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Stock-based compensation | 6 Months Ended
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Jun. 30, 2025
Share-Based Payment Arrangement [Abstract] |
Stock-based compensation | 12. STOCK-BASED COMPENSATION 2015 Stock Plan In 2015, the Company adopted the Tempus AI, Inc. 2015 Stock Plan (the “2015 Plan”), which has been amended and restated numerous times to increase the aggregate shares authorized to be issued to employees, consultants, and directors of the Company. As of December 31, 2023, there were 28,115,750 shares authorized under the 2015 Plan. On January 18, 2023, the Company approved a two-year extension of the expiration date of RSUs for then-current employees whose RSUs would otherwise expire in 2023 or 2024. The Company accounted for the extension as a stock compensation modification, which resulted in an increase in unrecognized compensation cost of $35.3 million at the time the extension was approved and an additional $12.2 million as the extensions occurred. The RSUs approved for the two-year extension were fully vested as of the IPO date. As such, the Company recognized the full impact of the expiration extension in stock-based compensation in the three months ended June 30, 2024. After the IPO, no further grants will be made under the 2015 Stock Plan. 2024 Equity Incentive Plan In February 2024, the Company’s board of directors adopted, and in April 2024, the Company’s stockholders approved, the 2024 Equity Incentive Plan (the “2024 Plan”), which became effective in connection with the IPO in June 2024. The 2024 Plan provides for the grant of incentive stock options, (“ISOs”) nonstatutory stock options, stock appreciation rights, RSUs, restricted stock unit awards (“RSAs”), performance-based restricted stock awards (“PSUs”) and other awards. The original maximum number of shares of Class A common stock that may be issued under the 2024 Plan was 7,430,000 shares of the Company’s Class A common stock and automatically increases on January 1 of each year, beginning on January 1, 2025 and continuing through and including January 1, 2034 in an amount equal to either (i) a number of shares of the Company’s Class A common stock (the “Evergreen Increase”), such that the sum of (x) the remaining number of shares available under the 2024 Plan and (y) the Evergreen Increase is equal to 5% of the total number of shares of common stock (both Class A and Class B) outstanding on December 31 of the preceding calendar year, or (ii) a lesser number of shares determined by the Company’s board of directors prior to the applicable January 1. The maximum number of shares that may be issued upon the exercise of ISOs under the 2024 Plan is 22,290,000 shares. As of June 30, 2025, there were 6,355,699 shares of the Company's Class A common stock that may be issued under the 2024 Plan. The Company granted 1,616,377 and 1,838,670 RSUs during the three and six months ended June 30, 2025, respectively. The Company granted 0 and 26,059 RSAs during the three and six months ended June 30, 2025, respectively, with a weighted-average grant date fair value of $45.58. Stock-based compensation on these awards is recognized on a straight-line basis over the requisite service periods of the awards. The Company recognized an immaterial amount of stock-based compensation related to the RSAs during the three and six months ended June 30, 2025. Stock-based compensation is classified as follows in the accompanying condensed consolidated statements of operations for the three and six months ended June 30, 2025 and 2024 (in thousands):
|  | Three Months Ended June 30, |  |  | Six Months Ended June 30, |
|  | 2025 |  |  | 2024 |  |  | 2025 |  |  | 2024 |
Cost of revenues, genomics |  | $ | 1,420 |  |  | $ | 11,327 |  |  | $ | 2,455 |  |  | $ | 11,327 |
Cost of revenues, data and services |  |  | 693 |  |  |  | 7,229 |  |  |  | 1,304 |  |  |  | 7,229 |
Technology research and development |  |  | 3,285 |  |  |  | 50,434 |  |  |  | 6,604 |  |  |  | 50,434 |
Research and development |  |  | 2,335 |  |  |  | 42,233 |  |  |  | 4,317 |  |  |  | 42,233 |
Selling, general and administrative |  |  | 14,722 |  |  |  | 377,090 |  |  |  | 30,749 |  |  |  | 377,090 |
Total stock-based compensation |  | $ | 22,455 |  |  | $ | 488,313 |  |  | $ | 45,429 |  |  | $ | 488,313 |

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