Precipio Reports 30% Revenue Growth to $24M for Fiscal Year 2025

Precipio, Inc., a healthcare biotechnology company focused on improving cancer diagnostics, reported a significant increase in its financial performance for the fiscal year ending December 31, 2025. The company achieved net sales of $24.0 million, a 30% increase from $18.5 million in 2024. This growth was primarily driven by a 34% rise in service revenue, which reached $21.3 million, attributed to a higher volume of processed cases, increasing from 11,894 in 2024 to 15,470 in 2025. Product revenue also saw a modest increase of 5%, totaling $2.7 million.

Despite the revenue growth, Precipio recorded an operating loss of $1.2 million, an improvement from a loss of $4.2 million in the previous year. The company’s gross profit rose to $10.7 million, with a gross margin of 45%, up from 41% in 2024. Operating expenses remained relatively stable at $11.9 million, reflecting ongoing investments in personnel and operational capabilities. The company’s accumulated deficit stood at $102.8 million as of December 31, 2025, indicating the challenges it faces in achieving sustained profitability.

Strategically, Precipio has focused on enhancing its integrated operating model, which combines clinical laboratory services with proprietary diagnostic product development. This dual structure supports rapid innovation and cost-effective research and development. The company operates two clinical laboratories in New Haven, Connecticut, and Omaha, Nebraska, which are crucial for its diagnostic testing and product validation processes. Additionally, Precipio has made strides in expanding its product offerings, including proprietary diagnostic assays designed for use by clinical laboratories.

Operationally, Precipio has seen a notable increase in customer engagement, with a significant rise in the number of cases processed. The company has also been proactive in managing its cash flow, reporting net cash provided by operating activities of $0.7 million for the year. As of December 31, 2025, Precipio had cash reserves of $2.7 million and working capital of $2.3 million, reflecting a positive shift from a working capital deficit of $0.8 million in the previous year. However, the company continues to face uncertainties regarding its ability to sustain operations and meet financial obligations, raising concerns about its long-term viability.

Looking ahead, Precipio's management has expressed optimism about its growth strategy, which includes expanding its proprietary diagnostic products and maintaining robust pathology services operations. However, the company acknowledges the risks associated with market competition, regulatory changes, and the need for additional capital to support its initiatives. The outlook remains cautious, with substantial doubt about its ability to continue as a going concern over the next twelve months unless it can successfully execute its business plan and secure necessary financing.