Exagen (NASDAQ:XGN) delivered record quarterly revenue, narrowed losses, improved adjusted EBITDA, and increased its full-year revenue outlook as demand for its autoimmune testing portfolio continued to grow.
Key Investor Takeaways
- Exagen (NASDAQ:XGN) reported record second-quarter revenue of $19.9 million, up 16% year over year.
- AVISE CTD testing volume increased 11%, while average selling price rose 4% to a trailing twelve-month average of $446 per test.
- The company significantly reduced its adjusted EBITDA loss to $0.1 million, moving closer to profitability.
- Management raised full-year 2026 revenue guidance to $72 million-$75 million from the previous range of $70 million-$73 million.
- New clinical evidence supporting AVISE Lupus may strengthen adoption of Exagen’s autoimmune diagnostics platform.
Why (NASDAQ:XGN) Stock Is in Focus
Exagen (NASDAQ:XGN) reported record second-quarter 2026 revenue of $19.9 million, representing a 16% increase from the same period last year.
Growth was supported by an 11% increase in AVISE CTD testing volume and continued pricing improvement, with the trailing twelve-month average selling price rising to $446 per test from $428 a year earlier.
The company’s profitability metrics also improved. Gross margin expanded to 61.3% from 60.4%, operating loss narrowed to $1.7 million from $2.6 million, and net loss improved to $3.2 million from $4.4 million. Adjusted EBITDA loss declined sharply to $0.1 million compared with a $1.7 million loss in the prior-year quarter.
Exagen ended the quarter with approximately $24.6 million in cash and cash equivalents.
The company also announced publication of a systematic review involving more than 3,100 patients across 14 medical centers. According to Exagen, the analysis demonstrated that use of AVISE CTD identified approximately 25% of systemic lupus erythematosus (SLE) patients who were missed by conventional diagnostic markers.
Reflecting its operating performance, management increased full-year 2026 revenue guidance to a range of $72 million to $75 million.
Why This Matters for Investors
The combination of double-digit revenue growth, higher testing volumes, improving pricing, and narrower losses suggests Exagen is making progress toward its stated goal of sustainable profitability.
The guidance increase indicates management expects business momentum to continue through the remainder of 2026. At the same time, the sharp improvement in adjusted EBITDA may be viewed as evidence that revenue growth is translating into better operating leverage.
Beyond the financial results, the publication of additional real-world clinical evidence could support broader physician adoption of AVISE CTD. Continued investment in AI-powered rheumatology tools also reflects the company’s strategy to expand beyond diagnostic testing into workflow support, although the commercial impact of those initiatives remains to be demonstrated.
What to Watch Next
Investors will likely monitor whether Exagen can sustain testing volume growth while maintaining higher average selling prices and improving profitability.
Key catalysts include execution against the updated revenue guidance of $72 million to $75 million, continued progress toward positive adjusted EBITDA and cash generation, additional clinical evidence supporting AVISE products, and adoption of the company’s AI-enabled tools within rheumatology practices.
Exagen stock price
