SAN JOSE, Calif., Nov. 20, 2025 (GLOBE NEWSWIRE) -- PROCEPT BioRobotics (Nasdaq: PRCT) (the “Company”), a surgical robotics company focused on advancing patient care by developing transformative solutions in urology, today announced that members of management will present at the upcoming 37th Annual Piper Sandler Healthcare Conference in New York City. Management is scheduled to present on Tuesday, December 2 at 8:30 a.m. Eastern Time. A live webcast of each event, as well as an archived recording, will be ...

Core Viewpoint - PROCEPT BioRobotics Corporation is recognized as a fast-growing small-cap stock, with analysts maintaining a Buy rating despite a price target reduction from $55 to $50 following strong fiscal Q3 2025 results [1][2]. Financial Performance - The company reported a revenue increase of 42.76% to $83.33 million, exceeding estimates by $2.56 million [2]. - The earnings per share (EPS) of negative $0.38 also surpassed consensus expectations by $0.04 [2]. Product and Market Demand - Revenue growth is attributed to strong demand for the HYDROS Robotic System, which saw a year-over-year growth of 43%, alongside increasing adoption of Aquablation therapy [2][3]. - PROCEPT BioRobotics develops the AQUABEAM Robotic System, a surgical robot that utilizes real-time imaging and a heat-free water jet for precise prostate tissue removal [4]. Analyst Insights - Analyst Matthew O'Brien noted that the company's Q3 performance was better than expected, with sales forecasts for 2025 and 2026 aligning closely with Wall Street's expectations [3]. - Concerns regarding soft utilization performance and investor destocking are viewed as temporary issues, attributed to internal changes within the company [3].

Financial Performance - Revenue for Q3 2025 reached $83.3 million, a 42.7% increase from $58.4 million in Q3 2024[15] - Gross profit for Q3 2025 was $54.0 million, compared to $36.9 million in Q3 2024, reflecting a gross margin improvement[15] - Net loss for Q3 2025 was $21.4 million, slightly higher than the net loss of $21.0 million in Q3 2024[15] - The company reported a comprehensive loss of $21.2 million for Q3 2025, compared to a comprehensive loss of $21.0 million in Q3 2024[15] - For the nine months ended September 30, 2025, the net loss was $65.727 million, an improvement from a net loss of $72.557 million in the same period of 2024, representing a decrease of approximately 9.4%[21] - Total revenue for the three months ended September 30, 2025, was $83.3 million, a 42.7% increase from $58.4 million in the same period of 2024[62] - Total revenue for the nine months ended September 30, 2025, reached $231.7 million, up 48.1% from $156.3 million in the prior year[62] Expenses and Costs - Research and development expenses for Q3 2025 were $18.2 million, up from $16.6 million in Q3 2024, indicating continued investment in innovation[15] - Selling, general and administrative expenses increased to $59.0 million in Q3 2025 from $42.7 million in Q3 2024, reflecting higher operational costs[15] - Total stock-based compensation recognized for the three months ended September 30, 2025, was $14.5 million, an increase from $8.5 million in the same period of 2024[50] Assets and Liabilities - Total current assets decreased to $454.8 million as of September 30, 2025, down from $481.8 million at December 31, 2024[13] - Total liabilities remained stable at $131.3 million as of September 30, 2025, compared to $131.7 million at December 31, 2024[13] - Cash and cash equivalents were $294.3 million as of September 30, 2025, down from $333.7 million at December 31, 2024[13] - The total stockholders' equity decreased to $380.3 million as of September 30, 2025, from $402.2 million at December 31, 2024[13] - Total inventory as of September 30, 2025, increased to $66.715 million from $56.168 million as of December 31, 2024, reflecting an increase of approximately 18.7%[35] - The allowance for credit losses increased to $2.266 million as of September 30, 2025, compared to $840,000 at the end of 2024, marking a significant increase of 170.5%[34] Cash Flow - Cash used in operating activities for the nine months ended September 30, 2025, was $38.658 million, compared to $66.822 million in 2024, indicating a reduction of about 42.2%[21] - The Company reported net cash provided by financing activities of $6.753 million for the nine months ended September 30, 2025, compared to $9.597 million in 2024, a decrease of approximately 29.3%[21] - The total cash and cash equivalents as of September 30, 2025, were $294.281 million, down from $333.725 million at the end of 2024, representing a decrease of about 11.8%[32] Regulatory and Compliance - The Company received FDA clearance for its next-generation HYDROS Robotic System on August 20, 2024, enhancing its product offerings in the surgical robotics market[23] - The Company plans to adopt new accounting standards related to income tax disclosures in the year ending December 31, 2025, which are not expected to have a material impact on its financial statements[28] - The company determined that new federal tax legislation enacted in July 2025 did not have a material impact on its financials due to a full valuation allowance on deferred tax assets and liabilities[63] Market and Operational Insights - U.S. revenue for the three months ended September 30, 2025, was $73.9 million, representing a 41.5% increase from $52.2 million in 2024[62] - Revenue from handpieces and other consumables in the U.S. increased by 50% to $44.4 million for the three months ended September 30, 2025, compared to $29.6 million in 2024[62] - The company operates as a single operating segment, with no customers accounting for more than 10% of revenue during the nine months ended September 30, 2025[67] - The company's assets are primarily based in the United States, with 89% of revenue coming from the U.S. for the three months ended September 30, 2025[68] Future Commitments - Future minimum annual operating lease payments total $37.6 million, with a present value of future payments at $27.4 million as of September 30, 2025[47] - The Company’s future minimum annual debt repayments total $52.0 million, with a present value of future payments at $51.6 million[44] - The Company’s minimum cash holdings requirement at CIBC stipulates that if cash and cash equivalents are less than $50.0 million, 100% must be maintained at CIBC[42] Interest Rates and Financial Metrics - The weighted-average interest rate for the Term Loan Facility was 6.7% for the period ending September 30, 2025, down from 7.7% in 2024, indicating a decrease of approximately 13%[40] - The Company had 3.7 million stock options outstanding as of September 30, 2025, with an aggregate pre-tax intrinsic value of $79.8 million[51] - As of September 30, 2025, the Company had $13.9 million of unrecognized stock-based compensation expense related to stock options[52] - Employer contributions to the defined contribution retirement savings plan were $0.7 million for the three months ended September 30, 2025, compared to $0.5 million in 2024[72] - The company's exposure to market risks related to interest rates, credit, and foreign currency exchange rates has not changed materially since December 31, 2024[117]

