Well, thank you, Charlie. This morning I will begin by commenting on quarter three results including some encouraging market trends we are seeing in our core business and then we will provide a high level review of key strategic areas of investment. Kathryn will then provide a more detailed review of the financial results.
Following Kathryn’s review, George Cardoza will provide some in-depth commentary about our growth investments within the form of services and Doug Brown will make some comments about our strategy and other investments. I will make some closing comments before we open it up for questions-and-answers. NeoGenomics reported record revenue and adjusted EBITDA in quarter three as we rebounded strongly from a very challenging second quarter. Revenue grew 44% sequentially and 20% year-over-year to $125 million, encouragingly we gained significant momentum in our core oncology business throughout the quarter. In our core oncology business revenue grew 28% sequentially and 4% year-over-year. COVID-19 PCR testing revenue added 16% to revenue growth during the quarter, as we worked around the clock to develop and provide high quality COVID testing to help with the shortage of U.S. capacity in July and August. The rebound in our core oncology business, which is somewhat V shaped in its trajectory occurred in both our Clinical and Pharma Services segments. In our Clinical Oncology business revenue improved 28% compared with last quarter to approximately the same level as last year despite a very challenging environment. Revenue in our Pharma Services segment also grew 28% from last quarter, while reporting its highest revenue quarter ever growing 38% on a year-over-year basis.
While we are pleased by the sequential rebound in quarter three, we are also encouraged by the clear and continuing momentum we saw within the quarter in our core oncology business. Both our Clinical Oncology business and our Pharma segment continue to grow throughout the quarter and ended the quarter much stronger. In our Clinical Oncology business, test volume improved throughout the quarter as average daily test volume increased nearly 10% from the month of July to September. The positive momentum has continued in the first three weeks of October, with daily test volumes up approximately 8% over September.
Next-generation sequencing tests volume growth was particularly strong in quarter three, growing faster than overall Clinical volume. Test volume growth also improved for this product line as the quarter progressed. The positive momentum in next-generation sequencing testing has continued in October with daily tests volumes approximately 30% higher than last year.
Next-generation sequencing revenue currently represents nearly 20% of our total Clinical division revenue. In the Pharma Services segment the rebound we experienced in quarter three was driven by a momentum shift and strengthening, as clinical trial activity begins to resume. The majority of our clients reopened clinical trial sites and revenue from clinical trials accelerated nicely as the quarter ended.
We also saw the start of new clinical trials, which is something we did not see in quarter two. Pharma research-related services have remained strong all year and Informatics-related revenue has been extremely strong. Inter quarter trends were also positive in the Pharma Services segment.
In fact September was the largest revenue month on record for the Pharma Services division.
Although, Pharma revenue is affected by the pandemic, demand has remained strong and steady throughout this year as we continue to sign new contracts for future work. That strong demand continues in quarter three as we sign $35 million of new business in the quarter. These Pharma contracts included a wide range of our products and services, from whole exome sequencing to Informatics and covering geographic locations from the U.S. to Europe to Singapore and China.
As of September 30th, our backlog of signed contracts stood at $185 million, representing a 57% year-over-year growth and a new high watermark. Also of know, this is the second quarter in a row where Pharma Services represented greater than 15% of our core oncology revenue.
Just five years ago, we had essentially no Pharma Services business, since that time we have a continually and systematically built this business to be competitively well-positioned.
We expect this business segment to demonstrate faster growth rates and to represent an even greater percentage of total core oncology revenue in the fourth quarter. George will share some of our recent investments to add capabilities for future growth in a few minutes. The promising recovery in our core oncology business along with a significant contribution from COVID-19 PCR testing significantly improved profitability.
In fact, quarter three adjusted EBITDA of $17 million was our most profitable quarter on record. Remarkably, the recovery and profitability occurred despite significant change and disruption to our business. Like many other companies, the extensive workplace, protections and work-from-home measures we put in place had an effect on productivity.
We also invested to retain our people and reward their efforts to keep our lands open 24x7. We feel very good about our decision to retain all of our employees through what hopefully were the darkest days of the pandemic and now are in hiring mode again as core oncology test volumes regain strength.
During the second and third quarters we invested considerable resources to set up a high quality, high capacity COVID-19 testing lab and continue to invest in Pharma Services, next-generation sequencing and commercialization efforts. No question, quarter three was operationally challenging as a result of the pandemic that we are all dealing with. But, overall, we are pleased with the company’s performance.
While we are not yet at core oncology testing volume levels, which we budgeted at the beginning of the year, we are encouraged by our recovery in quarter three.
We are more confident every day that we are on a steady path towards growth levels consistent with our historical long-term guidance. I will now turn the call over to Kathryn McKenzie, our Chief Financial Officer to discuss some of the details of quarter three financial results.