Fulgent Narrows Non-GAAP Loss and Lifts Full-Year Outlook

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

Third-quarter revenue was $90.4 million as the company cut its 2026 non-GAAP loss range to about $46.0 million to $50.0 million.

Fulgent Genetics (FLGT), a technology-based company with laboratory services and a therapeutic development business, reported third-quarter revenue of $90.4 million, growing approximately 8% from a year earlier, and narrowed its non-GAAP loss to $2.4 million, or $(0.09) a share, from $16.2 million, or $(0.58) a share, in the second quarter.

The sequential revenue increase was 5.9%, slower than the 20.1% sequential rise in the second quarter. GAAP results were a $13.2 million loss, or $(0.48) a share, compared with a $29.5 million loss, or $(1.05) a share, in the prior quarter. Adjusted EBITDA loss was $7.5 million.

Chief Financial Officer Paul Kim said the quarter was driven by improved collection rates and progress on a billing-system issue. The company said it remained confident in its outlook for the remainder of the year.

GAAP gross margin expanded sequentially to 35.3% from 30.1% in the second quarter. Non-GAAP gross margin was 36.3%. Against the year-ago quarter, GAAP gross margin was 35.3% versus 42.2% and Non-GAAP gross margin was 36.3% versus 44.3%. GAAP gross profit was $31.9 million.

Selling and marketing expense was $15.6 million, up from $11.6 million a year earlier. Research and development expense was $13.6 million. General and administrative expense was $22.8 million. Operating loss was $22.5 million. Interest income was $8.6 million.

Cash, cash equivalents, restricted cash, and investments in marketable securities ended September 30, 2026, at $652.4 million, up from $551.5 million at the end of the second quarter. The second-quarter balance had excluded an anticipated tax refund of about $106.1 million.

For full-year 2026, Fulgent maintained revenue guidance of $330.0 million to $340.0 million. It improved its outlook for annual non-GAAP loss to approximately $46.0 million to $50.0 million, or $1.65 to $1.75 a share, from $63.0 million to $67.0 million, or $2.22 to $2.35 a share, given after the second quarter. The company attributed the improvement to disciplined spend across the business. Cash guidance moved to approximately $630.0 million, including $64.1 million of year-to-date stock repurchases as of September 30, 2026, from approximately $610.0 million, including $63.9 million of repurchases, at the prior quarter.

The year-end cash estimate assumes capital purchases of $13 million, no further near-term repurchases, and $21 million of spend on the therapeutic development business. The prior-quarter cash outlook had assumed $106.1 million of tax refunds before year-end, $12 million of capital purchases, and $26 million of therapeutic spend.

Chairman and Chief Executive Officer Ming Hsieh said the company was encouraged by momentum in its therapeutics pipeline, with FID-007 and FID-022 using its nano-drug delivery platform, and that it continues to integrate AI into laboratory workflow as utilization scales.

Weighted-average common shares were 27.7 million for the three months ended September 30, 2026. The non-GAAP per-share outlook includes a reduction of 4.1 million shares used for the stock repurchase program year to date as of September 30, 2026.