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EarningsQ2 2026 Earnings Report
TEM Q2 2026 EPS Results
Actual EPS-$0.04
Consensus EPS-$0.14
Beat/MissBeat by +$0.10
One Year Ago EPS-$0.22
TEM Q2 2026 Revenue Results
Actual Revenue$382.49M
Expected Revenue$379.69M
Beat/MissBeat by +$2.80M
YoY Revenue Growth+21.56%
Earnings Announcement Details
QuarterQ2 2026
Date07/30/2026
TimeAfter Close
Conference CallThursday, July 30, 2026
TEM Upcoming Earnings
Tempus AI, Inc. Class A's next earnings date is estimated for November 10, 2026, based on past reporting schedules.
Q2 2026 Earnings Call Audio
TEM Q2 2026 Earnings Call
0:00 / 0:00
Q2 2026 Earnings Slide Deck
Q2 2026 Earnings Call Summary
Earnings Call Sentiment|Positive
The call was strongly positive, with 22% total revenue growth, accelerating Data and Apps momentum, major FDA and foundation-model milestones, expanding pharma partnerships, improved profitability, higher guidance, and a rapidly growing MRD opportunity. The main challenges were slower hereditary testing growth, still-negative operating cash flow, limited current MRD sales-force deployment, pending xF approval, and uncertainty around the early whole-genome ramp.Company Guidance
Strong Second-Quarter Revenue Growth
Q2 revenue increased 22% year-over-year to $382.5 million, with the quarter being the first period in which Tempus was lapping Ambry as fully integrated into the results.
Diagnostics Revenue Growth and CGP Acceleration
Diagnostics revenue increased 20% year-over-year to $289.3 million. Higher growth in CGP testing, due to acceleration in the business, offset slower hereditary cancer testing growth.
Data and Apps Momentum
Data and Apps revenue increased 28% year-over-year to $93.2 million, while the Insights data licensing and modeling business grew 36% during the quarter. Management said June delivered some of the strongest growth seen to date across the portfolio.
FDA Approval for Tumor-Only xT CDx
Tempus received FDA approval for tumor-only xT CDx, enabling the migration of its entire solid tumor DNA portfolio to unified ADLT pricing. Management expects an estimated $200 uplift in ASP, equating to approximately $85 million of annual revenue beginning in 2027.
Potential xF Pricing and Revenue Uplift
The liquid biopsy xF assay is currently in front of the FDA, with approval and market entry expected in the latter half of 2027. Management now assumes a $7,500 ADLT price for xF and expects an incremental $550 ASP lift. Between xT CDx and xF approvals, Tempus anticipates approximately $400 million of revenue uplift in 2028.
Foundation Model Milestone with AstraZeneca
Tempus introduced initial results from and successfully delivered the first version of its foundation model to AstraZeneca. The model was used to predict patient responses in several public and blinded clinical trials, met AstraZeneca's acceptance criteria, and is expected to serve as a foundation for additional research and development work.
Expansion of Pharma Data Partnerships
Tempus signed a large multi-year data licensing and modeling agreement with BioNTech, adding to partnerships with AstraZeneca, GlaxoSmithKline, Bristol Myers Squibb, Merck, and others. The company also signed large deals with Daiichi Sankyo, LevelSet Bio, and Incyte Pharmaceuticals, contributing to approximately $200 million in total bookings during the quarter.
Improved Profitability and Financing Position
GAAP net income was $5.6 million and Adjusted EBITDA was $8 million, representing a $13.6 million year-over-year improvement. Tempus completed a $460 million offering of 0.0% convertible senior notes due 2032 and used part of the proceeds to repay an Ares Capital loan, which management said will save over $30 million annually in interest expense and enable positive free cash flow by year-end.
Higher Cash Balance and Improved Operating Cash Use
Cash equivalents and marketable securities increased to $820.7 million from $643.8 million in the prior quarter. Cash used in operating activities improved significantly to negative $7.5 million during the quarter.
Personalis Acquisition Expands MRD Offering
Tempus announced an agreement to acquire Personalis, bringing its minimal residual disease, or MRD, testing business in-house. Management described MRD as a $20 billion-plus market and one of the fastest-growing segments in oncology diagnostics, and said the acquisition will accelerate commercial adoption, round out the portfolio, and strengthen the company's multimodal data offering.
Rapid Growth in MRD Testing Volumes
Personalis-related MRD testing volumes increased from approximately 6,500 tests in Q1 to approximately 9,000 tests in Q2, a 38% quarter-over-quarter increase. Reimbursement is in place for several indications, with additional indications expected, and management said volumes could be materially higher as more sales representatives are equipped to sell NeXT.
Personalis Transaction Structure Intended to Limit Dilution
The Personalis transaction is structured as a 100% stock transaction, with Tempus having the option to elect cash for up to 50% of the consideration. Management is working to establish a debt facility and intends, depending on the stock price, to finance a large portion of the proceeds with debt to minimize shareholder dilution.
Raised 2026 Guidance
Tempus increased 2026 revenue guidance to $1.595 billion-$1.605 billion, representing approximately 25% growth. The company expects 2026 Adjusted EBITDA to be approximately $65 million, an improvement of about $72 million over 2025.
Strong Data Platform Demand and Long-Term Visibility
Management said the data business has experienced its strongest momentum in years, with customers increasingly seeking access to Lens, GPU provisioning, data uploads, and model development within the platform. The company reported a stronger pipeline and more demand than previously, with visibility into growth in 2026 and 2027, and is targeting long-term data business growth close to 30% plus.
GenomeNext Launch Outperformed Initial Expectations
The GenomeNext launch was approximately 50% above management's expectation within the first two or three weeks. Management said whole-genome testing could provide upside in the second half of the year and that the product was not yet cannibalizing the whole-exome business.
Improving Hereditary Growth Target
Management is seeking to ramp hereditary growth rates to mid-teens growth by the end of the year, supported in part by the GenomeNext launch and potential whole-genome growth.
Higher Algorithm Attach Rate
The solid-tumor algorithm attach rate increased to 45% in Q2 from 40% in Q1. Management said adoption was broad-based across its algorithm suite, and core diagnostic volume growth accelerated to 31% in Q2.
Capacity to Continue Strategic Investment
Management said the core business is generating increasing gross margin and gross profit dollars, allowing Tempus to make incremental long-term investments, including sales-force expansion, while remaining EBITDA-positive and cash-flow-positive.
TEM Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed