CDNA CareDx Inc

Full Year 2024 Revenue Grew 19% to $334 Million

Expects Full Year 2025 Revenue of $365 Million to $375 Million

CareDx, Inc. (Nasdaq: CDNA) today reported financial results for the fourth quarter and full year ended December 31, 2024.

Fourth Quarter Financial Highlights

• Revenue of $86.6 million, increased 32% year-over-year
• Testing services revenue of $63.8 million, increased 37% year-over-year, and testing services volume of approximately 45,500, increased 14% year-over-year
• GAAP net income of $87.7 million, non-GAAP net income of $10.7 million, and positive adjusted EBITDA of $9.8 million, a significant improvement from the fourth quarter 2023
• Cash flow from operations of $21.9 million

Fourth Quarter Business Highlights

• Sixth consecutive quarter of sequential testing services volume growth
• AlloSure® Kidney surveillance testing continued to increase in the fourth quarter
• Submitted first manuscript of the Kidney Outcomes Allograft Rejection (KOAR) study for publication
• Published study in the journal Transplant International shows AlloSeq cfDNA highly accurate in detecting organ transplant rejection

Full Year 2024 Financial Highlights

• Revenue of $333.8 million, driven by testing services revenue growth of 19% year-over-year
• Testing services revenue of $249.4 million, increased 19% year-over-year, and testing services volume of approximately 176,000, increased 6% year-over-year
• Patient and digital solutions revenue of $43.6 million and product revenue of $40.8 million, representing year-over-year growth of 18% and 22%, respectively
• GAAP net income of $52.5 million, non-GAAP net income of $30.9 million, and positive adjusted EBITDA of $27.8 million
• Cash flow from operations of $38 million
• Cash, cash equivalents, and marketable securities of $261 million, with no debt, as of December 31, 2024
• In February, the Board of Directors authorized a common stock repurchase program of up to $50 million of shares over a period of up to 24 months

“2024 was a transformative year for CareDx, positioning the company for long-term profitable growth,” said John W. Hanna, CareDx President and CEO. “We look forward to another year of strong performance in 2025, driven by our focus on testing services volume growth, expansion of payer coverage, and operational excellence as we scale our business.”

Q4 2024 Financial Results

Total revenue for the three months ended December 31, 2024, was $86.6 million, an increase of 32% compared to $65.6 for the fourth quarter of 2023. Testing Services revenue for the fourth quarter 2024 was $63.8 million, an increase of 37% compared to $46.7 million for the fourth quarter of 2023. Patient and Digital Solutions revenue for the fourth quarter of 2024 was $11.4 million, an increase of 18% compared to $9.6 million for the fourth quarter 2023. Product revenue for the fourth quarter of 2024 was $11.4 million, an increase of 23% compared to $9.2 million for the fourth quarter 2023.

For the fourth quarter of 2024 net income was $87.7 million compared to a net loss of $118.1 million in the fourth quarter of 2023. Diluted net income per share in the fourth quarter of 2024 was $1.51, compared to diluted net loss per share of $2.21 in the fourth quarter of 2023.

Non-GAAP net income was $10.7 million in the fourth quarter of 2024, compared to a non-GAAP net loss of $9.3 million in the fourth quarter of 2023. Diluted non-GAAP net income per share was $0.18 in the fourth quarter of 2024, compared to a diluted non-GAAP net loss per share of $0.17 in the fourth quarter of 2023.

Adjusted EBITDA income for the fourth quarter of 2024 was $9.8 million, compared to an adjusted EBITDA loss of $10.3 million for the fourth quarter of 2023.

Full Year 2024 Financial Results

Total revenue for the full year ended December 31, 2024, was $333.8 million, an increase of 19% compared to $280.3 million in 2023. Testing Services revenue for the full year 2024 was $249.4 million, an increase of 19% compared with $209.7 million in 2023. Patient and Digital Solutions revenue for the full year 2024 was $43.6 million, an increase of 18% compared to $37.1 million in 2023. Product revenue for the full year 2024 was $40.8 million, an increase of 22% compared to $33.5 million in 2023.

