CareDx, Inc., a precision medicine diagnostics company, raised its full-year 2026 revenue guidance to a range of $490 million–$500 million, significantly surpassing the consensus analyst estimate of $455.924 million. This upward revision follows the company’s second-quarter 2026 results, which reported total revenue of $132 million, a 52% year-over-year increase from $87 million in the same period last year. The enhanced outlook reflects sustained momentum in molecular surveillance testing and successful integration of recent acquisitions.

The financial performance was driven by robust growth across key segments. Testing Services revenue grew 61% year-over-year to $100 million, supported by a 17% increase in testing volume to approximately 58,000 tests. Patient and Digital Solutions revenue rose 50% to $19 million. CareDx also closed the sale of its Lab Products business to Eurobio Scientific on June 30, recognizing a $113 million gain included in GAAP operating income. Concurrently, the company completed the acquisition of Naveris, Inc., strengthening its portfolio in head and neck cancer diagnostics.

Financial Performance

Total revenue reached $132 million compared to $87 million in the second quarter of 2025. The company’s GAAP net income turned positive at $111 million, reversing a GAAP net loss of $9 million in the prior-year period. This shift was primarily due to the $113 million gain on the Lab Products sale. Excluding this one-time item, non-GAAP net income was $20 million, up from $6 million in Q2 2025. Adjusted EBITDA improved significantly to $25 million from $5 million, reflecting operational efficiency.

Guidance and Outlook

CareDx raised its full-year 2026 financial outlook, citing sustained momentum in testing activity and favorable reimbursement dynamics. The company now expects full-year 2026 revenue to range between $490 million and $500 million, an increase from the previous guidance of $447 million to $465 million. This new range exceeds the market consensus estimate of $455.924 million. Similarly, adjusted EBITDA guidance was raised to $66 million–$78 million, up from the earlier range of $43 million–$57 million.

What the Numbers Show

The divergence between GAAP and non-GAAP profitability highlights the structural impact of the Lab Products divestiture. While GAAP net income surged to $111 million largely due to the $113 million sale gain, core operational performance is better represented by adjusted EBITDA, which grew fivefold to $25 million. This indicates that underlying business operations are scaling efficiently, with testing services volume growing 17% while revenue grew 61%, suggesting an improvement in average revenue per test or mix shift toward higher-value assays. The significant beat against the $455.924 million analyst estimate suggests strong confidence in continued volume growth and pricing power.

CareDx Inc. (Nasdaq: CDNA) saw its shares surge nearly 29% on Thursday after the company announced the finalization of the Medicare Local Coverage Determination (LCD) process for molecular testing related to solid organ allograft rejection. The final policy affirms coverage across CareDx’s transplant surveillance offerings for kidney, heart, and lung. This development provides clarity for patients and clinicians regarding the use of molecular surveillance in transplant patient management.

The precision medicine diagnostics company said the final policy provides continued Medicare coverage for its transplant surveillance portfolio and maintains coverage for clinically indicated, for-cause testing across all three organ types. The proposed draft LCD was released on July 17, 2025, and was open for public comment through August 31, 2025. CareDx submitted a comment letter addressing key aspects of the draft. The Final LCD was published on July 16, 2026, and is expected to take effect on August 30, 2026.

Coverage Summary by Organ

Kidney Testing Coverage

The policy specifies coverage limits for AlloSure Kidney, affirming surveillance testing for up to six tests in the first-year post-transplant and up to four tests per year in years two and three. For-cause testing remains unchanged and is available when clinically indicated. CareDx noted that patients using AlloSure Kidney currently receive an average of approximately three to four tests during the first year after a transplant.

Heart Surveillance Policy

For heart transplants, coverage is maintained for AlloMap and AlloSure Heart, including their combined use when medically appropriate. The policy covers up to 12 surveillance tests in the first-year post-transplant and four tests in years two and three. Coverage of for-cause testing is also unchanged and available when clinically indicated.

Lung Monitoring Coverage

Coverage is maintained for AlloSure Lung for surveillance testing, including up to 12 tests in the first-year post-transplant and four tests in years two and three. These criteria align with the clinical need for frequent monitoring in the early post-transplant period for lung transplant patients.