Adaptive Biotechnologies Reports Fourth Quarter and Full Year 2024 Financial Results

Core Insights - Adaptive Biotechnologies reported strong execution in 2024, with significant growth in its Minimal Residual Disease (MRD) business and advancements in Immune Medicine programs [2][4] - The company aims to achieve profitability in its MRD business and advance its therapeutics pipeline while maintaining a durable cash position for sustainable growth [2] Financial Performance - Fourth quarter 2024 revenue was $47.5 million, a 4% increase from the same quarter in the previous year [4] - MRD revenue for the fourth quarter was $40.1 million, reflecting a 31% increase year-over-year, while Immune Medicine revenue decreased by 51% to $7.3 million [4][9] - For the full year 2024, total revenue was $179.0 million, a 5% increase from 2023, with MRD revenue at $145.5 million (42% increase) and Immune Medicine revenue at $33.4 million (51% decrease) [9][11] Operating Expenses - Operating expenses for Q4 2024 were $81.3 million, down 30% from $116.9 million in Q4 2023, excluding a $25.4 million lease impairment charge [5] - For the full year 2024, operating expenses totaled $341.5 million, a 14% decrease from $397.3 million in 2023 [10] Net Loss and Adjusted EBITDA - The net loss for Q4 2024 was $33.7 million, significantly reduced from $69.5 million in Q4 2023 [6] - Adjusted EBITDA for Q4 2024 was a loss of $16.4 million, an improvement from a loss of $24.7 million in the same quarter of the previous year [7] Key Business Highlights - clonoSEQ test volume increased by 34% to 20,945 tests delivered in Q4 2024, ending the year with 76,105 tests delivered, a 35% increase from 2023 [8] - The company received an updated Medicare Clinical Laboratory Fee Schedule for clonoSEQ, increasing the reimbursement rate by 17% to $2,007 per test [8] - The FDA's Oncologic Drug Advisory Committee voted unanimously in favor of using MRD as a primary endpoint for accelerated approval of new therapies for multiple myeloma [8] - An exclusive strategic partnership was signed with NeoGenomics to cross-promote clonoSEQ tests alongside NeoGenomics' services [8] 2025 Financial Guidance - The company expects full-year revenue for the MRD business to be between $175 million and $185 million, with total operating expenses projected between $340 million and $350 million [12]