Fulgent Genetics, Inc., a leading provider of comprehensive genetic testing and precision diagnostics, has released its Form 10-Q report for the second quarter of 2025. The report highlights significant financial growth and operational advancements, underscoring the company’s strategic focus on expanding its core laboratory services and therapeutic development.

Financial Highlights

Revenue: $81.8 million, increased by 15% from $71.0 million in the same period last year, driven by growth in precision diagnostics, anatomic pathology, and BioPharma services.

Gross Profit: $34.4 million, increased by 30% from $26.5 million in the same period last year, reflecting improved cost structures and increased revenue.

Operating Loss: $(19.7) million, slightly increased from $(18.9) million in the same period last year, due to higher operating expenses.

Net Loss: $(19.3) million, increased from $(9.1) million in the same period last year, primarily due to an impairment loss and increased operating expenses.

Net Loss Per Share: $(0.62), compared to $(0.29) in the same period last year, reflecting the increased net loss.

Business Highlights

Revenue Segments: The laboratory services segment saw significant growth across its product lines. Precision diagnostics revenue increased by 10% due to growth in reproductive health services and legacy diagnostic offerings. Anatomic pathology services revenue rose by 20%, driven by the absence of prior year disruptions and investments in digital pathology. BioPharma services experienced a 73% increase, attributed to the timing of service projects.

Geographical Performance: Revenue from non-U.S. sources decreased by 18% in the three months ended June 30, 2025, primarily due to a one-time licensing arrangement in the prior period that did not recur. The U.S. market remains the primary revenue driver, with significant contributions from domestic operations.

Customer Concentration: A single customer accounted for 22% of total revenue in the three months ended June 30, 2025, highlighting a concentration risk. Efforts are being made to diversify the customer base to mitigate this risk.

Operational Efficiency: The company improved its gross margin from 37% to 42% year-over-year for the three months ended June 30, 2025, through increased revenue and optimized cost structures.

Future Outlook: The company does not expect future material revenues from COVID-19 testing services, indicating a strategic shift away from pandemic-related offerings. The focus will be on expanding core laboratory services and therapeutic development.

SEC Filing: Fulgent Genetics, Inc. [ FLGT ] – 10-Q – Aug. 01, 2025