Financial Data and Key Metrics Changes - Revenue for Q3 2025 was $19.5 million, a 23% increase from $15.9 million in Q3 2024, continuing a trend of accelerating growth [26][32] - Adjusted gross margin remained flat at 73.1% year-over-year, despite a 40% increase in data processed by the platform [12][28] - Adjusted EBITDA loss was $10.2 million, an 8% increase from the prior year loss of $9.4 million, indicating improved operating leverage when excluding certain charges [31][33] Business Line Data and Key Metrics Changes - The company signed 31 new customers in Q3, bringing the total for 2025 to 94, surpassing the 92 customers signed in all of 2024 [5][18] - Revenue from the US market grew 30% year-over-year, contributing significantly to overall growth [7][15] - HMONK analysis volumes grew 18% year-over-year, while liquid biopsy testing saw over 2,000 analyses conducted in Q3, marking a 300% increase year-over-year [16][26] Market Data and Key Metrics Changes - EMEA region experienced a 24% revenue growth, with the UK and Belgium growing 120% and 70% respectively [15] - Asia-Pacific saw a 35% increase in analysis volume, with Japan beginning to contribute revenue as partnerships ramp up [16][19] - Latin America showed softness, but recent booking momentum suggests potential for recovery [16] Company Strategy and Development Direction - The company is focused on expanding its customer base and increasing the adoption of its applications, particularly in the US and liquid biopsy markets [5][10] - Strategic partnerships, such as with AstraZeneca for liquid biopsy testing, are expected to enhance market access and drive future growth [10][20] - The introduction of SOPHiA DDM Digital Twins aims to leverage multimodal data for better treatment decisions, indicating a shift towards more advanced AI-driven solutions [11] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the business's momentum, citing strong customer signings and a healthy pipeline for future growth [36] - The company raised its 2025 revenue guidance to $75 million-$77 million, reflecting optimism about continued growth [32][33] - Management acknowledged challenges such as elevated social charges and foreign exchange impacts but emphasized ongoing efforts to optimize costs and maintain growth [30][33] Other Important Information - The company analyzed over 99,000 patients across 70 countries in Q3, showcasing the extensive use of its platform [12] - Total cash burn for Q3 was $13.1 million, a 36.5% increase year-over-year, but the company maintains a strong cash position of $81.6 million [31][32] Q&A Session Summary Question: Why is the Q4 growth guidance lower than Q3? - Management indicated a conservative approach to guidance, emphasizing strong momentum but wanting to ensure continued overachievement [39][41] Question: How many liquid biopsy customers are generating revenue? - Approximately 20% of the 60 liquid biopsy customers have started routine analyses, with expectations for significant ramp-up in the coming quarters [42][45] Question: What is the outlook for biopharma R&D spending in 2026? - Management expressed optimism about biopharma spending, noting a favorable position for SOPHiA in the market and strong pipeline activity [50][53] Question: How did customer onboarding times trend in Q3? - Implementation activities remained healthy, with a substantial backlog still present, indicating strong future revenue potential [74] Question: What is the expected contribution from AstraZeneca in Q4? - AstraZeneca's contributions are expected to ramp up in Q4, with revenue recognized upon hitting project milestones [60][62]

Core Insights - SOPHiA GENETICS reported a strong third quarter for 2025, with revenue growth accelerating to 23% year-over-year, marking the third consecutive quarter of growth [3][6] - The company signed 31 new customers in Q3 2025, with an average contract value increase of 180% year-over-year, indicating robust business momentum [3][7] - The adjusted EBITDA loss improved by 13% year-over-year when excluding elevated Swiss social charges on equity-based compensation, reflecting strong operational leverage [3][12] Financial Performance - Revenue for Q3 2025 was $19.5 million, up from $15.9 million in Q3 2024, representing a 23% increase [6][32] - Gross margin was reported at 66.3% and adjusted gross margin at 73.1%, compared to 67.2% and 73.1% respectively in the prior year [6][33] - The net IFRS loss was $20.0 million, a 9% increase from the previous year, while the adjusted EBITDA loss was $10.2 million, up 8% year-over-year [6][30] Business Highlights - The company performed a record 99,000 analyses on its SOPHiA DDM platform, achieving a 9% year-over-year volume growth [7] - Significant growth was noted in the U.S. market, with a 30% year-over-year revenue increase [12] - SOPHiA DDM was adopted by major institutions, including Nice University Hospital in France and Baylor Scott & White Health in Texas, expanding its application areas [7][12] Future Outlook - Full-year revenue is now expected to be between $75 million and $77 million, reflecting a year-over-year growth of 15% to 18% [6][12] - The adjusted EBITDA loss is projected to be between $39 million and $41 million for the full year, factoring in the impact of Swiss social charges and currency fluctuations [6][12] - The company aims to approach adjusted EBITDA breakeven by the end of 2026 and achieve positive adjusted EBITDA in the second half of 2027 [12][30]