Core Insights - Butterfly Network reported a record gross margin of 63.7% and a revenue growth of 9.0% year-over-year for Q2 2025, although revenue slightly missed analyst expectations at $23.4 million [1][2] - The company narrowed its losses with non-GAAP earnings per share of $(0.03), better than the expected $(0.05) [1] - Management revised its full-year revenue guidance down to $91 million to $95 million for FY2025, indicating a shift from earlier expectations of approximately 20% year-on-year growth [1][10] Financial Performance - Revenue for Q2 2025 was $23.4 million, up 8.8% from $21.5 million in Q2 2024 [2] - Gross margin improved by 5.1 percentage points from 58.6% in Q2 2024 to 63.7% in Q2 2025 [2][6] - Product revenue increased by 25% to $14.2 million, while software and services revenue remained flat at $6.8 million [5] Strategic Developments - Butterfly Network focuses on handheld ultrasound devices using Ultrasound-on-Chip technology, targeting a wide range of healthcare providers [3] - The company is expanding clinical partnerships and launching new AI-driven software, including the iQ3 device and upcoming P5 chip [4][7] - Recent pilot programs, such as Butterfly HomeCare, have shown promising results in reducing hospital readmissions [8] Future Outlook - The updated revenue guidance suggests approximately 13% growth for FY2025, down from previous estimates [10] - Despite the reduced revenue outlook, the company expects adjusted EBITDA losses to improve to between $32 million and $37 million for FY2025 [10] - Key areas to monitor include the uptake of new AI-driven software, international expansion, and progress in securing additional hospital contracts [11]