Overview

• U.S. AI precision medicine firm's Q1 revenue grew 36% yr/yr, slightly beating analyst expectations

• Adjusted EBITDA loss for Q1 narrowed and beat analyst estimates

• Company raised full-year 2026 revenue guidance to $1.59-$1.60 bln

Outlook

• Tempus AI raises 2026 revenue guidance to $1.59-$1.60 bln

• Company continues to expect 2026 Adjusted EBITDA of ~$65 mln

• Tempus AI says strong demand for AI-driven diagnostics and data modeling expected to continue

Result Drivers

• ONCOLOGY & HEREDITARY VOLUME - Diagnostics revenue grew 34.7% yr/yr, driven by 28% Oncology volume growth and 54% Hereditary volume growth (7% after adjusting for Ambry acquisition timing)

• MRD TESTING - MRD test volume rose ~500% yr/yr to ~6,500 tests, supporting Diagnostics segment growth

• DATA & APPLICATIONS MOMENTUM - Data and Applications revenue grew 40.5% yr/yr, with Insights (data licensing and modeling) up 44.1%

Company press release: ID:nBw1ydm4Qa

Key Details

Metric	Beat/Miss	Actual	Consensus Estimate
Q1 Revenue	Slight Beat*	$348.12 mln	$345.46 mln (15 Analysts)
Q1 Net Income		-$125.92 mln
Q1 Adjusted EBITDA	Beat	-$2.83 mln	-$4.74 mln (9 Analysts)
Q1 Income from Operations		-$84.71 mln

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 11 "strong buy" or "buy", 7 "hold" and 1 "sell" or "strong sell"

• The average consensus recommendation for the biotechnology & medical research peer group is "buy"

• Wall Street's median 12-month price target for Tempus AI Inc is $80.00, about 43.3% above its May 4 closing price of $55.81

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