Company: VCYT
Filing Date: 2025-02-28
Form Type: 10-K
Source: 0001384101-25-000014
Chunk: 164

Company: VERACYTE, INC.
Filing Date: 2025-02-28
Form: 10-K
Item: Item 8
Chunk 164
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 also considers whether historical collections per test are indicative of future collections or if there are any current or expected developments or changes that could affect reimbursement rates, which is an estimate that requires significant judgment by the Company.How We Addressed the Matter in Our AuditWe obtained an understanding, evaluated the design, and tested the operating effectiveness of controls relating to the measurement of revenue based on estimating variable consideration. This included testing controls relating to management’s review of significant assumptions described above and inputs used in the determination of the estimated amount that would be collected for tests performed during the period. We also tested controls over the current and historical data used by management in determining this estimate, including the completeness and accuracy of the data. Our audit procedures included, among others, evaluating the methodology used, understanding and testing the significant assumptions described above, and testing the underlying data used by the Company, including the completeness and accuracy of historical data.  We compared the significant assumptions and inputs used by management to the Company’s third-party payer collection trends and other relevant factors. We tested historical cash receipts from payers by test type used in the estimate by agreeing selections to supporting documentation such as cash collections and proof of delivery, as applicable. We also assessed and tested management’s review of differences between prior period reimbursement rates and actual cash collections and evaluated how those differences were factored into management’s estimate of current period reimbursement rates.

/s/ Ernst & Young LLP 

We have served as the Company’s auditor since 2014.

San Diego, California 

February 27, 2025 

83

VERACYTE, INC.

Consolidated Balance Sheets

(in thousands, except share and par value amounts)

As of December 31,20242023AssetsCurrent assets:Cash and cash equivalents$239,087 $216,454 Short-term investments50,354 — Accounts receivable46,525 40,378 Supplies and inventory21,750 16,128 Prepaid expenses and other current assets14,551 12,661 Total current assets372,267 285,621 Property, plant and equipment, net22,953 20,584 Right-of-use assets, operating leases48,189 10,277 Intangible assets, net102,301 88,593 Goodwill745,800 702,984 Restricted cash1,544 876 Other assets6,981 5,971 Total assets$1,300,035 $1,114,906 Liabilities and Stockholders' Equity