NEW YORK, March 23, 2026 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP continues its investigation on behalf of Fulgent Genetics Inc. (“Fulgent” or the “Company”) (NASDAQ:FLGT) investors concerning the Company’s and/or members of its senior management’s possible violation of the federal securities laws and other unlawful business practices. [LEARN MORE ABOUT THE INVESTIGATION] What Happened? On February 27, 2026, Fulgent issued a press release reporting its fourth quarter and full year 2025 financ ...

Core Viewpoint - Fulgent Genetics Inc. is under investigation for potential violations of federal securities laws following a significant drop in its stock price after issuing lower-than-expected guidance for 2026 [3][4]. Group 1: Company Performance - On February 27, 2026, Fulgent reported its fourth quarter and full year 2025 financial results, which included guidance for 2026 that was lower than market expectations [3]. - The decline in guidance was attributed to the company's largest customer moving a significant volume of its work in-house [3]. - Following the announcement, Fulgent's share price fell by $9.43, or approximately 38.1%, from $24.76 on February 26, 2026, to $15.33 on February 27, 2026 [3]. Group 2: Legal Investigation - Kirby McInerney LLP is conducting an investigation on behalf of Fulgent investors regarding possible violations of federal securities laws or other unlawful business practices by the company or its senior management [1][4]. - As of now, no lawsuit has been filed, and the investigation is ongoing to determine if claims can be brought under federal securities laws [4].

Mar 17, 2026 6:00 PM Eastern Daylight Time FULGENT GENETICS INC. INVESTOR ALERT: Kirby McInerney LLP Announces Investigation Into Potential Securities Fraud On February 27, 2026, Fulgent issued a press release reporting its fourth quarter and full year 2025 financial results. Among other items, Fulgent provided lower-than-expected guidance for 2026, "reflect[ing] the impact of [its] largest customer moving a significant volume of its work in-house[.]†On this news, the price of Fulgent shares declined by $9. ...

Core Viewpoint - The Portnoy Law Firm has initiated an investigation into potential securities fraud involving Fulgent Genetics, Inc. and may file a class action on behalf of investors [1]. Group 1: Stock Performance and Financial Impact - Fulgent's stock price dropped by $9.43 per share, or 38.09%, closing at $15.33 per share on February 27, 2026, significantly impacting investors [3]. - The decline in stock value was primarily driven by lower-than-expected guidance for 2026, attributed to the Company's largest customer moving a significant volume of work in-house [3]. - This strategic shift by a key partner fundamentally altered Fulgent's projected revenue streams and growth trajectory, leading to a severe erosion of shareholder value [3]. Group 2: Legal Actions and Investor Support - Investors are encouraged to contact attorney Lesley F. Portnoy for legal rights discussions or to join the case, with options for pursuing claims to recover losses [2]. - The Portnoy Law Firm has a history of recovering over $5.5 billion for aggrieved investors, indicating a strong track record in handling corporate wrongdoing cases [4].

Core Viewpoint - Lowey Dannenberg P.C. is investigating Fulgent Genetics, Inc. for potential violations of federal securities laws following the company's financial results for 2025, which fell short of expectations [1][2]. Financial Performance - Fulgent reported full year 2025 revenue of approximately $322.7 million, which was slightly below the updated guidance previously provided [2]. - The company also indicated a sequential decline in revenue for the fourth quarter [2]. Legal Investigation - The investigation by Lowey Dannenberg focuses on potential corporate fraud and malfeasance that may have led to financial losses for investors [1][4].

分组1 - Fulgent Genetics experienced a significant stock decline of nearly 40% following the Q4 2025 earnings report, primarily due to the announcement of the departure of a key executive [1] - The decline in stock value may be attributed to multiple factors, indicating potential underlying issues within the company [1] 分组2 - The article reflects a value investing perspective, emphasizing the importance of identifying rare and exceptional buying opportunities in the market [1] - The author highlights a focus on deep value plays through various analytical methods, including net current asset value analysis and conservative discounted cash flow calculations [1]

Core Insights - The company is focused on the development of transcript-related projects, indicating a commitment to enhancing their offerings in this area [1] Group 1 - The company publishes thousands of quarterly earnings calls each quarter, showcasing significant growth and expansion in their coverage [1]

Group 1 - The article does not provide any relevant content regarding company or industry insights [1]

