Tempus AI Swings to Q2 Profit as Revenue Climbs 22%; $1.5B Personalis Deal Announced
TEM is trading near its 52-week low of $40.77 (6.1% above the low).
Summary
Tempus AI reported Q2 2026 revenue of $382.5M (up 22% YoY), net income of $5.6M, and positive adjusted EBITDA. It also announced a $1.5B all-stock deal to acquire Personalis.
Updates
· Benzinga — Full-year revenue guidance was raised to $1.595B-$1.605B from $1.59B-$1.60B, with adjusted EBITDA seen at $65M. The pending $1.5B Personalis acquisition is not included in guidance.
Key Events · Earnings and Guidance · TEM
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Q2 Revenue Up 22%, Swings to Profit
Revenue reached $382.5M, driven by 20% growth in Diagnostics and 28% growth in Data and applications. Net income was $5.6M vs. a loss of $42.8M a year ago, and adjusted EBITDA was $8.0M vs. -$5.6M.
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Balance Sheet Strengthened
Repaid all $307.7M of high-interest credit facility debt in May 2026. Issued $460M of 0% convertible notes due 2032, with net proceeds of $441.9M. Cash and equivalents stood at $599.6M.
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$1.5B Personalis Acquisition Announced
On July 20, 2026, Tempus agreed to acquire Personalis for $16.25 per share in an all-stock deal valued at $1.5B. The deal integrates Personalis's leading MRD test and is expected to close late 2026 or early 2027.
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Strong Remaining Performance Obligations
Multi-year contract performance obligations totaled $395.3M as of June 30, 2026, with 51% expected to be recognized as revenue over the next year, providing good near-term visibility.
Analysis · TEM · Technology
A strong second quarter saw Tempus AI swing to a net profit of $5.6 million from a year-ago loss, with revenue climbing 22% to $382.5 million. Adjusted EBITDA also turned positive, reaching $8.0 million. The balance sheet got a thorough cleaning: all high-interest credit facility debt was repaid, and $460 million in zero-coupon convertible notes were issued. Adding a major strategic catalyst, the company subsequently announced a $1.5 billion all-stock acquisition of Personalis. While the deal introduces integration risk and potential dilution, the combination of improving fundamentals and transformative M&A makes this a highly important update for investors.
How filings like this one have moved
In the 30 days to Oct 16, 2026, 36.8% of the 988 measured filings Wiseek scored 8 moved their stock by 5% or more by the next session's close. The median move was -0.55%. These are measured outcomes after filings of this importance, not a forecast for this one.
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At the time of this filing, TEM was trading at $43.25 on NASDAQ in the Technology sector, with a market capitalization of approximately $8B. The 52-week trading range was $40.77 to $104.32. This filing was assessed with positive market sentiment and an importance score of 8 out of 10.