Seer, Inc. — Third Quarter 2026 Earnings Summary

Financial Performance:

• Third-quarter 2026 revenue was $4.0 million, a 3% decrease from $4.1 million in the third quarter of 2025, and an increase from $3.1 million in the second quarter of 2026.
• Product revenue was $2.8 million, service revenue was $1.1 million, related party revenue was $0.1 million, and other revenue was approximately $67,000.
• Gross profit was $1.9 million with a gross margin of 47% for the quarter, compared to $2.1 million gross profit in the prior-year period.
• Operating expenses were $16.5 million, a 23% decrease from $21.5 million in the prior-year period, driven primarily by lower employee compensation expenses including stock-based compensation.
• Net loss was $13.7 million for the quarter, compared to a net loss of $18.2 million in the prior-year period.
• For the nine months ended September 30, 2026, net cash used in operating activities was approximately $34.5 million, resulting in negative free cash flow of approximately $34.8 million.
• Cash, cash equivalents, and investments totaled approximately $198.1 million as of September 30, 2026.
• Deferred revenue was $482,000 as of September 30, 2026, up from $341,000 as of December 31, 2025.

Guidance and Future Outlook:

• Full-year 2026 revenue guidance has been lowered to a range of $13.5 million to $14.5 million, down from the previous range of $16 million to $18 million.
• The company cites continued pressure on academic and government funding extending sales cycles and delays in closing several late-stage opportunities as reasons for the guidance reduction.
• Management believes the company has sufficient capital to reach cash flow breakeven based on its current operating plan.

Business Segments and Product Lines:

• Established customers continued purchasing consumables, with several accounts making purchases across multiple consecutive quarters.
• Several new large pharmaceutical customers purchased instruments and consumables during the year.
• Scientific publications, preprints, and reviews utilizing Proteograph reached 116, up from 95 in the previous update.
• The PRECISE-SG100K study presented preliminary findings from 9,658 plasma samples, quantifying approximately 8,800 protein groups and 88,000 peptides per sample.
• Independent studies indicate Proteograph XT delivers the greatest plasma coverage, averaging approximately 6,060 proteins per sample with a 1.9% missing measurement rate.
• Korea University researchers presented findings on an ID-Free AI Proteomics approach using Proteograph that improved cancer-classification performance compared to models using identified-peptide features alone.

Market and Competitive Landscape:

• The company highlighted that Proteograph substantially expands the plasma proteome available for discovery, achieving approximately 10–15% of the protein coverage of conventional mass spectrometry workflows without Proteograph.
• PRECISE investigators identified over 4,200 proteins with significant associations between genetic variation and protein abundance, reporting 2,762 genetic-protein associations not previously documented across 12 reference studies.

Risks and Challenges:

• Continued pressure on academic and government funding is extending sales cycles and delaying the closure of late-stage opportunities.
• The ITC investigation regarding intellectual property rights remains pending, with a final determination expected by year-end.
• Forward-looking statements note risks regarding revenue guidance, product adoption, sample volume expansion, and the outcome of the ITC proceeding.

Management Commentary and Tone:

• CEO Omid Farokhzad expressed confidence in Seer's opportunity and commitment to building long-term shareholder value, citing a strong balance sheet and growing evidence of the platform's value.
• Management emphasized a strategy to translate differentiated value into sustained revenue growth by expanding sample volume within customer accounts and fostering relationships that support repeat use.

Other Key Points:

• On October 29, Seer announced that its Board of Directors' Special Committee completed its review, confirming the company will remain an independent public entity.
• On November 5, Seer announced that the ITC investigative staff recommended granting full exclusion and cease-and-desist orders following Nanomics Biotechnology's withdrawal from the defense of the ITC investigation.
• Through September 30, 2026, Seer had repurchased approximately 13.5 million Class A common shares at a weighted average price of $1.85 per share, utilizing approximately $25 million of a $50 million authorization.
• Approximately $25 million remained available under the share repurchase authorizations as of the end of the quarter.
• During the third quarter, the Company repurchased approximately 61,000 shares at a weighted-average price of $1.64 per share.