Tempus AI, Inc.
Tempus AI, Inc. is a U.S.-based healthcare technology company that combines diagnostic testing with data and software products for clinical and research use. Its business centers on genomics testing, de-identified data licensing, clinical trial matching, and AI-enabled applications built around a large clinical and molecular dataset.
Fiscal year 2025 · change from previous year
Development 2022–2025
Business
Share of revenueLaboratory testing services including oncology, PCR profiling, hereditary cancer risk, and rare-disease profiling.
De-identified data licensing, analytical services, and clinical trial matching for biopharma customers.
AI-driven applications that route patients to therapy options and support clinical and research workflows.
Products
Reported · share of revenue- Diagnostics75.1 %
- Insights Product20.3 %
- Trials Product3.0 %
- AI Applications1.6 %
Source: 10-K FY2025, revenue the company reports per product line (SEC XBRL). Shares are of the lines shown and add up to 100 %.
Customers
Tempus sells primarily to healthcare providers and life sciences companies. Physicians, hospitals, genetic counselors, academic centers, and research institutions buy testing and clinical tools, while pharmaceutical and biotechnology companies buy data, trial-matching, and analytical services to support drug development and research.
Physicians, hospital systems, and genetic counselors buy genomics tests and clinical tools to support diagnosis and treatment decisions.
Drug makers license de-identified data and use trial-matching services to improve research, development, and patient recruitment.
Biotech customers buy data, analytics, and matching services to support discovery and clinical development programs.
Universities and research centers use testing and datasets for translational research and clinical studies.
Strategy
Tempus focuses on expanding adoption across both product lines by increasing use among existing customers and adding new ones. Its strategy is to deepen the value of its data platform, launch additional AI-enabled products, and use network effects between diagnostics and data to strengthen customer retention and product performance.
Higher utilization and upsell activity improve monetization of the installed base and strengthen retention.
New applications extend the platform and create additional monetization paths from the same underlying data asset.
More clinical and molecular data can improve test performance and make the platform more valuable to researchers and clinicians.
Geography
Tempus is primarily a North American business, with the majority of revenue generated in North America. The company also conducts business in foreign jurisdictions, but the disclosed reporting emphasizes the U.S. base and North American concentration rather than a broad global footprint.
Risks
Tempus depends on continued access to de-identified patient data, customer renewals, and successful commercialization of AI and diagnostic products. It also faces competition from established diagnostics, data, and clinical research providers, while reimbursement, regulatory, privacy, and AI-related risks can affect adoption and monetization.
- Customer renewal and contract concentration riskImpact: HighLikelihood: Medium
Data and services revenue depends on renewals and expansion of existing agreements, and a few customers can represent a meaningful share of revenue.
Exposure: Data and applications product line
- Dependence on de-identified patient dataImpact: HighLikelihood: Medium
The platform’s value and monetization depend on continued access to large datasets and the ability to use them commercially.
Exposure - AI model and data governance riskImpact: HighLikelihood: Medium
AI products can create liability or reputational harm if outputs are inaccurate, biased, or based on improperly used data.
Exposure - Reimbursement and payer coverage riskImpact: HighLikelihood: Medium
Diagnostics adoption depends on coverage and reimbursement decisions by commercial and government payers.
Exposure: Genomics / Diagnostics
- Competitive pressure from established providersImpact: MediumLikelihood: Medium
Competitors may have greater resources, broader sales forces, or alternative diagnostic technologies.
Exposure
Accounting
Judgemental itemsDiagnostics, data licensing, and analytical services may recognize revenue differently, affecting quarterly comparability.
Impact: Mix shifts can change reported growth and margins
Data revenue is described as back-weighted toward the second half of the year based on customer budgeting cycles.
Impact: Quarterly results may be uneven and not directly comparable
Acquisitions can create valuation judgments for acquired intangibles, goodwill, and related amortization or impairment risk.
Impact: Can materially affect assets, expenses, and future impairment charges
Management maintains a full valuation allowance on U.S. deferred tax assets, reflecting realizability judgments.
Impact: Affects reported tax benefit and effective tax rate
Interest expense, extinguishment gains/losses, and embedded features can affect earnings and balance sheet presentation.
Impact: Can create volatility in non-operating results
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Last updated: 24/09/2026