Tempus AI Q4 Earnings: Revenue Miss, EPS Beat, Strong Guidance, Shares Move Lower

Tempus AI Inc TEM reported fourth-quarter financial results after the market close on Monday. Here’s a look at the key metrics from the quarter.

Q4 Earnings: Tempus AI reported fourth-quarter revenue of $200.68 million, missing estimates of $203.12 million. The AI-focused precision medicine and patient care company reported a fourth-quarter adjusted loss of 18 cents per share, beating analyst estimates for a loss of 20 cents per share, according to Benzinga Pro.

Total revenue was up 35.8% year-over-year as data and services revenue grew 44.6% to $80.2 million. Genomics grew 30.6% year-over-year to $120.4 million and unit growth came in at 22.5% year-over-year.

Tempus AI said it ended the quarter with $940 million in total remaining contract value and 140% net revenue retention. The company had approximately $340.95 million in cash and equivalents at quarter’s end.

“We believe our investments in AI have positioned us well for the future, as technologies that seemed unimaginable a few short years ago increasingly allow us to make our diagnostics intelligent, helping patients live longer and healthier lives. We remain on track to achieve our key financial milestones, with expected robust revenue growth and positive Adjusted EBITDA in 2025,” said Eric Lefkofsky, founder and CEO of Tempus AI.

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Guidance: Tempus AI expects full-year 2025 revenue of approximately $1.24 billion for its consolidated Tempus and Ambry Genetics business, which represents approximately 79% annual growth. Analysts are looking for full-year revenue of $1.02 billion, according to Benzinga Pro estimates.

The company said it anticipates a full-year 2025 adjusted EBITDA of $5 million, versus a full-year adjusted EBITDA loss of $104.7 million in full-year 2024.

Management will further discuss the company’s quarterly performance on a conference call that kicks off at 4:30 p.m. ET.

TEM Price Action: Tempus AI shares were up more than 105% year-to-date heading into the print. The stock has seen increased attention in recent weeks since former House Speaker Nancy Pelosi disclosed the purchase of several call options that don’t expire until 2026.

Tempus AI shares were down 7.63% after hours, trading at $64 at the time of publication Monday, according to Benzinga Pro.

Photo: Courtesy of Tempus AI.