Second Quarter 2026
Filed Aug 4, 2026Clinical test volume surged 199% year-over-year and 33% sequentially to 10,384 tests in Q2; total revenue grew 30% to $22.4 million while net loss was $(31,683) (In thousands).
Revenue growth accelerated through clinical testing and pharma testing services, supported by expanded Medicare coverage, while losses and operating expenses increased substantially and the company discontinued financial guidance following its announced merger agreement with Tempus AI, Inc.
Key metrics
as reported| Metric | Value | q/q | y/y |
|---|---|---|---|
| RevenueGAAP | $22.4 million | – | 30% |
| Clinical test revenueother | $2.6 million | – | 442% |
| Clinical tests deliveredother | 10,384 clinical tests | 33% | 199% |
| Revenue from pharma testing services and all other customersother | $16.8 million | – | 51% |
| Revenue from population sequencing (the VA MVP)other | $3.0 million | – | 9% decrease |
| Related party revenueGAAP | $8.4 million | – | – |
| Cost of revenueGAAP | $17,614 (In thousands) | – | – |
| Research and developmentGAAP | $16,336 (In thousands) | – | – |
| Selling, general and administrativeGAAP | $21,998 (In thousands) | – | – |
| Related party sales and marketing expensesGAAP | $3.8 million | – | – |
| Total costs and expensesGAAP | $55,948 (In thousands) | – | – |
| Loss from operationsGAAP | $(33,591) (In thousands) | – | – |
| Interest incomeGAAP | $1,966 (In thousands) | – | – |
| Interest expenseGAAP | $(37) (In thousands) | – | – |
| Other income (expense), netGAAP | $(16) (In thousands) | – | – |
| Loss before income taxesGAAP | $(31,678) (In thousands) | – | – |
| Provision for income taxesGAAP | $5 (In thousands) | – | – |
| Net lossGAAP | $(31,683) (In thousands) | – | – |
| Net loss per share, basic and dilutedGAAP | $(0.30) | – | – |
| Weighted-average shares outstanding, basic and dilutedGAAP | 105,424,708 | – | – |
| Six Months Ended June 30 RevenueGAAP | $37,829 (In thousands) | – | – |
| Six Months Ended June 30 Cost of revenueGAAP | $32,805 (In thousands) | – | – |
| Six Months Ended June 30 Research and developmentGAAP | $30,875 (In thousands) | – | – |
| Six Months Ended June 30 Selling, general and administrativeGAAP | $39,901 (In thousands) | – | – |
| Six Months Ended June 30 Total costs and expensesGAAP | $103,581 (In thousands) | – | – |
| Six Months Ended June 30 Loss from operationsGAAP | $(65,752) (In thousands) | – | – |
| Six Months Ended June 30 Interest incomeGAAP | $4,138 (In thousands) | – | – |
| Six Months Ended June 30 Interest expenseGAAP | $(84) (In thousands) | – | – |
| Six Months Ended June 30 Other income (expense), netGAAP | $4 (In thousands) | – | – |
| Six Months Ended June 30 Loss before income taxesGAAP | $(61,694) (In thousands) | – | – |
| Six Months Ended June 30 Provision for income taxesGAAP | $21 (In thousands) | – | – |
| Six Months Ended June 30 Net lossGAAP | $(61,715) (In thousands) | – | – |
| Six Months Ended June 30 Net loss per share, basic and dilutedGAAP | $(0.59) | – | – |
| Six Months Ended June 30 Weighted-average shares outstanding, basic and dilutedGAAP | 104,808,285 | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| Clinical test revenueA full quarter of covered lung cancer testing revenue and expansion of Medicare coverage for IO therapy monitoring received in the second quarter. | $2.6 million | – | 442% |
| Pharma testing services and all other customersHigher pharma testing services. | $16.8 million | – | 51% |
| Population sequencing (the VA MVP)No driver was reported. | $3.0 million | – | 9% decrease |
Full Year 2026 outlook
- NotePersonalis will no longer provide financial guidance or conduct a quarterly earnings conference call.
- NoteWe remain firmly on-track to achieve more than a 500% increase in our clinical revenue over last year.
What drove it
- Total revenue growth was primarily driven by higher pharma testing services and clinical-test growth following recent expanded Medicare reimbursement coverages.
