gral-20260630

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

___________________________________________

FORM 10-Q

___________________________________________

(Mark One)


x			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, 2026


o			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission file number 001-42045

___________________________________________

GRAIL, Inc.

(Exact name of registrant as specified in its charter)

___________________________________________


Delaware			86-3673636
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification No.)
1525 O’Brien Drive Menlo Park, California			94025
(Address of Principal Executive Offices)			(Zip Code)

(833) 694-2553

Registrant’s telephone number, including area code

Securities registered pursuant to Section 12(b) of the Act:


Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common stock, par value $0.001 per share	GRAL	Nasdaq Global Select Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes x No o

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§ 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).

Yes x No o

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer

Accelerated filer

Non-accelerated filer

Smaller reporting company

Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. x

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Act).

Yes o No ☒

As of August 3, 2026, the registrant had 44,666,234 shares of common stock, par value $0.001 per share, outstanding.

TABLE OF CONTENTS


			Page
Cautionary Note Regarding Forward-Looking Statements			1

Part I - Financial Information
Item 1. Financial Statements			2
Condensed Consolidated Balance Sheets			2
Condensed Consolidated Statements of Operations			3
Condensed Consolidated Statements of Comprehensive Loss			4
Condensed Consolidated Statements of Stockholders’ Equity			5
Condensed Consolidated Statements of Cash Flows			7
Notes to Condensed Consolidated Statements			8
Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations			22
Item 3. Quantitative and Qualitative Disclosures About Market Risk			40
Item 4. Controls and Procedures			41

Part II - Other Information
Item 1. Legal Proceedings			42
Item 1A. Risk Factors			42
Item 2. Unregistered Sales of Equity Securities and Use of Proceeds			42
Item 3. Defaults Upon Senior Securities			43
Item 4. Mine Safety Disclosures			43
Item 5. Other Information			43
Item 6. Exhibits			44

Signatures			45

Cautionary Note Regarding Forward-Looking Statements

This Quarterly Report on Form 10-Q (this “Form 10-Q”) contains forward-looking statements. In some cases, you can identify these statements by forward-looking words such as “aim,” “anticipate,” “believe,” “continue,” “could,” “estimate,” “expect,” “intend,” “may,” “might,” “plan,” “potential,” “predict,” “should,” “would,” or “will,” the negative of these terms, and other comparable terminology. These forward-looking statements, which are subject to risks, uncertainties, and assumptions about us, may include expectations and projections of our future financial performance, future tests or products, technology, clinical studies, review of our clinical data by the FDA Molecular and Clinical Genetics Panel of the Medical Devices Advisory Committee and the timing thereof, regulatory landscape, compliance and strategy, potential market opportunity, increased competition, anticipated growth strategies including international expansion, sufficiency of cash on hand to finance our business, seasonality, cost savings, facilities plans and lease commencement, budgets and strategies, restructuring and stock-based compensation costs, legal proceedings, impact of the restructuring on our operations, anticipated benefits from our collaboration with Samsung, and anticipated trends in our business.

These statements are only predictions based on our current expectations and projections about future events and trends. There are important factors that could cause our actual results, level of activity, performance, or achievements to differ materially and adversely from those expressed or implied by the forward-looking statements, including those factors discussed under Item 1A. “Risk Factors” in this Form 10-Q and in our Annual Report on Form 10-K (filed on March 12, 2026) for the year ended December 31, 2025 (the “2025 Form 10-K”). You should specifically consider the numerous risks described under these sections. Moreover, we operate in a dynamic and rapidly changing environment. New risks emerge from time to time. It is not possible for our management to predict all risks, nor can we assess the impact of all factors on our business or the extent to which any factor, or combination of factors, may cause actual results, level of activity, performance, or achievements to differ materially and adversely from those contained in any forward-looking statements we may make.

Forward-looking statements relate to the future and, accordingly, are subject to inherent uncertainties, risks, and changes in circumstances that are difficult to predict and many of which are outside of our control. Although we believe the expectations and projections expressed or implied by the forward-looking statements are reasonable, we cannot guarantee future results, level of activity, performance, or achievements. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Except to the extent required by law, we undertake no obligation to update any of these forward-looking statements after the date of this Form 10-Q to conform our prior statements to actual results or revised expectations or to reflect new information or the occurrence of unanticipated events.

Part I - Financial Information

Item 1. Financial Statements

GRAIL, Inc.

CONDENSED CONSOLIDATED BALANCE SHEETS

(unaudited)

(amounts in thousands, except share and per share data)


	June 30, 2026		December 31, 2025
Assets
Current assets:
Cash and cash equivalents	$	55,645	$	249,727
Short-term marketable securities	805,964		654,703
Accounts receivable, net	19,757		18,295
Supplies	17,763		16,017
Prepaid expenses and other current assets	15,593		15,107
Total current assets	914,722		953,849
Property and equipment, net	44,344		51,813
Operating lease right-of-use assets	88,911		52,070
Restricted cash	6,974		6,974
Intangible assets, net	1,781,389		1,850,556

Other non-current assets	7,346		6,753
Total assets	$	2,843,686	$	2,922,015
Liabilities and stockholders’ equity
Current liabilities:
Accounts payable	$	7,241	$	2,083
Accrued liabilities	64,495		63,945