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PROCEPT BioRobotics Corporation (PRCT) came out with a quarterly loss of $0.38 per share versus the Zacks Consensus Estimate of a loss of $0.41. This compares to a loss of $0.4 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of +7.32%. A quarter ago, it was expected that this company would post a loss of $0.41 per share when it actually produced a loss of $0.35, delivering a surprise of +14.63%.Over the last four quarters, the co ...

Financial Data and Key Metrics Changes - Total revenue for Q3 2025 was $83.3 million, representing a growth of 43% compared to Q3 2024 [10] - U.S. revenue for Q3 was $73.9 million, reflecting a growth of 42% year-over-year [10] - Gross margin for Q3 2025 was 64.8%, an increase of 160 basis points year-over-year [11] - Net loss for Q3 2025 was $21.4 million, compared to a loss of $21 million in the same period last year [11] - Adjusted EBITDA loss was $7.4 million, an improvement from a loss of $12.4 million in Q3 2024 [11] - Cash, cash equivalents, and restricted cash balances as of September 30 were approximately $297 million [12] Business Line Data and Key Metrics Changes - U.S. handpiece and other consumable revenue for Q3 2025 was $44.4 million, representing a growth of 50% compared to Q3 2024 [10] - Approximately 13,225 handpieces were sold in Q3, reflecting a 51% year-over-year unit growth [11] - U.S. system revenue was $24.7 million, with system revenue growth of 26% compared to Q3 2024 [11] - 57 new hydro systems were sold in Q3, with an average selling price of approximately $435,000 [11] Market Data and Key Metrics Changes - International revenue in Q3 2025 was $9.4 million, representing growth of 53% compared to the prior year period [11] - The company expects full-year international revenue to be approximately $37.5 million, representing annual growth of 56% [14] Company Strategy and Development Direction - The company aims to improve procedure utilization as a key to unlocking long-term value [5] - There is a focus on increasing therapy awareness and driving patient activation, which will be a core part of the near and midterm commercial strategy [7] - The company plans to invest in international markets that value transformational therapies [7] - Organizational changes have been made to enhance marketing and strategy capabilities [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the ability to finish 2025 strongly despite some scrutiny in capital spending by large hospital systems [4] - The company anticipates total revenue for fiscal 2026 to be in the range of $410-$430 million, reflecting current momentum in capital sales [16] - Management acknowledged potential procedural headwinds in the first half of 2026 but remains optimistic about long-term growth [16][40] Other Important Information - The company is committed to building a world-class marketing organization to activate patients and accelerate utilization [10] - Management plans to host a formal analyst day in late February 2026 to outline multi-year revenue guidance and provide updates on various initiatives [17] Q&A Session Summary Question: Can you discuss the capital environment and the strength seen in the quarter? - Management noted strong performance in capital sales despite some variability in timing and capital allocation with customers [18][19] Question: What insights have you gained in your early tenure as CEO? - The CEO emphasized the need to better tell the company's story to clinicians and patients, highlighting the opportunity to transform medicine [21][23] Question: Can you elaborate on the utilization dynamics and expected improvements? - Management confirmed low single-digit growth in utilization but expects it to improve in Q4 due to initiatives aimed at enhancing the speed of new account launches [27][30] Question: How does the company plan to approach profitability and reinvestment? - The CEO indicated that strategic investments will be made to drive long-term growth without disrupting the path to profitability [43][44] Question: Will direct-to-consumer advertising be considered to educate patients? - Management acknowledged the need for patient education and indicated that cost-effective channels will be explored for outreach [60][63] Question: What are the expectations regarding system placements under operating leases? - Management clarified that the operating lease was a one-off situation and does not indicate a shift in business practice [74]

