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CALL PARTICIPANTS
- Chief Executive Officer – Raluca Dinu
- Chief Financial Officer – Jay W. Jennings
TAKEAWAYS
- Revenue — $7.4 million for the second quarter, representing a 103% increase year over year for QT Imaging Holdings, Inc. (QTI +4.15%) driven by higher scanner shipments.
- Scanner Shipments — 15 units in the second quarter, an increase from eight scanners shipped in the prior-year period.
- First-Half Revenue — $14 million for the first six months of 2026, representing a 116% increase compared with the same period last year.
- First-Half Shipments — 28 units for the six months ended June 30, 2026, compared with 14 scanners shipped in the prior-year period.
- Fiscal 2026 Guidance — approximately $39 million in revenue, which would be more than double the $18.9 million in revenue reported in 2025.
- Gross Margin — 41% for the second quarter, reflecting a higher weighted average cost of inventory sold for U.S. sales compared with 50% in the prior-year period.
- Operating Expenses — $4.9 million for the quarter, an increase from $2.9 million last year due to higher employee compensation, professional service costs, and marketing expenses.
- Operating Loss — $1.9 million for the second quarter, compared with an operating loss of $1.0 million in the prior-year period.
- Net Loss — $11.1 million for the second quarter, which included an $8.3 million non-cash loss associated with debt extinguishment and modification.
- Net Loss Per Share — $0.75 for the second quarter, compared with a loss of $0.42 per share in the prior-year period.
- Non-GAAP Adjusted EBITDA — negative $1.2 million for the quarter, compared with negative $0.8 million in the second quarter of 2025.
- Public Offering — $10 million in gross proceeds generated through an underwritten public offering completed during the second quarter.
- Debt Maturity — extended by two years to March 31, 2029, through an amendment to the senior secured term loan with Lynrock Lake.
- Debt Interest Rate — increased from 10% to 12% per annum as part of the amended senior secured term loan agreement.
- Accounts Receivable — $7.4 million as of June 30, 2026, which management reported was collected in early August 2026.
- Cash Balance — $14.2 million as of August 7, 2026, including restricted cash, representing an increase from $11.0 million as of June 30, 2026.
- Facility Expansion — 22,000-square-foot facility in Petaluma, California, which provides more than a 2.5-fold increase in operational space compared with previous headquarters.
- Operational Cost Reduction — 55% reduction in lease cost per square foot for the new Petaluma facility compared with the Novato location.
- Patient Volume — more than 12,000 women imaged with the company’s technology to date, providing a growing body of real-world clinical experience.
- Measurement Variability — less than 1% in a multi-site study evaluating the repeatability of quantitative speed of sound measurements across scanners.
- H2 Shipment Plan — 15 scanners in the third quarter and 17 scanners in the fourth quarter of 2026 to meet reaffirmed revenue targets.
- Historical Revenue Growth — revenue increased from zero in 2023 to $4.9 million in 2024 and $18.9 million in 2025 as the commercial business scaled.
- Capital Expenditures — $191,000 during the first half of 2026, primarily for property and equipment related to facility expansion.
- Reverse Stock Split — 3-for-1 ratio completed in October 2025, with all prior-period per-share figures adjusted for comparability.
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RISKS
- Dinu stated, “While geopolitical developments have impacted commercial activity in parts of the Gulf Region, we are beginning to see encouraging signs of renewed customer engagement,” noting the influence of external factors on international sales timelines.
- Jennings stated, “We anticipate it [operating expenses] going up a little bit with the higher of the sales team as well as shifting of some of the clinical studies expenses from the first half of the year into the second half of the year,” indicating higher near-term spending.
SUMMARY
Management reported that QT Imaging Holdings, Inc. is executing a transition toward a quantitative breast imaging platform that integrates hardware, software, and cloud infrastructure. The company expanded its global regulatory footprint with clearances in Israel and Saudi Arabia while increasing its domestic commercial infrastructure through direct sales hires. The company is also scaling its manufacturing capacity by relocating to a larger facility to support its reaffirmed 2026 revenue guidance.
- The American Medical Association approved a dedicated Category III CPT reimbursement code for the company’s imaging modality, which becomes effective Jan. 1, 2027.
- The company completed its first routine FDA inspection with zero Form 483 observations, which management indicated reflects the strength of its quality management system and manufacturing processes.
- A prospective feasibility study at Mayo Clinic reported agreement between the company’s scan and MRI in identifying all suspicious lesions, with a second study of more than 100 patients expected to begin in the coming months.
- CEO Dinu stated that the first breast acoustic CT scanner in Israel will be placed at Rambam Healthcare Campus to support a clinical study in women with hereditary risk for breast cancer.
- The company expanded its U.S. commercial organization with the appointment of Jason Dyer as Vice President, Regional Sales East, and Dave Reinhart as Vice President, Regional Sales West.
- Software version 4.5.0 improved the spatial resolution of reflection imaging, providing radiologists with greater image detail while maintaining efficient clinical processing times.
INDUSTRY GLOSSARY
- AMAR: Authorization of Medical Accessory Registration, the regulatory clearance required to commercialize medical devices in Israel.
- BI-RADS: Breast Imaging-Reporting and Data System, a standardized scoring system used by radiologists to communicate the results of breast imaging.
- Category III CPT Code: A set of temporary codes for emerging technology, services, and procedures used by the American Medical Association to track utilization.
- CPT Code: Current Procedural Terminology code, a standardized medical code used to report medical, surgical, and diagnostic procedures for reimbursement.
- PACS: Picture Archiving and Communication System, a medical imaging technology used for storing and digitally transmitting electronic images and reports.
- SFDA: Saudi Food and Drug Authority, the regulatory body responsible for medical device and food safety in Saudi Arabia.
- Speed of Sound: A quantitative measurement of ultrasound waves used to provide objective information about breast tissue density and structure.
