Procept Biorobotics Corp. ((PRCT)) has held its Q3 earnings call. Read on for the main highlights of the call.
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Procept Biorobotics Corp. recently held its earnings call, revealing a mixed sentiment among investors and stakeholders. The company reported impressive revenue growth and a notable increase in both U.S. and international sales, alongside positive gross margin expansion. However, concerns were raised due to persistent net losses, challenges in utilization growth, and potential procedural headwinds. Despite these challenges, the company remains optimistic about its strategic initiatives and long-term growth potential.
Strong Revenue Growth
Procept Biorobotics Corp. reported total revenue of $83.3 million for Q3 2025, marking a significant 43% increase compared to the same quarter in 2024. The U.S. market contributed $73.9 million, reflecting a 42% rise from the previous year, underscoring the company’s robust performance in its home market.
Significant Increase in Handpiece Sales
The company experienced a substantial boost in handpiece and consumable revenue, reaching $44.4 million for Q3 2025. This represents a 50% increase compared to Q3 2024, with 13,225 handpieces sold, indicating a 51% year-over-year unit growth.
International Revenue Surge
International sales also saw a remarkable surge, with revenue climbing to $9.4 million in Q3 2025, a 53% increase compared to the previous year. This growth highlights the company’s expanding global footprint.
Positive Gross Margin Expansion
The gross margin for Q3 2025 improved to 64.8%, an increase of 160 basis points year-over-year. This expansion reflects the company’s efficiency in managing costs and enhancing profitability.
Strong U.S. Installed Base Growth
Procept Biorobotics ended Q3 2025 with a U.S. installed base of 653 systems, representing a 47% increase from the prior year. This growth in the installed base is a testament to the company’s successful market penetration and customer acquisition strategies.
Net Loss Persistence
Despite the revenue growth, the company reported a net loss of $21.4 million for Q3 2025, slightly higher than the $21 million loss in the same period of the previous year. This persistent net loss remains a concern for investors.
Challenges in Utilization Growth
Utilization growth was reported in the low single digits, falling below historical norms. This challenge indicates potential issues in maximizing the use of installed systems, which could impact future revenue streams.
Potential Procedural Headwinds
The company anticipates procedural headwinds in the first half of 2026 due to organizational changes. These headwinds could pose challenges to operational efficiency and growth momentum.
Inventory Optimization Impact
Procept Biorobotics noted a reduction in Q4 handpiece sales guidance, reflecting modest headwinds related to field inventory optimization. This adjustment indicates a strategic move to better manage inventory levels and align with market demand.
Forward-Looking Guidance
Looking ahead, Procept Biorobotics maintains its full-year guidance, expecting total revenue of approximately $325.5 million and projecting the sale of 213 new robotic systems in the U.S. for 2025. For 2026, the company anticipates total revenue between $410 million and $430 million, driven by strategic investments in commercial capabilities and operational excellence.
In conclusion, Procept Biorobotics Corp.’s earnings call highlighted strong revenue growth and positive developments in sales and margins. However, persistent net losses and challenges in utilization growth present areas of concern. The company remains optimistic about its future, with strategic initiatives aimed at driving long-term growth and profitability.