SOPHiA GENETICS Reports Third Quarter 2025 Results and Increases 2025 Revenue Guidance
BOSTON and ROLLE, Switzerland, Nov. 4, 2025 /PRNewswire/ -- SOPHiA GENETICS (Nasdaq: SOPH), a global leader in AI-driven precision medicine, today reported financial results for the third quarter ended September 30, 2025.
Third Quarter 2025 Financial Results
2025 Financial Outlook
"Q3 was an excellent quarter for SOPHiA GENETICS, with revenue growth accelerating for a third consecutive quarter to 23% as new business continues to come online," said Jurgi Camblong, PhD., Chief Executive Officer and Co-founder. "We also demonstrated strong operating leverage as platform scalability and rigorous cost discipline resulted in a year-over-year adjusted EBITDA loss improvement when excluding the impact of elevated Swiss social charges on equity-based compensation."
Camblong added, "Looking ahead, new business momentum remains strong. We signed an impressive cohort of 31 new customers in Q3, with an average contract value of those new signings up 180% year-over-year. We also delivered strong growth in the U.S., drove broad adoption of our Liquid Biopsy offering, and refreshed our momentum with BioPharma customers. Our AI-powered precision medicine platform, SOPHiA DDM TM, perfectly positions us to take advantage of growing market demand and deliver future growth."
Third Quarter 2025 Business Highlights
Expanding usage of SOPHiA DDM TM with existing customers
Landing new SOPHiA DDM TM customers to fuel future growth
Driving strong business growth in the U.S. market
Accelerating growth with new applications
Leveraging SOPHiA DDM TM to deliver value to BioPharma partners
Growing sustainably by maintaining an obsession with operational excellence
Earnings Call and Webcast Information
SOPHiA GENETICS will host a conference call and live webcast to discuss the third quarter 2025 results on Tuesday, November 4, 2025, at 8:00 a.m. (08:00) Eastern Time / 2:00 p.m. (14:00) Central European Time. The call will be webcast live on the SOPHiA GENETICS Investor Relations website, ir.sophiagenetics.com. Additionally, an audio replay of the conference call will be available on the SOPHiA GENETICS website after its completion.
Non-IFRS Financial Measures
Other than with respect to revenue, the Company only provides guidance on a non-IFRS basis. The Company does not provide a reconciliation of forward-looking adjusted gross margin (non-IFRS measure) to gross margin (the most comparable IFRS financial measure), due to the inherent difficulty in forecasting and quantifying amortization of capitalized research & development expenses that are necessary for such reconciliation. In addition, the Company does not provide a reconciliation of forward-looking adjusted operating loss (non-IFRS measure) to operating loss (the most comparable IFRS financial measure), due to the inherent difficulty in forecasting and quantifying amortization of capitalized research & development expenses and intangible assets, share-based compensation expenses, the non-cash portion of pensions paid in excess of actual contributions, certain transaction costs and litigation expenses that are necessary for such reconciliation.
To provide investors with additional information regarding the company's financial results, SOPHiA GENETICS has disclosed here and elsewhere in this earnings release the following non-IFRS measures:
These non-IFRS measures are key measures used by SOPHiA GENETICS management and board of directors to evaluate its operating performance and generate future operating plans. The exclusion of certain expenses facilitates operating performance comparability across reporting periods by removing the effect of non-cash expenses and certain variable charges. Accordingly, the company believes that these non-IFRS measures provide useful information to investors and others in understanding and evaluating its operating results in the same manner as its management and board of directors.
These non-IFRS measures have limitations as financial measures, and you should not consider them in isolation or as a substitute for analysis of SOPHiA GENETICS' results as reported under IFRS. Some of these limitations are:
Because of these limitations, you should consider these non-IFRS measures alongside other financial performance measures, including various cash flow metrics, net income and other IFRS results.
The tables below provide the reconciliation of the most comparable IFRS measures to the non-IFRS measures for the periods presented.
Presentation of Constant Currency Revenue
SOPHiA GENETICS operates internationally, and its revenues are generated primarily in the U.S. dollar, the euro and Swiss franc and, to a lesser extent, British pound, Australian dollar, Brazilian real, Turkish lira and Canadian dollar depending on the company's customers' geographic locations. Changes in revenue include the impact of changes in foreign currency exchange rates. We present the non-IFRS financial measure "constant currency revenue" (or similar terms such as constant currency revenue growth) to show changes in revenue without giving effect to period-to-period currency fluctuations. Under IFRS, revenues received in local (non-U.S. dollar) currencies are translated into U.S. dollars at the average monthly exchange rate for the month in which the transaction occurred. When the company uses the term "constant currency", it means that it has translated local currency revenues for the current reporting period into U.S. dollars using the same average foreign currency exchange rates for the conversion of revenues into U.S. dollars that we used to translate local currency revenues for the comparable reporting period of the prior year. The company then calculates the difference between the IFRS revenue and the constant currency revenue to yield the "constant currency impact" for the current period.
