Adaptive Biotechnologies Corp (ADPT)

Adaptive Biotechnologies is an immune medicine company that applies proprietary immunosequencing technologies, computational biology and machine learning to read the genetic code of the adaptive immune system (T cell and B cell receptors) and capture those insights in a clinical immunomics database and antigen annotations. In 2024 it reorganized around two businesses. The MRD business uses a highly sensitive next-generation sequencing assay, clonoSEQ, to measure minimal residual disease in lymphoid malignancies.

It serves two customer groups: clinicians, who order the clonoSEQ clinical diagnostic test, and biopharmaceutical partners, who use the clonoSEQ assay in drug development through MRD Pharma. clonoSEQ is FDA-authorized for multiple myeloma, B cell acute lymphoblastic leukemia and chronic lymphocytic leukemia, and is available as a CLIA-validated laboratory developed test for other lymphoid cancers such as diffuse large B cell lymphoma and mantle cell lymphoma. The company estimates the MRD total addressable market at about $5.5 billion, of which about $4.8 billion comes from clinical testing. The test has sensitivity of 1 in 1,000,000 cells given sufficient sample input, and it tracks patient-specific receptor sequences over time to assess treatment response and detect relapse.

In 2024, MRD revenue was $145.5 million, up 42%, and test volume grew 35%. Payor coverage expanded, Medicare set a $2,007 per-test rate, and the assay was used in more than 170 active trials with over 40 biopharmaceutical partners. The Immune Medicine business focuses on discovering and developing immune-based therapies for cancer and autoimmune diseases, using the company's ability to sequence, map, pair and characterize TCRs and BCRs at scale.

Its datasets include more than 100,000 disease signatures and more than 2,000,000 TCR-antigen matches. In oncology, the company works with Genentech under a worldwide collaboration and license agreement to discover and characterize TCRs against cancer antigens for TCR-based cell therapies in solid tumors, and Genentech obtained the first FDA-cleared IND under that agreement in 2023. In autoimmunity, it targets T-cell-mediated indications such as multiple sclerosis and type 1 diabetes, aiming to eliminate or block autoreactive T cells.

It has nominated a lead indication and is conducting preclinical development of antibody therapeutic candidates. Total 2024 revenue was $179.0 million versus $170.3 million in 2023, operating expenses fell to $341.5 million from $397.3 million, and cash, cash equivalents and marketable securities were $256.0 million at year end.