Grail 2025 Q3 Earnings 29.2% Net Loss Reduction Amid 26.3% Revenue Growth

Grail (GRAL) reported Q3 2025 earnings on Nov 14, 2025, with revenue rising 26.3% to $36.19 million, surpassing expectations by $0.8 million. The company narrowed its net loss to $88.98 million (a 29.2% improvement) and guided U.S. Galleri revenue growth to the midpoint of its 20-30% range.

Revenue

Grail’s total revenue surged 26.3% year-over-year to $36.19 million in Q3 2025, driven by robust performance in its Screening segment. Screening revenue, the company’s core offering, accounted for $32.81 million, reflecting a 29% increase compared to the prior year. Development services revenue contributed $3.39 million, maintaining a stable proportion of total revenue. The absence of amortization of intangible assets further simplified the revenue breakdown, with no adjustments required to the reported figures.

Earnings/Net Income

Grail reduced its net loss to $88.98 million in Q3 2025, a 29.2% improvement from $125.69 million in the prior year. Earnings per share improved to a loss of $2.46, a 37.6% reduction from $3.94. Despite the narrowing losses, the EPS remains negative, indicating continued operational challenges. The company’s non-GAAP adjusted gross margin improved to 55%, up from 41% in Q3 2024, driven by cost efficiencies in its updated Galleri platform.

Price Action

Grail’s stock surged 6.01% in after-hours trading following the earnings report, closing at $83.39 during regular hours. The stock has gained 5.44% month-to-date and 0.29% in the most recent trading week. However, shares dipped 5.5% in premarket trading after the company announced a $300 million ATM offering.

The stock’s post-earnings performance was mixed. While the Q3 results—highlighting a 26.3% revenue increase and 29.2% smaller net loss—spurred a 6.01% after-hours surge, the subsequent $300 million ATM offering announcement led to a 5.5% premarket decline. Analysts attributed the initial optimism to strong Galleri demand and improved gross margins but expressed caution over the dilutive impact of the ATM. The stock’s 5.44% monthly gain and 0.29% weekly rise suggest sustained investor confidence, though the ATM-related volatility underscores market sensitivity to capital-raising moves.

CEO Commentary

CEO Robert Ragusa emphasized progress in Galleri adoption, noting a 39% year-over-year increase in test volumes and 29% revenue growth. He highlighted strategic partnerships, including a $110 million equity investment from Samsung and a $325 million private placement, to strengthen the balance sheet. Ragusa reaffirmed confidence in the FDA PMA submission timeline for Q1 2026 and the NHS-Galleri study’s mid-2026 results. CFO Aaron Freidin reiterated a 29.2% reduction in net loss and a $290 million cash burn target for 2025.

Guidance

Grail refined its full-year U.S. Galleri revenue growth guidance to the midpoint of its 20-30% range, reflecting stronger-than-expected adoption. The company also updated its cash burn target to $290 million for 2025, a 50% reduction from 2024, and expects its cash runway to extend into 2030.

Additional News

Grail announced a $300 million ATM offering on Nov 14, 2025, triggering a 5.5% premarket decline in shares. The company also secured a $110 million equity investment from Samsung, pending definitive agreements, to expand Galleri into Asian markets. Additionally, CFO Aaron Freidin filed to sell 1,940 shares of restricted stock via Form 144, signaling potential insider liquidity.