Revenue growth accelerated to 44.3% year-over-year in Q2 2026, reaching $335.0M, while gross margin improved to 65.4%, but operating margin remained deeply negative at -38.5%.
Guardant Health, Inc. (GH) annual income statement — 10-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 |
|---|
| Sales/Revenue | 1.28B | 982.02M | 739.02M | 563.95M | 449.54M | 373.65M | 286.73M | 214.38M | 90.64M | 49.84M | 25.25M |
| Revenue Growth % | 41.69% | 32.88% | 31.04% | 25.45% | 20.31% | 30.32% | 33.75% | 136.52% | 81.85% | 97.4% | - |
| Cost of Goods Sold | 445.18M | 349.01M | 289.8M | 227.05M | 156.32M | 122.91M | 92.53M | 70.72M | 43.21M | 31.62M | 22.12M |
| COGS % of Revenue | - | 35.54% | 39.21% | 40.26% | 34.77% | 32.89% | 32.27% | 32.99% | 47.67% | 63.44% | 87.62% |
| Gross Profit | 833.7M | 633.01M | 449.22M | 336.9M | 293.21M | 250.74M | 194.19M | 143.66M | 47.43M | 18.22M | 3.13M |
| Gross Margin % | 65.19% | 64.46% | 60.79% | 59.74% | 65.23% | 67.11% | 67.73% | 67.01% | 52.33% | 36.56% | 12.38% |
| Gross Profit Growth % | - | 40.91% | 33.34% | 14.9% | 16.94% | 29.12% | 35.18% | 202.88% | 160.26% | 483.17% | - |
| Operating Expenses | 1.34B | 1.07B | 892.81M | 901.62M | 837.59M | 661.74M | 449.14M | 226.03M | 140.37M | 94.84M | 46.97M |
| OpEx % of Revenue | - | 108.99% | 120.81% | 159.88% | 186.32% | 177.1% | 156.64% | 105.43% | 154.87% | 190.27% | 186.04% |
| Selling, General & Admin | 951.07M | 706.07M | 545.06M | 451.03M | 463.78M | 398.52M | 299.28M | 139.73M | 89.66M | 69.27M | 36.11M |
| SG&A % of Revenue | - | 71.9% | 73.75% | 79.98% | 103.17% | 106.66% | 104.38% | 65.18% | 98.92% | 138.99% | 143.03% |
| Research & Development | 386.67M | 364.19M | 347.75M | 367.19M | 373.81M | 263.22M | 149.86M | 86.29M | 50.71M | 25.56M | 10.86M |
| R&D % of Revenue | - | 37.09% | 47.06% | 65.11% | 83.15% | 70.45% | 52.27% | 40.25% | 55.95% | 51.29% | 43.01% |
| Other Operating Expenses | 0 | 0 | 0 | 83.4M | 0 | 0 | 0 | 88K | 0 | 0 | -1K |
| Operating Income | -504.04M | -437.25M | -443.59M | -564.73M | -544.38M | -411M | -254.95M | -82.37M | -92.94M | -76.61M | -43.85M |
| Operating Margin % | -39.41% | -44.53% | -60.02% | -100.14% | -121.1% | -110% | -88.92% | -38.42% | -102.54% | -153.71% | -173.66% |
| Operating Income Growth % | - | 1.43% | 21.45% | -3.74% | -32.45% | -61.21% | -209.51% | 11.37% | -21.32% | -74.73% | - |
| EBITDA | -464.81M | -397.51M | -401.21M | -521.84M | -508.42M | -388.73M | -238.88M | -70.96M | -85.81M | -71.41M | -40.15M |
| EBITDA Margin % | -36.34% | -40.48% | -54.29% | -92.53% | -113.1% | -104.04% | -83.31% | -33.1% | -94.67% | -143.26% | -159.03% |
| EBITDA Growth % | -15.55% | 0.92% | 23.12% | -2.64% | -30.79% | -62.73% | -236.65% | 17.3% | -20.17% | -77.83% | - |
| D&A (Non-Cash Add-back) | 39.23M | 39.74M | 42.39M | 42.88M | 35.96M | 22.27M | 16.07M | 11.41M | 7.14M | 5.21M | 3.69M |
| EBIT | -480.68M | -413.64M | -432.51M | -476.19M | -650.87M | -381.89M | -241.14M | -68.54M | -82.97M | -80.51M | -43.12M |
| Net Interest Income | 35.91M | 30.2M | 51.11M | 32.79M | 3.49M | 1.35M | 5.41M | 12.56M | 4.01M | -468K | -2.29M |