Net income for the full year 2024 was $52.5 million, including a $96.3 million reversal of a litigation accrual associated with damages related to the alleged infringement of patent ‘544 accrued in the prior year, offset by $66.4 million of stock-based compensation, compared to a net loss of $190.3 million in 2023, which included the aforementioned $96.3 million litigation accrual and $49.1 million of stock-based compensation. Diluted net income per share for the full year 2024 was $0.93, compared to diluted net loss per share of $3.54 in the full year 2023.

Non-GAAP net income was $30.9 million for the full year 2024, compared to a non-GAAP net loss of $34.5 million for the full year ended 2023. Diluted non-GAAP net income per share was $0.55 in the full year of 2024, compared to a diluted non-GAAP net loss per share of $0.64 in the full year of 2023.

Adjusted EBITDA for the full year of 2024 was a gain of $27.8 million, compared to an adjusted EBITDA loss of $38.0 million for the full year of 2023.

Cash and cash equivalents and marketable securities were $261 million as of December 31, 2024.

For additional information regarding non-GAAP financial measures discussed herein, please see “Use of Non-GAAP Financial Measures,” “Reconciliation of GAAP to Non-GAAP Financial Measures,” “GAAP and Non-GAAP Operating Expenses”, “Reconciliation of GAAP to Non-GAAP Gross Profit and Gross Margin,” and “Reconciliation of Non-GAAP to Adjusted EBITDA Financial Measures” below.

2025 Guidance

For the full year 2025, CareDx expects revenue to be in the range of $365 million to $375 million. CareDx expects full year 2025 adjusted EBITDA gain to be in the range of $29 million to $33 million.

About CareDx – The Transplant Company

CareDx, Inc., headquartered in Brisbane, California, is a leading precision medicine solutions company focused on the discovery, development, and commercialization of clinically differentiated, high-value healthcare solutions for transplant patients and caregivers. CareDx offers testing services, products, and digital healthcare solutions along the pre- and post-transplant patient journey, and is the leading provider of genomics-based information for transplant patients. For more information, please visit: www.CareDx.com.

Forward Looking Statements

This press release includes forward-looking statements, including expectations regarding the achievement of CareDx’s financial and operational goals and its expectations and prospects for 2025. These forward-looking statements are based upon information that is currently available to CareDx and its current expectations, speak only as of the date hereof, and are subject to numerous risks and uncertainties, all of which are difficult to predict and many of which are beyond CareDx’s control, that could cause the actual results to differ materially from those projected, including general economic and market factors, and global economic and marketplace uncertainties, among others discussed in CareDx’s filings with the Securities and Exchange Commission (the “SEC”), including, but not limited to, the Annual Report on Form 10-K for the fiscal year ended December 31, 2024 filed by CareDx with the SEC on or about February 27, 2025, and other reports that CareDx has filed with the SEC. Any of these may cause CareDx’s actual results, performance, or achievements to differ materially and adversely from those anticipated or implied by CareDx’s forward-looking statements. You are cautioned not to place undue reliance on these forward-looking statements. CareDx expressly disclaims any obligation, except as required by law, or undertaking to update or revise any such forward-looking statements, whether as a result of new information, future events or otherwise.

Use of Non-GAAP Financial Measures

CareDx has presented in this release certain financial information in accordance with U.S. Generally Accepted Accounting Principles (GAAP) and also on a non-GAAP basis, including non-GAAP cost of testing services, non-GAAP cost of product, non-GAAP cost of patient and digital solutions, non-GAAP research and development expenses, non-GAAP sales and marketing expenses, non-GAAP general and administrative expenses, non-GAAP other income, net, non-GAAP income tax expense, non-GAAP gross profit, non-GAAP gross margin (%), non-GAAP operating expenses, non-GAAP net income (loss), non-GAAP basic and diluted net income (loss) per share and adjusted EBITDA. A reconciliation of the forecasted range for Adjusted EBITDA for 2025 is not included in this release due to the number of variables in the projected range and because we are currently unable to quantify accurately certain amounts that would be required to be included in the U.S. GAAP measure or the individual adjustments for such reconciliation.

