908 Devices (MASS) TD Cowen 46th Annual Health Care Conference summary

Business transformation and financial performance

• Achieved 18% year-over-year revenue growth and reported adjusted EBITDA positive of $0.7 million in Q4, reflecting a successful transformation and cost structure improvement after divesting the desktop business.

• Focused exclusively on handheld chemical detection tools for health, safety, and defense applications, driving operational efficiency and a streamlined sales channel.

Market outlook and growth drivers

• Guidance for 2026 projects 15–20% revenue growth, driven by products VipIR, XplorIR, AVCAD, and MX908, with VipIR contributing over $3 million in Q4 and strong international and state/local demand.

• End markets are propelled by the illicit drug crisis, proliferation of toxic industrial chemicals, and increased global defense spending, especially in response to geopolitical unrest.

• State and local sales channels outperformed expectations, supported by robust funding from federal grants and a compelling product portfolio.

Product innovation and portfolio strategy

• VipIR, launched in July, integrates Raman and FTIR spectroscopy, offering a unique solution for identifying unknown solids and liquids, with strong early adoption and international opportunities.

• XplorIR and MX908 address gas detection and ultra-sensitive drug detection, respectively, with each product targeting distinct use cases and expanding the addressable market.

• AVCAD partnership with Smiths Detection is expected to generate $2–3 million in 2026, with potential to reach $10 million annually at full production, pending government contract awards.