Nanosonics (NAN) H1 2026 earnings summary

Executive summary

• Revenue increased 9% year-over-year to AUD 102 million (or $102.2M), 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 decline in gross margin.

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

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

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

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 from 78.5%, impacted by 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 but up 13% in constant currency.

Outlook and guidance

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

• Gross margin expected in the 75%-77% range, 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.

• Guidance based on FX rates from August 2025 (USD 0.65); a stronger AUD could reduce revenue range by ~3%.