STXS

Image source: The Motley Fool. Tuesday, Aug. 11, 2026 at 4:30 p.m. ET Chairman and Chief Executive Officer - David Fischel Chief Financial Officer - Kimberly Peery Operator: Good afternoon. Thank you for joining us for Stereotaxis' Second Quarter 2026 Earnings Conference Call. Certain statements during the conference call and question-and-answer period to follow may relate to future events, expectations, and as such, constitute towards forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve known and unknown risks, uncertainties, and other factors which may cause the actual results, performance, or achievements of the company in the future to be materially different from the statements that the company's executives may make today. These risks are described in detail in our public filings with the Securities and Exchange Commission, including our latest periodic report on Form 10-K or 10-Q. We assume no duty to update this statement. [Operator Instructions] As a reminder, today's call is being recorded. It is now my pleasure to turn the floor over to your host, David Fischel, Chairman and CEO of Stereotaxis. Please go ahead. David Fischel: Thank you, operator, and good afternoon, everyone. On our last call, we discussed in detail the structural transformations taking place at Stereotaxis. We just celebrated a particularly milestone-rich period with regulatory approvals for a new robot, both therapeutic and diagnostic catheters, and a digital surgery system. These products individually and collectively as a synergistic ecosystem create an attractive foundation for us to scale commercialization with reduced barriers to adoption and a much more attractive business model. During the second quarter, Stereotaxis reached an important commercial inflection point as our expanded product offering is now generating accelerating adoption. It is still just the initial green shoots of commercial success, but the early experience and feedback provides confidence in sustained progress. I'll discuss on today's call the primary areas of commercial progress, the feedback from the field, and our efforts to accelerate growth. I'll then share some additional updates on the robust pipeline of innovations that we continue to advance and that will drive a second wave of growth over the coming years. Kim will then share financial details for the quarter and we'll open the line for questions. A key area of focus in the second quarter was on the launch of MAGiC in the U.S. following FDA approval in the first quarter. While supply constrained and still just in the early adoption phase, that launch allows us to reach a multi-year high point in recurring revenue, which surpassed $6 million in the quarter, driven by over $1 million in robotic catheter revenue. Our robotic catheter revenue is scaling significantly in both the U.S. and Europe with nearly 300% sequential growth from the first to the second quarter. We are in the early phase of adoption of MAGiC, with about a dozen U.S. sites receiving hospital approval to purchase the catheter and beginning procedures in the second quarter. Several physicians sent me unprompted feedback as they started to use the catheter. 1 physician commented, "MAGiC performs so much better than the old ablation catheter." Basically, you can more reliably target tissue and more effectively ablate the target tissue. It fundamentally changes the utility of the Stereotaxis system, more than doubling the value of having a robot. Another physician, upon completing his first 10 procedures, mentioned that he is, "loving it, and that the catheter is improving his efficiency significantly with a more stable and more powerful catheter delivering rapid, effective ablations." Another physician, after his first day of procedures, mentioned, "Wow, this catheter navigates well. You guys have something special." This feedback is highly encouraging. We have long known that the perception and value proposition of robotics in EP is only as good as the catheters available for use with the robot. Being tied to decades-old catheter that did not benefit from continued innovation limited our potential. It is very satisfying to see the innovations we took from concept to commercial reality benefit critical patients with complex arrhythmias and the physicians that treat them. It gives us confidence that our efforts to reestablish Stereotaxis on a healthy foundation and trajectory are off to a good start. We are continuing to methodically work through hospital approvals and initial launches of our robotic catheters across our U.S. and European installed base. We expect the vast majority to shift from their historical dependency on J&J to our catheters within the next year. While working through the commercial friction of transitioning each customer, we are putting significant effort into ramping manufacturing of catheters. Sales remain supply constrained as we work to increase output with catheters still on backlog as we receive more orders from customers than the supply we receive from our contract manufacturer, Osypka. We are seeing methodical progress in increasing supply and are separately reaching key milestones in establishing supply redundancy. These support our expectations of sustained growth in our catheter revenue stream, and we're guiding for an approximate $1 million incremental step up in catheter revenue in each of the next couple quarters, with significantly more opportunities beyond that in 2027. Shifting now to system revenue. There are 2 primary items to discuss, Synchrony and GenesisX. During the second quarter, we received FDA clearance for the Synchrony system. As a reminder, Synchrony and SynX are our digital solutions that modernize the interventional surgical suite with enhanced workflow, remote connectivity, and smart AI capabilities. Synchrony serves as the cockpit for every robot, but also has an independent, much larger opportunity in non-robotic operating rooms. Shortly after receiving regulatory clearance, we received orders for multiple systems from several hospitals. We shipped the first few systems in the second quarter, have continued to ship systems in the third quarter, and there are already several systems in daily clinical use. They're performing well in the field, and we have a pipeline of software feature enhancements over the coming months and years that will continue to expand the value proposition. Without a significant dedicated sales effort, we are seeing organic interest that should support over $1 million in Synchrony system revenue each quarter for the next few quarters. Most excitingly, there are several hospitals that are planning or considering standardizing their catheter labs on Synchrony and SynX. While the current contribution of Synchrony is a nice but modest boost to revenue, the market opportunity is large and we intend to increase the sales effort as our pipeline builds and our manufacturing capacity matures. As these initial installs mature, they will also start to drive service contract and Software-as-a-Service recurring revenue streams. Most impactful to system revenue over the coming few years will be scaling the adoption of our robotic technology. Our robotic technology has significant real-world validation with over 150,000 patients treated at over 100 leading hospitals globally. That said, we still have just a fraction of a percent market share in our beachhead market of electrophysiology and no presence yet in the larger interventional cardiology and neurointerventional fields. There is a market opportunity for many thousands of robotic systems across these markets. Our historical need to construct robotic labs was a major barrier to ever realizing that opportunity. GenesisX allows us to start envisioning a realistic way to scale robotic adoption much more significantly. Since we received regulatory clearance for GenesisX, we've been focused on how to ensure GenesisX can be installed alongside standard X-rays from leading manufacturers, removing the historical requirement that a robot only work with a specific modified X-ray. We focused our initial commercial launch on the early adopters who will demonstrate that potential and serve as reference sites for broad compatibility with various X-rays. We are pleased that in addition to the previously announced GenesisX purchase in Europe, we're able to announce our first GenesisX purchase in the U.S. from an academic medical center. The system is expected to be installed this fall with a non-modified X-ray from 1 of the larger X-ray manufacturers. With that installation, we expect to declare formal compatibility with that manufacturer's X-ray. The construction of the new wing of the hospital in Europe, where GenesisX is scheduled to be installed, also seems to be finally back on track with installation expected prior to year-end. We're continuing to advance several additional GenesisX sale or lease agreements that will further demonstrate the system being used in a variety of lab environments. With demonstration of GenesisX working reliably and compatibly with various X-rays, along with increased availability of MAGiC, we will initiate a more aggressive commercial launch of the technology. These initial green shoots of commercial success demonstrate the opportunity to build a highly successful business with our new product ecosystem. A proprietary catheter portfolio with its high margin razor blade business model has been central to our strategy and is now starting to become a material contributor. Accessibility of our robotic systems, such that we can reasonably scale to selling 10s and then 100s of robots a year is critical if we are to impact medicine in the way we should, and we have now begun that journey and will demonstrate the robot's performance in daily clinical use in the near term. This progress does not come easy and I want to recognize and congratulate the many Stereotaxis team members who make it possible. There are always hurdles and unforeseen challenges in the effort to pioneer new advanced technologies and to implement them in the complex healthcare market and demanding operating room environment. As a lean team working on multiple significant transitions in tandem, they're demonstrating our ability to rise to the challenge. Thank you everyone who makes this possible. It is particularly exciting for me