What GeneDx Holdings Corp. told the SEC could break it.

Substantially all of GeneDx's revenue is reimbursement for diagnostic test reports, so revenue growth hinges on winning and maintaining coverage from third-party payors — each payor's determination that a test is appropriate, medically necessary, cost-effective, and prior-authorized. 2025 growth was driven by an 18% rise in average reimbursement rates plus volume, underscoring the sensitivity. No single payor exceeds 10% of revenue (payor 'groups' are aggregations of similarly-contracted payors), so the risk is policy/coverage-driven rather than single-counterparty: adverse coverage decisions, prior-auth tightening, or Medicaid/Medicare rate changes would directly hit revenue.

“Our ability to increase the number of billable tests and our revenue therefrom will depend on our success in achieving reimbursement for our tests from third-party payors.”

GeneDx's exome/genome testing depends on a small set of named suppliers for sequencers, reagents and lab supplies — Illumina, Life Technologies (Thermo), Twist Biosciences, Path-Tec and Agilent. Concentration is rising: one supplier was ~20% of total purchases in 2025 (up from 13% in 2024 and 11% in 2023). The company flags it has sole suppliers whose adverse developments or component changes could interrupt supply, and that switching from a sole supplier is time-consuming, expensive, and may require re-validating affected tests on replacement equipment. The Illumina platform dependency is captured separately as a supply edge.

“One supplier accounted for approximately 20 %, 13 %, and 11 % of purchases for the years ended December 31, 2025, 2024, and 2023, respectively.”