Caris Raises 2026 Outlook After Profit Return

The Tip Desk · November 11, 2026 · 3 min read

The precision-medicine company now expects 2026 revenue of $1.04 billion to $1.05 billion after a 27% year-over-year rise in third-quarter sales.

Caris Life Sciences (CAI) raised its full-year 2026 revenue outlook to $1.04 billion to $1.05 billion, or 28% to 29% growth versus 2025, after third-quarter 2026 revenue rose 27% to $275.4 million as year-over-year sales growth slowed.

The Irving, Texas, TechBio company reported third-quarter revenue of $275.4 million, up 27% from $216.8 million a year earlier. That pace followed 45% growth in the second quarter and 79% in the first.

Molecular profiling services, the bulk of the business, generated $262.7 million, up 27% from $207.6 million a year earlier. The company said the increase was driven primarily by higher clinical case volume and average selling-price improvements. Pharma research and development services contributed $12.7 million.

Clinical cases rose to about 61,500, up about 21% from a year earlier, after about 18% year-over-year growth in the second quarter and about 15% in the first. Founder, Chairman and CEO David Dean Halbert called it a record quarter.

Gross margin was 66%, down from 68% in the second quarter. Gross profit was $182.3 million. Operating expenses were $163.0 million, up 42% from $114.9 million a year earlier, after a 16% year-over-year increase in the second quarter. The company said the rise was driven primarily by headcount-related costs, increased research and development investment, and marketing expenditures.

Net income was $15.3 million, or $0.05 a share, after a $0.6 million net loss in the second quarter and a $0.5 million net loss in the first. Adjusted EBITDA was $44.4 million.

Cash generation reversed. Net cash used in operating activities was $22.2 million, and free cash flow was $(39.7) million, after positive operating cash flow of $28.5 million and free cash flow of $6.4 million in the second quarter. The company attributed the year-over-year decrease versus the third quarter of 2025 to continued investment in commercial expansion and marketing, inventory build-up for new solution launches, and research and development efforts.

Caris now expects full-year 2026 revenue of $1.04 billion to $1.05 billion, representing 28% to 29% growth compared with full-year 2025, and reaffirms guidance for clinical therapy selection volume growth of approximately 20% versus full-year 2025.

The company launched Caris Assure Therapy Response Monitoring, extending the Caris Assure blood-based platform from therapy selection to serial monitoring of treatment response, and an enhanced Caris Assure for therapy selection with therapy-focused sequencing depth reaching 40,000x and about 600 million RNA reads. Halbert said Caris Confirm, a whole-genome tumor-informed assay for minimal residual disease, is targeted to launch before year-end.

Through September 30, 2026, Caris had surpassed 1,200,000 total profiles and 845,000 matched profiles, including more than 849,000 Whole Transcriptome and 796,000 Whole Exome profiles. About $72.1 million remained available under a $100.0 million share repurchase program.