Tempus AI, Inc. (TEM) recently announced a collaboration with Genialis, the RNA-biomarker company. The multi-year agreement allows Genialis to leverage Tempus’ multimodal dataset to develop new RNA-based algorithms across cancer types.The collaboration between Tempus and Genialis is likely to prove beneficial by combining the former’s expertise in clinical and molecular data with the latter’s AI-driven analytics. Together, they aim to develop advanced RNA-based biomarker algorithms, which can improve the ac ...

Tempus AI (TEM) , an innovator in artificial intelligence-based healthcare solutions, has been attracting investors' interest since its successful IPO in June 2024. The company’s stock has demonstrated impressive growth over the past six months, fueled by investor enthusiasm for AI-driven advancements and the company’s interesting financial performance.In the past six months, the stock has rallied 22.8%, outperforming the 16.5% rise of the Medical Info Systems industry and the benchmark’s 6.8% increase. In ...

Tempus AI, Inc.’s (TEM) investors have been encountering short-term losses from the stock of late. Shares of the Chicago, IL-based healthcare technology company focused on adopting artificial intelligence (AI) to advance precision medicine and patient care have plunged 28.9% in the past three months, underperforming the industry’s 0.6% gain. In the same time frame, the stock underperformed the sector and S&P 500’s 12.4% loss and 5.1% growth, respectively.Two major developments from TEM this month include th ...

Tempus AI TodayTEMTempus AI$33.03 -1.26 (-3.67%) 52-Week Range$22.89▼$79.49Price Target$56.00Add to WatchlistIn mid-August, around two months after Tempus AI’s NASDAQ: TEM initial public offering (IPO), the stock was up a marvelous 93%. However, shares have experienced wild volatility and are now 8% below their opening price of $37 as of the Dec. 18 close. Overall, Wall Street analysts seem to believe shares have fallen much too far. The average price target implies shares could rise 74% from their Dec. 18 ...

It is often difficult for investors to gauge success for recent IPOs, as there are many factors to take into consideration. In the event of Tempus AI (NASDAQ: TEM ), there are many long-term drivers to love aboutAnalyst’s Disclosure: I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than f ...

Shares of Tempus AI (TEM) gained 18.4% after it announced an agreement, on Nov. 4, 2024, to acquire Ambry Genetics for $600 million. This acquisition will likely help Tempus revolutionize healthcare by integrating cutting-edge genetic testing with AI-driven insights, especially testing capabilities for inherited cancer risk. Per the acquisition deal, Tempus AI's total consideration for Ambry includes $375 million in cash and $225 million in equity. The deal is anticipated to be closed in the first quarter o ...

Tempus AI, Inc. (NASDAQ:TEM) Q3 2024 Earnings Conference Call November 4, 2024 4:30 PM ET Company Participants Liz Krutoholow – Investor Relations Eric Lefkofsky – Founder and Chief Executive Officer Jim Rogers – Chief Financial Officer Conference Call Participants Tejas Savant – Morgan Stanley Rachel Vatnsdal – JPMorgan Michael Ryskin – Bank of America Daniel Brennan – TD Cowen Ryan MacDonald – Needham Andrew Brackmann – William Blair Operator Thank you for standing by. My name is Briana, and I will be you ...

TEMPUS 1 Tempus AI, Inc. Investor Presentation NOVEMBER 2024 Disclaimer 2 This presentation contains forward-looking statements that reflect Tempus AI, Inc.'s (the "Company" or "Tempus") current expectations and projections with respect to, among other things, its and Ambry Genetics' (Ambry) financial condition, results of operations, plans, objectives, future performance and business. Forward-looking statements include all statements that are not historical facts. Such forward-looking statements are subjec ...

