IRIDEX (IRIX) Q4 2025 earnings summary

Executive summary

• Achieved 8% year-over-year revenue growth to $52.7 million in 2025, with Q4 revenue of $14.7 million, up 16% year-over-year, and momentum in both glaucoma and retina businesses.

• Achieved positive adjusted EBITDA for the first time in recent history, with $0.8 million in Q4 and $1.1 million for the full year.

• Reduced operating expenses by 22% year-over-year, resulting in positive adjusted EBITDA and improved net loss.

• Generated positive cash flow from operations in Q4 2025, positioning for sustainable profitability in 2026 and beyond.

Financial highlights

• Q4 2025 revenue was $14.7 million, up 16% year-over-year; full-year revenue reached $52.7 million, up 8%.

• Q4 gross profit was $5.5 million (37% margin), down from $5.6 million (44%) in Q4 2024 due to higher manufacturing costs and tariffs.

• Q4 net loss narrowed to $0.2 million ($0.01/share) from $0.8 million ($0.05/share) in Q4 2024; full year net loss improved to $4.4 million ($0.26/share) from $8.9 million ($0.54/share) in 2024.

• Q4 adjusted EBITDA was $817,000, up from $611,000 in Q4 2024; full year adjusted EBITDA was $1.1 million, up from a loss of $4.3 million in 2024.

• Cash and equivalents at year-end were $6.0 million, up $0.4 million sequentially; annual cash use improved 71% year-over-year.

Outlook and guidance

• 2026 revenue guidance is $51–$53 million, reflecting 1–5% growth excluding Middle East sales due to regional conflict.

• Adjusted operating expenses for 2026 expected between $19 million and $19.5 million.

• Positive cash flow expected for full-year 2026, with sequential improvement in quarterly cash generation.