Saluda Medical (SLD) H2 2026 earnings summary

Executive summary

• FY26 revenue reached $90.2 million, up 28% year-over-year and 4% above guidance, with gross margin expanding to 48.9%, surpassing IPO prospectus expectations.

• US revenue grew 27% to $63.2 million, international revenue rose 32% to $26.9 million, driven by increased physician adoption and patient implants.

• FDA approval and launch of the CAP24 paddle lead opened a $670 million US market segment, expanding the addressable opportunity.

• All key financial metrics exceeded IPO prospectus targets, including revenue, gross margin, adjusted EBITDA, and operating cash use.

• Only 4% of the US physician universe is penetrated, indicating significant growth runway.

Financial highlights

• FY26 total revenue reached $90.2M, up from $70.4M in FY25 (+28% year-over-year), with Q4 revenue up 43% year-over-year.

• Gross margin improved by 230 basis points to 48.9%.

• Adjusted EBITDA loss was $113.7M, slightly higher than FY25, but operating cash use improved by $2.2M.

• US patient implants increased 50% in Q4 FY26, with active implanting physicians up 22%.

• Cash used in operations improved to $116.0 million from $118.2 million in FY25.

Outlook and guidance

• FY27 revenue guidance is $113–$122 million, representing 25%–35% growth.

• Gross margin expected to expand further to 50%–52% in FY27.

• Adjusted EBITDA loss projected between $101 million and $95 million, with ~90% of incremental gross profit converting to EBITDA improvement.

• More of FY27 growth is expected to be driven by US market execution due to challenging international comps.

• Continued investment in commercial expansion, with revenue growth anticipated to outpace operating expense growth.