Revenue Performance - Total revenue for Q3 2025 was $83.3 million, a 43% increase year-over-year[4] - U.S. revenue reached $73.9 million, reflecting a 42% growth compared to the prior year[4] - International revenue for the quarter was $9.4 million, a 53% increase year-over-year[4] - Total revenue for the three months ended September 30, 2025, was $83.327 million, a 42.7% increase from $58.370 million in the same period of 2024[28] - U.S. total revenue reached $73.912 million, up 41.5% from $52.215 million year-over-year[28] - Total revenue for the nine months ended September 30, 2025, was $231.671 million, representing a 48.1% increase from $156.262 million in the same period of 2024[28] - Full year 2025 revenue guidance is approximately $325.5 million, representing a 45% increase over the previous year[9] - For fiscal year 2026, the company projects revenue between $410 million and $430 million, indicating growth of 26% to 32% compared to fiscal 2025[13] Product Revenue - U.S. handpiece and consumable revenue was $44.4 million, up 50% year-over-year[4] - Revenue from handpieces and other consumables in the U.S. increased by 50% to $44.411 million compared to $29.620 million in the prior year[28] - System sales and rentals in the U.S. for the three months ended September 30, 2025, were $24.747 million, up from $19.643 million in the same period of 2024[28] - The company reported a total of $9.415 million in revenue from outside the U.S. for the three months ended September 30, 2025, compared to $6.155 million in the prior year[28] Financial Metrics - Gross margin improved to 65% from 63% in the prior year, driven by operational efficiencies[5] - Operating expenses for Q3 2025 were $77.2 million, up from $59.3 million in the prior year[6] - Net loss for Q3 2025 was $21.4 million, compared to a loss of $21.0 million in the prior year[7] - Total current assets decreased to $454.752 million as of September 30, 2025, from $481.842 million at the end of 2024[26] - Total liabilities slightly decreased to $131.265 million from $131.797 million at the end of 2024[26] - Stockholders' equity decreased to $380.276 million from $402.220 million at the end of 2024, reflecting an accumulated deficit of $611.711 million[26] Market Expansion and R&D - The install base of robotic systems in the U.S. increased by 58 systems, totaling 653 systems as of September 30, 2025[10] - The company continues to focus on expanding its market presence and enhancing its product offerings through ongoing research and development initiatives[28]