Tempus AI, Inc. (TEM) reported third-quarter 2024 adjusted loss per share of 25 cents, which beat the Zacks Consensus Estimate of a loss of 27 cents per share by 7.4%.GAAP loss per share was 46 cents, narrower than prior-year quarter’s loss of $1.03 per share.Stay up-to-date with all quarterly releases: See Zacks Earnings Calendar.Revenue DetailsRevenues totaled $180.9 million, beating the Zacks Consensus Estimate by 1.8%. The top line also improved 32.9% on a year-over-year basis.Segmental AnalysisGeonomic ...

Financial Performance - Total revenue for the three months ended September 30, 2024 was $180.9 million, compared to $136.1 million in the same period in 2023, representing a 32.9% increase[165] - Net losses for the three months ended September 30, 2024 were $75.8 million, compared to $53.4 million in the same period in 2023[165] - Adjusted EBITDA for the three months ended September 30, 2024 was $(21.8) million, compared to $(36.2) million in the same period in 2023[165] - Total net revenue increased from $136.1 million to $180.9 million for the three months ended September 30, 2024 compared to the same period in 2023, a 33% increase[202] - Adjusted EBITDA improved to $(96.9) million for the nine months ended September 30, 2024, compared to $(119.1) million in the same period in 2023[234] - The company had an accumulated deficit of $2.1 billion as of September 30, 2024, with cash, cash equivalents, and restricted cash totaling $388.9 million[235][237] - Net cash used in operating activities for the nine months ended September 30, 2024 was $149.8 million, driven by a net loss of $692.8 million[247][248] - Cash used in investing activities for the nine months ended September 30, 2024 was $122.4 million, including a $95.2 million investment in a joint venture[250] - Cash provided by financing activities for the nine months ended September 30, 2024 was $494.5 million, primarily from IPO proceeds and Series G-5 Preferred Stock issuance[252] Revenue Growth and Breakdown - Genomics revenue increased from $96.8 million to $116.4 million for the three months ended September 30, 2024 compared to the same period in 2023, a 20% increase[202] - Data and services revenue increased from $39.2 million to $64.5 million for the three months ended September 30, 2024 compared to the same period in 2023, a 64% increase[202] - Genomics revenue increased by $60.5 million (22%) for the nine months ended September 30, 2024, primarily due to a rise in oncology NGS tests from 159,400 to 198,200[217] - Data and services revenue increased by $48.1 million (42%) for the nine months ended September 30, 2024, driven by $43.4 million from Insights products and new customer adoption[218] - Total net revenue increased by $108.6 million (28%) for the nine months ended September 30, 2024, with Genomics contributing $60.5 million and Data and services contributing $48.1 million[216] Expenses and Costs - Cost of revenues increased by $54.2 million (30%) for the nine months ended September 30, 2024, primarily due to $20.5 million in stock-based compensation and $16.4 million in material and service costs[220] - Technology research and development expenses increased by $65.2 million (92%) for the nine months ended September 30, 2024, driven by $54.4 million in stock-based compensation and $9.4 million in personnel-related costs[222] - Selling, general and administrative expenses increased by $30.0 million (42%) in Q3 2024, primarily due to $12.6 million in stock-based compensation and $7.9 million in personnel-related costs[210] - Research and development expenses increased by $53.4 million (81%) to $119.7 million for the nine months ended September 30, 2024, driven by $44.8 million in stock-based compensation, $2.2 million in validation fees, and $5.3 million in personnel costs[223] - Selling, general, and administrative expenses rose by $432.4 million (204%) to $644.1 million, primarily due to $389.6 million in stock-based compensation and increases in personnel, software, and cloud storage costs[224] - Stock-based compensation expense recognized during the nine months ended September 30, 2024 was $509.4 million[258] Investments and Financing - The company completed its IPO on June 17, 2024, issuing 11,100,000 shares of Class A common stock at $37.00 per share, with net proceeds of $382.0 million[168] - The company entered into a Securities Purchase Agreement to acquire Ambry Genetics Corporation for $375.0 million in cash and 4,843,136 shares of Class A common stock[166] - The company secured a $100 million senior secured revolving credit facility and $200.0 million in additional term loans to fund the Ambry Genetics acquisition[167] - Net proceeds from the IPO in June 2024 were $382.0 million, and the company raised $200.0 million in a private placement in April 2024[237] - Term Loan Facility increased to $260 million after two amendments, with interest rates adjusted by 25 basis points and 7.25% for Term SOFR borrowings[241] - Convertible Promissory Note with Google reduced to $250 million, with principal reductions based on Google Cloud Platform usage[243][244] Partnerships and Commitments - AstraZeneca committed to spend a minimum of $220 million on the company's products and services through December 31, 2028, with potential to increase to $320 million[174] - GlaxoSmithKline committed to spend a minimum of $180 million on the company's products and services through December 31, 2027, with potential for an additional $120 million[176] - Recursion Pharmaceuticals agreed to pay up to $160 million in license fees over five years for access to the company's proprietary database and services[177] Product and Service Offerings - The company's Genomics product line leverages next-generation sequencing and other molecular pathology testing to generate structured, de-identified data for commercialization[164] - The company's offerings have been used by more than 7,000 physicians and over 200 biotech companies, including 19 of the 20 largest public pharmaceutical companies based on 2023 revenue[182] - The number of oncology NGS tests increased from approximately 55,700 tests for the three months ended September 30, 2023 to approximately 69,000 tests for the three months ended September 30, 2024[203] - Data and services revenue increased by $23.3 million in Q3 2024, driven by higher demand for Insights products and growth from existing and new customers[204] Interest and Other Financial Metrics - Interest income increased by $3.3 million (223%) in Q3 2024, driven by higher cash on hand[211] - Interest expense increased by $1.4 million (11%) in Q3 2024, primarily due to compounding interest on the Amended Note[212] - Other (expense) income, net decreased by $13.8 million (-604%) in Q3 2024, driven by a $45.6 million increase in expense related to the change in fair value of warrant liability[213] - Interest income increased by $1.7 million (29%) to $7.5 million, driven by higher cash on hand as of September 30, 2024[225] - Interest expense rose by $7.0 million (21%) to $40.3 million, primarily due to compounding interest on debt and additional borrowings[225] - Other (expense) income, net, decreased by $25.7 million (-325%) to $(17.8) million, driven by a $50.4 million increase in warrant liability fair value expense[226] - Losses from equity method investments increased by $1.4 million (462%) to $1.7 million, due to losses from a joint venture entered into in July 2024[228] Reimbursement and Testing Metrics - As of December 31, 2023, the company had received payment on approximately 50% of its clinical oncology NGS tests across all payers performed from January 1, 2021 through December 31, 2022[184] - The company's average reimbursement for NGS tests in oncology was approximately $916 and $1,452 for the years ended December 31, 2022 and 2023, respectively[184] Risk Factors - Company is exposed to interest rate risk and foreign currency risk, with no material impact from a hypothetical 10% change in foreign currency exchange rates[262][264] - Inflation risk could impact future operating results, though no material impact has been observed to date[265] - Majority of revenue generated in the United States, with insignificant foreign currency-denominated revenue as of September 30, 2024[264] - Hypothetical 10% change in foreign currency exchange rates would not materially impact financial condition or results of operations as of September 30, 2024[264] - No hedging arrangements in place for foreign currency risk as of September 30, 2024[264] - Company exposed to inflation risk, including increases in raw material and overhead costs[265] - Inflation has not materially impacted financial position or results of operations to date[265] - High future inflation rates may adversely affect gross margin and operating expenses as a percentage of revenue[265] Future Outlook and Requirements - The company anticipates increased capital expenditure requirements due to higher demand for its tests and potential expansion of laboratory capacity[236] - Company required to generate consolidated revenues of $459.1 million and $594.1 million for the years ending December 31, 2024 and 2025, respectively[242]