Overview

* Veracyte ( VCYT ) Q2 revenue rises 14% yr/yr to $130.2 mln, beating expectations

* Adjusted EBITDA for Q2 improves 49% to $35.8 mln

* Co raises full-year 2025 testing revenue guidance

Outlook

* Veracyte ( VCYT ) raises 2025 testing revenue guidance to $477 mln to $483 mln

* Company expects 2025 testing revenue growth of 14% to 15% y/y

* Veracyte ( VCYT ) initiates 2025 total revenue guidance of $496 mln to $504 mln

* Company raises 2025 adjusted EBITDA guidance to 23.5% of revenue

Result Drivers

* DECIPHER GROWTH - Decipher achieved 28% volume growth, driving revenue increase

* AFIRMA VOLUME - Afirma volume met expectations, contributing to testing revenue growth

* FRENCH PROCEEDINGS - Resolution of French subsidiary proceedings enabled strategic investments, supporting growth

Key Details

Metric Beat/Mis Actual Consensu

s s

Estimate

Q2 Beat $130.20 $120.70

Revenue mln mln (11

Analysts

)

Q2 Net -$1 mln

Income

Q2 Gross 69.0%

Margin

Q2 $60.30

Adjusted mln

Operatin

g

Expenses

Analyst Coverage

* The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 10 "strong buy" or "buy", 1 "hold" and 1 "sell" or "strong sell"

* The average consensus recommendation for the biotechnology & medical research peer group is "buy"

* Wall Street's median 12-month price target for Veracyte Inc ( VCYT ) is $43.00, about 41.8% above its August 5 closing price of $25.01

* The stock recently traded at 40 times the next 12-month earnings vs. a P/E of 47 three months ago

Press Release:

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)