that we are driving this operational and commercial progress while not slowing down on a robust innovation effort. There is much going on in the background and we are energetically nurturing significant opportunities that will blossom over the next few years. Our efforts can be summarized in a few key categories. First, robot accessibility. We're advancing a future generation of the GenesisX robot that will be fully wireless, battery operated and mobile. Second, a more robust portfolio of EP catheter innovation. Most imminently here, we expect first-in-human procedures with MAGiC and Pulsed Field Ablation before the end of this year. Third, a pipeline of robotic systems and interventional devices for the broader interventional cardiology and neurointerventional fields. We're advancing regulatory submissions and reviews for the EMAGIN family of magnetic guide catheters and guidewires that will be driven by GenesisX. Even more significantly, we closed the previously announced Robocath acquisition in July and are energetically advancing their fully complementary and separate robotic system for endovascular device navigation with a vision of offering a full ecosystem that enables remote, automated, and fully robotic treatment of stroke and cardiovascular disease. And fourth, AI efforts that will incorporate intelligent decision support features into Synchrony and automation to our robotic platforms. We will discuss these further on future calls and as they mature, but there is still much room to advance our technology in exciting ways that improve and expand our clinical impact and commercial opportunity. Our vision for what Stereotaxis can and will accomplish is becoming increasingly clear and tangible. The key puzzle pieces have come together in a remarkable fashion and we are enthusiastically advancing forward. Kim will now provide commentary on our financial results and then I'll make a few financial comments as well before opening the call to Q&A. Kim? Kimberly Peery: Thank you, David, and good afternoon, everyone. Revenue for the second quarter of 2026 totaled $7.7 million. Revenue in the quarter declined year-over-year due to the lack of a robotic system delivery in the quarter, but increased sequentially from the first quarter due to significantly higher catheter revenue. System revenue of $1.5 million and recurring revenue of $6.2 million compared to $3 million and $5.8 million in the prior year's second quarter. System revenue in the current quarter includes modest revenue recognition from previously delivered Genesis systems and ancillary equipment and a notable contribution from the initial launch of Synchrony. Recurring revenue in the quarter reflects a significant increase in revenue from our new portfolio of robotically navigated catheters, up 270% sequentially and 450% year-over-year, countered by general pressure on procedures as we transition away from Johnson & Johnson and manufacturing of our catheters. Gross margin for the second quarter of 2026 was 58% of revenue. Recurring revenue gross margin was 66% and system gross margin was 29%. Gross margins for both recurring revenue and systems are impacted by low manufacturing volumes. While we expect margins to remain at these approximate levels over the next few quarters, we see significant opportunity for margin expansion in 2027 and 2028. Operating expenses in the quarter of $9.1 million included $2.5 million in non-cash charges for stock compensation expense, mark-to-market adjustment for acquisition-related contingent earn-out consideration, and amortization of acquired intangible assets. Excluding these non-cash charges, adjusted operating expenses were $6.6 million, consistent with a year-ago period when adjusting for a one-time employee retention tax credit received in the prior year. Operating loss and net loss in the second quarter of 2026 were $4.6 million and $4.5 million compared with $4 million and $3.8 million in the previous year. Adjusted operating loss and adjusted net loss for the quarter, excluding non-cash charges, were $2.1 million and $2 million, compared with $1.4 million and $1.3 million in the previous year. Negative free cash flow for the second quarter was $3.7 million, consistent with the previous year. At June 30th, Stereotaxis had cash and cash equivalents of $10.5 million and no debt. I will now hand the call back to David. David Fischel: Thank you, Kim. We expect continued momentum in recurring revenue driven by increased manufacturing supply and expanded adoption of our robotic catheter portfolio. Recurring revenue is anticipated to grow to approximately $7 million in the third quarter and $8 million in the fourth quarter of this year, with significant room for continued momentum in 2027 and beyond. System revenue has been weak in the first half of this year, and we expect the second half to be stronger with approximately $3 million in each of the third and fourth quarters. From a financial perspective, we've maintained a lean operating budget while managing multiple product launches, ramping manufacturing, executing a strategic acquisition, and advancing a continued robust R&D effort. We are sensitive to subjecting investors to dilution and are confident we can advance our strategy on our current budget. We are internally modeling to reach cash flow profitability in the first half of 2027. As our recurring revenue ramps, the majority of incremental revenue flows to operating profit. This revenue ramp can be accomplished with our existing team, and as we reach cash flow profitability, we will reinvest our profits in our commercial organization supporting accelerated growth. We will now take your questions. Operator, can you please open the line to Q&A? Operator: [Operator Instructions] Your first question comes from Daniel Stauder from Citizens JMP. Daniel Stauder: Just the first one on guidance. I appreciate the level of quarterly detail for recurring revenue and capital. I believe that puts the full year at about $35 million. I was hoping you could give us some more color on, 1, your visibility, and 2, your confidence in terms of hitting these numbers in the back half, and more broadly, what is assumed or contemplated in terms of catheter manufacturing improvements, as well as some capital adoption and installation timing as we think about these expectations. David Fischel: Thanks for the questions. We thought that would be kind of a helpful way to share our expectations. And the growth in recurring revenue is essentially all driven by adoption of our proprietary catheters, of kind of our robotically steered catheters. And there's obviously volatility in any given quarter in terms of things like the Map-iT catheters and procedure volume. The third quarter is generally a seasonally weak quarter in terms of procedures just because of summer vacations, particularly in Europe, but also in the U.S. But generally, the growth is coming all from adoption of MAGiC, MAGiC Sweep, and in Europe we have kind of other catheters that we're able to also kind of supplement those. And so that's where all the growth comes from. We are looking at it both from a demand perspective and from a supply perspective, but in things like the third and fourth quarter, it's really still driven essentially all by supply. And so we're still supply constrained. We have a backlog of catheter orders from customers, from many customers. And as we get catheters in from that supply, we're able to ship it kind of very quickly to customers and recognize revenue. And so that's kind of the main factor in our determination. On the system side of things, it's a mix of both Synchrony and robotic systems. On the Synchrony side, we have been receiving, we have received orders that we've not yet filled. We're still receiving orders. I think the kind of the general guidance we gave in this call of around $1 million plus of Synchrony system sales per quarter seems very reasonable. And that obviously it's a lower ASP product in the near $200,000 range. And so that's something that we're shipping several of them out each quarter. On the system side, we are kind of the guidance -- kind of predicated on 1 system revenue recognition in each of the third and fourth quarter. We have obviously the GenesisX sale, which we expect to recognize revenue in the third quarter and install shortly thereafter. But -- and then kind of we have still a backlog and we have kind of additional Genesis orders that can be recognized as they get delivered and installed. And so that's kind of where the guidance comes from. Daniel Stauder: I appreciate that and thanks for the color. Just the next one on cash flow. It's great to get that update. But I was wondering if you could just parse out a little bit more in terms of granular assumptions, in terms of -- is there a certain revenue level? Are there any other specific improvements on the operating lines in order to get there? Just wanted to double hit on this and get any more commentary in terms of the cash flow. It'd be great. David Fischel: Sure. So I'll see if Kim wants to add to anything, but kind of from a very high level, right, we do scenario analyses all the time with conservative models, base models, and -- to kind of to evaluate the business and how we see it going. The main drivers of our business right now are the 3 that were discussed in the prepared remarks predominantly, again, the adoption of our robotically steered catheters and then capital sales both through Synchrony and through GenesisX. When we look at the ramp in catheter adoption given what we believe we will achieve from a manufacturing perspective and just the existing demand out there for those catheters, given the robotic procedures taking place at this time, I expect that our catheter innovations will improve utilization, but even without taking that into account, and with very modest assumptions on the capital side and kind of essentially the same kind of $1 million a quarter or so of Synchrony and system sales in line with our historical, we get to breakeven in the first half of next year and cash flow profitability kind of at that point. And so it requires relatively modest assumptions to get to breakeven. We are obviously staying lean on our operating expenses given that, but that doesn't mean that we don't continue to invest in the things that are impactful. And so