Companies /Healthcare

Natera Inc

NASDAQ: NTRA Diagnostics & Research
$328.93
▲ $2.79 (+0.86%) today
Markets closed · 8:59pm ET

Q1 2025 Earnings

Reported May 8, 2025, 4:15pm ET · SEC source
$-0.50
Beat +24.17%
EPS · est. $-0.66
$501.8M
Beat +12.35%
Revenue · est. $446.7M
+3.2%
Beating market
NTRA vs S&P since report
1 quarter
Consecutive EPS beats

Market Reaction

% change · around the report
−8%−4%0+4%May 8May 9report 4:15pm ETearnings−0.0%−7.3%
−8%−4%0+4%May 8May 9earnings−0.0%−7.3%
NTRA −7.3%S&P 500 −0.0%
−8%−4%0+4%May 8May 9report 4:15pm ETearnings+0.0%−7.3%
−8%−4%0+4%May 8May 9earnings+0.0%−7.3%
NTRA −7.3%NASDAQ +0.0%
−10%−5%0+5%May 7May 16report 4:15pm ETearnings+4.8%−8.9%
−10%−5%0+5%May 7May 16earnings+4.8%−8.9%
NTRA −8.9%S&P 500 +4.8%
−12%−6%0+6%May 7May 16report 4:15pm ETearnings+6.3%−8.9%
−12%−6%0+6%May 7May 16earnings+6.3%−8.9%
NTRA −8.9%NASDAQ +6.3%
−6.53%
Day of report
+3.51%
Next session
+0.42%
One week
+9.75%
30 days

S&P 500 over the same 30 days: +6.56%.

Did NTRA Beat Earnings? Q1 2025 Results

Natera posted a convincing beat across both earnings and revenue in the first quarter of 2025, reporting a net loss of $0.50 per share against analyst expectations closer to a $0.59 loss, while revenue climbed 36.5% year-over-year to $501.83 million, well ahead of the roughly $460.85 million consensus. The primary engine behind that top-line strength was broad-based volume growth and average selling price improvements, with total tests processed rising 16.2% to approximately 855,100, led by a 46.1% surge in oncology testing to roughly 167,700 units. Gross margin expanded meaningfully to 63.1% from 56.7% a year ago, reflecting cost discipline and favorable cash collections on prior-period tests. Operating losses widened modestly to $79.18 million as R&D and SG&A spending accelerated to support new products and clinical trials. The company generated $44.50 million in operating cash flow and ended the quarter with approximately $991.60 million in cash and investments. Encouraged by the momentum, Natera raised its full-year 2025 revenue guidance to $1.94 billion to $2.02 billion, representing approximately 26% pro-forma growth, while maintaining gross margin guidance of 60% to 64%.

Key Takeaways
  • Total test volume growth of 16.2% YoY to approximately 855,100 tests
  • Oncology test volume growth of 46.1% YoY to approximately 167,700 tests
  • Clinical oncology units grew ~16,500 sequentially from Q4 2024, a record sequential quarter growth
  • Average selling price improvements
  • Cash collections exceeding initial revenue estimates driving true-ups
  • Continued progress in reducing cost of revenues per test
  • Strong performance across all product areas: women's health, organ health, and oncology

“We delivered another strong quarter, with volume growth across the business, including a record growth quarter for Signatera. Our progress reflects the strength of our technology and the breadth and quality of the clinical data. With multiple high-impact datasets reading out and trials underway, we believe we're in a strong position to help millions of patients in the future.”

Natera CEO, on the earnings call

Forward Guidance & Outlook

Natera raised its 2025 full-year revenue guidance to $1.94 billion–$2.02 billion, up from a prior range of $1.87 billion–$1.95 billion, representing pro-forma revenue growth of approximately 26%. Gross margin guidance is maintained at 60%–64%. SG&A costs are now expected to be $975 million–$1.05 billion (up from $950 million–$975 million), reflecting commercial investments and incremental non-cash/non-recurring charges. R&D costs are guided to $550 million–$590 million (up from $525 million–$550 million) as clinical trials and product investments accelerate. The company expects positive net cash flow for the full year 2025.

NTRA YoY Financials

Revenue$501.8M
Gross Profit$316.8M
Operating Income$-79,177,000
Net Income$-66,936,000

NTRA Revenue by Segment

Product Revenues$500.0M+37.1%
Licensing and Other Revenues$1.8M

Figures from SEC filings and company reports. Not investment advice.