Adaptive Biotechnologies Reports Fourth Quarter and Full Year 2024 Financial Results

Adaptive Biotechnologies Corporation, a commercial-stage biotechnology company focused on translating the genetics of the adaptive immune system into clinical products, has released its financial results for the fourth quarter and full year ending December 31, 2024. The company reported significant growth in its Minimal Residual Disease (MRD) business and advancements in its Immune Medicine programs.

Financial Highlights

For the fourth quarter of 2024, Adaptive Biotechnologies reported revenue of $47.5 million, a 4% increase from the same period in the prior year. The MRD business contributed $40.1 million to this total, representing a 31% increase year-over-year. However, the Immune Medicine segment saw a 51% decrease in revenue, totaling $7.3 million for the quarter.

Operating expenses for the quarter were $81.3 million, down from $116.9 million in the previous year, which included a $25.4 million lease impairment charge. Excluding this charge, operating expenses decreased by 11%. The net loss for the quarter was $33.7 million, a significant improvement from the $69.5 million loss in the same period of 2023. Adjusted EBITDA showed a loss of $16.4 million, compared to a loss of $24.7 million in the prior year.

For the full year 2024, revenue was $179.0 million, a 5% increase from 2023. The MRD business saw a 42% increase in revenue, totaling $145.5 million, while the Immune Medicine segment experienced a 51% decrease, bringing in $33.4 million. Operating expenses for the year were $341.5 million, down from $397.3 million in 2023. The net loss for the year was $159.6 million, compared to $225.3 million in the previous year. Adjusted EBITDA for the full year was a loss of $80.4 million, an improvement from the $116.4 million loss in 2023.

Business and Operational Highlights

Adaptive Biotechnologies achieved several key milestones in 2024. The company reported a 34% increase in clonoSEQ test volume, delivering 20,945 tests in the fourth quarter and 76,105 tests for the full year. The FDA’s Oncologic Drug Advisory Committee (ODAC) voted unanimously in favor of using MRD as a primary endpoint to support the accelerated approval of new therapies for multiple myeloma. Additionally, the company received expanded Medicare coverage for clonoSEQ in Mantle Cell Lymphoma (MCL) and signed an exclusive strategic commercial partnership with NeoGenomics.

Strategic Initiatives and Corporate Developments

Adaptive Biotechnologies focused on advancing its therapeutics pipeline in Immune Medicine, completing multiple antibody mouse immunization campaigns in prioritized autoimmune indications. The company also nominated a lead autoimmune indication to further advance the preclinical development of antibody therapeutic candidates.

Management's Perspective

Chad Robins, CEO and co-founder of Adaptive Biotechnologies, highlighted the strong execution in 2024, particularly in the MRD business and Immune Medicine programs. He emphasized the company's focus on achieving profitability in MRD, advancing the therapeutics pipeline, and maintaining a durable cash position to support long-term growth.

Future Outlook

Looking ahead to 2025, Adaptive Biotechnologies expects full-year revenue for the MRD business to be between $175 million and $185 million. The company also anticipates total operating expenses, including the cost of revenue, to be between $340 million and $350 million, with a total company cash burn of $60 million to $70 million.

SEC Filing: Adaptive Biotechnologies Corp [ ADPT ] - 8-K - Feb. 11, 2025