Company: VCYT
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001384101-25-000110
Chunk: 30

Company: VERACYTE, INC.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 1
Chunk 30
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5, reversal of expense of $1.0 million was recorded, and for both the three and six months ended June 30, 2024, expense of $0.1 million was recorded. As of June 30, 2025, the achievement of one of the milestones is forecasted to occur within the next 12 months. As a result, $1.7 million of the contingent consideration is included in short term liabilities at June 30, 2025. 

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Table of ContentsVERACYTE, INC.Notes to Financial Statements(unaudited)

The contingent consideration related to the C2i Acquisition as discussed in Note 4, is dependent on the achievement of certain milestones and is payable in cash or shares of the Company’s common stock, at the Company’s election, of up to $25 million and was valued at $17.2 million. The fair value of the contingent consideration related to the C2i Acquisition will be remeasured to fair value at each reporting date until the contingent consideration is settled, with the corresponding changes included in general and administrative expense. As of June 30, 2025 and December 31, 2024, this contingency was remeasured to $11.8 million and $14.3 million, respectively. For the three and six months ended June 30, 2025, an expense of $0.1 million and a reversal of expense of $1.9 million, respectively, were recorded. For both the three and six months ended June 30, 2024, an expense of $0.8 million was recorded. As of June 30, 2025, the achievement of all of the remaining milestones is forecasted to occur within the next 12 months. As a result, the contingent consideration is included in short term liabilities at June 30, 2025. During the year ended December 31, 2024, one of the milestones was achieved resulting in the payment of $5.0 million in cash and, during the six months ended June 30, 2025, one of the milestones was achieved resulting in the payment of $0.7 million in cash.The fair value of contingent consideration includes inputs that are not observable in the market and thus represents a Level III financial liability. The estimation of the fair value of the contingent consideration is based on the present value of the expected payments calculated by assessing the likelihood of when the related milestones would be