| Metric | Value ($ M) | Q1 FY27 | Q2 FY26 |
|---|---|---|---|
| Revenue | 12.57 | 6.5% | 7.4% |
| Total Income | 12.57 | 6.5% | 7.4% |
| Expenditure | 13.60 | 12.2% | 6.3% |
| PBT | -1.20 | 155.3% | 23.7% |
| Net Profit | -1.27 | 144.2% | 28.3% |
| OPM | -8.19% | 5.44pp | 1.26pp |
| NPM | -10.07% | 5.63pp | 2.75pp |
| EPS | -0.07 | 133.3% | 16.7% |
Iridex Reports Second Quarter 2026 Financial Results
19 Aug 2026 · 19 Aug, 2:27 am
Summary
Iridex Corporation reported second quarter 2026 total revenue of $12.6 million, a 7% decrease year-over-year, primarily due to lower retina product sales. However, the glaucoma business showed strength with Cyclo G6 product family revenue increasing by 19% to $3.9 million, driven by robust probe demand. Gross margin remained stable at 34.2%, while operating expenses were reduced by 5% to $5.3 million. The company reported a net loss of $1.3 million ($0.07 per share) for the quarter, and a non-GAAP adjusted EBITDA loss of $0.4 million. Management highlighted the positive operating cash flow and the ongoing business transformation efforts, including production transfers and headquarters relocation, aimed at achieving sustained long-term profitability.
Key Highlights
- 1
Total revenue for the second quarter ended July 4, 2026, was $12.6 million, a decline of 7% compared to the prior year period.
- 2
Cyclo G6 product family revenue grew by 19% year-over-year to $3.9 million, driven by strong probe demand.
- 3
Retina product revenue decreased to $6.5 million compared to $8.0 million in the prior year period, attributed to external headwinds.
- 4
Gross margin in the second quarter of 2026 was 34.2%, relatively flat compared to 34.5% in the prior year period.
- 5
Operating expenses decreased by 5% to $5.3 million in the second quarter of 2026 compared to the prior year period.
- 6
Net loss for the second quarter of 2026 was $1.3 million, or $0.07 per share, compared to a net loss of $1.0 million, or $0.06 per share, in the same period of the prior year.
- 7
Non-GAAP adjusted EBITDA loss for the second quarter of 2026 was $0.4 million, compared to a positive $21 thousand in the prior year period.
Management Comments
Patrick Mercer
Our second quarter results were highlighted by the continued momentum in our glaucoma business and operating positive cash flows. Cyclo G6 probe volume increased by approximately 35%, with this lifting G6 product family revenue by 19% compared to the prior year. This strong performance on the glaucoma side of the business, together with our continued success in controlling costs resulted in positive cash flow in the quarter. Our strong performance in glaucoma was offset by a weaker quarter in retina, due primarily to disruptions impacting the Middle East and reduced sell through in China. As we advance international regulatory approvals, we expect to improve overall retina performance driven by our flagship Pascal platform. We are continuing to make significant progress transforming our business, including the transfer of production to lower cost contract manufacturers and relocation of our headquarters to a lower cost facility. We expect this restructuring of the business will help us to achieve sustained long-term profitability.
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