we're still advancing a broad R&D pipeline. We're advancing some clinical studies. We're obviously doing all the operating work and commercial work to launch these new products. And so we think kind of with that balancing act of how to manage the expenses and then letting the recurring revenue start to kind of incrementally grow with that, with the availability of catheters, we'll be in a breakeven position at the beginning, at the early periods of next year. Daniel Stauder: And just 1 quick one, and I'll squeeze in on MAGiC catheters. Great to see the progress here on this side of the business. I know you mentioned last quarter that some of your customers were seeing revenue per procedure above $5,000, even up to $8,000. So I just wanted to ask on these dynamics, are you seeing that to continue in some of the early accounts or just any other trends you're seeing would be fantastic? David Fischel: Sure. So yes, obviously, kind of, the baseline when someone is adopting MAGiC is that they're using our QuikCAS device, that's a historical disposable device we've been selling for 20 years, plus now a MAGiC catheter, 1 of our catheters. And they can also then add to that if they want a robotic high density mapping catheter or other diagnostic catheters that we are now able to supply. And in the U.S., our pricing is extremely consistent across sites. And so that number of -- in the $5,000 to $8,000-plus range is a very consistent ASP we're receiving per procedure for the disposables used in a procedure. And in other geographies, it varies depending on the country. And so there's a tip -- and typically in Europe, it's at lower levels, but that's kind of the level that you quoted were the levels in the U.S. Daniel Stauder: Congrats on the progress. Operator: Your next question comes from Frank Takkinen from Lake Street Capital Markets. Nelson Cox: Hey, this is Nelson Cox on for Frank. Wanted to start with the U.S. GenesisX purchase. On the compatibility strategy, once you declare formal compatibility with that first X-ray manufacturer with the fall install, what's the path to other major OEMs? Does each need its own reference installation? Or does the first declaration shorten that work for the rest? And then on the at least 5 active programs you targeted for this year, is that something we should still be expecting? I think you had commented on maybe 1 being in the ASC setting, but just curious your thoughts there. David Fischel: Sure. Hi, Nelson. Thanks for the questions. And so on the X-ray compatibility side, we need to do the formal testing and there's a few stages of testing so we've already done various stages of testing with all of the large X-ray manufacturers and out there that initial phases of testing has gone well with all of the different X-ray manufacturers and that's what gives us confidence in GenesisX being able to serve as a robot that works compatibly, kind of broadly compatible with different X-rays in existing operating rooms. But the last stage of testing is actual formal compatibility testing, where in the clinical environment, we're placing the robot with the X-ray and doing formal testing compatibility of the 2 together. Once we do that with X-ray manufacturer A's and model A X-ray, then that becomes a compatibility statement that lasts for any of those X-rays, right? So then any other hospital that wants to use GenesisX with that X-ray, we can point to that compatibility statement and give them the confidence that it works together. And so that's really kind of this initial effort is with the 3, 4, 5 biggest X-ray manufacturers out there and making sure that kind of we have formal compatibility statements with their main X-rays and that we can kind of prove to the world and prove to our customer base that they are compatible in a regulatory-compliant fashion. And so that's the effort. We have kind of 1 of them, and that gets a little bit to your second question that, yes, we're still working. Obviously, the site in Italy is the second one that's actually an integrated X-ray that we've had other installs of Genesis in the past with. So we'll have kind of 2 X-rays working with GenesisX by the end of this year, 1 in Europe, 1 in the U.S., and we are still working. There's a pipeline of several hospitals, including an ASC that are working on lease agreements, and those are with actually other X-rays than the first 2 that I mentioned. And so we are expecting a few installs by the end of this year. I hope we can get towards 5, but we'll definitely have 2 and hopefully we'll have someone between that 2 and 5 by the end of this year installed and able to prove kind of work in the real world. Nelson Cox: And then maybe just on reoccurring gross margins, if I heard correctly, it sounds like the expectation is that sales are maybe around flat with the 66% through the end of the year. Maybe just remind us where you think these reoccurring margins can go into next year, as much as you can. David Fischel: So I would generally point us towards margins in the mid-70s as the robotic catheters become more and more a part of the overall revenue. And as we are manufacturing more of them, and so the overhead can be kind of laid out over a bigger base, we should be getting somewhere in the mid-70s, I'd say, as a kind of a margin that shouldn't be difficult for us to reach. Operator: And your next question comes from Joshua Jennings from TD Cowen. Joshua Jennings: Wanted to just punch in on the GenesisX sales funnel. Any updates there? I know you referenced the backlog in 1 of your answers, David, looking for just any quantitative levels of where the backlog stands now versus maybe this time last year. And then, the mix between new greenfield accounts versus replacements. David Fischel: Sure. Let me kind of comment, I guess, qualitatively, it's been very, very refreshing having GenesisX available as a system. We are engaging with many hospitals and many accounts where just historically there would be no opportunity or the opportunity would be years in the future, and we can actually have tangible discussions about how to bring a GenesisX system in there, how it can fit without construction, how -- at certain accounts where there is questioning over the clinical value and there's interest, but there's also uncertainty, there's the ability to talk about lease agreements and kind of the lack of permanence of the system and that kind of get your foot in the door, try it and kind of let us prove the value once we're already there. And so it definitely has helped us significantly have discussions with many accounts, including some of the most kind of prominent hospitals and kind of out there where historically before that we just didn't have our foot in the door and we couldn't really advance discussions in a very tangible way. And so that's kind of been awesome. It's been slow and the kind of the 2, I'd say, macro challenges in translating that overall interest in communication into conversion of deals has been obviously getting GenesisX actually working in the real world. And so let's say a month, a month and a half ago, right, we announced the launch of a new robotic program in Hungary and we have still hospitals that are more comfortable moving forward with Genesis, just because Genesis is a proven robot that has worked reliably in the real world. They can speak to physicians that have used it and kind of -- and so you have that kind of that certainty that it is a real reliable system for real world use. We need to prove the same for GenesisX. I have no doubts that we will prove that, but until you don't show it, there's always some more of a question mark in customers' minds. And so that's kind of 1 big thing that we need to do. The compatibility with various X-rays is a barrier because there are some physicians, some hospitals that are willing to be the first, but the average hospital prefers not to be the first 1 to prove things like that. And then obviously also MAGiC supply is the other third kind of barrier. Everyone who adopts GenesisX knows that they are -- that they need kind of to use MAGiC. And we're still in the phase of kind of -- making sure we have enough MAGiC to cover all the existing demand, let alone future demand. And so I'd say those are the 3 structural things that we're working on. I think we're making good methodical progress on all 3 of them. And over the next few months, should be able to at least with some of the X-rays, with the MAGiC manufacturing ramp with demonstrating GenesisX at these first 2 installs, we should be able to kind of reduce those and allow for kind of a higher momentum of GenesisX commercialization. Joshua Jennings: And just, great download and thorough download again today on the catheter buildout and the pipeline. I just wanted to circle back on just the future of GenesisX. I know I might imagine that your team is not standing still. I mean, can you talk about your ultimate vision as we think a couple years out, just I mean, and how GenesisX could open up or how you could enhance the platform with increased automation, maybe more telerobotic capabilities, and then how that all plays out in terms of potentially widening a competitive moat? It seems as if the electrophysiology community is warming up each quarter, each year to robotics having a bigger role in ablation and maybe other areas in the coming years. But maybe touch on continued advancement of GenesisX capabilities and also just the EP community's sentiment towards robotics and robotics technology going forward. David Fischel: Sure. So, let's say the Heart Rhythm Society, that's probably what you have in your mind, because I remember seeing you there at the Heart Rhythm Society conference this last May, I believe. There was the Society for Cardiac Robotic Navigation had their symposium in the middle of HRS. It was a huge room, and I was nervous that it would be relative, or at least look very empty. And we ended up having a great showing. It was clearly by far the largest showing we've had at an HRS conference for robotics that in any of my memory. And so we do see kind of that increased interest in that also. Kind of I think the innovations that we've been able to show and the ability to get multiple innovations actually to market and through regulatory approvals. I think there are many people who are recognizing that