We define non-GAAP net income (loss) and per share results as the GAAP net income (loss) and per share results excluding the impacts of stock-based compensation; unrealized loss on investments; realized gain on investments; acquisition-related impairment charges and amortization of purchased intangible assets and related tax effects; costs involved with completing an acquisition; changes in estimated fair value of contingent consideration; litigation expense, restructuring charges and certain other charges. We define adjusted EBITDA as non-GAAP net income (loss) before net interest income, income tax expense, depreciation and other (income) expense, net.

We are presenting these non-GAAP financial measures to assist investors in assessing our operating results through the eyes of management and because we believe that these measures provide an additional tool for investors to use in comparing our core business operating results over multiple periods. Management believes this non-GAAP information is useful for investors, when considered in conjunction with CareDx’s GAAP financial statements, because management uses such information internally for its operating, budgeting and financial planning purposes. Non-GAAP information is not prepared under a comprehensive set of accounting rules and should only be used to supplement an understanding of CareDx’s operating results as reported under GAAP. These non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. These non-GAAP financial measures are not necessarily comparable to similarly-titled measures presented by other companies. A reconciliation between GAAP and non-GAAP financial information is provided immediately following the financial tables.

 

CareDx, Inc.

Consolidated Statements of Operations

(Unaudited)

(In thousands, except share and per share data)

 

 

Three Months Ended December 31,

 

Twelve Months Ended December 31,

 

2024

 

2023

 

2024

 

2023

Revenue:

 

 

 

 

 

 

 

Testing services revenue

$63,819

 

$46,703

 

$249,381

 

$209,685

Product revenue

11,367

 

9,244

 

40,783

 

33,517

Patient and digital solutions

11,393

 

9,622

 

43,621

 

37,122

Total revenue

86,579

 

65,569

 

333,785

 

280,324

Operating expenses:

 

 

 

 

 

 

 

Cost of testing services

14,224

 

13,805

 

55,611

 

57,642

Cost of product

5,580

 

5,637

 

23,381

 

18,379

Cost of patient and digital solutions

8,374

 

6,171

 

30,638

 

25,978

Research and development

16,530

 

18,276

 

72,405

 

81,866

Sales and marketing

21,084

 

19,999

 

81,718

 

83,334

General and administrative

30,993

 

26,541

 

123,784

 

117,868

Restructuring costs

1,715

 

1,472

 

1,783

 

2,320

Litigation expense

(96,300)

 

96,300

 

(96,300)

 

96,300

Total operating expenses

2,200

 

188,201

 

293,020

 

483,687

Income (loss) from operations

84,379

 

(122,632)

 

40,765

 

(203,363)

Other income:

 

 

 

 

 

 

 

Interest income, net

3,053

 

3,159

 

11,765

 

11,867

Change in estimated fair value of common stock warrant liability

—

 

—

 

—

 

10

Other income, net

436

 

1,541

 

329

 

1,343

Total other income

3,489

 

4,700

 

12,094

 

13,220

Income (loss) before income taxes

87,868

 

(117,932)

 

52,859

 

(190,143)

Income tax expense

(171)

 

(165)

 

(310)

 

(141)

Net income (loss)

$87,697

 

$(118,097)

 

$52,549

 

$(190,284)

Net income (loss) per share:

 

 

 

 

 

 

 

Basic

$1.62

 

$(2.21)

 

$1.00

 

$(3.54)

Diluted

$1.51

 

$(2.21)

 

$0.93

 

$(3.54)

Weighted-average shares used to compute net income (loss) per share:

 

 

 

 

 

 

 

Basic

54,283,644

 

53,388,830

 

52,773,247

 

53,764,705

Diluted

58,221,755

 

53,388,830

 

56,620,590

 

53,764,705

 

CareDx, Inc.

