Picard Medical (PMI) Q1 2026 earnings summary

Executive summary

• Revenue for Q1 2026 increased 85% year-over-year, reaching $1.2 million, driven by higher U.S. sales and expanded SynCardia Total Artificial Heart utilization.

• Returned to positive gross profit with a 24% margin, compared to a gross loss and negative margin in Q1 2025.

• Net loss widened to $7.6 million from $5.6 million in Q1 2025, impacted by increased R&D, legal expenses, and non-cash charges.

• Executed significant debt reduction and strengthened capital structure through repayments and equity settlements.

• Management disclosed substantial doubt about the company's ability to continue as a going concern, citing the need for additional capital.

Financial highlights

• Q1 2026 revenue: $1.2 million (up 85% year-over-year); U.S. sales accounted for 100% of revenue.

• Product revenue rose 54% to $0.9 million; Freedom Driver rental revenue grew to $0.2 million from $7,000.

• Gross profit improved to $0.3 million (24% margin) from a $0.4 million loss (negative 58% margin) year-over-year.

• Operating loss increased to $4.5 million (Q1 2025: $3.2 million); net loss per share was $0.10 (Q1 2025: $0.80).

• Cash used in operations was $3.8 million; cash and equivalents at quarter-end were $7.5 million.

Outlook and guidance

• Focus remains on expanding SynCardia Total Artificial Heart utilization and advancing Emperor Total Artificial Heart development, targeting a 2028 clinical study launch.

• Management expects continued operating losses and negative cash flows as investments in R&D and commercialization persist.

• Additional capital raises through debt or equity are anticipated to support ongoing operations and product development.

• Plans to improve manufacturing efficiency and strengthen commercial and financial position.