The company's management and board of directors use constant currency revenue growth to evaluate growth and generate future operating plans. The exclusion of the impact of exchange rate fluctuations provides comparability across reporting periods and reflects the effects of customer acquisition efforts and land-and-expand strategy. Accordingly, it believes that this non-IFRS measure provides useful information to investors and others in understanding and evaluating revenue growth in the same manner as the management and board of directors. However, this non-IFRS measure has limitations, particularly as the exchange rate effects that are eliminated could constitute a significant element of its revenue and could significantly impact performance and prospects. Because of these limitations, you should consider this non-IFRS measure alongside other financial performance measures, including revenue and revenue growth presented in accordance with IFRS and other IFRS results.
The table below provides the reconciliation of the most comparable IFRS growth measures to the non-IFRS growth measures for the current period.
About SOPHiA GENETICS
SOPHiA GENETICS (Nasdaq: SOPH) is a cloud-native healthcare technology company on a mission to expand access to data-driven medicine by using AI to deliver world-class care to patients with cancer and rare disorders across the globe. It is the creator of SOPHiA DDM™, a platform that analyzes complex genomic and multimodal data and generates real-time, actionable insights for a broad global network of hospital, laboratory, and biopharma institutions. For more information, visit SOPHiAGENETICS.COM and connect with us on LinkedIn.
Forward-Looking Statements
This press release contains statements that constitute forward-looking statements. All statements other than statements of historical facts contained in this press release, including statements regarding SOPHiA GENETICS future results of operations and financial position, business strategy, products and technology, partnerships and collaborations, as well as plans and objectives of management for future operations, are forward-looking statements. Forward-looking statements are based on SOPHiA GENETICS' management's beliefs and assumptions and on information currently available to the company's management. Such statements are subject to risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward-looking statements due to various factors, including those described in the company's filings with the U.S. Securities and Exchange Commission. No assurance can be given that such future results will be achieved. Such forward-looking statements contained in this press release speak only as of its date. We expressly disclaim any obligation or undertaking to update these forward-looking statements contained in this press release to reflect any change in the company's expectations or any change in events, conditions, or circumstances on which such statements are based, unless required to do so by applicable law. No representations or warranties (expressed or implied) are made about the accuracy of any such forward-looking statements.
SOPHiA GENETICS SA
Interim Condensed Consolidated Statements of Loss
(Amounts in USD thousands, except per share data)
(Unaudited)
Three months ended
September 30,
Nine months ended
September 30,
2025
2024
2025
2024
Revenue
$ 19,462
$ 15,853
$ 55,564
$ 47,440
Cost of revenue
(6,555)
(5,199)
(18,179)
(15,605)
Gross profit
12,907
10,654
37,385
31,835
Research and development costs
(8,067)
(7,874)
(25,678)
(25,223)
Selling and marketing costs
(8,670)
(7,306)
(26,238)
(21,515)
General and administrative costs
(13,889)
(10,880)
(37,790)
(34,288)
Other operating (loss) income, net
(143)
43
(69)
67
Operating loss
(17,862)
(15,363)
(52,390)
(49,124)
Interest income
622
855
1,491
2,707
Interest expense
(1,663)
(588)
(2,881)
(1,232)
Fair value adjustments on warrant obligations
(607)
182
(587)
266
Foreign exchange (losses) gains, net
131
(3,394)
(3,546)
655
Loss before income taxes
(19,379)
(18,308)
(57,913)
(46,728)
Income tax expense
(642)
(130)
(1,907)
(607)
Loss for the period
(20,021)
(18,438)
(59,820)
(47,335)
Attributable to the owners of the parent
(20,021)
(18,438)
(59,820)
(47,335)
Basic and diluted loss per share
$ (0.30)
$ (0.28)
$ (0.89)
$ (0.72)
SOPHiA GENETICS SA
Interim Condensed Consolidated Statements of Comprehensive Loss
