iRhythm Technologies (IRTC) Q3 2025 earnings summary

Executive summary

• Achieved Q3 2025 revenue of $192.9 million, up 31% year-over-year, driven by record performance in Zio Monitor and Zio AT, primary care expansion, and EHR integrations.

• Net loss narrowed significantly to $5.2 million from $46.2 million in Q3 2024; adjusted net loss was $2.0 million versus $39.2 million.

• Adjusted EBITDA reached $21.6 million (11.2% margin), a substantial improvement from a loss of $19.9 million in Q3 2024.

• Nearly 12 million reports generated worldwide, with 76 of the top 100 customers now EHR integrated, leading to a 25% average increase in monitoring volume post-integration.

• International expansion continues, with 13 systems live in Japan and early commercialization in the UK, Switzerland, Austria, Netherlands, Spain, and strong private market growth in the UK and four EU countries.

Financial highlights

• Q3 2025 revenue reached $192.9 million, up from $147.5 million in Q3 2024.

• Gross margin improved to 71.1%, up 230 basis points from Q3 2024.

• Adjusted EBITDA margin was 11.2%, compared to negative 13.5% in Q3 2024.

• Adjusted net loss narrowed to $2.0 million ($0.06 per share) from $39.2 million ($1.26 per share) in Q3 2024.

• Free cash flow was $20 million for the quarter, with unrestricted cash, cash equivalents, and marketable securities totaling $565.2 million as of September 30, 2025.

Outlook and guidance

• Full-year 2025 revenue guidance raised to $735–$740 million, representing 24–25% year-over-year growth.

• Adjusted EBITDA margin for 2025 expected to be 8.25–8.75% of revenues.

• Expect to be free cash flow positive for full-year 2025 for the first time.

• 2026 guidance expected to be prudent, with upside potential from MCT approval and innovative channels.

• The company believes it has sufficient liquidity for at least the next 12 months and anticipates future cash tax benefits from recent U.S. tax law changes.