The company said it signed around $200 million in new data and applications licenses in the quarter.
“Q2 was another exceptional quarter for us,” Tempus CEO Eric Lefkofsky said. “Our strategy is working given the investments we have made in AI over the past several years are driving some of the best growth rates we have seen in our two largest businesses — Oncology Diagnostics and Data Licensing.”
What’s Next for Tempus
The company raised its full-year revenue guidance from a prior range of $1.59 billion to $1.60 billion to a new range of $1.595 billion to $1.605 billion. The new range represents around 25% year-over-year growth.
Guidance from the company is for adjusted EBITDA to be around $65 million.
The guidance does not include any impact from the acquisition of Personalis, which is expected to close in late fourth quarter of 2026 or early 2027.
Shares are trading lower, likely due to revenue growth being lower in the second quarter than in recent quarters and the raised guidance being minimal after the beat, which could indicate slower growth in the next two quarters.
The stock is owned by Rep. Nancy Pelosi (D-Calif) and is a favorite of Ark Invest CEO Cathie Wood.
Tempus AI Stock Price Action
Tempus AI stock is down 2.4% to $43.25 in after-hours trading Thursday versus a 52-week trading range of $40.77 to $104.32.
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