Second Quarter 2026
Filed Aug 5, 2026Caris Life Sciences Reports Second Quarter 2026 Financial Results and Increases 2026 Revenue Guidance
Total revenue increased 45%, gross margin improved to 68%, net loss narrowed to $0.6 million, operating cash flow and free cash flow were positive, and the company raised full-year 2026 revenue guidance.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| Total revenueGAAP | $263.7 million | – | 45% |
| Molecular profiling services revenueGAAP | $252.3 million | – | 55% |
| Gross profitGAAP | $179.6 million | – | – |
| Gross marginGAAP | 68% | – | an approximate 500 bps improvement |
| Operating expensesGAAP | $152.7 million | – | 16% |
| Net lossGAAP | $0.6 million | – | – |
| Net loss per share attributable to common shareholders, basic and dilutedGAAP | $0.00 | – | – |
| Adjusted EBITDAnon-GAAP | $55.7 million | – | – |
| Net cash provided by operating activitiesGAAP | $28.5 million | – | a 291% improvement |
| Free cash flownon-GAAP | $6.4 million | – | – |
| Clinical casesother | approximately 59,200 clinical cases | more than 12% | approximately 18% |
| MI Profile casesother | approximately 48,300 MI Profile cases | – | – |
| Caris Assure casesother | approximately 10,700 Caris Assure cases | – | – |
| Whole exome/whole transcriptome testsother | over 114,000 whole exome/whole transcriptome tests | – | – |
| Total oncology testsother | over 345,000 total oncology tests | – | – |
| Total profiles through June 30, 2026other | 1,130,000 total profiles | – | – |
| Total matched profiles through June 30, 2026other | 845,000 total matched profiles | – | – |
| Whole transcriptome profiles through June 30, 2026other | 783,000 whole transcriptome | – | – |
| Whole exome profiles through June 30, 2026other | 733,000 whole exome profiles | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Molecular profiling servicesThe increase in molecular profiling services revenue was primarily driven by an increase in total clinical case volume and ASP improvements. | $252.3 million | – | 55% |
full year 2026 outlook
- Revenue$1.03 billion to $1.04 billion
- Notegrowth of 27% to 28% compared to full year 2025
- Noteclinical therapy selection volume growth of approximately 20% compared to full year 2025
Capital returns
- Announced a share repurchase program of up to $100 million, of which approximately $82.1 million remains available for repurchase under the existing Board authorization.
What drove it
- Total revenue growth was driven primarily by 55% growth in molecular profiling services revenue.
- Molecular profiling services revenue growth was primarily driven by an increase in total clinical case volume and ASP improvements.
- The improvement in net cash provided by operating activities was driven by improved total clinical case volume and ASP improvements.
- Operating expense growth was primarily driven by headcount-related costs.
- The company launched Caris Detect, a multi-cancer early detection blood test.
- The company launched Caris ChromoSeq and received MolDX approval for the whole genome tumor profiling assay for myeloid malignancies.
- The company launched Caris MI Clarity, a next-generation prognostic tool for specified early-stage breast cancer patients.
Concerns
- Caris reported a net loss of $0.6 million for the three months ended June 30, 2026.
- Operating expenses increased 16% to $152.7 million, primarily driven by headcount-related costs.
- The filing identifies risks related to commercialization and market acceptance of Caris Detect, payer reimbursement and coverage decisions, competition, regulatory requirements, indebtedness, data security, patient privacy, and reliance on third-party suppliers.
What to watch
- Execution against full-year 2026 revenue guidance of $1.03 billion to $1.04 billion.
- Clinical therapy selection volume growth of approximately 20% compared to full year 2025.
- Sustained clinical case-volume growth and ASP improvements in molecular profiling services.
- Commercialization, market acceptance, and payer reimbursement developments for Caris Detect, Caris ChromoSeq, and Caris MI Clarity.
- Use of the remaining approximately $82.1 million available under the existing Board repurchase authorization.
Balance sheet and cash flow
- Net cash provided by operating activities was $28.5 million for the three months ended June 30, 2026, as compared to net cash provided by operating activities of $7.3 million for the three months ended June 30, 2025, a 291% improvement.
- Reported positive free cash flow of $6.4 million.
Analysis
Caris reported a strong second quarter, with total revenue of $263.7 million, up 45% from $181.4 million in the corresponding prior-year period. Molecular profiling services revenue was $252.3 million and increased 55%, making this service line the stated primary driver of company revenue growth. Management attributed the molecular profiling increase to higher total clinical case volume and ASP improvements.
Clinical activity supported the revenue result. The company completed approximately 59,200 clinical cases, an increase of approximately 18% over the corresponding prior-year period and more than 12% sequentially. The reported mix included approximately 48,300 MI Profile cases and approximately 10,700 Caris Assure cases. The company also reported over 114,000 whole exome/whole transcriptome tests and over 345,000 total oncology tests.
Margins and profitability improved substantially. Gross profit was $179.6 million and gross margin was 68%, compared with gross profit of $113.7 million and gross margin of 63% in the prior-year period. Operating expenses increased 16% to $152.7 million, primarily reflecting headcount-related costs, but grew materially slower than total revenue. Net loss narrowed to $0.6 million from $71.8 million, while Adjusted EBITDA was positive at $55.7 million.
Cash generation was also positive. Net cash provided by operating activities was $28.5 million, compared with $7.3 million in the prior-year period, a 291% improvement that the company attributed to improved clinical case volume and ASP improvements. Free cash flow was positive at $6.4 million. Caris also announced a repurchase program of up to $100 million, with approximately $82.1 million remaining available under the existing Board authorization.
For full-year 2026, Caris increased revenue guidance to $1.03 billion to $1.04 billion, representing growth of 27% to 28% compared to full year 2025. It reaffirmed clinical therapy selection volume growth of approximately 20% compared to full year 2025. Key execution items are continued volume and ASP progress in molecular profiling services, expense growth associated with headcount, and commercial adoption, reimbursement, and regulatory progress for newly launched products including Caris Detect, Caris ChromoSeq, and Caris MI Clarity.
Management, verbatim
This was a record quarter, with approximately 59,200 clinical cases, up more than 12% sequentially, reflecting sustained demand and the payoff from investments in our commercial engine.
David Dean Halbert, Founder, Chairman and CEO of Caris Life Sciences
Our comprehensive approach gives every case real molecular depth, across more than 1.13 million patients with AI trained on it, that depth is what powers Caris Detect.
David Dean Halbert, Founder, Chairman and CEO of Caris Life Sciences
Not in the filing
stated, not guessed- GAAP operating income or loss
- Prior-year Adjusted EBITDA
- Prior-year free cash flow
- Prior-quarter revenue, molecular profiling services revenue, gross profit, gross margin, operating expenses, net loss, net loss per share, Adjusted EBITDA, operating cash flow, and free cash flow
- Gross profit percentage change
- Operating income or loss guidance
- Gross margin guidance
- Operating expense guidance
- Tax-rate guidance
- Cash balance
- Debt balance
- Dividend information
- Prior outlook needed to compare actual results with prior guidance
AlphaAI analysis generated from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure was cross-checked against the filing text; consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.