Iridex Q4 revenue rises on higher retina system sales

Overview

• Medical laser systems maker's Q4 revenue rose 16% yr/yr, driven by retina and glaucoma products

• Q4 net loss narrowed to $0.2 mln; operating expenses fell 10% yr/yr

• Company forecasts 2026 revenue of $51-53 mln, excluding Middle East due to conflict

Outlook

• Iridex forecasts 2026 revenue between $51 mln and $53 mln, excluding Middle East sales

• Company expects 2026 adjusted operating expenses of $19 mln to $19.5 mln

• Iridex anticipates positive operating cash flow for full year 2026

Result Drivers

• RETINA SYSTEM SALES - Co said higher retina system sales, including Pascal, were a primary driver of Q4 revenue growth

• GLAUCOMA PROBE SALES - Higher glaucoma probe sales contributed to Q4 revenue growth

• EXTRA SELLING WEEK - Q4 results benefited from an extra selling week in the fiscal quarter

• HIGHER MANUFACTURING COSTS - Gross margin declined due to increased manufacturing costs, including tariffs, and lower capitalization of manufacturing overhead

Company press release: ID:nGNX7ds8sL

Key Details

*Applies to a deviation of less than 1%; not applicable for per-share numbers.

Analyst Coverage

• The one available analyst rating on the shares is "buy"

• The average consensus recommendation for the advanced medical equipment & technology peer group is "buy"

• Wall Street's median 12-month price target for IRIDEX Corp is $3.00, about 126.4% above its March 25 closing price of $1.33

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