Consolidated Balance Sheets

(Unaudited)

(In thousands)

 

 

As of December 31,

 

2024

 

2023

Assets

 

 

 

Current assets:

 

 

 

Cash and cash equivalents

$114,689

 

$82,197

Marketable securities

145,964

 

153,221

Accounts receivable

64,605

 

51,061

Inventory

19,503

 

19,471

Prepaid and other current assets

7,071

 

7,763

Total current assets

351,832

 

313,713

Property and equipment, net

33,552

 

35,246

Operating leases right-of-use assets

24,340

 

29,891

Intangible assets, net

38,184

 

45,701

Goodwill

40,336

 

40,336

Restricted cash

585

 

586

Other assets

2,221

 

1,353

Total assets

$491,050

 

$466,826

Liabilities and stockholders’ equity

 

 

 

Current liabilities:

 

 

 

Accounts payable

$7,686

 

$12,872

Accrued compensation

38,333

 

19,703

Accrued and other liabilities

43,352

 

45,497

Total current liabilities

89,371

 

78,072

Deferred tax liability

164

 

136

Contingent consideration

174

 

2,461

Operating lease liability, less current portion

22,263

 

28,278

Other liabilities

645

 

96,551

Total liabilities

112,617

 

205,498

Commitments and contingencies

 

 

 

Stockholders’ equity:

 

 

 

Common stock

51

 

49

Additional paid-in capital

1,013,193

 

946,511

Accumulated other comprehensive loss

(8,569)

 

(6,963)

Accumulated deficit

(626,242)

 

(678,269)

Total stockholders’ equity

378,433

 

261,328

Total liabilities and stockholders’ equity

$491,050

 

$466,826

 

CareDx, Inc.

Reconciliation of GAAP to Non-GAAP Financial Measures

(Unaudited)

(In thousands)

 

 

Three Months Ended December 31,

 

Twelve Months Ended December 31,

 

2024

 

2023

 

2024

 

2023

Cost of testing services reconciliation:

 

 

 

 

 

 

 

GAAP cost of testing services

$14,224

 

$13,805

 

$55,611

 

$57,642

Stock-based compensation expense

(328)

 

(387)

 

(1,560)

 

(1,854)

Acquisition related-amortization of purchased intangibles

(329)

 

(329)

 

(1,316)

 

(1,316)

Non-GAAP cost of testing services

$13,567

 

$13,089

 

$52,735

 

$54,472

Cost of product reconciliation:

 

 

 

 

 

 

 

GAAP cost of product

$5,580

 

$5,750

 

$23,434

 

$18,492

Stock-based compensation expense

(94)

 

(230)

 

(870)

 

(1,165)

Acquisition related-amortization of purchased intangibles

(410)

 

(413)

 

(1,660)

 

(1,655)

Restructuring costs

—

 

(113)

 

(53)

 

(113)

Non-GAAP cost of product

$5,076

 

$4,994

 

$20,851

 

$15,559

Cost of patient and digital solutions reconciliation:

 

 

 

 

 

 

 

GAAP cost of patient and digital solutions

$8,392

 

$6,226

 

$30,656

 

$26,047

Stock-based compensation expense

(228)

 

(311)

 

(1,276)

 

(1,377)

Acquisition related-amortization of purchased intangibles

(171)

 

(271)

 

(850)

 

(1,039)

Restructuring costs

(18)

 

(55)

 

(18)

 

(69)

Other income

—

 

—

 

5

 

—

Non-GAAP cost of patient and digital solutions

$7,975

 

$5,589

 

$28,517

 

$23,562

Research and development expenses reconciliation:

 

 

 

 

 

 

 

GAAP research and development expenses

$16,614

 

$18,617

 

$72,504

 

$82,452

Stock-based compensation expense

(1,338)

 

(1,399)

 

(6,501)

 

