Key Highlights
- Tempus AI has broadened its multi-year partnership with Gilead Sciences (GILD), providing comprehensive access to its AI-powered Lens analytics platform for cancer drug development.
- Gilead now has organization-wide access to Tempus’ anonymized multimodal cancer datasets spanning numerous tumor types.
- Tempus’ diagnostic testing division delivered 111.5% revenue growth year-over-year in 2025, with cancer testing volumes climbing 26%.
- The company’s Data and Applications division generated $100.4M in fourth-quarter 2025 revenue, representing 25.1% annual growth, while total remaining contract obligations surpassed $1.1 billion.
- TEM shares have appreciated 17.9% over the trailing twelve months, outperforming the medical information systems sector which declined 20%.
Tempus AI has formalized an enhanced collaboration agreement with Gilead Sciences, building upon an existing relationship that has been providing real-world oncology insights for Gilead’s pharmaceutical development programs.
Today we announced an expanded, multi-year collaboration with @GileadSciences aimed at building and advancing Gilead’s oncology pipeline.
“We are so excited to have entered into a strategic collaboration with Gilead whereby our multimodal data and AI-powered insights will… pic.twitter.com/W2cdJj1fnn
— Tempus (@TempusAI) April 9, 2026
Under the revised arrangement, Gilead receives organization-wide licensing to Tempus’ artificial intelligence-enabled Lens analytics system. This grants substantially expanded access to de-identified patient information across diverse cancer subtypes, complemented by specialized analytical support from Tempus personnel.
In the original arrangement, Gilead leveraged Tempus’ clinical database for targeted applications including clinical trial architecture, biomarker identification, therapeutic indication prioritization, and real-world outcomes evaluation. The enhanced partnership significantly broadens this scope.
Patrick Loerch, Senior Vice President of Clinical Data Science at Gilead, characterized the collaboration as embodying their “shared priority of putting patients at the heart of innovation.” Ryan Fukushima, Chief Executive Officer of Tempus Data & Apps, indicated the broadened platform access would furnish AI-generated insights supporting Gilead’s research initiatives. The companies did not reveal financial specifics of the agreement.
Robust Diagnostic Testing Performance Underpins Partnership
The announcement arrives alongside some of Tempus’ most impressive diagnostic performance metrics to date.
Throughout 2025, Tempus‘ diagnostic testing division achieved 111.5% year-over-year revenue expansion. Cancer genomic testing volumes increased 26%, hereditary cancer screening expanded 29%, and minimal residual disease (MRD) testing reached approximately 4,700 tests during the fourth quarter—representing 56% sequential growth.
Company leadership anticipates oncology testing growth of approximately 30% throughout 2026, propelled by increased genomic profiling adoption and broader insurance coverage for MRD monitoring applications.
The organization is simultaneously navigating regulatory reimbursement enhancements, particularly with the conversion of its xT CDx assay from laboratory-developed test status to FDA-approved companion diagnostic classification. The average reimbursement price during fourth-quarter 2025 reached approximately $1,640, increasing roughly $40 from the preceding quarter.
Data Platform Demonstrating Consistent Expansion
Tempus‘ Data and Applications division has emerged as a critical growth engine for the organization.
Fourth-quarter 2025 segment revenues totaled $100.4 million, marking 25.1% year-over-year advancement. Net Revenue Retention measured 126%, demonstrating that current clients are increasing their platform expenditures. The company concluded 2025 with total remaining contract obligations exceeding $1.1 billion.
Leadership has established guidance projecting approximately $1.59 billion in aggregate 2026 revenues, suggesting roughly 25% growth.
Tempus continues advancing investments in comprehensive AI foundational models trained on its exclusive clinical datasets, with strategic plans extending beyond oncology into radiology, cardiovascular medicine, and neuropsychological applications.
The equity currently trades at a forward price-to-sales multiple of 5.02x, positioned below the sector median of 5.38x.
Gilead, concurrently, has entered an aggressive acquisition cycle. The pharmaceutical company has disclosed three transactions totaling approximately $15 billion, encompassing a $7.8 billion acquisition of Arcellx and a $5 billion purchase of Tubulis. Equity analysts at TD Cowen, BMO Capital, and Truist Securities maintain Buy or Outperform recommendations on Gilead with valuation targets spanning $155 to $174.
