Neogenomics 2025 Q3 Earnings Revenue Grows 11.9% as Net Loss Widens 53%

Neogenomics (NASDAQ:NEO) reported Q3 2025 earnings on October 29, 2025, with revenue rising 11.9% year-on-year to $187.8 million, exceeding analyst estimates. The company reaffirmed its full-year revenue guidance of $723 million, aligning with market expectations.

Revenue

Neogenomics’ total revenue grew to $187.8 million in Q3 2025, up from $167.82 million in the prior-year period. Client direct billing accounted for the largest share at $132.29 million, followed by commercial insurance ($32.47 million) and Medicare/other government revenue ($22.97 million). Self-pay contributions remained minimal at $69,000. The growth was driven by increased clinical test volumes and strategic reimbursement initiatives, with next-generation sequencing (NGS) revenue rising 24% year-on-year to represent nearly one-third of clinical revenue.

Earnings/Net Income

The company’s losses widened to $0.21 per share in Q3 2025, a 50% increase in the loss per share compared to the prior year. Net loss expanded to $27.13 million, a 53.3% rise from $17.70 million in Q3 2024. The decline was attributed to higher operating expenses, including $7.1 million in impairment charges and elevated compensation costs. The EPS and net loss figures reflect ongoing operational challenges despite revenue growth.

Post-Earnings Price Action Review

Following the earnings report, Neogenomics’ stock experienced mixed short-term performance. Shares fell 8.32% during the latest trading day and declined 4.89% over the preceding week, but surged 25.09% month-to-date as of October 29. The volatility reflects investor uncertainty about the company’s profitability amid strong revenue growth. Analysts remain divided, with a current average rating of “hold,” while the stock trades at 64 times its next 12-month earnings estimate.

CEO Commentary

Tony Zook, CEO of Neogenomics, emphasized progress in long-term growth initiatives, including therapy selection and minimal residual disease (MRD) testing, which he described as “two of the largest and fastest-growing areas of cancer testing with significant unmet needs.” The CEO highlighted NGS’s 24% year-on-year growth and the company’s focus on operational efficiency to drive future profitability.

Guidance

Neogenomics reaffirmed its full-year 2025 revenue guidance of $723 million, with adjusted EBITDA projected at $42.5 million and a net loss range of $108–$116 million. The company expects clinical volume growth to sustain momentum into 2026, though operating expenses remain a key risk to profitability.

Additional News

Neogenomics recently won a patent dispute with Natera, reinforcing its intellectual property position in the oncology diagnostics sector. Additionally, the company launched PanTracer, a new product line targeting liquid biopsy and companion diagnostic markets, aiming to expand its footprint in personalized cancer therapies.

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