(6,556)

Restructuring costs

(84)

 

(341)

 

(99)

 

(586)

Other charges

—

 

—

 

(25)

 

—

Non-GAAP research and development expenses

$15,192

 

$16,877

 

$65,879

 

$75,310

Sales and marketing expenses reconciliation:

 

 

 

 

 

 

 

GAAP sales and marketing expenses

$21,341

 

$20,254

 

$81,975

 

$84,137

Stock-based compensation expense

(2,278)

 

(2,913)

 

(11,035)

 

(12,470)

Acquisition related-amortization of purchased intangibles

(625)

 

(641)

 

(2,520)

 

(2,457)

Restructuring costs

(257)

 

(255)

 

(257)

 

(803)

Other charges

—

 

—

 

(8)

 

—

Non-GAAP sales and marketing expenses

$18,181

 

$16,445

 

$68,155

 

$68,407

General and administrative expenses reconciliation:

 

 

 

 

 

 

 

GAAP general and administrative expenses

$(63,951)

 

$123,549

 

$28,840

 

$214,917

Stock-based compensation expense

(12,245)

 

(4,720)

 

(45,164)

 

(25,664)

Change in estimated fair value of contingent consideration

(170)

 

(946)

 

(931)

 

(2,677)

Acquisition related fees and expenses

—

 

(51)

 

(40)

 

(589)

Restructuring costs

(1,356)

 

(708)

 

(1,356)

 

(749)

Litigation expense

96,300

 

(96,300)

 

96,300

 

(96,300)

Other income (charges)

—

 

—

 

22

 

(64)

Non-GAAP general and administrative expenses

$18,578

 

$20,824

 

$77,671

 

$88,874

Total other income (expense) reconciliation:

 

 

 

 

 

 

 

GAAP other income

$3,489

 

$4,700

 

$12,094

 

$13,220

Unrealized loss on investments

—

 

—

 

—

 

1,190

Realized gain on investment

—

 

(1,468)

 

—

 

(1,468)

Investment impairment

—

 

—

 

—

 

1,000

Other income

(500)

 

—

 

(500)

 

(2,081)

Non-GAAP other income, net

$2,989

 

$3,232

 

$11,594

 

$11,861

Income tax expense reconciliation:

 

 

 

 

 

 

 

GAAP income tax expense

$(171)

 

$(165)

 

$(310)

 

$(141)

Tax effect related to amortization of purchased intangibles

(98)

 

(99)

 

(400)

 

(398)

Non-GAAP income tax expense

$(269)

 

$(264)

 

$(710)

 

$(539)

 

CareDx, Inc.

Reconciliation of GAAP to Non-GAAP Gross Profit and Gross Margin

(Unaudited)

(In thousands, except percentages)

 

 

Three Months Ended December 31,

 

Twelve Months Ended December 31,

 

2024

 

2023

 

2024

 

2023

Total revenue

$86,579

 

$65,569

 

$333,785

 

$280,324

GAAP cost of sales

28,196

 

25,781

 

109,701

 

102,181

GAAP gross profit

58,383

 

39,788

 

224,084

 

178,143

Stock-based compensation expense

650

 

928

 

3,706

 

4,396

Restructuring costs

18

 

168

 

71

 

182

Other income

—

 

—

 

(5)

 

—

Acquisition related-amortization of purchased intangibles

910

 

1,013

 

3,826

 

4,010

Non-GAAP gross profit

$59,961

 

$41,897

 

$231,682

 

$186,731

Non-GAAP gross margin %

69%

 

64%

 

69%

 

67%

 

CareDx, Inc.