Core Insights - PROCEPT BioRobotics Corporation reported a strong performance with a 43% year-over-year global revenue growth for Q3 2025, driven by increased demand for the HYDROS® Robotic System and Aquablation therapy adoption [3][4]. Financial Performance - Total revenue for Q3 2025 was $83.3 million, a 43% increase compared to Q3 2024 [4][9]. - U.S. revenue reached $73.9 million, reflecting a 42% growth year-over-year, primarily from system sales and increased handpiece revenue [4][9]. - U.S. handpiece and consumable revenue was $44.4 million, up 50% from the previous year, while system revenue was $24.7 million, a 26% increase [4][9]. - International revenue for the quarter was $9.4 million, marking a 53% increase compared to the prior year [4][9]. Gross Margin and Operating Expenses - Gross margin improved to 65% in Q3 2025 from 63% in the prior year, attributed to operational efficiencies despite increased tariff expenses [5]. - Operating expenses rose to $77.2 million from $59.3 million in the prior year, driven by expansion of the commercial organization and increased R&D and administrative expenses [6]. Net Loss and Adjusted EBITDA - The net loss for Q3 2025 was $21.4 million, slightly higher than the $21.0 million loss in Q3 2024 [7]. - Adjusted EBITDA loss improved to $7.4 million from a loss of $12.4 million in the prior year [7][18]. Cash Position - As of September 30, 2025, the company had cash, cash equivalents, and restricted cash totaling $297.3 million [7]. Full Year Guidance - The company maintains its revenue guidance for the full year 2025 at approximately $325.5 million, representing a 45% growth over the previous year [8][9]. - For 2026, the projected revenue is between $410 million and $430 million, indicating a growth of 26% to 32% compared to 2025 [10][9].

Core Insights - The small cap growth market performed well in Q3, with significant gains driven by speculative companies with weak fundamentals, indicating a potential broadening of the rally in the future [2][4][20] Market Performance - The Russell 2000 Growth Index returned 12.2% in Q3, marking its second consecutive quarter of 12% returns, outperforming the S&P 500's 8.1% [5] - The majority of gains in the Russell 2000 Growth Index were attributed to speculative companies lacking profitability, particularly those with high P/E ratios [5][6] Fund Performance - The Osterweis Opportunity Fund gained 5.14% in Q3 but underperformed the index due to a focus on avoiding speculative stocks [6] - The fund's long-term performance has outpaced the index since its inception and over the past decade, emphasizing a valuation discipline approach [6] Sector Analysis - Underperformance in Q3 was primarily due to security selection in Health Care, Consumer Discretionary, and Information Technology sectors [7] - Health Care stocks, particularly PROCEPT BioRobotics, faced challenges due to management changes, while Artivion saw strong growth driven by its Onyx heart valve product [8][9] - In Consumer Discretionary, Duolingo's user growth stagnated, leading to an exit from the stock, while Boot Barn performed well but was exited due to valuation concerns [10][11] - Information Technology saw mixed results, with semiconductors performing well while traditional software companies faced negative sentiment [12][13] - Rambus was a standout in IT, reporting a 43% year-over-year growth in product revenue, driven by demand for its memory interface chips [14][15] Sector Allocation - Sector allocation had a minor negative impact on relative performance, with underweights in Financials and Communication Services being beneficial, while underweights in Industrials and Materials detracted from returns [19] Future Outlook - The expectation is for a shift away from speculative stocks towards companies demonstrating sales and earnings growth, with a favorable environment for small cap stocks due to accommodative Fed policies [20][21]

Core Viewpoint - The market anticipates a year-over-year decline in earnings for PROCEPT BioRobotics Corporation (PRCT) despite higher revenues, with actual results being crucial for stock price movement [1][2]. Financial Expectations - The upcoming earnings report is expected to show a quarterly loss of $0.41 per share, reflecting a year-over-year change of -2.5%, while revenues are projected to be $80.63 million, an increase of 38.1% from the previous year [3]. - The consensus EPS estimate has been revised 0.93% higher in the last 30 days, indicating a slight positive adjustment by analysts [4]. Earnings Surprise Prediction - The Zacks Earnings ESP model indicates that the Most Accurate Estimate for PROCEPT BioRobotics is lower than the Zacks Consensus Estimate, resulting in an Earnings ESP of -6.67%, suggesting a bearish outlook [12]. - The stock currently holds a Zacks Rank of 3, complicating predictions of an earnings beat [12]. Historical Performance - In the last reported quarter, PROCEPT BioRobotics was expected to post a loss of $0.41 per share but actually reported a loss of -$0.35, achieving a surprise of +14.63% [13]. - Over the past four quarters, the company has beaten consensus EPS estimates three times [14]. Industry Comparison - Idexx Laboratories (IDXX), a peer in the Zacks Medical - Instruments industry, is expected to report earnings per share of $3.14 for the same quarter, reflecting a year-over-year change of +12.1% and revenues of $1.07 billion, up 9.8% from the previous year [18][19].