Key Highlights

  • Total Revenue reached USD 412 million, up 23%, with diagnostics up 20% and data and applications up 33%.
  • Oncology revenue grew 28% to USD 173 million on 32% Volume growth, and hereditary testing revenue was USD 111 million.
  • Adjusted EBITDA was USD 25.6 million, and the net loss narrowed to USD 14.9 million from USD 80.0 million.
  • Cash and marketable securities totaled USD 854 million at quarter end, while the pending Personalis deal cleared regulatory review.

Revenue and Profitability

Tempus AI, Inc. (NASDAQ:TEM) reported third-quarter 2026 total revenue of USD 411.5 million, up 23% from USD 334.2 million. Diagnostics revenue was USD 303.5 million, up 20%, and data and applications revenue was USD 108.1 million, up 33% from USD 81.3 million. The net loss narrowed to USD 14.9 million from USD 80.0 million, and nine-month net loss was USD 135.1 million versus USD 190.9 million.

The company generated adjusted EBITDA of USD 25.6 million and ended the quarter with USD 854 million in cash and marketable securities. Management said Gross Profit dollar growth outpaced investment, allowing the Business to turn the corner on EBITDA.

Diagnostics and Data Growth

Oncology revenue grew 28% to USD 173 million, supported by unit volume growth of 32%, which management described as among the strongest in years. Hereditary cancer testing revenue was USD 111 million. Within data and applications, the Insights data licensing business grew 29%.

On hereditary testing, management said current guidelines and reimbursement cover about 70 million lives in the United States while the company runs roughly 2 million tests per year, pointing to an underpenetrated market.

Collaborations and Acquisition

The company agreed to license Bristol Myers Squibb oncology data and models for up to USD 138 million over five years, and Pathos agreed to pay USD 55 million over five years under a collaboration with Bristol Myers Squibb and Tempus to build Alzheimer's disease data sets and models. Together they represent about USD 193 million of additional data and applications revenue over roughly five years. The Bristol Myers Squibb agreement places it alongside AstraZeneca, Merck, GlaxoSmithKline and BioNTech, and management said that signing just one such collaboration would have satisfied it while it has signed three this year, and added a multiyear collaboration with Moderna and Merck supporting commercialization of an individualized neoantigen therapy under evaluation with Keytruda in melanoma and other cancers.

The pending Acquisition of Personalis cleared regulatory review, with a Personalis Shareholder meeting scheduled for November 30. Tempus has distributed the Personalis tumor-informed MRD assay since 2023, Management said bringing the Personalis testing portfolio under one roof is projected to accelerate commercial adoption and strengthen its multimodal data flywheel, and described MRD, which lets clinicians detect recurrence earlier than traditional imaging, as an estimated market above USD 20 billion and among the fastest growing in oncology diagnostics.

Management raised its full-year 2026 revenue guidance and continues to project 2026 adjusted EBITDA of approximately USD 65 million.

Deal and Volume Checkpoints

Items to watch include the Personalis shareholder vote, conversion of the new collaborations into revenue, oncology volume trends and the path of adjusted EBITDA. Management described the Personalis assay as best in class given its ultra sensitivity, and said the combined portfolio rounds out its offering.