LENSAR (LNSR) investor relations material

Executive summary

• Achieved 18% total revenue growth year-over-year in Q2 2026, reaching $16.5 million, with recurring revenue up 20% to $13.7 million and procedure revenue up 23% to $10.2 million; procedure volume increased 13% to 58,682.

• Net income for Q2 2026 was $3.5 million, a turnaround from a net loss of $1.8 million in Q2 2025, driven by improved revenue, lower operating expenses, and a $1.1 million tariff refund.

• Adjusted EBITDA reached a record $3.6 million, reflecting improved profitability and operating leverage from higher recurring revenue.

• Installed base expanded to 215 ALLY systems (up 30% year-over-year), with a global installed base of 445 systems and 13 ALLY systems in backlog.

• U.S. procedure market share rose to 24.1% in Q2 2026, up from 21.4% a year ago, driven by increased utilization and new customer adoption.

Financial highlights

• Q2 2026 revenue: $16.5 million, up 18% year-over-year; recurring revenue: $13.7 million (83% of total), up 20% year-over-year; procedure revenue: $10.2 million, up 23% year-over-year.

• Gross profit: $9.8 million; gross margin 59% (52% excluding $1.1 million tariff refund), up from 50% last year.

• Adjusted EBITDA: $3.6 million, strongest to date, compared to negative $0.3 million in Q2 2025.

• Cash and equivalents: $13.6 million at quarter end; new $10 million revolving credit facility secured in August 2026.

• Basic EPS: $0.14; diluted EPS: $0.10 for Q2 2026.

Outlook and guidance

• Operating expenses expected to trend modestly higher as investments in commercial efforts increase.

• Management expects annual revenue and SG&A expenses to increase as ALLY System placements grow.

• Inflation, tariffs, and supply chain disruptions are expected to continue impacting costs and margins.

• Q3 typically sees lower cataract procedure volumes due to seasonality.

• The company believes current cash, investments, and credit facility are sufficient to fund operations for at least 12 months.