Tempus AI achieved a record $1.1B in contracts for 2025
Tempus AI (TEM) announced on Sunday that it secured a record $1.1 billion in new contracts in 2025, including data deals with over 70 customers as of Dec. 31.
The Cathie Wood-backed healthcare tech company said that the agreements are with both mid-sized and large pharmaceutical companies, including Bristol-Myers Squibb Company (BMY), Pfizer Inc. (PFE), Merk, and Eli Lilly (LLY), as well as biotech firms like Aspera Biomedicines, Whitehawk Therapeutics and Incyte Corporation (INCY).
Tempus said that it also achieved a 126% net revenue retention, which shows the continued expansion of business with existing customers, the company noted.
Its stock surged 10% in early morning trading on Monday before closing up 4.5%.
Its preliminary, unaudited results released on Sunday show $1.27 billion in revenue for 2025, which would represent about 83% year-over-year (YoY) growth.
This includes $955 million revenue in diagnostics, a 111% YoY jump, and $316 million in data and applications revenue, which would be good for 31% YoY growth.
The company said that it plans to release its complete fourth quarter and full year 2025 earnings in February.
“2025 was a record year for our Data and applications business - both from a revenue and TCV perspective,” Jim Rogers, chief financial Officer at Tempus, said in a statement. “Our engagement with life sciences companies has never been stronger, and our data business has never been better positioned, giving us tremendous visibility to continued growth in 2026 and beyond.”
Tempus on Monday also announced partnerships with two American university medical centers to advance its research efforts.
The company entered into a multi-year strategic collaboration with NYU Langhorne Health, one of the leading academic medical centers in the US, that will aim to transform cancer treatment through advanced molecular profiling and data-driven insights.
Tempus said that the research with NYU will seek to enhance genomic diagnostics to improve patient outcomes, as well as to inform future clinical practice and speed up the development and validation of novel assays and algorithmic diagnostics.
“Through the integration of advanced genomic technologies and data science, we are deepening our understanding of cancer’s complexity and pioneering transformative approaches for patient monitoring and treatment,” Dr. Ezra Cohen, chief medical officer of oncology at Tempus, said in a statement.
The Chicago-based company uses artificial intelligence for genome sequencing and precision medicine.
It claims to have the world’s largest clinical and molecular database — a resource used by cardiologists, oncologists, research centers, and pharmaceutical companies.
The company's shares are the sixth-largest holding of Cathie Wood's Ark Innovation ETF (ARKK) and the largest holding in the Ark Genomic Revolution ETF (ARKG).
Wood has called healthcare "the most underappreciated application of AI."
In addition to its collaboration with NYU Langhorne Health, Tempus also announced on Monday that it will be partnering with Northwestern Medicine in an effort to expand genomic testing.
The aim of the partnership will be to provide every patient across cancer types, including patients with early stage cancer diagnoses, access to genomic testing. This will allow clinicians to deploy more tailored, effective treatments to their patients, Tempus said.