CareDx (CDNA) Q4 2025 earnings summary

Executive summary

• Achieved 25% year-over-year revenue growth in Q4 2025 and 14% for the full year, driven by expanded commercial presence, new product launches, and strong testing volume and pricing expansion.

• Introduced innovative products such as AlloSure Heart for Pediatrics, AlloSure Plus, HistoMap Kidney, and advanced digital integrations, enhancing clinical adoption and differentiation.

• Advanced infrastructure with automation, AI in revenue cycle management, and Epic Aura integration to streamline operations and improve efficiency.

• Strengthened evidence base with multiple published studies, including SHORE and KOAR registries, supporting market leadership in transplant diagnostics.

• Ended 2025 with $201 million in cash and no debt after $88 million in share repurchases.

Financial highlights

• Q4 2025 revenue was $108.4 million (+25% YoY); full-year revenue reached $380 million (+14% YoY).

• Q4 testing services revenue: $78.4 million (+23% YoY), with 53,000 tests performed (+17% YoY); average revenue per test was ~$1,480.

• Q4 patient and digital solutions revenue: $17 million (+47% YoY); Q4 lab product revenue: $13 million (+17% YoY).

• Q4 non-GAAP gross margin: 69%; full-year non-GAAP gross margin: 69%.

• Q4 adjusted EBITDA: $6.5–$7 million (impacted by a one-time bonus); full-year adjusted EBITDA: $31.7–$32 million (+14% YoY).

Outlook and guidance

• 2026 revenue guidance: $420–$444 million (midpoint +14% YoY), including a $7.5 million headwind from Medicare LCD policy changes.

• Testing services revenue expected at $306–$326 million; volume guidance is 220,000–228,000 tests (+12% YoY at midpoint); average revenue per test projected in the low $1,400s.

• Patient and digital solutions plus lab products revenue expected at $114–$118 million (+8–12%).

• Non-GAAP gross margin expected at 69–71%; adjusted EBITDA guidance is $30–$45 million.