Operating lease liabilities, current portion	10,698		11,715
Other current liabilities	1,108		1,927
Total current liabilities	83,542		79,670
Operating lease liabilities, net of current portion	80,611		43,148
Deferred tax liability, net	133,706		218,583
Other non-current liabilities	3,173		2,752
Total liabilities	301,032		344,153

Preferred stock, par value of $0.001 per share; 50,000,000 shares authorized, no shares issued and outstanding as of June 30, 2026 and December 31, 2025	—		—
Common stock $0.001 par value per share, 1,500,000,000 shares authorized as of June 30, 2026 and December 31, 2025 and 44,666,234 and 40,331,360 shares issued and outstanding as of June 30, 2026 and December 31, 2025	45		40
Additional paid-in capital	12,955,884		12,786,848

Accumulated other comprehensive income	1,840		2,655
Accumulated deficit	(10,415,115)		(10,211,681)
Total stockholders’ equity	2,542,654		2,577,862
Total liabilities and stockholders’ equity	$	2,843,686	$	2,922,015

See accompanying notes to condensed consolidated financial statements.

Table of Contents

GRAIL, Inc.

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(unaudited)

(amounts in thousands, except share and per share data)


	Three Months Ended				Six Months Ended
	June 30, 2026		June 30, 2025		June 30, 2026		June 30, 2025
Revenue:
Screening revenue	$	42,642	$	34,379	$	82,474	$	63,512
Development services revenue	2,045		1,165		2,998		3,869
Total revenue	44,687		35,544		85,472		67,381
Costs and operating expenses:
Cost of screening revenue (exclusive of amortization of intangible assets)	23,347		19,346		44,591		36,469
Cost of development services revenue	434		501		810		1,672
Cost of revenue — amortization of intangible assets	33,472		33,472		66,944		66,944
Research and development	47,429		46,626		95,450		100,251
Sales and marketing	37,657		28,539		68,325		63,518
General and administrative	50,708		37,914		93,477		82,988
Intangible and other assets impairment	25,423		28,000		25,423		28,000
Total costs and operating expenses	218,470		194,398		395,020		379,842
Loss from operations	(173,783)		(158,854)		(309,548)		(312,461)
Other income:
Interest income	7,230		6,809		15,216		14,588
Other income (expense), net	(155)		(811)		101		(1,395)
Total other income, net	7,075		5,998		15,317		13,193
Loss before income taxes	(166,708)		(152,856)		(294,231)		(299,268)
Benefit from income taxes	56,461		38,871		90,797		79,070
Net loss	$	(110,247)	$	(113,985)	$	(203,434)	$	(220,198)
Net loss per share — Basic and Diluted	$	(2.56)	$	(3.18)	$	(4.86)	$	(6.28)
Weighted-average shares of common stock used in computing net loss per share:	43,112,595		35,793,154		41,883,565		35,054,896

See accompanying notes to condensed consolidated financial statements.

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GRAIL, Inc.

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS

(unaudited)

(amounts in thousands)


	Three Months Ended				Six Months Ended
	June 30, 2026		June 30, 2025		June 30, 2026		June 30, 2025
Net loss	$	(110,247)	$	(113,985)	$	(203,434)	$	(220,198)
Other comprehensive income (loss):
Change in net unrealized loss on marketable securities	(154)		(59)		(596)		(309)
Foreign currency translation adjustment	121		696		(219)		1,161
Comprehensive loss	$	(110,280)	$	(113,348)	$	(204,249)	$	(219,346)

See accompanying notes to condensed consolidated financial statements.

Table of Contents

GRAIL, Inc.

CONDENSED CONSOLIDATED STATEMENTS OF STOCKHOLDERS’ EQUITY

(unaudited)

(amounts in thousands, except share data)


	Common Stock
	Shares	Amount		Additional Paid in Capital		Accumulated Other Comprehensive Income/(Loss)		Accumulated Deficit		Total Stockholders’ Equity
Balance at December 31, 2025	40,331,360	$	40	$	12,786,848	$	2,655	$	(10,211,681)	$	2,577,862
Net loss	—	—		—		—		(93,187)		(93,187)
Stock-based compensation expense	—	—		16,793		—		—		16,793
Other comprehensive loss	—	—		—		(782)		—		(782)
Release of restricted stock units	802,859	1		(1)		—		—		—
Balance at March 31, 2026	41,134,219	41		12,803,640		1,873		(10,304,868)		2,500,686
Net loss	—	—		—		—		(110,247)		(110,247)
Stock-based compensation expense	—	—		19,557		—		—		19,557
Issuance of common stock under ESPP	87,446	—		4,593		—		—		4,593
Other comprehensive loss	—	—		—		(33)		—		(33)
Release of restricted stock units	1,874,261	2		(2)		—		—		—
Issuance of common stock and recognition of the Samsung Stock Purchase Agreement, including the deferred asset, net of tax benefit and issuance costs	1,570,308	2		128,096		—		—		128,098
Balance at June 30, 2026	44,666,234	$	45	$	12,955,884	$	1,840	$	(10,415,115)	$	2,542,654

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