irmd-20260630

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

________________________________________________________

FORM 10-Q

________________________________________________________


			☒			QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the Quarterly Period Ended June 30, 2026


			☐			TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the transition period from to

Commission File No.: 001-36534

________________________________________________________

IRADIMED CORPORATION

(Exact name of Registrant as specified in its charter)


Delaware			73-1408526
(State or other jurisdiction of incorporation or organization)			(I.R.S. Employer Identification Number)

12705 Ingenuity Drive Orlando, Florida			32826
(Address of principal executive offices)			(Zip Code)

(407) 677-8022

(Registrant’s telephone number, including area code)

N/A

(Former Name, former address and former fiscal year, if changed since last report)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class:

Trading Symbol

Name of each exchange on which registered:

Common stock, par value $0.0001

IRMD

NASDAQ Global Market

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files). Yes ☒ No ☐

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer

☐

Accelerated filer

☐

Non-accelerated filer

☒

Smaller reporting company

☒

Emerging growth company

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes ☐ No ☒

The registrant had 12,786,991 shares of common stock, par value $0.0001 per share, outstanding as of July 31, 2026.

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IRADIMED CORPORATION

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			Page
Cautionary Note Regarding Forward-Looking Statements			3

Part I	Financial Information		6

	Item 1	Financial Statements	6

		(a) Condensed Balance Sheets as of June 3 0 , 2026 (Unaudited) and December 31, 202 5 (Audited)	6

		(b) Condensed Statements of Operations for the three and six months ended June 3 0 , 2026 and 2025 (Unaudited)	7

		(c) Condensed Statements of Stockholders’ Equity for the three and six months ended June 30 , 2026 and 202 5 (Unaudited)	8

		(d) Condensed Statements of Cash Flows for the six months ended June 30 , 2026 and 202 5 (Unaudited)	9

		(e) Notes to Unaudited Condensed Financial Statements	10

	Item 2	Management’s Discussion and Analysis of Financial Condition and Results of Operations	18

	Item 3	Quantitative and Qualitative Disclosures About Market Risk	24

	Item 4	Controls and Procedures	25

Part II	Other Information		26

	Item 1	Legal Proceedings	26

	Item 1A	Risk Factors	26

	Item 2	Unregistered Sale of Equity Securities and Use of Proceeds	26

	Item 3	Default Upon Senior Securities	26

	Item 4	Mine Safety Disclosures	26

	Item 5	Other Information	26

	Item 6	Exhibits	27

Signatures			28

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CAUTIONARY NOTE REGARDING FORWARD-LOOKING STATEMENTS

Certain statements contained in this Quarterly Report on Form 10-Q for the quarter ended June 30, 2026 (this "Quarterly Report") that are not historical facts may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended (the "Securities Act"), and Section 21E of the Securities Exchange Act of 1934, as amended (the "Exchange Act"), and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. When used in this Quarterly Report, the words "believe," "anticipate," "expect," "may," "will," "assume," "should," "predict," "could," "would," "intend," "targets," "estimates," "projects," "plans," "forecast," "outlook," "guidance," "continue," and "potential," and other similar words and expressions of the future, are intended to identify such forward-looking statements, but other statements not based on historical information may also be considered forward-looking, including statements about the Company's future financial and operating results and the Company's plans, objectives, and intentions. Forward-looking statements include, among other things, statements about the matters set forth in this Quarterly Report, including those described in the risk factors below. All forward-looking statements are subject to risks, uncertainties, and other factors that may cause the actual results, performance, or achievements of the Company to differ materially from any results, performance, or achievements expressed or implied by such forward-looking statements. These risks, uncertainties and other factors include, but are not limited to:

•our ability to obtain and/or maintain regulatory approvals and comply with applicable regulations, including, our ability to receive 510(k) clearance for our products and product candidates, complete inspections conducted by the U.S. Food & Drug Administration (“FDA”) or other regulatory bodies with favorable outcomes, additional actions by or requests from the FDA (including a request to cease domestic distribution of products) or other regulatory bodies, and unanticipated costs or delays associated with the resolution of these matters;

•the timing and likelihood of regulatory approvals or clearances from the FDA or other regulatory bodies and regulatory actions on our product candidates and product marketing activities;

