Revenue Growth and Beat
Total revenue of $85.1M for Q1 2026, up 3.4% year-over-year and above company expectations; total sales revenue increased 5.7% driven by international POC growth and favorable FX.
Unit Volume Expansion
Unit volumes grew 14% year-over-year, indicating strong demand and execution on device placements despite channel shifts in the U.S.
International Outperformance
International revenue of $37.7M, up 18% year-over-year; growth driven by deeper HME relationships, international tenders and expansion into Eastern Europe, Latin America and Asia Pacific.
Gross Margin Improvement
Adjusted gross margin increased to 44.7%, up 30 basis points versus prior year (from 44.4%), aided by cost improvements.
Product Launches and Clinical Momentum
Launched Aurora CPAP mask family in the U.S. with a positive 90-day in-home study showing patient preference (particularly for the full face mask); launched Rove 6 POC in Brazil; Simeox reimbursement trial (IMPACTS-200) began patient enrollment. Management expects Aurora revenue to be back-half weighted.
POC Product Differentiation
Rove 4 and Rove 6 POCs positioned with an 8-year useful life (vs. 5 years for competitors), best-in-class serviceability and growing outcomes data to support premium positioning.
Strong Liquidity and Capital Actions
Ended the quarter with $111.5M in cash, cash equivalents, marketable securities and restricted cash and zero debt; initiated share repurchase activity (≈298k shares for ~$1.9M).
Reaffirmed Guidance and Positive Full-Year Outlook
Reaffirmed 2026 revenue guidance of $366M–$373M (~6% growth at midpoint) and Q2 revenue guidance of $94M–$97M (~3.5% growth at midpoint); company expects adjusted EBITDA growth for the full year and seasonal Q2/Q3 strength.