Tempus AI, Inc. (TEM) SEC Filings & Earnings Calls

Revenue under Neuro Order Form depends on delivery of records; if Tempus fails to deliver, revenue may be lower.

“Because the data license fees are based on the number of records delivered, the amount that Tempus will earn under the Neuro Order Form will depend on its delivery of records during the five-year term.” · word for word

Related party transaction risk due to overlap in executive leadership and equity ownership between Tempus and Pathos.

“transactions between Tempus and Pathos fall within the scope of Tempus’s Related Person Transaction Policy due to overlap in the executive leadership and equity ownership of such entities.” · word for word

Acquisition integration risk for Personalis

“Entered into a definitive agreement to acquire Personalis for $16.25 per share (~$1.5 billion enterprise value)” · word for word

Stock compensation expense remains high

“Net income was $5.6 million, which included $55.6 million of stock compensation expense” · word for word

Accumulated deficit and ongoing losses

“We have incurred significant losses and negative cash flows from operations since our inception, and as of June 30, 2026, we had an accumulated deficit of $2.5 billion.” · word for word

Dependence on reimbursement rates

“Our financial performance relies heavily on our ability to secure reimbursement from payers and government health benefits programs.” · word for word

Integration risk from Personalis acquisition

“On July 20, 2026, we announced that an Agreement and Plan of Merger, or the Merger Agreement, was entered into with Personalis.” · word for word

Merger Completion Risk

“The completion of the Mergers is subject to certain customary closing conditions, including ... the approval of the Mergers and adoption of the Merger Agreement by the affirmative vote of the holders of at least a majority of the outstanding shares of Common Stock” · word for word

Regulatory and stockholder approval risks

“Forward-looking statements highlight risks including failure to obtain approvals, litigation, and integration challenges.”

Integration risk and regulatory approvals

“Merger subject to stockholder and regulatory approvals, including antitrust and healthcare regulations.”

Stock price volatility risk for Tempus

“Exchange ratio depends on Tempus stock price, with floor at $48.42.”

Potential dilution from conversion; additional debt increases leverage.

“Initial conversion price ~$69.26, 40% premium; notes are senior unsecured obligations.”

Continued Operating Losses

“We have incurred significant losses and negative cash flows from operations since our inception, and as of March 31, 2026, we had an accumulated deficit of $2.5 billion.” · word for word

Dependence on Reimbursement

“Our financial performance relies heavily on our ability to secure reimbursement from payers and government health benefits programs.” · word for word

Concentration of Revenue from Large Pharma Partners

“A significant portion of our current Data and applications products sales are to customers in the life sciences industry, in particular the pharmaceutical and biotechnology industry.” · word for word

Tariff and Trade Policy Risk

“The announcement of substantial new tariffs and other restrictive trade policies, to the extent such current and future tariffs apply to hardware, networking infrastructure or other technology infrastructure used by us or our third-party vendors, could raise costs, constrain supply or affect service reliability.” · word for word

Net loss increased significantly due to stock compensation and unrealized losses on marketable securities.

“Net loss was ($125.9 million), which included $56.3 million of stock compensation expense and $32.3 million in unrealized losses on marketable securities.” · word for word

Dependence on AI adoption and healthcare market dynamics.

“Company is a technology company leading the adoption of AI to advance precision medicine; growth depends on continued adoption.”

Net loss remains significant due to stock compensation; reliance on acquisitions for growth.

“Net loss ($54.2M) in Q4 includes $48.7M stock compensation; FY2025 net loss ($245M).”

Cloud dependency risk

“We currently use the Google Cloud Platform, or Google Cloud, for a substantial portion of our computing, storage, data processing, networking and other services.” · word for word

Cybersecurity and data breach risk

“Cyber-attacks, malicious internet-based activity, online and offline fraud, and other similar activities threaten the confidentiality, integrity, and availability of our sensitive information and information technology systems.” · word for word

Preliminary results subject to change; final audited results may differ materially.

“Tempus has not completed preparation of its financial statements for the fourth quarter or full year 2025. The estimates disclosed in this release for the fourth quarter and year ended December 31, 2025, are preliminary, and unaudited and inherently uncertain, and therefore subject to change.” · word for word

Net loss remains significant at $80M in Q3, though improving; includes $35M stock compensation and $12M debt extinguishment loss.

“Net loss of ($80.0 million) in the third quarter of 2025, including $35.0 million in stock compensation expense... and a one time $12.0 million expense related to the loss on debt extinguishment” · word for word

Acquisition of Paige expected to increase losses by ~$5M per quarter, though strategic for digital pathology.

“Given the acquisition of Paige, which we expect will increase losses by approximately $5 million per quarter” · word for word

High stock-based compensation

“Stock-based compensation expense $34.0M (Q3-2025) vs $21.0M (Q3-2024)”

Significant debt load

“Convertible Senior Notes $750.0M aggregate principal amount; Term Loan Facilities $200M Additional Term Loan Facility and $100M Revolving Credit Facility”

Integration risk from acquisitions

“Acquisition of Ambry Genetics Corporation and Paige.AI, Inc. completed in 2025; integration costs and potential synergies uncertain.”

Reimbursement dependency

“Our financial performance relies heavily on our ability to secure reimbursement from payers and government health benefits programs.” · word for word