CareDx Posts Strong Q1 2025 Results, Driven by Revenue Growth and Strategic Advancements
CareDx, Inc. (Nasdaq: CDNA), a leading precision medicine company focused on transplant patient care, has reported financial results for the first quarter ended March 31, 2025. The company delivered robust performance across key financial and operational metrics, reinforcing its strategic position in the transplant diagnostics market and laying the groundwork for continued growth throughout the year.
Financial Performance Shows Strong Momentum
CareDx generated total revenue of $84.7 million in Q1 2025, marking an 18% increase compared to $72.0 million in the same period last year. This growth was fueled by continued demand for its testing services and digital health solutions, particularly in kidney and heart transplant monitoring.
Testing Services revenue contributed $61.9 million, a 15% rise year-over-year, driven by a 12% increase in testing volumes to approximately 47,100 tests. The company also recorded $1.1 million in write-offs related to aged receivables, and when adjusted for this, non-GAAP Testing Services revenue totaled $63.0 million.
The Patient and Digital Solutions segment reported revenue of $12.0 million, a 24% increase from the $9.6 million reported in Q1 2024. Product revenue also demonstrated solid growth, rising 26% year-over-year to $10.8 million.
From a profitability standpoint, the company reported a GAAP net loss of $10.4 million in Q1 2025, a significant improvement from the $19.9 million GAAP net loss in Q1 2024. GAAP net loss per share was $0.19, compared to $0.38 in the year-ago quarter.
However, on a non-GAAP basis, CareDx posted net income of $5.4 million, reversing a non-GAAP net loss of $1.4 million in Q1 2024. Diluted non-GAAP earnings per share came in at $0.09, compared to a loss of $0.03 in the prior-year period. The company also reported positive adjusted EBITDA of $4.6 million, a turnaround from an adjusted EBITDA loss of $1.9 million in Q1 2024.
Strong Cash Position and No Debt
As of March 31, 2025, CareDx maintained a solid liquidity position with $231 million in cash, cash equivalents, and marketable securities. Notably, the company continues to operate debt-free, which provides it with financial flexibility to invest in strategic initiatives and further product development.
Affirming 2025 Guidance and Long-Term Outlook
CareDx reaffirmed its full-year 2025 revenue guidance in the range of $365 million to $375 million, alongside an adjusted EBITDA forecast of $29 million to $33 million. The company also reiterated its long-term target of achieving $500 million in revenue and $100 million in adjusted EBITDA by 2027, signaling confidence in its growth trajectory.
Operational Highlights and Strategic Milestones
The first quarter of 2025 marked the seventh consecutive quarter of sequential testing volume growth for CareDx. This trend underscores the increasing adoption of its surveillance testing offerings, particularly in the kidney transplant space, where the company maintains a leading market position.
During the quarter, CareDx introduced two expanded indications for its flagship AlloSure® Testing Services:
- AlloSure Heart: Now available for pediatric heart transplant patients under the age of 15.
- AlloSure Kidney: Newly launched for patients undergoing simultaneous pancreas-kidney (SPK) transplants.
These expanded indications reflect CareDx’s commitment to advancing precision diagnostics and expanding its addressable market.
The company also submitted the second manuscript of the SHORE (Surveillance HeartCare Outcomes Registry) study for peer-reviewed publication. The SHORE study is designed to generate real-world evidence supporting the clinical utility of CareDx’s heart transplant surveillance tools.
In addition, CareDx presented new data from its AlloHeme™ pipeline at two major industry conferences: the Tandem Meetings of the American Society for Transplantation and Cellular Therapy (ASTCT) and the European Society for Blood and Marrow Transplantation (EBMT). These presentations demonstrate progress in the development of diagnostic tools for patients with hematologic malignancies, a strategic pipeline expansion beyond solid organ transplantation.
CareDx also completed a restructuring of its Revenue Cycle Management (RCM) team in Q1, aimed at improving average selling prices (ASP) and overall operational efficiency. Furthermore, the company initiated a strategic operations project to accelerate revenue growth by integrating its solutions with EPIC AURA, a widely used electronic medical record (EMR) system. This integration is expected to streamline workflows and expand access to CareDx solutions across transplant centers.
CEO Commentary
“We had another strong quarter marked by growth across all organs, led by kidney surveillance testing,” said John W. Hanna, President and CEO of CareDx. “Our increased sales footprint had a clear impact, and we saw continued progress in surveillance testing protocol adoption that we anticipate will have an impact in Q2.”
Hanna added, “I am pleased with the progress we continue to make with our pipeline, including the launch of two expanded indications for AlloSure and advancements in our AlloHeme trial for patients with hematologic malignancies presented at two conferences.”
A Focused Vision for Precision Transplant Care
As the leading provider of genomics-based information for transplant patients, CareDx remains committed to delivering clinically differentiated, high-value healthcare solutions that span the entire transplant patient journey—before, during, and after transplantation. The company’s expanding portfolio of testing services, digital health tools, and clinical research initiatives solidifies its role as a key enabler of personalized transplant care.
Looking ahead, CareDx aims to build on its recent momentum by deepening partnerships with transplant centers, driving further adoption of its surveillance solutions, and expanding its innovation pipeline to address new clinical indications.
About CareDx – The Transplant Company
CareDx, Inc., headquartered in Brisbane, California, is a leading precision medicine solutions company focused on the discovery, development, and commercialization of clinically differentiated, high-value healthcare solutions for transplant patients and caregivers. CareDx offers testing services, products, and digital healthcare solutions along the pre- and post-transplant patient journey and is the leading provider of genomics-based information for transplant patients. For more information, please visit: www.CareDx.com.
