Company: VCYT
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0001384101-25-000060
Chunk: 86

Company: VERACYTE, INC.
Filing Date: 2025-05-08
Form: 10-Q
Item: Part I, Item 8
Chunk 86
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 Cost of biopharmaceutical and other revenue for the three months ended March 31, 2025 decreased by $0.1 million compared to the same period in 2024, driven by reductions of staffing and variable expenses related to projects. 

26

Research and development

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%Research and development expense:    Compensation expense$9,748 $9,085 $663 7 %Direct research and development expense4,141 3,874 267 7 %Depreciation and amortization431 239 192 80 %Other expenses1,384 1,280 104 8 %Allocations2,016 1,487 529 36 %Total$17,720 $15,965 $1,755 11 %

Research and development expense increased $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