and that's why we're able to re-engage with some of these kind of preeminent hospitals in the U.S. that you know, historically we haven't had the relationships with and have meaningful conversations and kind of plan for how to work together in much more meaningful ways. And so I think you'll hopefully see some of that over the coming months as those come to fruition. And what I kind of say in terms of that kind of, on the 1 hand, we've done a lot. On the other hand, it feels like we're still in the very beginning of what should be done in terms of robotic innovation for this field and to really realize the full potential. And a little bit like in my prepared remarks, I think about our room for progress in 4 big buckets. And there's meaningful progress that is being made along each of -- in each of these 4 big buckets. The first is just again, increased accessibility. The easier you make it to adopt something, the better, and the more adoption you're going to get. GenesisX was a major step change versus Genesis and Niobe, but it still has some aspects which require kind of an actual installation and some aspects, cable -- some cable routing, some power cables. There's just, there are things still to be done there. And we are excited by -- at EHRA this past year, we kind of did a little demo of a fully wireless battery operated, fully mobile system that would help in various ways in smaller rooms. You'd be able to park the robot in corners of the room so you could fit it in smaller rooms. It would be a much easier even install, you literally roll it off a crate into the room. And it, kind of, it's a much more elegant system. And so that's, kind of, there's room for continued innovation there. And as we think about things like neuro or other fields, there's even much more dramatic steps beyond that. And the second big area is the interventional catheters and so having kind of a continued pipeline of interventional catheters that are robotically steered. Again, a robot is only as good as the catheters it drives. And so kind of there's a, you need to constantly think about how to innovate in that world. The third is, but then again, we've seen that things like the J&J catheter existed for 20 years and had a very long tail. So on the 1 hand, innovation is very important. On the other hand, there is such a value proposition to the robot that even when there wasn't innovation, you have a fairly sticky business given the value proposition of the robot. The third big area is how to make our robot multi-specialty. And that ties in with Robocath and the complementary mechanism of action and how to really make GenesisX plus/minus Robocath a multi-specialty robot. And then the fourth is kind of then what you were saying, how do you bring telerobotics? How do you bring automation? How do you bring augmented intelligence or artificial intelligence into the picture? And there are, there I'd say we're in our earliest phases but we have real tangible things there. Synchrony and SynX are approved and in use and, kind of, they're definitely a good technology platform now for that whole digital surgery effort and there's a whole pipeline there that in reality will take probably 10 years to realize fully the ideas that we have in our mind, but there will be many attractive stepping stones along the path with room for commercial impact along that journey. Operator: As there are no further questions at this time, I would now like to turn the call back over to David Fischel for the closing remarks. Please go ahead. David Fischel: Okay. Thank you for all the questions everyone and for your continued support. We'll continue working hard on your behalf and look forward to speaking again soon. Thank you. Operator: Ladies and gentlemen, thank you all for joining and that concludes today's conference call. All participants may now disconnect. Thank you. Before you buy stock in Stereotaxis, consider this: The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Stereotaxis wasn’t one of them. The 10 stocks that made the cut are built for long-term growth and could produce monster returns in the coming years. Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $409,970!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,381,040!* That performance is why people listen. With a track record of beating the S&P 500 by nearly 5x, Stock Advisor offers a distinct advantage. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built for the long haul. See the 10 stocks » *Stock Advisor returns as of August 18, 2026. This article is a transcript of this conference call produced for The Motley Fool. While we strive for our Foolish Best, there may be errors, omissions, or inaccuracies in this transcript. As with all our articles, The Motley Fool does not assume any responsibility for your use of this content, and we strongly encourage you to do your own research, including listening to the call yourself and reading the company's SEC filings. Please see our Terms and Conditions for additional details, including our Obligatory Capitalized Disclaimers of Liability. The Motley Fool has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. Stereotaxis (STXS) Q2 2026 Earnings Call Transcript was originally published by The Motley Fool

Interested in Stereotaxis Inc.? Here are five stocks we like better. Second-quarter revenue was $7.7 million, with recurring revenue rising to $6.2 million as catheter sales offset lower system revenue. MAGiC catheter revenue grew sharply, but supply constraints limited shipments. Stereotaxis reported progress with its growth platforms: Synchrony systems began shipping, while GenesisX secured its first U.S. academic medical center order. Management expects two to five GenesisX installations by year-end 2026. The company projects recurring revenue of approximately $7 million in Q3 and $8 million in Q4, and is targeting cash-flow profitability in the first half of 2027, driven primarily by increased catheter adoption. 3 Underrated Robotics Stocks Poised for Huge Gains Stereotaxis (NYSEAMERICAN:STXS) reported second-quarter 2026 revenue of $7.7 million, as growth in sales of its robotic catheter portfolio helped lift recurring revenue to a multiyear high despite lower system revenue and continued supply constraints. Revenue declined from the prior-year quarter because the company did not deliver a robotic system during the period, Chief Financial Officer Kim Peery said. However, revenue increased sequentially from the first quarter, driven by higher catheter sales following the U.S. launch of the MAGiC catheter after first-quarter FDA clearance. → SoundHound AI Sends a Loud Signal After Its Q2 Earnings Beat System revenue was $1.5 million, compared with $3 million a year earlier, while recurring revenue rose to $6.2 million from $5.8 million. Recurring revenue included more than $1 million of robotic catheter revenue, Chairman and Chief Executive Officer David Fischel said. Fischel said robotic catheter revenue grew nearly 300% sequentially from the first quarter and 270% sequentially according to Peery’s financial commentary. The company said approximately a dozen U.S. sites received hospital approval to buy MAGiC and began procedures during the second quarter. → AST SpaceMobile Earnings Just Reminded Investors How Risky Space Can Be The CEO said early physician feedback on MAGiC had been positive, citing comments that the catheter improved targeting, ablation effectiveness and procedural efficiency. Stereotaxis is working through hospital approvals and launches across its U.S. and European installed base, and Fischel said the company expects the “vast majority” of customers to transition from their historical dependence on Johnson & Johnson catheters to Stereotaxis catheters within the next year. Sales remain limited by available supply, however. The company has a backlog of catheter orders and is receiving more customer orders than it can supply through contract manufacturer Osypka AG, Fischel said. Management said it is making progress in raising production and establishing redundant supply sources. → First Solar’s Profit Engine Faces a New Policy Test in Washington Stereotaxis expects catheter revenue to increase by approximately $1 million in each of the next couple quarters, with a larger opportunity anticipated in 2027. In response to an analyst question, Fischel said U.S. disposable revenue per robotic procedure has been consistently in the range of $5,000 to more than $8,000, including the company’s QuikCAS device and MAGiC catheter, with potential additions from mapping or diagnostic catheters. The company also highlighted progress with Synchrony, its digital surgery platform designed to provide workflow, remote-connectivity and artificial-intelligence capabilities. Synchrony can serve as a control platform for Stereotaxis robots and has a separate potential application in non-robotic operating rooms. After receiving FDA clearance during the second quarter, Stereotaxis received orders for multiple Synchrony systems from several hospitals and shipped its first systems during the quarter. Additional systems shipped in the third quarter, and several are already in daily clinical use, Fischel said. Management expects Synchrony to generate more than $1 million of system revenue per quarter over the next several quarters, without a significant dedicated sales effort. The company said some hospitals are planning or considering standardizing catheter labs on Synchrony and SynX. Those installations could eventually generate service-contract and software-as-a-service recurring revenue. On its GenesisX robotic system, Stereotaxis announced its first U.S. purchase from an academic medical center. The system is expected to be installed this fall alongside a non-modified X-ray system from a major manufacturer. Following that installation, the company expects to declare formal compatibility with that manufacturer’s X-ray platform. GenesisX is intended to reduce adoption barriers by allowing the robot to work alongside standard X-ray systems rather than requiring a specific modified X-ray installation. Stereotaxis previously announced a GenesisX sale in Europe, where installation is expected before year-end as construction on a new hospital wing resumes. Fischel said the company expects to have GenesisX working with two X-ray systems by the end