NeoGenomics Q3 revenue beats estimates on higher-value cancer testing; raises FY2026 outlook
Overview
US oncology diagnostics firm's Q3 revenue rose 11% yr/yr, slightly beating analyst expectations
Adjusted net income for Q3 improved to $11 mln from $4 mln a year earlier
Company raised full-year 2026 revenue and adjusted EBITDA guidance
Outlook
NeoGenomics raises full-year 2026 revenue guidance to $807 mln-$809 mln
Company now expects 2026 adjusted EBITDA of approximately $60 mln
NeoGenomics forecasts 2026 net loss of $30 mln-$32 mln
Result Drivers
NGS TESTING - Co said clinical services revenue growth was driven by a 29% increase in next-generation sequencing revenue
HIGHER TEST PRICES - Co said average revenue per clinical test increased 11% to $530
BROADENED COVERAGE - Co expanded Medicare coverage for RaDaR ST and secured new agreements with commercial payers to broaden access and reimbursement for new tests
Company press release:
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q3 Revenue | Slight Beat* | $209 mln | $207.33 mln (12 Analysts) |
Q3 Adjusted Net Income | $10.5 mln | ||
Q3 Net Loss | $7.5 mln | ||
Q3 Adjusted EBITDA | $19 mln | ||
Q3 Gross Profit | $97 mln | ||
Q3 Operating Expenses | $105 mln |
*Applies to a deviation of less than 1%; not applicable for per-share numbers.
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 9 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the healthcare facilities & services peer group is "buy"
Wall Street's median 12-month price target for NeoGenomics, Inc. is $20.00, about 15.8% above its October 27 closing price of $17.27
The stock recently traded at 56 times the next 12-month earnings vs. a P/E of 54 three months ago
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(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.)