Castle Biosciences beats Q2 revenue estimates, hikes forecast

Castle Biosciences

30/07/2026 21:15

Overview
US diagnostics firm's Q2 revenue rose yr/yr, beating analyst expectations
Company raised 2026 revenue guidance to $365-375 mln, citing strong test volume growth
Q2 net loss reported as $2.1 mln, compared to net income last year

Outlook
Castle Biosciences raises 2026 revenue guidance to $365-375 mln from $345-355 mln
Company expects positive Adjusted EBITDA for Q3, Q4 and full-year 2026

Result Drivers
CORE TEST VOLUME GROWTH - Q2 revenue growth was driven by a 32% increase in test reports for DecisionDx-Melanoma and TissueCypher
DECLINES IN OTHER TESTS - Lower volumes for DecisionDx-SCC and MyPath Melanoma reflected changes in Medicare coverage, commercial focus, and discontinuation of IDgenetix
CLINICAL VALIDATION AND REGULATORY MILESTONES - Recent studies and regulatory approvals supported the clinical impact and adoption of AdvanceAD-Tx and other tests

Company press release: ID:nPn3tK6xGa

Key Details
Metric
Beat/Miss
Actual
Consensus Estimate
Q2 Revenue
Beat
$103.55 mln
$86.24 mln (9 Analysts)
Q2 Net Loss
 
$2.06 mln
 
Q2 Operating Expenses
 
$106.62 mln
 
Q2 Operating Income
 
-$3.07 mln
 
Q2 Pretax Loss
 
$1.69 mln
 

Analyst Coverage
The current average analyst rating on the shares is "strong buy" and the breakdown of recommendations is 9 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"
The average consensus recommendation for the medical equipment, supplies & distribution peer group is "buy."
Wall Street's median 12-month price target for Castle Biosciences Inc is $40.00, about 63.5% above its July 29 closing price of $24.46

Reuters Recommended Reads
July 28 - NeoGenomics Q2 revenue beats estimates, raises outlook
July 30 - Labcorp Q2 revenue slightly beats estimates, lifts 2026 outlook 
July 29 - GE Healthcare Q2 revenue rises 5.7% on Pharmaceutical Diagnostics unit strength

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)