SOPHiA GENETICS (SOPH) Q1 2026 earnings summary

Executive summary

• Q1 2026 revenue grew 22% year-over-year to $21.7 million, with record 108,000 genomic analyses performed and strong global adoption, especially in the U.S. and APAC regions.

• Adjusted gross margin reached 75.4%, reflecting scalability and efficiency improvements, while net dollar retention rose to 117% from 103% year-over-year.

• Expanded partnerships with major U.S. institutions and biopharma, including Mount Sinai, AstraZeneca, and Johnson & Johnson, driving both clinical and pharma revenue.

• Signed 18 new customers in Q1 2026 and expanded global customer base, including major healthcare systems and BioPharma partnerships.

• CEO transition announced, with the outgoing CEO moving to Executive Chair in June.

Financial highlights

• Q1 2026 revenue was $21.7 million, up from $17.8 million in Q1 2025, a 22% increase year-over-year.

• Adjusted gross margin was 75.4% in Q1 2026, with reported gross margin at 68.0%.

• Adjusted EBITDA loss improved to $9.2 million from $9.5 million year-over-year.

• Cash and cash equivalents stood at $65.4 million as of March 31, 2026, including $14.5 million raised via ATM and a $25 million expanded credit facility.

• Operating cash outflow was $15.1 million in Q1 2026, compared to $10.8 million in Q1 2025.

Outlook and guidance

• Reaffirmed full-year 2026 revenue guidance of $92–94 million (20–22% growth), with growth expected to be back-half weighted as new customers come online.

• Full-year adjusted EBITDA loss guidance maintained at $29–32 million, improved from $41.5 million in 2025.

• Targeting adjusted EBITDA breakeven by end of 2026 and positive adjusted EBITDA in H2 2027.

• U.S. market remains underpenetrated, with significant growth expected from new applications and partnerships.