| Interest Income | 41.13M | 34.09M | 53.69M | 35.37M | 6.07M | 3.93M | 10.17M | 13.74M | 5.27M | 2.23M | 733K |
| Interest Expense | 5.22M | 3.9M | 2.58M | 2.58M | 2.58M | 2.58M | 4.77M | 1.18M | 1.25M | 2.7M | 3.02M |
| Other Income/Expense | 18.14M | 19.71M | 8.51M | 85.96M | -109.07M | 26.53M | 9.05M | 12.65M | 8.72M | -6.6M | -2.29M |
| Pretax Income | -485.9M | -417.54M | -435.09M | -478.76M | -653.45M | -384.47M | -245.9M | -69.72M | -84.22M | -83.21M | -46.13M |
| Pretax Margin % | -37.99% | -42.52% | -58.87% | -84.9% | -145.36% | -102.89% | -85.76% | -32.52% | -92.92% | -166.96% | -182.71% |
| Income Tax | -827K | -1.26M | 1.28M | 685K | 1.14M | 300K | 379K | -1.87M | 38K | 7K | 6K |
| Effective Tax Rate % | 0.17% | 0.3% | -0.3% | -0.14% | -0.17% | -0.08% | -0.15% | 2.68% | -0.05% | -0.01% | -0.01% |
| Net Income | -485.07M | -416.28M | -436.37M | -479.45M | -654.59M | -405.67M | -253.78M | -75.65M | -85.06M | -83.22M | -46.14M |
| Net Margin % | -37.93% | -42.39% | -59.05% | -85.02% | -145.61% | -108.57% | -88.51% | -35.29% | -93.85% | -166.97% | -182.74% |
| Net Income Growth % | -21.64% | 4.61% | 8.98% | 26.76% | -61.36% | -59.85% | -235.47% | 11.06% | -2.21% | -80.37% | - |
| Net Income (Continuing) | -485.07M | -416.28M | -436.37M | -479.45M | -654.59M | -384.77M | -246.28M | -67.85M | -84.26M | -83.22M | -46.14M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 57.1M | 49.6M | 41.8M | 0 | 0 |
| EPS (Diluted) | -3.61 | -3.32 | -3.56 | -4.28 | -6.41 | -4.00 | -2.53 | -0.75 | -1.00 | -1.18 | -3.49 |
| EPS Growth % | -14.64% | 6.74% | 16.82% | 33.23% | -60.25% | -58.1% | -237.33% | 25% | 15.25% | 66.19% | - |
| EPS (Basic) | - | -3.32 | -3.56 | -4.28 | -6.41 | -4.00 | -2.53 | -0.75 | -1.00 | -1.18 | -3.49 |
| Diluted Shares Outstanding | 134.42M | 125.37M | 122.75M | 111.99M | 102.18M | 101.31M | 97.5M | 90.6M | 85.03M | 70.72M | 13.22M |
| Basic Shares Outstanding | 134.42M | 125.37M | 122.75M | 111.99M | 102.18M | 101.31M | 97.5M | 90.6M | 85.03M | 70.72M | 13.22M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying GH stock.
For fiscal year 2025, Guardant Health, Inc. (GH) reported total revenue of $982.0M. This represents a 3789.3% increase compared to $25.2M in 2016.
Guardant Health, Inc. (GH) reported a net loss of $416.3M for the fiscal year ending 2025.
Guardant Health, Inc. (GH) reported an operating income of $-437.2M, resulting in an operating profit margin of -44.5%. This margin reflects the operational efficiency of the business before interest and taxes.
Guardant Health, Inc. (GH) generated $633.0M in gross profit for the year, representing a gross profit margin of 64.5%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Cash burn and dilution
Metrics are mathematically derived from official filings.
Revenue Momentum Accelerates Sharply
Guardant's revenue surged 44.3% year-over-year in Q2 2026 to $335.0M, according to the latest quarterly report, marking the fourth consecutive quarter of accelerating growth from 30.9% in Q2 2025.
