iRhythm Holdings, Inc. Q1 FY26 Results

Summary

iRhythm Holdings, Inc. reported a robust start to 2026, with first-quarter revenue climbing to $199.4 million, marking a substantial 25.7% increase compared to the prior year. The company demonstrated significant improvements in profitability, with gross margin expanding to 70.9% and net loss narrowing to $13.9 million, an improvement of $16.8 million. Adjusted EBITDA turned positive at $14.1 million, reflecting strong operational efficiencies and volume-led growth across various care settings. Management expressed confidence in continued momentum, raising full-year 2026 revenue guidance to $875 million to $885 million and adjusted EBITDA margin guidance to 12.0% to 13.0%.

Key Highlights

1. 1

   Revenue for the first quarter of 2026 increased by 25.7% year-over-year, reaching $199.4 million.

2. 2

   Gross margin improved by 210-basis points to 70.9% in Q1 2026 compared to the same period in 2025.

3. 3

   Net loss significantly improved by $16.8 million, narrowing to $13.9 million for the first quarter of 2026.

4. 4

   Adjusted EBITDA reached $14.1 million, with an adjusted EBITDA margin of 7.1%, representing a $16.7 million and 880-basis point improvement, respectively, over Q1 2025.

5. 5

   The company maintained a strong liquidity position with $549.6 million in unrestricted cash, cash equivalents, and marketable securities as of March 31, 2026.

6. 6

   iRhythm Holdings increased its fiscal year 2026 revenue guidance to a range of $875 million to $885 million and raised its adjusted EBITDA margin guidance to 12.0% to 13.0%.