ADDED
(the Company or Caris ) is a patient-centric, next-generation artificial intelligence ( AI ) TechBio company and precision medicine pioneer.
The condensed consolidated balance sheet as of December 31, 2024 included herein was derived from the audited financial statements as of that date and should be read in conjunction with the audited annual consolidated financial statements.
As of September 30, 2025, no shares of preferred stock are outstanding.
The vested restricted stock units were settled in August 2025.
Revenue Recognition The Company recognizes revenue under ASC Topic 606, Revenue from Contracts with Customers ( ASC 606 ).
The following table shows the changes in the contract liabilities during the period: (amounts in thousands) Balance at December 31, 2024 $ 7,470 Increase in contract liabilities 7,903 Revenue recognized during the period that was included in deferred revenues at the beginning of the period ( 7,093 ) Revenue recognized from performance obligations satisfied within the same period ( 5,489 ) Balance at September 30, 2025 $ 2,791 The amount of revenue recognized during the nine months ended September 30, 2024 pertaining to amounts deferred as of December 31, 2023 was $ 5.2 million.
Additionally, f or the three months ended September 30, 2025 and 2024, the Company recorded $ 38.3 million and $ 6.8 million, respectively, of adjustments to revenue related to services delivered in prior periods, which is based on variability that was subsequently resolved.
For the nine months ended September 30, 2025 and 2024, the Company recorded $ 23.4 million and $ 2.9 million, respectively, of adjustments to revenue related to services delivered in prior periods, which is based on variability that was subsequently resolved.
For the three months ended September 30, 2025 and 2024, the Company recognized collaboration revenue of $ million and $ 2.5 million , respectively, and $ 6.9 million and $ 9.1 million for the nine months ended September 30, 2025 and 2024, respectively, which is included in revenue from pharma research and development services on the condensed consolidated statements of operations and comprehensive loss.
For the three and nine months ended September 30, 2025 and 2024, the Company's revenues were primarily derived from the sale of Caris molecular profiling services.
REMOVED
Exhibits 125 Signatures 129 Table of Cont e n t s Special Note Regarding Forward-Looking Statements This Quarterly Report on Form 10-Q (this Quarterly Report ) contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 and other federal securities laws.
1 Table of Cont e n t s Part I - Financial Information Item 1.
(the Company or Caris ) is a patient-centric, next-generation artificial intelligence ("AI") TechBio company and precision medicine pioneer.
The condensed consolidated balance sheet as of December 31, 2024 included herein was derived from the audited financial statements as of that date.
Additionally, the gross proceeds of $ 167.7 million, less issuance costs of $ 8.3 million, were allocated as follows: $ 27.9 million to the 2025 Convertible Notes, 7 Table of Cont e n t s $ 10.3 million to the 2025 Warrants, $ 87.6 million to the Series E Preferred Stock, and $ 33.6 million to the Series F Preferred Stock.
As of June 30, 2025, no shares of preferred stock are outstanding.
The vested restricted stock units were not settled as of June 30, 2025.
8 Table of Cont e n t s Significant estimates and assumptions are used for, but not limited to: revenue recognition fair value of stock-based awards and common stock fair value of financial assets and liabilities Future events and their effects cannot be predicted with certainty.
Revenue Recognition The Company recognizes revenue under ASC Topic 606, Revenue from Contracts with Customers ("ASC 606").
The Company estimates the variable consideration under a portfolio approach 9 Table of Cont e n t s for third-party payers, hospitals and patients with similar reimbursement characteristics.