Pulmonx (LUNG) Q1 2026 earnings summary

Executive summary

• Total worldwide revenue for Q1 2026 was $20.6 million, down 9% year-over-year, with U.S. revenue at $13.3 million and international revenue at $7.3 million; net loss was $13.7 million and gross margin reached 78%.

• U.S. revenue declined 7% year-over-year, while international revenue fell 12% due to the absence of China sales; excluding China, international revenue grew 22%.

• Operational focus is on re-accelerating U.S. sales, advancing clinical initiatives, and aligning costs for profitability.

• 15 new U.S. treating centers were added in Q1, exceeding prior quarterly additions.

• The company continues to invest in R&D, sales, and marketing, expecting ongoing net losses and additional funding needs.

Financial highlights

• Gross margin for Q1 2026 was 78%, up from 73% in Q1 2025, driven by a lower mix of distributor sales internationally.

• Operating expenses totaled $29 million, a 6% decrease year-over-year; R&D expenses rose 3% and SG&A fell 7.8%.

• Net loss for Q1 2026 was $13.7 million ($0.33 per share), improved from $14.4 million ($0.36 per share) in Q1 2025.

• Adjusted EBITDA loss was $8.5 million; excluding restructuring, adjusted EBITDA loss was $7 million, 18% better year-over-year.

• Cash and cash equivalents were $61.6 million as of March 31, 2026.

Outlook and guidance

• Full-year 2026 revenue guidance reiterated at $90–$92 million, with sequential quarterly improvement and return to growth in H2.

• Full-year operating expenses expected between $113–$115 million, including ~$19 million in stock-based compensation.

• Gross margin expected to average 75% for 2026, higher in H1 and lower in H2 due to sales mix.

• Cash burn for 2026 projected at ~$23 million, down from $32 million in 2025.

• Existing cash is expected to fund operations for at least the next 12 months; longer-term funding may require additional equity or debt.