Core Insights - The company has made significant progress in its laboratory services and therapeutic development business, with a focus on digital pathology and AI technology, which are expected to enhance efficiency and throughput [6][12][20] - The company anticipates a transition period in 2026 due to a major customer moving testing in-house, which will impact revenue but is expected to be offset by strategic acquisitions [7][26][27] - The company is actively pursuing acquisitions to strengthen its laboratory services and expand its client base, with a notable acquisition of Bako Diagnostics and StrataDx planned [15][16][25] Financial Performance - For the fourth quarter of 2025, total revenue was $83.3 million, a 9% increase year-over-year, while full-year revenue reached $322.7 million, up approximately 14% from 2024 [14][21] - The gross margin for Q4 2025 was 41% on a non-GAAP basis and 39.1% on a GAAP basis, with full-year gross margins improving due to operational efficiencies [21][22] - Non-GAAP operating expenses for Q4 were $43.1 million, reflecting an increase due to acquisition-related costs and other expenses [22] Strategic Initiatives - The company launched new products in 2025, including RNA-integrated whole genome sequencing, which contributed to revenue growth [7][8] - The therapeutic development pipeline is progressing, with clinical candidates FID-7 and FID-22 advancing through trials, with FID-7 showing promising early efficacy [8][10][11] - The company is investing in AI and digital pathology solutions, which are expected to enhance service efficiency and precision [12][19] Customer Dynamics - The largest customer accounted for $70.8 million in revenue in 2025, but this is expected to decline significantly in 2026 as they transition testing in-house [26][35] - The company plans to mitigate the revenue loss by leveraging the anticipated contributions from the Bako and StrataDx acquisitions, which are expected to generate approximately $50 million to $55 million in revenue [27][36] Future Outlook - The company forecasts total revenues of approximately $350 million for 2026, representing an 8.5% year-over-year growth, with a strong pipeline for customer opportunities in Precision Diagnostics [27][30] - Non-GAAP gross margins are expected to be slightly above 40% for the full year 2026, with anticipated lower margins in the first half due to the impact of the largest customer's transition [28][29] - The company is committed to maintaining a strong cash position, with expectations to end 2026 with approximately $606 million to $685 million in cash and equivalents [31][59]

Financial Data and Key Metrics Changes - Full year revenue for 2025 totaled $322.7 million, growing approximately 14% compared to $283.5 million in 2024, slightly short of updated guidance but ahead of original guidance [17] - Q4 revenue was $83.3 million, a decrease from $84.1 million in Q3 2025, primarily due to lower volume from the largest customer transitioning testing in-house [17][18] - Gross margin for Q4 on a non-GAAP basis was 41%, while GAAP gross margin was 39.1% [17] - GAAP loss for Q4 was $23.4 million, an increase from a loss of $6.6 million in the prior quarter [19] Business Line Data and Key Metrics Changes - Precision diagnostics revenue for Q4 was $48.2 million, an increase of 11% year-over-year but down 5% sequentially [11] - Anatomic pathology (AP) revenue for Q4 was $27 million, an increase of 3% year-over-year and up 4% sequentially [11] - Biopharma services revenue was $8.1 million, a 32% increase year-over-year and 10% sequentially [12] - For the year, precision diagnostics revenue was $190.5 million, a 14% increase over 2024, while AP revenue was $106.4 million, a 10% increase [12] Market Data and Key Metrics Changes - The largest customer accounted for $70.8 million, or 22% of total revenue in 2025, with expectations of a sharp decline in revenue from this customer in 2026 [21] - The anticipated contribution from the acquisition of Bako and StrataDx is approximately $50 million-$55 million, expected to close in March 2026 [22] Company Strategy and Development Direction - The company is focused on scaling efficiently and driving innovation across service offerings while managing spending and integrating strategic acquisitions [25] - Investments in AI and digital pathology are expected to enhance operational efficiency and improve service quality [15][16] - The company plans to submit a request to the FDA for FID-007 in Q2 2026 and anticipates presenting interim findings at ASCO in June 2026 [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in recovering from the loss of the largest customer, citing ongoing R&D efforts and new product introductions [39] - The first half of 2026 is expected to be impacted by the transition of the largest customer's testing in-house, but long-term growth opportunities remain strong [10][21] - The company anticipates total revenues of approximately $350 million for 2026, representing an 8.5% year-over-year growth [22] Other Important Information - The company announced intentions to acquire Bako Diagnostics and StrataDx for a total purchase price of $55.5 million, pending regulatory approvals [12][13] - The company received approval from New York State for proprietary NIPT offering and whole genome sequencing tests, opening new markets [14] Q&A Session Summary Question: Revenue loss from the largest customer - Management confirmed the revenue loss from the largest customer is approximately 70% for 2026, with expectations of $11.8 million from this customer [30][31] Question: Mitigation strategies for customer loss - Management discussed growth in the customer pipeline and emphasized the strength of their Beacon test and whole genome sequencing as key drivers for growth [34][35] Question: Capital allocation strategy post-acquisition - Management indicated a focus on AI capabilities and potential synergies from the acquisitions, with plans to balance organic investments and M&A opportunities [40][41] Question: Impact of customer loss on gross margins - Management acknowledged gross margin headwinds due to the loss of the largest customer but expects a rebound in the second half of 2026 [46][47] Question: Sales synergies from Bako acquisition - Management highlighted the addition of 20-30 new sales representatives and the potential for cross-selling between Fulgent and Bako products [51]