Pulmonx Q2 Revenue Falls 5% but Losses Narrow Sharply; Guidance Maintained

summarizeSummary

Pulmonx's Q2 revenue slipped 5% to $22.8M on China headwinds, but cost discipline drove a 34% narrower net loss and record gross margins. Full-year guidance was maintained, and the company expects to return to growth.

check_boxKey Events · Earnings and Guidance · LUNG

• Revenue Down 5% on China Halt

  Q2 worldwide revenue of $22.8M fell 5% YoY, entirely due to suspended China sales awaiting registration renewal. Excluding China, international revenue grew 12%.

• Loss Narrows 34% to $0.24/Share

  Net loss improved to $10.1M ($0.24/share) from $15.2M ($0.38/share) a year ago, driven by a 16% cut in operating expenses.

• Record Gross Margin of 78%

  Gross margin expanded to 78% from 72%, reflecting cost realignment and favorable mix. Full-year gross margin guidance was raised to ~76%.

• Full-Year Guidance Maintained

  Revenue outlook held at $90M–$92M; operating expense guidance narrowed to $109M–$111M. Cash burn expected to be ~$23M for the year.

auto_awesomeAnalysis · LUNG · Industrial Applications And Services

Pulmonx reported a 5% revenue decline to $22.8 million, driven by a halt in China sales pending registration renewal. Excluding China, international revenue grew 12%. More importantly, cost cuts are taking hold: gross margin hit a record 78%, operating expenses dropped 16%, and net loss shrank 34% to $0.24 per share. The company maintained its full-year revenue outlook of $90–92 million and raised gross margin guidance, signaling confidence in a second-half recovery. With $55.8 million in cash and a projected $23 million full-year burn, the balance sheet remains adequate but not comfortable — the recent $40 million debt facility provides a backstop. The stock trades at $1.37, giving a micro-cap valuation that amplifies any operational swing.