GAAP and Non-GAAP Operating Expenses

(Unaudited)

(In thousands)

 

 

Three Months Ended December 31,

 

Twelve Months Ended December 31,

 

2024

 

2023

 

2024

 

2023

GAAP operating expenses:

 

 

 

 

 

 

 

Research and development

$16,614

 

$18,617

 

$72,504

 

$82,452

Sales and marketing

21,341

 

20,254

 

81,975

 

84,137

General and administrative

(63,951)

 

123,549

 

28,840

 

214,917

Total GAAP operating expenses

$(25,996)

 

$162,420

 

$183,319

 

$381,506

 

 

 

 

 

 

 

 

Non-GAAP operating expenses:

 

 

 

 

 

 

 

Research and development

$15,192

 

$16,877

 

$65,879

 

$75,310

Sales and marketing

18,181

 

16,445

 

68,155

 

68,407

General and administrative

18,578

 

20,824

 

77,671

 

88,874

Total Non-GAAP operating expenses

$51,951

 

$54,146

 

$211,705

 

$232,591

 

CareDx, Inc.

Reconciliation of GAAP to Non-GAAP Financial Measures

(Unaudited)

(In thousands, except share and per share data)

 

 

Three Months Ended December 31,

 

Twelve Months Ended December 31,

 

2024

 

2023

 

2024

 

2023

GAAP net income (loss)

$87,697

 

$(118,097)

 

$52,549

 

$(190,284)

Stock-based compensation expense

16,511

 

9,960

 

66,406

 

49,086

Unrealized loss on investments

—

 

—

 

—

 

1,190

Realized gain on investments

—

 

(1,468)

 

—

 

(1,468)

Acquisition related-amortization of purchased intangibles

1,535

 

1,654

 

6,346

 

6,467

Acquisition related fees and expenses

—

 

51

 

40

 

589

Change in estimated fair value of contingent consideration

170

 

946

 

931

 

2,677

Tax effect related to amortization of purchased intangibles

(98)

 

(99)

 

(400)

 

(398)

Asset impairments and write-downs

—

 

—

 

—

 

1,000

Litigation expense

(96,300)

 

96,300

 

(96,300)

 

96,300

Restructuring costs

1,715

 

1,472

 

1,783

 

2,320

Other income

(500)

 

—

 

(494)

 

(2,017)

Non-GAAP net income (loss)

$10,730

 

$(9,281)

 

$30,861

 

$(34,538)

 

 

 

 

 

 

 

 

GAAP basic net income (loss) per share

$1.62

 

$(2.21)

 

$1.00

 

$(3.54)

GAAP diluted net income (loss) per share

$1.51

 

$(2.21)

 

$0.93

 

$(3.54)

 

 

 

 

 

 

 

 

Non-GAAP basic net income (loss) per share

$0.20

 

$(0.17)

 

$0.58

 

$(0.64)

Non-GAAP diluted net income (loss) per share

$0.18

 

$(0.17)

 

$0.55

 

$(0.64)

 

 

 

 

 

 

 

 

Shares used in computing non-GAAP basic net income (loss) per share

54,283,644

 

53,388,830

 

52,773,247

 

53,764,705

Shares used in computing non-GAAP diluted net income (loss) per share

58,221,755

 

53,388,830

 

56,620,590

 

53,764,705

 

CareDx, Inc.

Reconciliation of Non-GAAP to Adjusted EBITDA Financial Measures

(Unaudited)

(In thousands)

 

 

Three Months Ended December 31,

 

Twelve Months Ended December 31,

 

2024

 

2023

 

2024

 

2023

Non-GAAP net income (loss)

$10,730

 

$(9,281)

 

$30,861

 

$(34,538)

Interest income

(3,053)

 

(3,159)

 

(11,765)

 

(11,867)

Income tax expense

269

 

264

 

710

 

539

Depreciation expense

1,824

 

1,978

 

7,848

 

7,882

Other expense (income)

64

 

(72)

 

171

 

7

Adjusted EBITDA

$9,834

 

$(10,270)

 

$27,825

 

$(37,977)

 

View source version on businesswire.com: https://www.businesswire.com/news/home/20250226448503/en/

CareDx, Inc. Media Relations Anna Czene 818-731-2203 aczene@caredx.com

Investor Relations Caroline Corner investor@CareDx.com