Veracyte, Inc.
Key statistics
from XBRL data in SEC filingsAI briefing
from the latest 10-K, 10-Q and 8-K eventsVeracyte is a global cancer diagnostics company offering molecular tests across prostate, thyroid, breast, and bladder cancers, with recent launches in minimal residual disease and a U.S. breast cancer LDT.
What they do
Veracyte sells laboratory developed tests (LDTs) through its CLIA-certified labs in South San Francisco and San Diego, supported by a cytopathology lab in Austin, Texas. It also distributes IVD kits internationally, currently focused on the Prosigna breast cancer test. The company's portfolio includes Decipher Prostate, Afirma, Prosigna, Decipher Bladder, and the newly launched TrueMRD monitoring test.
Revenue drivers
- Decipher Prostate — Prostate cancer test; largest segment, generating $91.9 million in Q2 2026 (20% YoY growth), roughly 61% of total revenue.
- Afirma — Thyroid cancer test; second largest, generating $51.2 million in Q2 2026 (18% YoY growth), roughly 34% of total revenue.
- Product revenue (IVD kits) — International distribution of Prosigna IVD kits; small but stable, $3.9 million in Q2 2026, up 7% YoY.
- Biopharmaceutical and other — Collaboration and research revenue; declined to $0.8 million in Q2 2026 from $4.3 million a year earlier due to the restructuring of Veracyte SAS.
Recent performance
In Q2 2026, total revenue rose 15% YoY to $150.3 million, with testing revenue up 19% to $145.7 million. Total volume increased 13% to 50,967 tests. GAAP net income was $25.5 million, or 17.0% of revenue, with diluted EPS of $0.31. Adjusted EBITDA was $44.0 million, or 29.2% of revenue, and operating cash flow for the first half of 2026 was $81.0 million. The company ended Q2 with $485.2 million in cash and short-term investments.
Strategy
Management is focused on expanding Decipher Prostate penetration and sustaining Afirma growth. In Q2 2026, the company launched Prosigna as an LDT for the U.S. market and TrueMRD for muscle-invasive bladder cancer, having secured Medicare coverage for the latter. Longer-term, it aims to commercialize Decipher Prostate as an IVD internationally and develop a Percepta Nasal Swab test for lung nodules. The company emphasizes its whole-transcriptome and whole-genome platform for evidence generation and reimbursement.
Risks
- Revenue concentration — The majority of revenue comes from just two tests, Decipher Prostate and Afirma, leaving results vulnerable if either underperforms.
- Payer dependence — A few payers account for a significant portion of revenue, and reduced reimbursement or delayed payments could hurt financial results.
- Supplier concentration — The company relies on sole suppliers for some reagents, equipment, and kit components, creating supply chain risk.
- International operations disruption — The ongoing Middle East conflict could disrupt Veracyte's Israel-based operations and employees acquired with C2i Genomics.
Outlook
Management raised 2026 total revenue guidance to $590 million to $596 million, representing 14% to 15% growth, from prior guidance of $582 million to $592 million. Testing revenue guidance was raised to $576 million to $582 million, or 17% to 18% growth. The company expects continued double-digit growth driven by core tests and new product launches.