I went through Tempus's Q3 filings to see how close the business really is to profitability. Here's what stood out, and I'd be interested in how others are reading the quarter.

First, what does Tempus sell?

Q3 revenue was $411.5M, up 23%. Diagnostics brought in $303.5M, roughly 74% of revenue. Data and applications brought in $108.1M, roughly 26%, and grew 33%.

That matters for the valuation. Most of the revenue still comes from testing, with a faster-growing data business alongside it. I wouldn't treat the whole company as a software business just because AI is in the name.

The profitability numbers need some context.

Q3 adjusted EBITDA was +$25.6M, up from +$1.5M a year earlier.

GAAP operating loss was $56.9M.

Operating cash flow was about +$9.2M for the quarter, calculated by subtracting the first-half figure from the nine-month figure.

After equipment spending and capitalized software, Q3 free cash flow was still about -$5.5M by the same calculation.

So cash generation is much closer to…