10-Q · May 4, 2026
Pulmonx Corporation reported Q1 2026 revenue of $20.6 million with a gross margin of 77.9%, reflecting an 8.7% decrease from the prior year. The company incurred a net loss of $13.7 million and confirmed strong…
Earnings analysis · 10-Q
LUNG earnings analysis
Filed August 4, 2026 · Our reading of the company's report
The latest report
Pulmonx delivered Q2 revenue of $22.8 million and GAAP EPS of $(0.24), improving sequentially and ahead of the supplied consensus figures, but revenue was down 4.6% year over year because of lower U.S. procedure volumes…
Read full summary
Pulmonx delivered Q2 revenue of $22.8 million and GAAP EPS of $(0.24), improving sequentially and ahead of the supplied consensus figures, but revenue was down 4.6% year over year because of lower U.S. procedure volumes and no China sales during the registration renewal process. Profitability improved materially: gross margin increased to 78.0% and the operating loss narrowed to $9.1 million as SG&A fell $4.9 million. Liquidity is adequate for management’s stated 12-month horizon with $55.8 million in cash, but continuing negative operating cash flow, a 13.9% effective interest rate on $37.4 million of debt, and delayed China shipments remain key constraints.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
Where revenue came from
The business segments reported by the company.
Shares of the segments disclosed in this filing, largest first.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.24
What stood out
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Sequential revenue and EPS improved
Q2 revenue was $22.8 million, up 10.5% sequentially from $20.6 million in Q1 2026, while GAAP EPS improved to $(0.24) from $(0.33). Revenue remained 4.6% below $23.9 million in Q2 2025.
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Gross margin expanded sharply
Gross margin expanded 590 bps year over year to 78.0% from 72.1%, as cost of goods sold fell 24.7% to $5.0 million. Management attributed the increase principally to geographic mix.
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Cost actions narrowed operating loss
Operating loss narrowed 38.8% year over year to $9.1 million from $14.8 million, producing a -39.8% operating margin versus -62.1% in Q2 2025. SG&A declined $4.9 million, or 18.5%, to $21.8 million.
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Cash burn improved; capex remained minimal
Six-month operating cash use improved to $15.3 million from $17.1 million in the prior-year period, while capital expenditures were less than $0.1 million. This implies six-month free cash flow of approximately $(15.3) million.
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China registration renewal enables restart
China’s registration certificate was renewed in June 2026. Management is focused on restarting commercial activity during the remainder of 2026 and anticipates shipments to its Chinese distributor by early 2027.
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Management sees at least 12 months of runway
Liquidity included $55.8 million of cash and cash equivalents at June 30, 2026, and management expects this balance to fund planned operations for at least 12 months. The company was compliant with its loan covenants at quarter-end.
What to watch
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Core sales declined in both geographies
Revenue declined 4.6% year over year to $22.8 million: U.S. sales fell to $14.2 million from $14.7 million as Zephyr Valve procedure volume declined, while international revenue fell to $8.6 million from $9.1 million.
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China sales restart is delayed into 2027
International sales lacked China revenue while the company awaited renewal of its registration certificate. Although renewed in June 2026, management does not anticipate resuming distributor shipments until early 2027; international revenue was $8.6 million in Q2.
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Losses and cash consumption continue
The company reported a $10.1 million quarterly net loss and $15.3 million of six-month operating cash use, with an accumulated deficit of $545.3 million. It expects to require substantial additional funding despite its stated 12-month cash runway.
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High-cost debt adds covenant and refinancing risk
The new Perceptive Loan carried $37.4 million outstanding and a 13.9% annual effective interest rate at June 30, 2026. Its covenant requires at least $4.0 million of minimum unrestricted cash and specified marketable securities, and a default could accelerate repayment.
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New tariff risk limits cost pass-through
A risk-factor update highlights tariff and trade-policy exposure: fixed pricing under customer, payor and GPO contracts may prevent passing through increased costs until renewal cycles that can be up to 36 months away. This could pressure margins if tariffs raise component or finished-goods costs.
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Procedure safety events may constrain adoption
Zephyr Valve safety remains a material adoption risk: pneumothoraces occurred in 18% to 34% of treated patients in clinical trials, and four deaths (3.1%) occurred in the Zephyr Valve group during the LIBERATE treatment period.
Management's outlook
The 10-Q contains no explicit numeric revenue or EPS outlook. Management states that $55.8 million of cash and cash equivalents is expected to fund planned operations for at least 12 months from issuance of the financial statements; quantitative full-year guidance was provided outside this 10-Q in the earnings release.
Earlier filings 4
10-K · March 10, 2026
Pulmonx (LUNG) shows modest commercial traction: revenue rose to $90.5 million in 2025 from $83.8 million in 2024 while gross margin remained strong at 74.2% and net loss narrowed to $54.0 million. The business remains…
10-Q · November 12, 2025
Pulmonx reported quarter-over-year revenue growth with Q3 2025 revenue of $21,502,000 versus $20,387,000 in Q3 2024 and a modest improvement in loss per share to $(0.34) from $(0.36). Gross profit increased to…
10-Q · August 1, 2025
Pulmonx reported Q2 revenue of $23.859M, up $3.076M (14.8%) versus Q2 2024 and modestly above consensus. Gross margin was 72.1% while operating loss narrowed to -$14.804M (operating margin -62.1%). Cash + marketable…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.