- Clinical test volume increased 199% year-over-year and 33% sequentially to 10,384 tests.
- More than 1,400 physicians were ordering NeXT Personal.
- Medicare coverage approval was received for NeXT Personal immunotherapy monitoring for patients with late-stage solid tumors.
- Medicare coverage approval was received for NeXT Personal monitoring of neoadjuvant therapy response in Stage II-III Triple-Negative Breast Cancer or HER2-positive breast cancer.
Concerns
- Revenue from population sequencing (the VA MVP) decreased 9% to $3.0 million.
- Loss from operations was $(33,591) (In thousands), compared with $(21,804) (In thousands).
- Net loss was $(31,683) (In thousands), compared with $(20,056) (In thousands).
- Total costs and expenses were $55,948 (In thousands), compared with $39,007 (In thousands).
- The pending merger agreement with Tempus AI, Inc. has ended regular financial guidance and quarterly earnings conference calls.
What to watch
- Clinical adoption of NeXT Personal and the pace of clinical test-volume growth.
- Expansion of Medicare coverage and reimbursement into additional indications.
- Growth in pharma testing services and the timing and pace of customer specimen receipts.
- The timing and outcome of the proposed transaction between Personalis and Tempus AI, Inc.
- The company's expected more than a 500% increase in clinical revenue over last year.
Balance sheet and cash flow
- Ended the quarter with approximately $212.7 million in cash, cash equivalents, and short-term investments.
Analysis
Personalis reported $22.4 million of second-quarter revenue, up 30% from $17.2 million. The strongest reported growth came from clinical testing: clinical test revenue rose 442% to $2.6 million and clinical tests delivered rose 199% to 10,384. Volume also increased 33% sequentially, while the company said more than 1,400 physicians were ordering NeXT Personal. Management attributed clinical growth to a full quarter of covered lung cancer testing and Medicare coverage expansion for IO therapy monitoring.
The revenue mix showed meaningful strength in pharma testing services and all other customers, where revenue increased 51% to $16.8 million. This was partially offset by population sequencing revenue from the VA MVP, which declined 9% to $3.0 million. Related party revenue was $8.4 million, compared with $1.9 million, making related party activity a notable component of reported revenue.
Profitability remained pressured despite the top-line expansion. Cost of revenue was $17,614 (In thousands), research and development was $16,336 (In thousands), and selling, general and administrative expense was $21,998 (In thousands). Total costs and expenses increased to $55,948 (In thousands) from $39,007 (In thousands), producing a loss from operations of $(33,591) (In thousands) and net loss of $(31,683) (In thousands). Net loss per share, basic and diluted, was $(0.30), compared with $(0.23).
The company ended the quarter with approximately $212.7 million in cash, cash equivalents, and short-term investments. Personalis received Medicare coverage approvals for IO monitoring and neoadjuvant breast cancer monitoring during the quarter, expanding the reported covered indications to four. Management reiterated that it is on track for more than a 500% increase in clinical revenue over last year, but Personalis will no longer provide financial guidance or hold quarterly earnings calls following the July 20, 2026 announcement of its merger agreement with Tempus AI, Inc.
The primary operating items to monitor are whether the new Medicare coverage decisions translate into sustained clinical ordering and revenue, the continued pace of pharma testing services, and the expense base relative to revenue growth. The proposed Tempus transaction is also central because management identified regulatory approvals, shareholder adoption, transaction conditions, employee retention, and management disruption as risks associated with the pending acquisition.
Management, verbatim
We delivered another exceptional quarter of growth, highlighted by a 199% year-over-year and 33% sequential increase in clinical volume, with more than 1,400 physicians ordering NeXT Personal.
Chris Hall, Chief Executive Officer of Personalis
We remain firmly on-track to achieve more than a 500% increase in our clinical revenue over last year.
Chris Hall, Chief Executive Officer of Personalis
Not in the filing
stated, not guessed- Gross profit and gross margin
- Non-GAAP financial measures
- Operating cash flow
- Free cash flow
- Debt balance
- Capital expenditures
- Share repurchases
- Dividends
- Complete balance sheet
- Quarterly revenue sequential comparison
- Prior-quarter income-statement comparisons
- Numerical full-year 2026 revenue, gross margin, operating expense, or tax-rate guidance
- Driver for the decline in population sequencing (the VA MVP) revenue
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.