Company: CSTL
Filing Date: 2025-02-27
Form Type: 10-K
Source: 0001447362-25-000031
Chunk: 0

Company: CASTLE BIOSCIENCES INC
Filing Date: 2025-02-27
Form: 10-K
Item: Item 1A
Chunk 0
---
Table of Contents

RISK FACTORS SUMMARY

We face many risks and uncertainties, as more fully described in this Annual Report on Form 10-K under the heading “Risk Factors.” Some of these risks and uncertainties are summarized below. The summary below does not contain all of the information that may be important to you, and you should read this summary together with the more detailed discussion of these risks and uncertainties contained in “Risk Factors.”

Risks Related to our Financial Condition

•A significant portion of our revenue comes from a small number of third-party payors.

•Due to how we recognize revenue, our quarterly and annual revenues may not reflect our underlying business.

•We have incurred significant losses in the past, and we may be unable to sustain profitability in the future.

•We are an early, commercial-stage company and have a limited operating history, which may make it difficult to evaluate our current business and predict our future performance.

•Our quarterly and annual operating results and cash flows may fluctuate in the future, which could cause the market price of our stock to decline substantially.

•If our internal control over financial reporting is not effective, we may not be able to accurately report our financial results or file our periodic reports in a timely manner, which may cause adverse effects on our business and may cause investors to lose confidence in our reported financial information and may lead to a decline in our stock price.

•We may need to raise additional capital to fund our existing operations, commercialize new products or expand our operations.

Risks Related to our Business

•Our revenue currently depends primarily on sales from our DecisionDx®-Melanoma, DecisionDx®-SCC and TissueCypher® tests, and we will need to generate sufficient revenue from these products and other products to grow our business.

•Unfavorable U.S. and global economic conditions could adversely affect our business, financial condition, results of operations or cash flows.

•Billing for our products is complex and requires substantial time and resources to collect payment.

•We rely on third parties for sample collection, preparation and delivery. Any defects in sample collection or preparation by such third parties and any delays in delivery of such samples could cause errors in our test reports and affect our ability to deliver test reports in a timely manner or at all, which could significantly harm our business.

•We rely on our database of samples for some of the development and improvement of our products. Depletion or loss of our samples could significantly harm our business.

•If one or more of our primary clinical