Company: VCYT
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001384101-25-000060
Chunk: 48

Company: VERACYTE, INC.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 1
Chunk 48
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 $1.8 million, or 11%, for the three months ended March 31, 2025 compared to the same period in 2024. The increase was primarily driven by annual compensation expense increases as well as direct research and product development expense related to our on-going development costs for our U.S. CLIA, IVD and MRD strategies. In addition to these costs, there was an increase in our allocated costs from general and administrative expenses.

Selling and marketing

Comparison of the three months ended March 31, 2025 and 2024 is as follows (in thousands of dollars, except percentages):

 Three Months Ended March 31, 20252024Change%Selling and marketing expense:    Compensation expense$17,635 $17,622 $13 — %Direct marketing expense710 1,138 (428)(38)%Other expenses3,853 3,414 439 13 %Allocations2,256 1,608 648 40 %Total$24,454 $23,782 $672 3 %

Selling and marketing expense increased $0.7 million, or 3%, for the three months ended March 31, 2025 compared to the same period in 2024. The increase is primarily due to annual compensation increases, headcount additions and the impact of stock-based compensation related to employee exits in the prior year period, these increases were partially offset by the reduction of sales support for our Envisia product. Direct marketing expense decreased primarily due to decreased participation in trade show events. In addition to these costs, there was an increase in allocated costs from general and administrative expenses.

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General and administrative

Comparison of the three months ended March 31, 2025 and 2024 is as follows (in thousands of dollars, except percentages):

 Three Months Ended March 31, 20252024Change%General and administrative expense:    Compensation expense$20,173 $17,759 $2,414 14 %Professional fees14,721 7,464 7,257 97 %Information technology expense3,588 2,741 847 31 %Occupancy costs3,111 2,553 558 22 %Depreciation and amortization1,055 966 89 9 %Revaluation of acquisition-related contingent consideration(1,954)5 (1,959)N