NeoGenomics (NEO) Q3 2026 Earnings Report

The call was strongly positive, marked by 11% total revenue growth, 29% NGS growth, more than 300 basis points of adjusted gross-margin expansion, 53% adjusted EBITDA growth, and higher 2026 revenue and EBITDA guidance. Management also highlighted expanding MRD reimbursement, payer wins, product upgrades, sales-force investment, and a leadership transition occurring from a position of strength. The principal challenges were declining nonclinical revenue, legacy pharma pressure, near-term unreimbursed MRD testing, temporary receivables and cash-flow effects, and potential PAMA-related EBITDA pressure, but these issues were presented as manageable relative to the company's growth momentum.

NeoGenomics raised full year '26 revenue guidance to a range of $807 million to $809 million, representing full year revenue growth of approximately 11% at the midpoint, with clinical business growth in the low-teens, NGS revenue growth of more than 25% and approaching approximately $250 million in 2026, no change to PanTracer Liquid or RaDaR ST revenue assumptions, and nonclinical business down low double digits year-over-year; fourth quarter revenue growth is expected to be approximately 11%, adjusted gross margin improvement for the full year well over 150 basis points, implying fourth quarter gross margin of approximately 48%, and full year '26 adjusted EBITDA approximately $60 million, representing year-over-year growth of approximately 40%; AUP growth was guided in the high single digits and volume growth in the low single digits, with volume and AUP expected to track back to the mid-single digit in a normal environment, two additional RaDaR ST indications are expected to receive reimbursement, one potentially by year-end and the other by mid-2027, the heme NGS portfolio is expected to transition to NovaSeq X in the first half of 2027, and pharma could be slightly positive in '27, with legacy pharma a low single-digit kind of decline and net-net slightly up.