Tempus AI Reports 75% Revenue Growth to $255.7 Million, Net Loss Increases to $68 Million

Tempus AI, Inc. reported significant financial developments in its latest quarterly filing for the period ending March 31, 2025. The company achieved total net revenue of $255.7 million, a 75% increase from $145.8 million in the same period last year. This growth was primarily driven by a substantial rise in its Genomics segment, which generated $193.8 million, up from $102.6 million, and a 43% increase in Data and Services revenue, which reached $61.9 million compared to $43.3 million in the prior year. Despite this revenue growth, Tempus recorded a net loss of $68.0 million, slightly higher than the $64.7 million loss reported in the previous year.

The company’s financial position saw notable changes, with total assets increasing to $1.54 billion from $926.1 million at the end of 2024. This increase was largely attributed to the acquisition of Ambry Genetics, which added $252.3 million in goodwill and $399.5 million in intangible assets. The acquisition, completed on February 3, 2025, was part of Tempus's strategy to enhance its testing capabilities and expand into new disease categories. Additionally, the company acquired Deep 6 AI, Inc. in March 2025, further strengthening its position in the healthcare technology sector.

Operationally, Tempus reported a significant increase in the volume of tests performed, with approximately 153,000 tests conducted in the first quarter of 2025, compared to around 62,700 tests in the same period of 2024. The company also noted an increase in average revenue per Oncology test, which rose from approximately $1,450 to $1,590, driven by improved Medicare reimbursement rates. The total number of physicians using Tempus's services exceeded 7,500, and the company has established partnerships with over 200 biotech firms, including 19 of the 20 largest public pharmaceutical companies.

Looking ahead, Tempus anticipates continued investment in research and development, with $35.9 million allocated in the first quarter of 2025, up from $24.3 million in the previous year. The company aims to expand its product offerings and enhance its technology platform to support growth. Despite the current losses, Tempus believes its existing cash reserves, along with anticipated cash flows from operations, will be sufficient to meet its liquidity needs for at least the next twelve months. The company remains focused on securing reimbursement from payers and expanding its customer base to drive future revenue growth.