(Amounts in USD thousands)
(Unaudited)
Three months ended
September 30,
Nine months ended
September 30,
2025
2024
2025
2024
Loss for the period
$ (20,021)
$ (18,438)
$ (59,820)
$ (47,335)
Other comprehensive (loss) income:
Items that may be reclassified to statement of loss
Currency translation adjustments
(366)
6,990
11,230
(2,149)
Total items that may be reclassified to statement of loss
(366)
6,990
11,230
(2,149)
Items that will not be reclassified to statement of loss (net of tax)
Remeasurement of defined benefit plans
152
(173)
251
(231)
Total items that will not be reclassified to statement of loss
152
(173)
251
(231)
Other comprehensive (loss) income for the period
$ (214)
$ 6,817
$ 11,481
$ (2,380)
Total comprehensive loss for the period
$ (20,235)
$ (11,621)
$ (48,339)
$ (49,715)
Attributable to owners of the parent
$ (20,235)
$ (11,621)
$ (48,339)
$ (49,715)
SOPHiA GENETICS SA
Interim Condensed Consolidated Balance Sheets
(Amounts in USD thousands)
(Unaudited)
September 30, 2025
December 31, 2024
Assets
Current assets
Cash and cash equivalents
$ 81,610
$ 80,226
Accounts receivable
8,455
7,436
Inventory
6,680
5,868
Prepaids and other current assets
6,735
5,875
Total current assets
103,480
99,405
Non-current assets
Property and equipment
4,915
5,209
Intangible assets
34,681
28,998
Right-of-use assets
12,706
14,168
Deferred tax assets
1,666
1,767
Other non-current assets
6,010
5,762
Total non-current assets
59,978
55,904
Total assets
$ 163,458
$ 155,309
Liabilities and equity
Current liabilities
Accounts payable
$ 6,056
$ 5,220
Accrued expenses
16,718
13,217
Deferred contract revenue
10,040
5,732
Lease liabilities, current portion
2,609
2,190
Warrant obligations
1,504
444
Total current liabilities
36,927
26,803
Non-current liabilities
Borrowings
47,581
13,237
Lease liabilities, net of current portion
13,183
14,603
Defined benefit pension liabilities
4,409
3,839
Other non-current liabilities
671
337
Total non-current liabilities
65,844
32,016
Total liabilities
102,771
58,819
Equity
Share capital
4,188
4,188
Share premium
472,438
472,244
Treasury shares
(632)
(702)
Other reserves
84,790
61,037
Accumulated deficit
(500,097)
(440,277)
Total equity
60,687
96,490
Total liabilities and equity
$ 163,458
$ 155,309
SOPHiA GENETICS SA
Interim Condensed Consolidated Statements of Cash Flows
(Amounts in USD thousands)
(Unaudited)
Nine months ended September 30,
2025
2024
(As Recast) 1
Operating activities
Loss before tax
$ (57,913)
$ (46,728)
Adjustments for non-monetary items
Depreciation
2,949
3,439
Amortization
4,142
2,870
Finance expense (income), net
5,009
(2,333)
Fair value adjustments on warrant obligations
587
(266)
Expected credit loss allowance increase (reversal)
(7)
(252)
Share-based compensation
12,337
11,410
Movements in provisions and pensions
492
246
Research tax credit
(752)
(460)
Working capital changes
Decrease (increase) in accounts receivable
31
3,813
Decrease (increase) in prepaids and other assets
2,060
(420)
Decrease (increase) in inventory
(165)
48
Increase (decrease) in accounts payables, accrued expenses,
deferred contract revenue, and other liabilities
3,678
(4,822)
Cash used in operating activities
(27,552)
(33,455)
Income tax paid
(205)
(374)
Net cash flows used in operating activities
(27,757)
(33,829)
Investing activities
Purchase of property and equipment
(236)
(187)
Acquisition of intangible assets
(223)
(195)
Capitalized development costs
(5,697)
(5,854)
Purchase of equity investments held at fair value
(493)
—
Interest received
1,482
2,741
Net cash flow used in investing activities
(5,167)
(3,495)
Financing activities
Proceeds from exercise of share options
199
370
Interest paid
(2,805)
(1,133)
Proceeds from borrowings, net of transaction costs
34,563
13,930
Payments of principal portion of lease liabilities
(1,395)
(2,142)
Net cash flow provided by financing activities
30,562
11,025
Increase (decrease) in cash and cash equivalents
(2,362)
(26,299)
Effect of exchange differences on cash balances
3,746
(1,165)
Cash and cash equivalents at beginning of the year
80,226
123,251
Cash and cash equivalents at end of the period
$ 81,610
$ 95,787
1 Refer to "Note 1—Change in accounting policies—Statement of Cash Flows - Interest Classification", included as Exhibit 99.1 to the Report on Form 6-K to which this report is included as Exhibit 99.3, for details on change in accounting policy.
