Tempus AI shares rise 8.7% after raising 2026 revenue forecast

Tempus AI (TEM) shares rose 8.7% as of 3:59 p.m. ET, from a regular-session close of $72.22.

Tempus AI (TEM) said on Nov. 2 it raised its 2026 revenue forecast to $1.60 billion to $1.605 billion. Third-quarter revenue of $411.54 million was in line with the $413.44 million consensus estimate compiled by Finnhub.

Adjusted earnings were 7 cents per share, compared with an 8-cent loss estimate compiled by Finnhub.

Tempus describes itself as a technology company applying artificial intelligence to healthcare. It reports through two segments, diagnostics and data and applications. The results cover the quarter ended Sept. 30.

Here’s how the company did:

• Revenue: $411.54 million vs. $334.21 million a year earlier
• Adjusted EPS: 7 cents, against a loss of 11 cents a year earlier
• Net loss: $14.9 million vs. $80.0 million a year earlier

Revenue rose 23% from a year earlier. Gross profit rose 27% to $266.7 million.

Net income has swung from a loss of $125.9 million in the first quarter of 2026 to a profit of $5.6 million in the second quarter, according to its SEC filings.

2026 guidance

The company raised its full-year 2026 revenue forecast to $1.60 billion to $1.605 billion. That compares with the $1.595 billion to $1.605 billion range it gave on July 30.

The company said the forecast represents annual growth of about 25%. It continues to expect 2026 adjusted EBITDA of about $65 million.

“These results reinforce the durability of our model,” CEO Eric Lefkofsky said. “Our best-in-class diagnostic platform enhances our data and AI offerings, distinguishes our business from our many competitors, and helps drive our performance quarter after quarter.”

Segment results

Diagnostics generated $303.5 million of revenue, up 20%. Oncology volume growth accelerated to 32%, offset by hereditary revenue growth of 3%.

Data and applications generated $108.1 million, up 33%, with Insights growing 29%.

Minimal residual disease test volume was about 12,000 tests, up 300%.

Costs and cash

The net loss narrowed to $14.9 million from $80.0 million a year earlier. The result included $50.8 million of stock-based compensation expense and related employer payroll taxes, and $42.8 million in unrealized gains on marketable securities.

Adjusted EBITDA, or earnings before interest, taxes, depreciation and amortization after certain adjustments, was $25.6 million, compared with $1.5 million a year earlier.

The company ended the quarter with $854.4 million of cash and marketable securities.

Deals and partnerships

In October, the company announced a collaboration with Bristol-Myers Squibb to license oncology data and models for up to $137.5 million over five years.

A separate deal has Bristol-Myers Squibb and Pathos licensing data for patients with Alzheimer’s or dementia for $55 million over five years.

Tempus also announced a multi-year collaboration with Merck and Moderna to support the potential commercialization of intismeran autogene, an individualized neoantigen therapy being evaluated with Keytruda.

Regulatory review of the pending acquisition of Personalis (PSNL) has cleared. Personalis’ shareholder meeting to approve the deal is planned for Nov. 30.

The company also received two 510(k) clearances from the U.S. Food and Drug Administration for Tempus ECG-PH and ECG-MR. It announced an initiative to build a research platform of 100,000 whole genomes linked to longitudinal clinical information over the next several years.