Adaptive Biotechnologies Corp
For the period ended Dec 31, 2025. Filed Feb 26, 2026.
View on SEC.govAbout this filing
A company's yearly report to the SEC, with audited financial statements. It is the fullest account a company gives of its business, its finances and the risks it sees.
FY2025 · Filed Feb 26, 2026
Extracted filing text, with the paragraph anchors used by the comparison.
See the whole filing, with its images and exhibitsContents
Report of Independent Registered Public Accounting Firm
To the Shareholders and the Board of Directors of Adaptive Biotechnologies Corporation
Opinion on the Financial Statements
We have audited the accompanying consolidated balance sheets of Adaptive Biotechnologies Corporation (the Company) as of December 31, 2025 and 2024, the related consolidated statements of operations, comprehensive loss, shareholders' equity and cash flows for each of the three years in the period ended December 31, 2025, and the related notes (collectively referred to as the “consolidated financial statements”). In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Company at December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2025, in conformity with U.S. generally accepted accounting principles.
We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Company's internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control—Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework) and our report dated February 26, 2026 expressed an unqualified opinion thereon.
Basis for Opinion
These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company’s financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.
We conducted our audits in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud. Our audits included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audits also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audits provide a reasonable basis for our opinion.
Critical Audit Matter
The critical audit matter communicated below is a matter arising from the current period audit of the financial statements that was communicated or required to be communicated to the audit committee and that: (1) relates to accounts or disclosures that are material to the financial statements and (2) involved our especially challenging, subjective or complex judgments. The communication of the critical audit matter does not alter in any way our opinion on the consolidated financial statements, taken as a whole, and we are not, by communicating the critical audit matter below, providing a separate opinion on the critical audit matter or on the accounts or disclosures to which it relates.
| Measurement of clonoSEQ report revenue billed to commercial payors | |
|---|---|
| Description of the Matter | During the year ended December 31, 2025, MRD Service revenue recognized was $192.8 million, which includes amounts from clonoSEQ reports provided to clinical customers and billed to commercial payors. As discussed in Note 2 in the consolidated financial statements, payment from these respective payors may differ from the targeted list price based on the various reimbursement rates, and therefore the transaction price includes variable consideration. Auditing the measurement of the Company’s commercial clonoSEQ report revenue was complex due to the estimation required in determining the amount expected to be collected for each clonoSEQ report delivered. Commercial clonoSEQ report revenue was recognized based on an estimate of the transaction price, subject to constraints for variable consideration, at the time of delivery. In particular, the estimate of commercial clonoSEQ report revenue is affected by assumptions related to payor behavior such as historical payment patterns and commercial insurance reimbursement policies. |
| How We Addressed the Matter in Our Audit | We obtained an understanding, evaluated the design and tested the operating effectiveness of controls over the Company’s commercial clonoSEQ report revenue recognition process. For example, we tested controls over management's review of the significant assumptions above and inputs used in calculating the estimated collections for clonoSEQ reports delivered and tested management's controls to compare actual payments received to previously forecasted activity. Our audit procedures over the Company’s commercial clonoSEQ report revenue included, among others, assessing the revenue model and testing the significant assumptions and inputs used by the Company in its analysis. We compared the significant assumptions and inputs used by management to the commercial payor collection trends and other relevant factors. We assessed the completeness and accuracy of the historical cash collections used in the Company’s revenue models. We also assessed the completeness and accuracy of adjustments to estimates of future cash collections resulting from changes in collection trends and changes in payor behavior. |
/s/Ernst & Young LLP
We have served as the Company’s auditor since 2015.
Seattle, Washington
February 26, 2026
The text of this filing, as the company filed it with the SEC, without its images or exhibits. This is not investment advice.