Interpace Biosciences Reports 29% Revenue Decline in Q3 2025

Interpace Biosciences, Inc. reported a significant decline in financial performance for the third quarter of 2025, with net revenue decreasing by 29% to $8.8 million compared to $12.3 million in the same period of 2024. For the nine months ended September 30, 2025, revenue totaled $29.5 million, down 15% from $34.5 million in the prior year. The decrease in revenue was primarily attributed to the loss of Medicare reimbursement for the PancraGEN® test, which was discontinued following a local coverage determination by Medicare that took effect in April 2025. The company recorded a net income of $911,000 for the third quarter, down from $1.7 million in the previous year, and a net income of $1.9 million for the nine-month period, compared to $4.8 million in 2024.

In response to the loss of reimbursement for PancraGEN®, Interpace implemented a restructuring plan that included workforce reductions, resulting in severance costs of approximately $0.7 million for the nine months ended September 30, 2025. Operating income from continuing operations for the third quarter was $1.1 million, down from $2.3 million in the same quarter of 2024. The company’s total operating expenses decreased to $4.3 million for the third quarter, compared to $5.6 million in the prior year, reflecting cost containment efforts amid declining revenues.

Operationally, Interpace's total current assets fell to $9.1 million as of September 30, 2025, down from $11.8 million at the end of 2024. Cash and cash equivalents were reported at $1.4 million, with current liabilities decreasing to $5.9 million from $10.6 million. The company’s employee headcount was impacted by the restructuring, although specific figures were not disclosed. The loss of the PancraGEN® test has also led to a reevaluation of the company’s product offerings and market strategy, as it seeks to align its operations with the current regulatory environment.

Looking ahead, Interpace plans to address its capital needs through improved cash flow management, collection of accounts receivable, and potential financing options. The company continues to explore strategic alternatives, including equity and debt financing, to enhance liquidity. Despite the challenges posed by the loss of reimbursement for PancraGEN®, Interpace anticipates that its current cash reserves and projected cash receipts will be sufficient to meet its operational needs over the next twelve months. The company remains focused on its core business of molecular diagnostics and is committed to adapting its strategies in response to market conditions and regulatory changes.