Kestra Medical Technologies (KMTS) Q4 2026 earnings summary

Executive summary

• Fiscal 2026 delivered strong revenue growth, significant gross margin expansion, and strategic investments in commercial and clinical capabilities.

• The ASSURE system protected 18,000 patients, with notable clinical success stories and growing adoption among new prescribers and facilities.

• FY26 saw 20,720 ASSURE® system prescriptions, a 57% increase year-over-year, driven by market share gains and WCD market expansion.

• Strategic milestones included a new algorithm launch, FDA post-approval study results, and a collaboration with Biobeat Technologies.

• Clinical evidence, including the ACE-PAS study, and recent Heart Rhythm Society endorsement are accelerating market adoption and influencing guidelines.

Financial highlights

• Q4 revenue reached $28.6 million, up 66% year-over-year; full-year revenue was $95.1 million, up 59% from FY 2025.

• Gross margin for Q4 was 54.8%, expanding over 10 points year-over-year and 200 basis points sequentially; full-year gross margin was 51.4%, up 11 points.

• GAAP net loss for Q4 was $38.8 million, improved from $51.1 million in the prior year; FY26 net loss was $131.6 million, compared to $113.8 million in FY25.

• Adjusted EBITDA loss for FY26 was $87.0 million, compared to $68.4 million in FY25.

• Cash, cash equivalents, and investments totaled $262.2 million as of April 30, 2026.

Outlook and guidance

• Fiscal 2027 revenue guidance is $137 million, representing 44% growth over FY 2026.

• Growth expected from deeper penetration in existing accounts, new account activation, and higher in-network patient mix.

• Gross margin expected to improve by approximately 700 basis points year-over-year in FY 2027.

• Continued investment in commercial expansion and revenue cycle management, with operating leverage anticipated to increase.