GeneDx (US:WGS)2025-10-28 10:43Financial Performance - Reported revenues for Q3 2025 were $116.7 million, representing a 52% year-over-year increase[8] - Exome and genome test revenue reached $98.9 million, a 65% increase year-over-year, with test volume growing to 25,702, up 33% year-over-year[7] - Total revenue for Q3 2025 was $116.743 million, up 52.0% from $76.874 million in Q3 2024[27] - Diagnostic test revenue for Q3 2025 reached $113.523 million, a 46.5% increase from $77.418 million in Q3 2024[27] - Adjusted net income for Q3 2025 was $14.7 million, compared to $2.0 million in Q3 2024, while GAAP net loss was $7.6 million[9] - The net loss for Q3 2025 was $7.635 million, a slight improvement from a net loss of $8.312 million in Q3 2024[27] - Basic and diluted loss per share for Q3 2025 was $0.27, compared to $0.31 in Q3 2024[27] - Net loss for the nine months ended September 30, 2025, was $3.355 million, a significant improvement from a net loss of $57.724 million in the same period of 2024[29] Margins and Expenses - Adjusted gross margin expanded to 74%, up from 64% in Q3 2024, while GAAP gross margin was 72%[5] - Gross profit for Q3 2025 was $84.527 million, resulting in a gross margin of 72.4%, compared to a gross margin of 62.2% in Q3 2024[27] - Research and development expenses increased to $19.829 million in Q3 2025, up from $11.665 million in Q3 2024, reflecting a 70.0% increase[27] - Stock-based compensation expense rose significantly to $22.382 million from $6.293 million in the prior year[29] - The company reported a depreciation and amortization expense of $18.343 million, up from $16.395 million in the previous year[29] Cash and Assets - Cash position as of September 30, 2025, was $156.1 million, with $8.8 million in free cash flow generated during Q3 2025[12] - Total current assets as of September 30, 2025, were $237.583 million, an increase from $197.968 million as of December 31, 2024[25] - Total assets increased to $493.902 million as of September 30, 2025, compared to $419.380 million as of December 31, 2024[25] - Cash, cash equivalents, and restricted cash at the end of the period totaled $96.958 million, up from $58.881 million at the end of the previous year[29] - Net cash provided by operating activities was $36.369 million, compared to a net cash used of $25.313 million in the prior year[29] Liabilities and Equity - Total liabilities as of September 30, 2025, were $201.644 million, up from $174.133 million as of December 31, 2024[25] - Stockholders' equity increased to $292.258 million as of September 30, 2025, compared to $245.247 million as of December 31, 2024[25] Business Developments - GeneDx is the sole commercial testing provider for new genomic newborn screening programs, including the NIH BEACONS initiative[7] - FDA granted Breakthrough Device Designation for GeneDx ExomeDx™ and GenomeDx™ tests, enhancing the company's leadership in genomic medicine[14] - Introduced GeneDx Infinity, the largest rare disease dataset, which supports the ExomeDx™ and GenomeDx™ tests[13] - Expanded coverage of whole genome sequencing with California Medicaid, increasing access to testing in the most populous state[13] Guidance and Future Outlook - Full year 2025 revenue guidance raised to between $425 million and $428 million, with expected growth in exome and genome revenue between 53% to 55%[11] - The company incurred $33.195 million for the acquisition of a business, net of cash acquired[29] - Proceeds from offerings, net of issuance costs, amounted to $25.568 million, an increase from $14.589 million in the prior year[29] - Cash paid for interest was $4.835 million, slightly down from $5.035 million in the previous year[29] - Cash paid for taxes increased to $1.039 million from $910,000 in the prior year[29] - The company experienced a change in accounts receivable of $(22.799) million, compared to $(5.850) million in the previous year[29]