SOPHiA GENETICS SA
Reconciliation of IFRS Net Loss to Adjusted EBITDA
(Amounts in USD thousands)
(Unaudited)
Three months ended
September 30,
Nine months ended
September 30,
2025
2024
2025
2024
IFRS loss for the period
$ (20,021)
$ (18,438)
$ (59,820)
$ (47,335)
Exclude the impact of:
Depreciation
$ 1,022
$ 1,152
$ 2,949
$ 3,439
Amortization
1,402
1,061
4,142
2,870
Interest income
(622)
(855)
(1,491)
(2,707)
Interest expense
1,663
588
2,881
1,232
Fair value adjustments on warrant obligations
607
(182)
587
(266)
Foreign exchange losses (gains), net
(131)
3,394
3,546
(655)
Income tax expense
642
130
1,907
607
Share-based compensation expense (1)(5)
4,146
3,613
12,337
11,410
Non-cash pension expense (2)
87
106
262
279
Transaction costs (6)
445
—
445
—
Litigation expenses (7)
605
—
605
—
Adjusted EBITDA
$ (10,154)
$ (9,431)
$ (31,649)
$ (31,126)
SOPHiA GENETICS SA
Reconciliation of IFRS Revenue Growth to Constant Currency Revenue Growth
(Amounts in USD thousands, except for %)
(Unaudited)
Three months ended
September 30,
Nine months ended
September 30,
2025
2024
Growth
2025
2024
Growth
IFRS revenue
$ 19,462
$ 15,853
23 %
$ 55,564
$ 47,440
17 %
Current period constant currency impact
(698)
—
—
0
(863)
0
—
Constant currency revenue
$ 18,764
$ 15,853
18 %
$ 54,701
$ 47,440
15 %
SOPHiA GENETICS SA
Reconciliation of IFRS to Adjusted Gross Profit and Gross Profit Margin
(Amounts in USD thousands, except percentages)
(Unaudited)
Three months ended
September 30,
Nine months ended
September 30,
2025
2024
2025
2024
Revenue
$ 19,462
$ 15,853
$ 55,564
$ 47,440
Cost of revenue
(6,555)
(5,199)
(18,179)
(15,605)
Gross profit
$ 12,907
$ 10,654
$ 37,385
$ 31,835
Amortization of capitalized research and development expenses (3)
1,329
942
3,927
2,463
Adjusted gross profit
$ 14,236
$ 11,596
$ 41,312
$ 34,298
Gross profit margin
66.3 %
67.2 %
67.3 %
67.1 %
Amortization of capitalized research and development expenses (3)
6.8 %
5.9 %
7.1 %
5.2 %
Adjusted gross profit margin
73.1 %
73.1 %
74.4 %
72.3 %
SOPHiA GENETICS SA
Reconciliation of IFRS to Adjusted Operating Loss for the Period
(Amounts in USD thousands)
(Unaudited)
Three months ended
September 30,
Nine months ended
September 30,
2025
2024
2025
2024
Operating loss
$ (17,862)
$ (15,363)
$ (52,390)
$ (49,124)
Amortization of capitalized research & development expenses (3)
1,329
942
3,927
2,463
Amortization of intangible assets (4)
73
119
215
407
Share-based compensation expense (1)(5)
4,146
3,613
12,337
11,411
Non-cash pension expense (2)
87
106
262
279
Transaction costs (6)
445
—
445
—
Litigation expenses (7)
605
—
605
—
Adjusted operating loss
$ (11,176)
$ (10,583)
$ (34,598)
$ (34,564)
Notes to the Reconciliation of IFRS to Adjusted Financial Measures Tables
(1)
Share-based compensation expense represents the cost of equity awards issued to our directors, officers, and employees. The fair value of awards is computed at the time the award is granted and is recognized over the vesting period of the award by a charge to the income statement and a corresponding increase in other reserves within equity. These expenses do not have a cash impact but remain a recurring expense for our business and represent an important part of our overall compensation strategy.
(2)
Non-cash pension expense consists of the amount recognized in excess of actual contributions made to our defined pension plans to match actuarial expenses calculated for IFRS purposes. The difference represents a non-cash expense but remains a recurring expense for our business as we continue to make contributions to our plans for the foreseeable future.
(3)
Amortization of capitalized research and development expenses consists of software development costs amortized using the straight-line method over an estimated life of five years. These expenses do not have a cash impact but remain a recurring expense generated over the course of our research and development initiatives.
(4)
Amortization of intangible assets consists of costs related to intangible assets amortized over the course of their useful lives. These expenses do not have a cash impact, but we could continue to generate such expenses through future capital investments.
(5)
Share-based compensation expense does not include social charges on equity-based compensation of $1.3 million and $(0.7) million for the three months ended September 30, 2025 and 2024, respectively, and $1.3 million and $(0.4) million for the nine months ended September 30, 2025 and 2024, respectively.
(6)
Transaction costs consists of expenses incurred in connection with the Company's shelf registration statement and the ATM program.
(7)
Litigation expenses consists of expenses related to the company's defense of lawsuits filed by Guardant Health.
SOURCE SOPHiA GENETICS