Nanosonics (NAN) H1 2026 earnings summary

Executive summary

• Revenue increased 9% year-over-year to AUD 102 million (or $102.2 million), driven by installed base expansion, record upgrades, and equal growth in both capital and consumable/service revenue, especially in North America.

• Operating margin expanded 27% to AUD 8.5 million ($8.5M), supported by disciplined cost control, despite a slight decline in gross margin.

• Launches of Trophon3 and Trophon2 Plus, and CORIS commercialization progressed with regulatory milestones and controlled market release in the UK, Australia, and EU.

• New headquarters and manufacturing facility secured, move planned for April 2027, with digitalisation initiatives implemented.

• Cash and cash equivalents remained strong at AUD 159.8 million ($159.8M), supporting ongoing growth strategies.

Financial highlights

• Revenue reached AUD 102 million ($102.2M), up 9% year-over-year (8% in constant currency).

• Gross profit margin moderated to 76.3%, down 2.2 points, due to tariffs, air freight, and product mix.

• Operating expenses rose 4% to AUD 69.5 million ($69.5M), mainly from higher employee costs and sales commissions.

• EBIT was AUD 8.4 million ($8.4M), down 3% reported but up 15% in constant currency.

• Profit before tax was AUD 10.6 million ($10.6M), down 3% reported, up 13% constant currency.

• Net profit was $9.6 million, slightly down from $9.8 million in the prior year, with EPS at 3.17 cents (basic).

Outlook and guidance

• Full-year guidance reaffirmed: revenue growth expected in the 8%-12% range at constant currency, with FY26 revenue guidance at $215M–$223M.

• Gross margin expected between 75%-77%, assuming tariff rates remain stable.

• Ongoing focus on OpEx discipline and continued investment in CORIS and other growth projects.

• No CORIS revenue expected while Controlled Market Release is underway.

• If AUD/USD exchange rate averages 0.70 in H2, revenue range would be about 3% lower after hedging.

• No significant post-period events or changes expected to affect future operations or financial position.