Tempus AI Stock Drops 4% Despite Q4 Earnings Beat

Benzinga
02/25

Tempus AI shares fell 4% in Tuesday's extended trading after the company released its fourth-quarter earnings report, despite beating estimates on the top and bottom lines.

Here's a look at the details from the report   

The Details: Tempus AI reported quarterly losses of four cents per share, in line with the consensus estimate, according to data from Benzinga Pro.

Quarterly revenue came in at $367.21 million, which beat the Street estimate of $362.29 million and was up from $200.68 million in the year-ago period.

Tempus AI reported the following fourth quarter highlights:

  • Diagnostics revenue of $266.9 million in the fourth quarter, representing 121.6% growth year-over-year, driven by Oncology volume growth of 29% and Hereditary volume growth of 23%

  • MRD volume was ~4,700 tests in the fourth quarter, up 56% quarter-over-quarter.

  • Data and Applications revenue of $100.4 million in the fourth quarter, representing 25.1% year-over-year growth, with Insights (data licensing) growing 69.5%, excluding the impact of the AstraZeneca warrant in the fourth quarter of 2024.

  • Ended the year with over $1.1 billion in Total Remaining Contract Value and 126% Net Revenue Retention.

“In 2025, Tempus continued to set the standard for what it means to be a technology company operating in the health care space,” said Eric Lefkofsky, CEO of Tempus.

“The strength of our unit growth in diagnostics along with the accelerating growth of our data business is proof that we are unique in this space,” Lefkofsky added.

Outlook: Tempus AI sees fiscal 2026 revenue of $1.59 billion, versus the $1.58 billion analyst estimate

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