of 2026, one in Europe and one in the U.S. It is also pursuing several additional sales or lease agreements, including a potential ambulatory surgery center installation. He said the company hopes to have between two and five GenesisX systems installed by year-end. Second-quarter gross margin was 58%, including a 66% recurring-revenue gross margin and a 29% system gross margin. Peery said margins were affected by low manufacturing volumes and are expected to remain near current levels over the next several quarters. Management sees an opportunity for margin expansion in 2027 and 2028, and Fischel said recurring gross margins could reach the mid-70% range as catheter volume grows. Operating expenses totaled $9.1 million, including $2.5 million of non-cash charges related to stock compensation, acquisition-related contingent earn-out adjustments and amortization of acquired intangible assets. Adjusted operating expenses, excluding those charges, were $6.6 million. Operating loss was $4.6 million, compared with $4 million in the prior-year quarter. Net loss was $4.5 million, compared with $3.8 million a year earlier. Adjusted operating loss was $2.1 million, and adjusted net loss was $2 million. Negative free cash flow was $3.7 million, consistent with the prior year. Cash and cash equivalents totaled $10.5 million as of June 30, with no debt. For the second half, Stereotaxis expects recurring revenue of approximately $7 million in the third quarter and $8 million in the fourth quarter. System revenue is projected at about $3 million in each of those quarters, supported by Synchrony shipments and one robotic-system revenue recognition in each quarter. Fischel said the company is modeling for cash-flow profitability in the first half of 2027, based primarily on catheter adoption and relatively modest assumptions for capital sales. He said Stereotaxis intends to maintain a lean operating budget while continuing product launches, manufacturing expansion, research and development, and commercialization efforts. Beyond its current launches, Stereotaxis said it is advancing a wireless, battery-operated and mobile future version of GenesisX; a portfolio of electrophysiology catheter innovations; and products for interventional cardiology and neurointerventional markets. The company expects first human procedures using MAGiC with pulse field ablation before the end of 2026. It is also advancing regulatory submissions and reviews for the EMAGIN magnetic guide catheter and guidewire family. In July, Stereotaxis closed its previously announced acquisition of Robocath, which develops a separate robotic system for endovascular device navigation. Fischel said the company sees the combined technologies as part of an ecosystem intended to support remote, automated and robotic treatment of stroke and cardiovascular disease. Stereotaxis, Inc is a medical device company that develops and commercializes robotic magnetic navigation systems for use in electrophysiology procedures. Its core technology leverages precisely controlled magnetic fields to guide ultra-thin, magnetically enabled catheters through the vascular system, allowing physicians to perform complex cardiac ablation and diagnostic procedures with enhanced precision and stability. This platform aims to reduce procedure times and radiation exposure for both patients and clinical staff. The company's flagship offering, the Niobe Magnetic Navigation System, integrates with a variety of catheter types and electrophysiology mapping systems to support treatment of arrhythmias such as atrial fibrillation and ventricular tachycardia. This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to [email protected]. The article "Stereotaxis Q2 Earnings Call Highlights" was originally published by MarketBeat. View MarketBeat's top stocks for August 2026.

Our analysts just identified a stock with the potential to be the next Nvidia. Tell us how you invest and we'll show you why it's our #1 pick. Tap here. Achieved a multi-year high in recurring revenue, surpassing $6 million, driven by the U.S. launch of the MAGiC robotic catheter following FDA approval. Robotic catheter revenue grew nearly 300% sequentially, validating the strategy to transition from legacy third-party catheters to a proprietary high-margin ecosystem. Early clinical feedback indicates the MAGiC catheter significantly improves ablation efficiency and navigation, effectively doubling the perceived value of the robotic system for physicians. The Synchrony digital surgery system received FDA clearance and immediate organic interest, serving as both a robotic cockpit and a standalone solution for non-robotic labs. GenesisX is designed to remove historical adoption barriers by enabling compatibility with standard X-ray systems from major manufacturers without requiring lab construction. Management attributes the current commercial momentum to the successful execution of a synergistic product ecosystem that reduces barriers to entry while improving the business model. Projecting a $1 million incremental step-up in catheter revenue for each of the next two quarters as manufacturing supply constraints are methodically addressed. Anticipating cash flow profitability in the first half of 2027, assuming modest capital sales and continued ramp of the recurring revenue stream. Planning a more aggressive commercial launch of GenesisX following formal compatibility declarations with major X-ray manufacturers expected this fall. Advancing a robust R&D pipeline including wireless, mobile robotic systems and first-in-human procedures for Pulsed Field Ablation (PFA) before year-end. Integrating the Robocath acquisition to develop a multi-specialty ecosystem for remote, automated treatment of stroke and cardiovascular disease. Current sales remain supply-constrained as the company works with contract manufacturer Osypka to increase output and clear the existing order backlog. Gross margins are currently impacted by low manufacturing volumes, with significant expansion opportunities projected for 2027 and 2028 as scale increases. The transition away from Johnson & Johnson catheters has created temporary pressure on procedure volumes during the customer conversion process. Closed the Robocath acquisition in July 2026, expanding the strategic focus toward neurointerventional and interventional cardiology markets. One stock. Nvidia-level potential. 30M+ investors trust Moby to find it first. Get the pick. Tap here. Growth is primarily driven by MAGiC catheter adoption, which is currently limited by supply rather than demand, providing high visibility into revenue as manufacturing ramps. System revenue guidance assumes one robotic system recognition per quarter plus approximately $1 million per quarter from Synchrony digital systems. Profitability modeling relies on modest capital sales and the high-margin flow-through of recurring catheter revenue, which requires minimal additional operating expense. Management intends to maintain a lean budget, reinvesting future profits into the commercial organization to accelerate growth once breakeven is achieved. Formal compatibility testing with the first major X-ray OEM is expected this fall, which will serve as a reference for broader market adoption. The company is utilizing lease agreements to lower adoption barriers for hospitals that are interested in the clinical value but hesitant about permanent installations.

Robotic catheter revenue surpasses $1M in the quarter, growing 270% sequentially First GenesisX robotic system purchase by US hospital to be installed this fall Multiple Synchrony digital operating room systems sold and installed following FDA clearance in April Completed previously announced acquisition of Robocath, strengthening robotic technology leadership across the full spectrum of endovascular procedures ST. LOUIS, Mo., Aug. 11, 2026 (GLOBE NEWSWIRE) -- Stereotaxis (NYSE: STXS), a pioneer and global leader in surgical robotics for minimally invasive endovascular intervention, today reported business updates and financial results for the second quarter ended June 30, 2026. “Stereotaxis has reached an important commercial inflection point. Following years of product development and regulatory milestones, the Company’s expanded robotic platform is now generating accelerating commercial adoption across multiple product lines,” said David Fischel, Stereotaxis Chairman and CEO. “Over the last several years we advanced an exciting ecosystem of robotic, catheter and digital innovations through development and regulatory milestones. We are now witnessing the initial green shoots of commercial success, including quarterly revenue from our novel robotic catheters exceeding one million dollars, the first Synchrony system sales, and the first US purchase of a GenesisX robot.” “We are making methodical progress on the operational and commercial efforts needed to drive revenue growth. We expect continued momentum throughout this year as we ramp manufacturing and address commercial friction. We have line of sight to sustained revenue growth and reaching cash flow profitability in the coming quarters.” “In parallel to our commercial efforts, we continue to invest in a broad pipeline of innovations that expand our technology into a platform across endovascular surgery, enhances our competitiveness in electrophysiology, and delivers digital connectivity, automation and intelligence to the operating room.” 2026 Second Quarter Financial ResultsRevenue for the second quarter of 2026 totaled $7.7 million. System revenue of $1.5 million declined from $3.0 million in the prior year second quarter, with the lack of a robotic system delivery in the quarter partially countered by initial Synchrony sales. Recurring revenue of $6.2 million increased from $5.8 million in the prior year second quarter, reflecting contributions from Stereotaxis’ new robotic catheters counteracting general procedural pressure from limited catheter supply. Gross margin for the second quarter of 2026 was 58% of revenue. Recurring revenue gross margin was 66%, and system gross margin was 29%. Operating expenses in the quarter of $9.1 million included $2.5 million in non-cash charges for stock compensation expense, mark-to-market adjustment for acquisition related contingent earnout consideration, and amortization of acquired intangible