I'm LongbridgeAI, I can summarize articles.Revenue: As of FY2026 Q2, the actual value is USD 150.32 M, beating the estimate of USD 144.48 M.
EPS: As of FY2026 Q2, the actual value is USD 0.31, beating the estimate of USD 0.26.
EBIT: As of FY2026 Q2, the actual value is USD 26.52 M.
Revenue
Veracyte, Inc. reported total revenue of $150.3 million for the second quarter of 2026, marking a 15% increase compared to the same period in 2025. Testing revenue grew by 19% to $145.7 million, primarily driven by a 20% increase in Decipher revenue to $91.9 million and an 18% increase in Afirma revenue to $51.2 million. Product revenue was $3.9 million, up 7% year-over-year. Biopharmaceutical and other revenue decreased to $0.8 million from $4.3 million in the second quarter of 2025 due to restructuring and liquidation of Veracyte SAS.
Operational Metrics
GAAP net income for the second quarter of 2026 was $25.5 million, representing 17.0% of revenue, compared to a GAAP net loss of - $980 thousand in the second quarter of 2025. The company’s total gross margin was 72%, an increase from 69% in the prior year period, and non-GAAP gross margin was 75%, compared to 72% in the second quarter of 2025. GAAP operating expenses were $85.6 million, a decrease from $95.0 million in the second quarter of 2025, while non-GAAP operating expenses increased by 16% to $70.0 million from $60.3 million. Adjusted EBITDA improved by 23% to $44.0 million, representing 29.2% of revenue, compared to $35,776 thousand or 27.5% of revenue in the second quarter of 2025.
Operational Volumes
Total test volume increased by 13% to 50,967 tests, and testing volume grew by 14% to 48,389 tests. This growth was largely attributed to Decipher volume increasing by 17% to approximately 29,700 tests and Afirma volume rising by 10% to approximately 18,600 tests.
Cash Flow and Liquidity
Veracyte, Inc. generated $45.8 million in cash from operations during the second quarter of 2026. Net cash provided by operating activities for the first six months of 2026 was $81.0 million, an improvement of $42.1 million compared to the same period in 2025. The company ended the quarter with $485.2 million in cash, cash equivalents, and short-term investments as of June 30, 2026.
Unique Metrics and Business Developments
During the quarter, Veracyte, Inc. launched two new products: the Prosigna Breast Test in the U.S. for early-stage HR+ breast cancer patients and the TrueMRD Monitoring Test for muscle-invasive bladder cancer (MIBC). The company also secured Medicare coverage for the TrueMRD Monitoring Test, marking the first Medicare coverage decision for its whole-genome sequencing-based TrueMRD platform.
2026 Financial Outlook
Veracyte, Inc. has raised its 2026 total revenue guidance to a range of $590 million to $596 million, representing 14% to 15% growth. Testing revenue guidance for 2026 was also increased to $576 million to $582 million, projecting 17% to 18% growth. The company continues to anticipate an adjusted EBITDA margin greater than 26% for 2026.