The acceleration is broad-based, with clinical testing volumes and biopharma services both contributing. The 44.3% growth rate in Q2 2026 is up from 30.9% in the year-ago quarter, indicating that the company is gaining market share in liquid biopsy and that the Shield launch is adding incremental revenue. However, the sustainability of this pace is uncertain as it may be partly driven by one-time biopharma milestones and the initial ramp of screening tests.
Gross Margin Expansion Nears Ceiling
Gross margin improved to 65.4% in Q2 2026 from 59.1% in Q2 2024, as reported in financial statements, but the pace of expansion has slowed, suggesting limited room for further gains.
The 630 basis point improvement over two years reflects scale efficiencies and a favorable mix shift toward higher-margin clinical tests. However, the sequential improvement from 65.2% in Q1 2026 to 65.4% in Q2 2026 is minimal, indicating that the company may be approaching its structural gross margin ceiling. As Shield screening volumes grow, blended margins could face pressure due to lower reimbursement rates for screening tests compared to therapy selection.
Operating Leverage Elusive Despite Scale
Operating margin improved to -38.5% in Q2 2026 from -56.8% in Q2 2024, based on reported figures, but the company still loses $0.39 for every dollar of revenue, indicating limited operating leverage.
While revenue has grown 89% since Q2 2024, operating expenses have grown at a similar pace, with SG&A increasing from $122.3M to $251.6M over the same period. The operating loss of $129.1M in Q2 2026 is actually larger than the $100.6M loss in Q2 2024, suggesting that the company is investing heavily in commercialization and R&D ahead of revenue. The path to profitability remains distant, and investors should monitor whether SG&A growth decelerates as a percentage of revenue.
EPS Miss Masks Underlying Cash Burn
Q2 2026 EPS of -$0.90 missed estimates by $0.59, as per recent disclosures, with stock-based compensation of $57.7M representing 48% of the net loss, highlighting the gap between GAAP and cash earnings.
The significant EPS miss versus the consensus estimate of -$0.31 suggests that analysts underestimated the pace of expense growth, particularly in SG&A. SBC of $57.7M is up 36% year-over-year, and when added back to the net loss, the cash burn is approximately $62.4M, which is more manageable but still substantial. The quality of earnings is low, as the company relies on non-cash charges to mask the true cash outflow, and the revenue recognition for non-contracted payers may lead to future true-ups.
SG&A Surge Drives Escalating Losses
SG&A expenses reached $251.6M in Q2 2026, up 48% year-over-year, according to the income statement, outpacing revenue growth and consuming 75% of gross profit.
The company is aggressively investing in the Shield commercialization, including building a sales force and direct-to-consumer marketing, which is inflating SG&A. R&D spending also remains elevated at $96.5M, though it has grown only 10% year-over-year, indicating a shift in spending toward commercial activities. The cost structure is heavily fixed, and without a significant reduction in SG&A intensity, the company will continue to burn cash at an unsustainable rate.
2025 Q1 Marks Turning Point
The inflection occurred in Q1 2025 when revenue growth accelerated to 20.8% and operating margin improved to -54.6% from -62.4% in Q4 2024, as per financial statements, signaling the start of a positive trajectory.
This period marked the beginning of a sustained improvement in operating leverage, driven by the launch of Shield and increased clinical adoption. Since then, revenue growth has accelerated each quarter, and operating margins have improved by over 16 percentage points. The lasting impact is that the company has established a growth runway, but the heavy investment in Shield has also increased the fixed cost base, making it harder to achieve profitability without significant revenue scale.
Cash Burn and Competition Threaten Narrative
Despite strong revenue growth, Guardant's cash burn remains severe, with a net loss of $120.1M in Q2 2026, and competition from Natera's Signatera in MRD could pressure pricing and market share.
Short-sellers would argue that the company is buying growth through massive SG&A spending, and the EPS miss suggests that management's guidance may be overly optimistic. The FDA's concerns regarding the SERENA-6 trial design could also impact the perceived validity of Guardant's assay in biopharma partnerships. Additionally, the transition to Shield screening may not achieve the expected adoption due to lower sensitivity for advanced adenomas, and the company may need to raise capital, leading to dilution.