Kestra Medical Technologies’ revenue up 53% to USD 22.6M in Q2 FY26

Kestra Medical Technologies, Ltd. reported financial results for the second quarter fiscal 2026, which ended October 31, 2025.

“Kestra delivered another strong quarter of financial performance, generating revenue growth of 53% while expanding gross margin to over 50%, an important milestone for the company,” said Brian Webster, President and CEO. “We also continued to make progress on several key operational objectives, including growing the commercial organization, announcing compelling primary results from our post-approval study at the American Heart Association annual meeting, and fortifying our balance sheet with an equity offering earlier this month. As we progress on our journey to category leadership, our team remains focused on growing the wearable defibrillator market and executing on our commitments to patients and their prescribers.”

Second quarter fiscal 2026 financial results

• Total revenue was $22.6 million, an increase of 53% compared to the prior year period.
  • 4,696 prescriptions were written for the ASSURE^® system, an increase of 54% compared to the prior year period.
  • Revenue growth was driven by higher market share and continuing WCD market expansion. Revenue also benefited from a higher mix of in-network patients and continued improvements in revenue cycle management capabilities.
• Gross profit was $11.4 million compared to $5.8 million in the prior year period.
  • Gross margin expanded to 50.6% compared to 39.6% in the prior year period, driven by volume leverage and a higher mix of in-network patients.
• GAAP operating expenses were $43.2 million and included $1.0 million of non-recurring costs. GAAP operating expenses were $25.0 million in the prior year period.
  • Excluding non-recurring costs and share-based compensation expense, operating expenses were $33.5 million in Q2 FY26 compared to $23.8 million in Q2 FY25. The increase was attributable to growth in expenses related to commercial expansion and public company costs.
• GAAP net loss and comprehensive loss was $32.8 million compared to GAAP net loss and comprehensive loss of $20.6 million in the prior year period.
  • Adjusted EBITDA^* loss was $19.7 million compared to an adjusted EBITDA loss of $16.1 million in the prior year period.
• Cash and cash equivalents totaled $175 million as of October 31, 2025.
  • The above cash and cash equivalents balance does not include the $148 million of net proceeds Kestra received from an underwritten public offering of 6.9 million common shares, which closed on December 4, 2025.

Fiscal year 2026 revenue guidance
Kestra is increasing its FY26 revenue guidance to $91 million, which would represent growth of 52% compared to FY25. This compares to prior FY26 revenue guidance of $88 million and initial FY26 guidance of $85 million.
MB Bureau