Shares of Grail shed nearly 47% of their value in premarket U.S. trading Friday, after the biotech firm’s flagship NHS-Galleri trial failed to meet its primary clinical endpoint of a statistically significant reduction in combined Stage III and IV cancer diagnoses.

But the California-based company reported a fourth-quarter net loss of $99.2 million, or ($2.44) per share, which significantly outperformed the consensus analyst estimate of a ($4.01) loss. Revenue for the period reached $43.6 million, representing 14% year-over-year growth, though the underlying clinical data overshadowed the financial beat.

Commercial adoption of the Galleri multi-cancer early detection test remained a bright spot, with more than 185,000 tests sold during the 2025 fiscal year. U.S. Galleri revenue grew 26% annually to $136.8 million, bolstered by new partnerships with digital health platforms like Hims & Hers.

The company ended the year with a robust cash position of $904.4 million in cash, cash equivalents, and short-term marketable securities. Management noted this liquidity provides a financial runway extending into 2030 as the company pursues broad commercial access.

Chief Executive Officer Bob Ragusa emphasized the “building momentum” for multi-cancer early detection despite the trial’s primary endpoint miss. He highlighted that adding the Galleri test to standard care resulted in a four-fold improvement in overall cancer detection rates compared to standard screening alone.

The company completed its final modular submission for Premarket Approval (PMA) to the FDA in January, a critical step toward full regulatory clearance. Detailed results from both the NHS-Galleri and the 35,000-participant PATHFINDER 2 studies are expected to be presented in mid-2026.

Grail plans to expand its U.S. sales force and medical teams to support growing demand and further integrate its technology into health systems. Management also intends to extend the NHS-Galleri trial’s follow-up period by six to 12 months to further analyze the impact on late-stage cancer reduction.

“Following strong stock momentum for Grail over the past six months driven by encouraging commercial and financing updates, investors had been eagerly awaiting the NHS-Galleri readout ahead of FDA approval and CMS coverage decisions. As a result, we aren’t surprised to see shares trading meaningfully lower,” analysts at Morgan Stanley said in a note.