Veracyte Shares Tumble on Weak Test Volume

The company now anticipates total annual revenue between $590 million and $593 million, a tighter range than the previous $590 million to $596 million estimate. This downward adjustment stems largely from weaker-than-anticipated performance in its core testing division. Executives revised the expected testing revenue to a range of $571 million to $573 million, falling short of the earlier $576 million to $582 million forecast.

Chief Executive Marc Stapley pointed to the Decipher Prostate test as a primary drag on volume, noting that demand fell below management’s expectations. Furthermore, the company reported minimal revenue contributions from its recently introduced diagnostic products, signaling a slower-than-expected commercial ramp-up. For the third quarter, Veracyte recorded total revenue of $151.8 million, with testing revenue accounting for $146.4 million of that figure. Despite the post-market slump, the stock had maintained a 24% gain for the year heading into the Wednesday close.