assets. Excluding these non-cash charges, adjusted operating expenses were $6.6 million, consistent with the year-ago period when adjusting for a one-time employee retention tax credit received in the prior year. Operating loss and net loss in the second quarter of 2026 were ($4.6) million and ($4.5) million, respectively, compared with ($4.0) million and ($3.8) million in the previous year. Adjusted operating loss and adjusted net loss for the quarter, excluding non-cash charges, were ($2.1) million and ($2.0) million, respectively, compared with ($1.4) million and ($1.3) million in the previous year quarter. Negative free cash flow for the second quarter was ($3.7) million, consistent with the previous year. Cash Balance and LiquidityAt June 30, 2026, Stereotaxis had cash and cash equivalents of $10.5 million and no debt. Forward Looking ExpectationsStereotaxis anticipates recurring revenue to grow to approximately $7 million in the third quarter and $8 million in the fourth quarter of this year, driven by methodical increases in MAGiC catheter manufacturing. System revenue is expected to be approximately $3 million in each of the third and fourth quarters. Stereotaxis believes it can advance its strategy, integrate Robocath, and grow revenue significantly without having to subject investors to substantial dilution. Cash flow profitability is anticipated to be reached in the first half of 2027. Conference Call and WebcastStereotaxis will host a conference call and webcast today, August 11, 2026, at 4:30 p.m. Eastern Time. To access the conference call, dial 800-715-9871 (US and Canada) or 646-307-1963 (International) and give the participant pass code 4404741. To access the live and replay webcast, please visit the investor relations section of the Stereotaxis website at www.Stereotaxis.com. About StereotaxisStereotaxis (NYSE: STXS) is a pioneer and global leader in innovative surgical robotics for minimally invasive endovascular intervention. Its mission is the discovery, development and delivery of robotic systems, instruments, and information solutions for the interventional laboratory. These innovations help physicians provide unsurpassed patient care with robotic precision and safety, expand access to minimally invasive therapy, and enhance the productivity, connectivity, and intelligence in the operating room. Stereotaxis technology has been used to treat over 150,000 patients across the United States, Europe, Asia, and elsewhere. For more information, please visit www.Stereotaxis.com. This press release includes statements that may constitute “forward-looking” statements, usually containing the words “believe”, “estimate”, “project”, “expect” or similar expressions. These forward-looking statements include without limitation statements regarding the recently completed acquisition of Robocath, including the Company’s ability to advance its strategy, integrate Robocath, and grow revenue significantly without having to subject investors to substantial dilution. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially. Factors that would cause or contribute to such differences include, but are not limited to, uncertainties involving the following: the Company’s ability to manage expenses at sustainable levels; acceptance of the Company’s products in the marketplace; the effect of global economic conditions, including tariffs, on the ability and willingness of customers to purchase its technology; competitive factors; changes resulting from healthcare policy; dependence upon third-party vendors; timing of regulatory approvals, including as it relates to Robocath’s products; the impact of pandemics or other disasters; statements generally relating to our recent acquisition of Robocath, including any benefits expected from the acquisitions, as well as any plans, forecasts and other expectations with respect to Robocath’s business following the completion of the transaction; and the other risks discussed in the Company's periodic and other filings with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release. Additional information will also be set forth in future filings that we make with the SEC from time to time. All forward-looking statements in this press release are based on information available to us as of the date hereof, and we do not assume any obligation to update the forward-looking statements provided to reflect events that occur or circumstances that exist after the date on which they were made. There can be no assurance that the Company will recognize revenue related to its purchase orders and other commitments because some of these purchase orders and other commitments are subject to contingencies that are outside of the Company's control and may be revised, modified, delayed, or canceled. Company Contacts:                                                        David L. FischelChairman and Chief Executive Officer Kimberly R. Peery                                                        Chief Financial Officer [email protected]

Teleflex (TFX) came out with quarterly earnings of $1.76 per share, beating the Zacks Consensus Estimate of $1.28 per share. This compares to earnings of $3.73 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +37.50%. A quarter ago, it was expected that this medical equipment maker would post earnings of $1.21 per share when it actually produced earnings of $1.39, delivering a surprise of +14.88%. Over the last four quarters, the company has surpassed consensus EPS estimates three times. Teleflex, which belongs to the Zacks Medical - Instruments industry, posted revenues of $570.33 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 1.89%. This compares to year-ago revenues of $780.89 million. The company has topped consensus revenue estimates three times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Teleflex shares have added about 12.1% since the beginning of the year versus the S&P 500's gain of 12.8%. While Teleflex has underperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Teleflex was favorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #2 (Buy) for the stock. So, the shares are expected to outperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $1.82 on $581.01 million in revenues for the coming quarter and $6.70 on $2.29 billion in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Instruments is currently in the bottom 37% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. Another stock from the same industry, Stereotaxis Inc. (STXS), has yet to report results for the quarter ended June 2026. The results are expected to be released on August 11. This company is expected to post quarterly loss of $0.03 per share in its upcoming report, which represents a year-over-year change of +40%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Stereotaxis Inc.'s revenues are expected to be $9.5 million, up 8% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Teleflex Incorporated (TFX) : Free Stock Analysis Report Stereotaxis Inc. (STXS) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Veracyte (VCYT) came out with quarterly earnings of $0.54 per share, beating the Zacks Consensus Estimate of $0.43 per share. This compares to earnings of $0.44 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of +25.58%. A quarter ago, it was expected that this molecular diagnostic company would post earnings of $0.34 per share when it actually produced earnings of $0.52, delivering a surprise of +52.94%. Over the last four quarters, the company has surpassed consensus EPS estimates four times. Veracyte, which belongs to the Zacks Medical - Instruments industry, posted revenues of $150.32 million for the quarter ended June 2026, surpassing the Zacks Consensus Estimate by 4.13%. This compares to year-ago revenues of $130.16 million. The company has topped consensus revenue estimates four times over the last four quarters. The sustainability of the stock's immediate price movement based on the recently-released numbers and future earnings expectations will mostly depend on management's commentary on the earnings call. Veracyte shares have added about 32.3% since the beginning of the year versus the S&P 500's gain of 6.9%. While Veracyte has outperformed the market so far this year, the question that comes to investors' minds is: what's next for the stock? There are no easy answers to this key question, but one reliable measure that can help investors address this is the company's earnings outlook. Not only does this include current consensus earnings expectations for the coming quarter(s), but also how these expectations have changed lately. Empirical research shows a strong correlation between near-term stock movements and trends in earnings estimate revisions. Investors can track such revisions by themselves or rely on a tried-and-tested rating tool like the Zacks Rank, which has an impressive track record of harnessing the power of earnings estimate revisions. Ahead of this earnings release, the estimate revisions trend for Veracyte was unfavorable. While the magnitude and direction of estimate revisions could change following the company's just-released earnings report, the current status translates into a Zacks Rank #4 (Sell) for the stock. So, the shares are expected to underperform the market in the near future. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. It will be interesting to see how estimates for the coming quarters and the current fiscal year change in the days ahead. The current consensus EPS estimate is $0.44 on $149.11 million in revenues for the coming quarter and $1.85 on $583.57 million in revenues for the current fiscal year. Investors should be mindful of the fact that the outlook for the industry can have a material impact on the performance of the stock as well. In terms of the Zacks Industry Rank, Medical - Instruments is currently in the bottom 38% of the 250 plus Zacks industries. Our research shows that the top 50% of the Zacks-ranked industries outperform the bottom 50% by a factor of more than 2 to 1. One other stock from the same industry, Stereotaxis Inc. (STXS), is yet to report results for the quarter ended June 2026. The results are expected to be released on August 11. This company is expected to post quarterly loss of $0.03 per share in its upcoming report, which represents a year-over-year change of +40%. The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. Stereotaxis Inc.'s revenues are expected to be $9.5 million, up 8% from the year-ago quarter. