--- title: "IRhythm | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 224.17 M" type: "News" locale: "en" url: "https://longbridge.com/en/news/295143339.md" datetime: "2026-08-06T21:00:17.000Z" locales: - [zh-CN](https://longbridge.com/zh-CN/news/295143339.md) - [en](https://longbridge.com/en/news/295143339.md) - [zh-HK](https://longbridge.com/zh-HK/news/295143339.md) generator: "portal-rs" --- # IRhythm | 8-K: FY2026 Q2 Revenue Beats Estimate at USD 224.17 M Revenue: As of FY2026 Q2, the actual value is USD 224.17 M, beating the estimate of USD 219.33 M. EPS: As of FY2026 Q2, the actual value is USD -0.01, beating the estimate of USD -0.0545. EBIT: As of FY2026 Q2, the actual value is USD -1.06 M. #### Settlement Payment iRhythm Technologies, a wholly owned subsidiary of iRhythm Holdings, Inc., agreed to make a settlement payment of $50 million to Baxter International, Inc. to resolve patent litigation. This settlement includes a worldwide, royalty-free, non-exclusive, fully paid-up license under the patents asserted in the litigation and other related patents and patent applications for cardiac monitoring products and services, with no other royalties or compensation obligated between the parties, along with a six-year covenant not to sue and a covenant to refrain from challenging licensed patents, unless enforced against the party or its affiliates. #### Gross Margin iRhythm Holdings, Inc. reported a gross margin of 72.8% for the second quarter of 2026, representing a 160-basis point increase compared to the second quarter of 2025. #### Net Loss The company’s net loss for the second quarter of 2026 was -$0.4 million, an improvement of $13.8 million compared to the second quarter of 2025. GAAP net loss for the second quarter of 2026 was -$0.4 million, compared to -$14.2 million for the same period in 2025. For the six months ended June 30, 2026, GAAP net loss was -$14.3 million, compared to -$44.9 million for the same period in 2025. #### Adjusted Net Income (Loss) Adjusted net income for the second quarter of 2026 was $19.3 million, compared to an adjusted net loss of -$10.2 million for the same period in 2025. For the six months ended June 30, 2026, adjusted net income was $8.0 million, compared to an adjusted net loss of -$40.5 million for the same period in 2025. #### Adjusted EBITDA Adjusted EBITDA for the second quarter of 2026 was $43.3 million, with an adjusted EBITDA margin of 19.3%, marking a $27.6 million and 1090-basis point improvement, respectively, compared to the second quarter of 2025. For the six months ended June 30, 2026, Adjusted EBITDA was $57.4 million, compared to $13.1 million for the same period in 2025. #### Operating Expenses Operating expenses for the second quarter of 2026 were $165.7 million, compared to $151.6 million for the same period in 2025. Adjusted operating expenses were $145.0 million for the second quarter of 2026, down from $145.2 million in the prior year period. For the six months ended June 30, 2026, operating expenses totaled $323.3 million, compared to $293.3 million for the same period in 2025. Adjusted operating expenses for the six months ended June 30, 2026, were $298.5 million, compared to $285.6 million for the same period in 2025. #### Cash and Marketable Securities Unrestricted cash, cash equivalents, and marketable securities totaled $591.3 million as of June 30, 2026. Cash and cash equivalents were $246.7 million as of June 30, 2026, compared to $236.0 million as of December 31, 2025. Marketable securities were $344.6 million as of June 30, 2026, compared to $347.8 million as of December 31, 2025. #### Net Cash Provided by Operating Activities For the six months ended June 30, 2026, net cash provided by operating activities was $24.9 million, compared to $19.8 million for the same period in 2025. #### Free Cash Flow Free cash flow for the six months ended June 30, 2026, was $4.4 million, compared to -$20 thousand for the same period in 2025. #### Acquisition iRhythm Holdings, Inc. entered into a definitive agreement to acquire Vital Connect, Inc. for approximately $287.5 million, consisting of approximately $237.5 million in cash and approximately $50 million in iRhythm Holdings, Inc. common stock. The cash portion is expected to be funded from existing cash on iRhythm Holdings, Inc.’s balance sheet. Additionally, iRhythm Holdings, Inc. will provide VitalConnect, Inc. with interim working capital financing, with an initial funding of $10 million and additional increments thereafter, up to an aggregate maximum amount of $30 million. #### Product Development The company achieved FDA clearance for its third-generation algorithm, which is projected to reduce clinician review time by approximately 50% and generate about $100 million in cumulative cost savings over the next five years. #### Market Expansion iRhythm Holdings, Inc. continued to scale its Predictive Arrhythmia Solutions™ footprint with Desert Oasis Health Care, supporting earlier identification of patients for cardiac evaluation. #### Outlook / Guidance For the full fiscal year 2026, iRhythm Holdings, Inc. expects revenue to be between $880 million and $890 million, and an adjusted EBITDA margin between 13.0% and 14.0%. This guidance reflects continued volume-led growth, gross margin expansion, and operating leverage, alongside disciplined investment. The acquisition of Vital Connect, Inc. is anticipated to close by the end of 2026, and is expected to enhance iRhythm Holdings, Inc.’s revenue growth rate beginning in 2027 and preserve its previously communicated 15% adjusted EBITDA margin target for 2027. ### Related Stocks - [IRTC.US](https://longbridge.com/en/quote/IRTC.US.md) ## Related News & Research - [Did iRhythm Technologies, Inc. Insiders Breach their Fiduciary Duties to Shareholders?](https://longbridge.com/en/news/296070740.md) - [NAPC Defense announces availability of fiscal 2026 Form 10-K report](https://longbridge.com/en/news/296821941.md) - [Northann amends 8-K to file former auditor LAO Professionals’ letter on resignation](https://longbridge.com/en/news/296825824.md) - [Skye Bio amends 8-K to set Aug. 24 effective date for reverse stock split](https://longbridge.com/en/news/296471274.md) - [Acres Commercial Realty files amended 8-K with pro forma financials for ACC internalization merger](https://longbridge.com/en/news/296825345.md) --- > **Disclaimer: This article is for reference only and does not constitute any investment advice.**