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Veracyte, Inc. (VCYT) : Free Stock Analysis Report Stereotaxis Inc. (STXS) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Intuitive Surgical ISRG is set to release second-quarter results on July 16. The Zacks Consensus Estimate for sales is pegged at $2.81 billion, indicating year-over-year growth of 15%, and the same for earnings per share (EPS) implies an improvement of 13.2% to $2.48. The estimate for EPS has remained stable over the past seven days. In the last reported quarter, Intuitive Surgical delivered an earnings surprise of 20.19%. The company’s earnings beat estimates in each of the trailing four quarters, delivering an average surprise of 16.82%. Although ISRG’s top and bottom-line figures are likely to reflect strong growth during the second quarter, its shares have underperformed the Zacks Medical - Instrument industry as well as other robotic-surgery device makers — Stryker SYK, Zimmer Biomet ZBH, Globus Medical GMED and Stereotaxis STXS — so far this year. The stock has declined 27.4%, its industry has dipped 14.2%, and the S&P 500 Index has gained 9.5% in the same period. The share prices of SYK, ZBH, GMED and STXS have decreased 6.9%, 0.8%, 12.2% and 24.4%, respectively. YTD Price Performance Image Source: Zacks Investment Research While Stryker commercializes its Mako robotic system for orthopedic joint replacements, Zimmer Biomet has ROSA system, which is available for orthopedic and neurosurgical procedures. Globus Medical and Stereotaxis’ robotic portfolios include ExcelsiusGPS and Genesis systems, respectively, used for spine and cranial procedures, and endovascular interventions. The underperformance of the ISRG stock has led to a decline in its valuation multiples as well. The Price-to-Earnings Forward 12 Month (P/E F12M) valuation has fallen from a high of 96.05X at the beginning of 2025 to its current 37.12X, reflecting a significant decline despite robust earnings growth. At its current valuation multiples, the ISRG stock looks attractive amid its strong fundamentals. P/E F12M Valuation of ISRG vs Industry Image Source: Zacks Investment Research Despite consistently delivering double-digit revenue and earnings growth, Intuitive Surgical stock has remained under pressure this year as investors weigh near-term margin headwinds against its long-term growth story. The biggest concern stems from the ongoing rollout of the next-generation da Vinci 5 platform. Although customer adoption has exceeded expectations, the system currently carries lower margins than the mature Xi platform due to higher manufacturing, service and support costs. The company also expects elevated trade-in activity as hospitals replace older systems with da Vinci 5, creating an additional drag on profitability. Management further expects faster growth of newer da Vinci 5 and Ion platforms, along with higher depreciation from recent manufacturing expansions, to keep gross margins under pressure in 2026. Tariffs, higher freight expenses and rising semiconductor memory costs are expected to increase input costs through the remainder of the year, while management continues to monitor potential supply constraints across components. Internationally, China remains a difficult market due to lower tender activity, domestic competition and pricing pressure, while Japan continues to face slower capital placements despite supportive reimbursement initiatives. Investors are also watching the impact of GLP-1 obesity drugs, which continue to reduce bariatric procedure volumes. Although none of these challenges materially alter Intuitive Surgical’s long-term outlook, they have contributed to weaker investor sentiment and multiple compression in recent months. The entry of both large and smaller players, including Stryker, Zimmer Biomet, Globus Medical and Stereotaxis, into the robotic surgery market could intensify competition over time and erode ISRG's market share. While short-term concerns have weighed on the stock, Intuitive Surgical's underlying business remains exceptionally strong. The company continues to generate robust financial performance, reporting 23% revenue growth and a 36% increase in adjusted earnings during the first quarter of 2026, supported by 17% overall procedure growth across its da Vinci and Ion platforms. Recurring revenues accounted for 86% of total sales, highlighting the resilience of its business model. Higher utilization of installed systems continues to drive high-margin instruments, accessories and service revenues, creating a recurring revenue stream that becomes increasingly valuable as the installed base expands. U.S. da Vinci utilization increased 4% during the first quarter, while utilization of da Vinci 5 systems remains approximately 11% higher than the legacy Xi platform. The da Vinci 5 upgrade cycle is likely to remain Intuitive Surgical's biggest growth catalyst over the next several quarters. Customer adoption has been stronger than expected, with nearly 1,500 da Vinci 5 systems installed and approximately 13,000 surgeons already using the platform. Hospitals continue to upgrade their older systems, reflected by a sharp increase in trade-ins. da Vinci Market Opportunity Image Source: Intuitive Surgical New Force Feedback instruments, additional FDA clearances and ongoing software enhancements are expected to improve clinical outcomes and further accelerate adoption. Intuitive Surgical continues to invest heavily in AI-enabled capabilities through its digital ecosystem. The company is leveraging surgical video, robotic data, force-feedback information and electronic medical records to develop AI-powered anatomy identification, decision support, workflow optimization and, eventually, augmented dexterity and automation. Combined with rapid growth in the Ion lung biopsy platform, expanding SP procedures, rising international adoption and a growing installed base, these innovations provide multiple long-term growth drivers that reinforce Intuitive Surgical's leadership in robotic-assisted surgery. Our proven model predicts an earnings beat for ISRG this earnings season. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the chances of an earnings beat, which is the case here. Earnings ESP: Earnings ESP, which represents the difference between the Most Accurate Estimate ($2.55) and the Zacks Consensus Estimate ($2.48), is +2.78%. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter. Zacks Rank: The company carries a Zacks Rank #2 at present. You can see the complete list of today’s Zacks #1 Rank stocks here. Image Source: Zacks Investment Research Although near-term margin pressure from the da Vinci 5 rollout, tariffs and higher input costs has weighed on investor sentiment, Intuitive Surgical's long-term investment thesis remains intact. The company continues to deliver industry-leading procedure growth, expanding recurring revenues, increasing system utilization, and driving strong adoption of its newest robotic platforms while building a differentiated AI-enabled surgical ecosystem. ISRG Short-Term Price Target Image Source: Zacks Investment Research With consistent strong execution and valuation multiples that have compressed significantly from its 2025 peak to around 37.1X despite healthy earnings growth, ISRG's valuation appears considerably more attractive than it was earlier this year. For long-term investors seeking exposure to robotic surgery, the recent pullback presents an opportunity to accumulate shares of a company with durable competitive advantages and robust growth fundamentals. Moreover, an expected earnings beat in the second quarter, along with its favorable rank, makes it an attractive bet before its second-quarter earnings release. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Intuitive Surgical, Inc. (ISRG) : Free Stock Analysis Report Stryker Corporation (SYK) : Free Stock Analysis Report Stereotaxis Inc. (STXS) : Free Stock Analysis Report Globus Medical, Inc. (GMED) : Free Stock Analysis Report Zimmer Biomet Holdings, Inc. (ZBH) : Free Stock Analysis Report This article originally published on Zacks Investment Research (zacks.com). Zacks Investment Research

Proprietary robotically-navigated MAGiC catheter received U.S. FDA approval in January and is now being utilized at multiple sites across the United States as well as Europe Synchrony digital operating room system received U.S. FDA clearance in April and initial orders and shipments are ongoing Definitive agreement to acquire Robocath creates a leading robotic platform, combining complementary technologies to deliver next-generation fully-integrated robotic solutions for the full spectrum of endovascular procedures ST. LOUIS, May 12, 2026 (GLOBE NEWSWIRE) -- Stereotaxis (NYSE: STXS), a pioneer and global leader in surgical robotics for minimally invasive endovascular intervention, today reported business updates and financial results for the first quarter ended March 31, 2026. “Stereotaxis is in one of the most exciting periods of its history. We are achieving significant regulatory approvals, executing strategic acquisitions, and witnessing the initial green shoots of commercial success with our new product ecosystem,” said David Fischel, Stereotaxis Chairman and CEO. “The operational and commercial friction to ramp up manufacturing and implement new products makes progress gradual, but we are efficiently driving broad-based progress on many fronts in parallel towards an attractive business built on solid foundations.” “The streak of regulatory success that began last year continued in the first part of this year with two essential FDA approvals for the MAGiC cardiac ablation catheter and Synchrony digital surgery system. These regulatory approvals brought to market an entirely new foundational product ecosystem that structurally changes our commercial opportunity. We essentially developed a fresh start-up company on the shoulders of our legacy technology and funded by our legacy business.” “The transformational agreement to acquire Robocath gives Stereotaxis a fully complementary and separate robotic mechanism of action for endovascular device navigation. The combination of our technologies offers a clear vision for how our robotic solution, including the full ecosystem of digital innovations, will enable remote, automated and fully robotic treatment for electrophysiology, interventional cardiology and neurointerventions.” “The still minor revenue contribution from our new catheters is being countered by the headwind of winding down our relationship with Johnson & Johnson. Demand for MAGiC far exceeds supply, and we are rolling out the catheter in both Europe and the US in line with the manufacturing ramp, which continues to progress towards an expected 500 catheters a month by year end. Initial green shoots of adoption demonstrate the strength of our strategy to build a synergistic portfolio of catheters, with disposable revenue per procedure several fold higher than previously. This structural transformation to our disposable business model is taking place as we simultaneously structurally transform our capital business and prepare for multiple GenesisX placements.” 2026 First Quarter Financial Results Revenue for the first quarter of 2026 totaled $6.3 million compared to $7.5 million in the prior year first quarter. System revenue of $1.3 million and recurring revenue of $5.0 million compared to $2.0 million and $5.5 million respectively, in the prior year first quarter. System revenue in the quarter reflects partial revenue recognition on the installation of one Genesis system and other ancillary systems. Recurring revenue is pressured by the transition away from the dependency on legacy J&J catheters with still modest contributions from Stereotaxis’ new proprietary catheters. Gross margin for the first quarter of 2026 was 60% of revenue. Recurring revenue gross margin was 66%, and system gross margin was 39%. Operating expenses in the quarter of $9.8 million included $3.1 million in non-cash charges for stock compensation expense, mark-to-market adjustment for acquisition related contingent earnout consideration, and amortization of acquired intangible assets. Excluding these non-cash charges, adjusted operating expenses were $6.7 million, compared to the prior year adjusted operating expenses of $6.8 million. Operating loss and net loss in the first quarter of 2026 were ($6.0) million and ($5.9) million, respectively, compared with ($5.9) million and ($5.8) million in the previous year. Adjusted operating loss and adjusted net loss for the quarter, excluding non-cash charges, were ($2.9) million and ($2.8) million, respectively, compared with ($2.7) million and ($2.6) million in the previous year quarter. Negative free cash flow for the first quarter was ($3.5) million, compared to ($1.8) million in the previous year. Cash Balance and Liquidity At March 31, 2026, Stereotaxis had cash and cash equivalents of $14.6 million and no debt. Forward Looking Expectations Stereotaxis anticipates double digit revenue growth for the full year 2026, with annual revenue expected to surpass $40 million. Revenue will grow sequentially over the course of the year in line with manufacturing increases for GenesisX and MAGiC, with revenue in both the third and fourth quarters expected to exceed $10 million. Stereotaxis believes it can advance its strategy, integrate Robocath, and grow significantly without having to subject investors to substantial dilution. The Company expects its balance sheet to allow it to advance its transformative product ecosystem to market, fund its commercialization, and achieve profitability. Conference Call and Webcast Stereotaxis will host a conference call and webcast today, May 12, 2026, at 4:30 p.m. Eastern Time. To access the conference call, dial 800-715-9871 (US and Canada) or 646-307-1963 (International) and give the participant pass code 6082771. To access the live and replay webcast, please visit the investor relations section of the Stereotaxis website at www.Stereotaxis.com. About Stereotaxis Stereotaxis (NYSE: STXS) is a pioneer and global leader in innovative surgical robotics for minimally invasive endovascular intervention. Its mission is the discovery, development and delivery of robotic systems, instruments, and information solutions for the interventional laboratory. These innovations help physicians provide unsurpassed patient care with robotic precision and safety, expand access to minimally invasive therapy, and enhance the productivity, connectivity, and intelligence in the operating room. Stereotaxis technology has been used to treat over 150,000 patients across the United States, Europe, Asia, and elsewhere. For more information, please visit www.Stereotaxis.com. This press release includes statements that may constitute "forward-looking" statements, usually containing the words "believe”, "estimate”, "project”, "expect" or similar expressions. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially. Factors that would cause or contribute to such differences include, but are not limited to, the Company's ability to manage expenses at sustainable levels, acceptance of the Company's products in the marketplace, the effect of global economic conditions, including tariffs, on the ability and willingness of customers to purchase its technology, competitive factors, changes resulting from healthcare policy, dependence upon third-party vendors, timing of regulatory approvals, the impact of pandemics or other disasters, statements relating to our recent acquisitions, including any benefits expected from the acquisitions, and other risks discussed in the Company's periodic and other filings with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release. There can be no assurance that the Company will recognize revenue related to its purchase orders and other commitments because some of these purchase orders and other commitments are subject to contingencies that are outside of the Company's control and may be revised, modified, delayed, or canceled. Company Contacts: David L. Fischel Chairman and Chief Executive Officer Kimberly R. Peery Chief Financial Officer 314-678-6100 [email protected]

This article first appeared on GuruFocus. Release Date: May 12, 2026 For the complete transcript of the earnings call, please refer to the full earnings call transcript. Stereotaxis Inc (STXS) received multiple regulatory approvals in the U.S., Europe, and China for new products, including a complex surgical robot and a digital surgery cockpit. The company launched the MAGIC cardiac ablation catheter, which is the first of its kind approved by the FDA for arrhythmia patients with complex congenital heart disease. Stereotaxis Inc (STXS) is transitioning to a new business model with higher disposable revenue per procedure, often above $8,000. The company is expanding its product portfolio with the launch of Genesys X, a new robotic system that doesn't require construction for installation in existing cath labs. Stereotaxis Inc (STXS) is actively working on AI and automation projects to enhance its robotic platforms, including a fully wireless and mobile future generation of the Genesis X robot. Revenue for the first quarter of 2026 decreased to $6.3 million from $7.5 million in the prior year, with system revenue particularly weak. The transition from Johnson & Johnson's ecosystem is causing turbulence and pressure on recurring revenue. Production capacity constraints are limiting the adoption of the MAGIC catheter, with demand outstripping supply. The company is experiencing a messy transition as it winds down its relationship with Johnson & Johnson, affecting reported quarterly financials. Negative free cash flow increased to $3.5 million in the first quarter compared to $1.8 million in the previous year. Warning! GuruFocus has detected 4 Warning Signs with STXS. Is STXS fairly valued? Test your thesis with our free DCF calculator. Q: Can you provide more details on the adoption and utilization of the MAGIC catheter portfolio? Are you seeing immediate uptake following adoption? A: (David Fischel, CEO) The adoption of the MAGIC catheter is currently limited by production capacity. We have sites eager to transition fully, some using both MAGIC and J&J catheters, and others still solely using J&J. As manufacturing ramps up, we expect more sites to transition completely to MAGIC. The transition is gradual, but we are working closely with each account to facilitate this shift. Q: Regarding your revenue guidance of over $40 million for the year, what assumptions are made about manufacturing improvements and catheter production? A: (David Fischel, CEO) We are targeting 500 catheters per month by year-end. This production level will significantly increase our disposable revenue, potentially surpassing current recurring revenues. The shift in our business model allows us to capture more revenue per procedure without increasing hospital costs. We remain confident in achieving our revenue targets as manufacturing scales. Q: Can you quantify the impact of the disposable business on the quarter's results? A: (David Fischel, CEO) The MAGIC portfolio's contribution was minimal this quarter due to limited production in January and February. Production ramped up in March, but revenue recognition will mostly occur in April. The primary headwind is the inconsistent supply of J&J catheters, which affects our accounts. However, we expect the MAGIC portfolio to significantly boost revenue in the coming quarters. Q: What feedback have you received on the Genesis X system, and when do you expect the first orders? A: (David Fischel, CEO) Genesis X represents a structural change, allowing compatibility with non-integrated X-rays, expanding our market. We have shipped the first system, and it awaits installation. We are working with pioneering accounts to demonstrate its compatibility with major X-ray manufacturers, which will open new capital opportunities. Q: How is the MAGIC catheter being integrated with existing mapping platforms, and are there any potential issues with J&J's Carto system? A: (David Fischel, CEO) We support open ecosystems, and MAGIC is primarily used with Abbott's Nsight X system. There are ways to integrate MAGIC with Carto, and we also have integration with Microport's Columbus system in Europe and China. Our commitment is to provide flexibility and compatibility with various diagnostic technologies. For the complete transcript of the earnings call, please refer to the full earnings call transcript.