•unexpected costs, expenses and diversion of management attention resulting from actions or requests posed to us by the FDA or other regulatory bodies;

•our primary reliance on a limited number of products and our ability to identify and pursue development of additional products;

•our ability to retain the continued service of our key professionals, including key management, marketing and scientific personnel, and to identify, hire and retain such additional qualified professionals;

•our expectations regarding the sales and marketing of our products, product candidates and services;

•our expectations regarding the integrity of our supply chain for our products;

•the potential for adverse application of environmental, health and safety and other laws and regulations of any jurisdiction on our operations;

•our expectations for market acceptance of our new products;

•the potential for our marketed products to be withdrawn due to recalls, patient adverse events or deaths;

•our ability to successfully prepare, file, prosecute, maintain, defend, including in cases of infringement, and enforce patent claims and other intellectual property rights on our products;

•the implementation of our business strategies;

•the potential for exposure to product liability claims;

•our financial performance expectations and interpretations thereof by securities analysts and investors;

•our ability to compete in the development and marketing of our products and product candidates with existing companies and new market entrants in our industry;

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•difficulties or delays in the development, production, manufacturing and marketing of new or existing products and services;

•changes in laws and regulations or in the interpretation or application of laws or regulations, as well as possible failures to comply with applicable laws or regulations as a result of possible misinterpretations or misapplications;

•cost-containment efforts of our customers, purchasing groups, third-party payers and governmental organizations;

•costs associated with protecting our trade secrets and enforcing our patent, copyright and trademark rights, and successful challenges to the validity of our patents, copyrights or trademarks;

•actions of regulatory bodies and other government authorities, including the FDA and foreign counterparts, which could delay, limit or suspend product development, manufacturing or sales or result in recalls, seizures, consent decrees, injunctions and monetary sanctions;

•costs or claims resulting from potential errors or defects in our manufacturing that may injure persons or damage property or operations, including costs from remediation efforts or recalls;

•the results, consequences, effects or timing of any commercial disputes, patent infringement claims or other legal proceedings or any government investigations;

•changes in our production capacity, including interruptions in our ability to manufacture our products or an inability to obtain key components or raw materials or increased costs in such key components or raw materials;

•the risk that third parties may fail to uphold their contractual obligations or meet expected deadlines, which could disrupt our operations or adversely affect our financial results;

•uncertainties in our industry due to the effects of government-driven or mandated healthcare reform;

•competitive pressures in the markets in which we operate;

•the impact on our operations and financial results of any public health emergency, including any potential future pandemic or epidemic, or any natural disaster, and any related policies and actions by governments or other third parties;

•breaches or failures of our or our vendors’ or customers’ information technology systems or products, including by cyberattack, data leakage, unauthorized access or theft;

•the risks associated with the integration of Artificial Intelligence (“AI”) or Machine Learning (“ML”) into our products or business, including the risk of algorithmic errors or bias, evolving and uncertain regulatory requirements applicable to AI-enabled medical devices, data privacy and security concerns arising from the use of AI or ML, and potential liability arising from AI-driven product decisions or recommendations;

•the loss of, or default by, one or more key customers or suppliers;

•unfavorable changes to the terms of key customer or supplier relationships;

•weakening of economic conditions, or the anticipation thereof, that could adversely affect the level of demand for our products;

•increasing and/or fluctuating tax and interest rates as well as inflationary pressures on the U.S. and global economies;

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•geopolitical risks, including international conflicts, political instability and recent or upcoming elections in the United States (the “U.S.”) and other countries, which could, among other things, lead to increased market volatility;

•the impact of tariffs, trade restrictions, export controls, and changes in trade policy, which could increase the cost of components and raw materials used in our products, disrupt our supply chain, limit our ability to sell products in international markets, or otherwise adversely affect our business and results of operations; and

•other risks detailed in our filings with the U.S. Securities and Exchange Commission (the “SEC”).

These forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from those suggested by the forward-looking statements. Forward-looking statements should, therefore, be considered in light of various factors, including those set forth under “Part I, Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations,” “Part II, Item 1A. Risk Factors,” and elsewhere in this Quarterly Report, and under “Part I, Item 1A. Risk Factors” and “Part II, Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025 (the “2025 Annual Report”) and those set forth from time to time in our other filings with the SEC. These documents are available through our website or through the SEC's Electronic Data Gathering and Analysis Retrieval system at http://www.sec.gov. In light of such risks and uncertainties, we caution you not to place undue reliance on these forward-looking statements. These forward-looking statements speak only as of the date of this Quarterly Report, or if earlier, as of the date they were made. The Company undertakes no obligation to publicly update or revise any forward-looking statement contained in this Quarterly Report, whether as a result of new information, future developments, or otherwise, except as required by applicable law.

Unless expressly indicated or the context requires otherwise, references in this Quarterly Report to “IRADIMED,” the “Company,” “we,” “our,” and “us” refer to IRADIMED CORPORATION.

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PART I. FINANCIAL INFORMATION

Item 1. Condensed Financial Statements

IRADIMED CORPORATION

CONDENSED BALANCE SHEETS

(in thousands)


	June 30, 2026		December 31, 2025
	(unaudited)		(audited)
ASSETS
Current assets:
Cash and cash equivalents	$	59,080	$	51,159
Accounts receivable, net of allowance for credit losses of $174 as of June 30, 2026, and $191 as of December 31, 2025	13,192		13,667
Inventory, net	12,257		11,620
Prepaid expenses and other current assets	1,401		1,646
Prepaid income taxes	792		3,111
Total current assets	86,722		81,203
Property and equipment, net	24,208		23,856
Intangible assets, net	3,438		3,384

Deferred tax asset, net	363		94
Other assets	244		239
Total assets	$	114,975	$	108,776
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Accounts payable	$	1,849	$	1,820
Accrued payroll and benefits	3,059		3,218
Other accrued taxes	641		313
Warranty reserve	146		144
Deferred revenue	3,469		2,871


Accrued income taxes	—		1,814
Total current liabilities	9,164		10,180
Deferred revenue, non-current	4,063		3,978

Total liabilities	$	13,227	$	14,158
Stockholders’ equity:
Common stock; $0.0001 par value per share; 31,500,000 shares authorized; 12,786,740 shares issued and outstanding as of June 30, 2026, and 12,781,774 shares issued and outstanding as of December 31, 2025	$	1	$	1
Additional paid-in capital	31,593		30,386
Retained earnings	70,154		64,231
Total stockholders' equity	101,748		94,618
Total liabilities and stockholders’ equity	$	114,975	$	108,776

See accompanying notes to unaudited condensed financial statements.

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IRADIMED CORPORATION

CONDENSED STATEMENTS OF OPERATIONS

(Unaudited)

(in thousands, except per share data)


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Revenue	$	20,466	$	20,409	$	42,444	$	39,920
Cost of revenue	5,306		4,454		10,471		9,122
Gross profit	15,160		15,955		31,973		30,798
Operating expenses:
General and administrative	3,866		4,280		8,435		8,891
Sales and marketing	4,246		4,010		8,298		8,186
Research and development	657		877		1,613		1,502
Total operating expenses	8,769		9,167		18,346		18,579
Income from operations	6,391		6,788		13,627		12,219
Other income, net	497		539		1,030		1,053
Income before provision for income taxes	6,888		7,327		14,657		13,272
Provision for income tax expense	1,670		1,553		3,621		2,811
Net income	$	5,218	$	5,774	$	11,036	$	10,461
Net income per share:
Basic	$	0.41	$	0.45	$	0.86	$	0.82
Diluted	$	0.41	$	0.45	$	0.86	$	0.82
Weighted average shares outstanding:
Basic	12,784		12,716		12,783		12,715
Diluted	12,872		12,835		12,871		12,830

See accompanying notes to unaudited condensed financial statements.

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IRADIMED CORPORATION

CONDENSED STATEMENTS OF STOCKHOLDERS’ EQUITY

(Unaudited)

(in thousands)


	Common Stock			Additional Paid-in Capital		Retained Earnings		Stockholders’ Equity
	Shares	Amount
Balances, December 31, 2025	12,782	$	1	$	30,386	$	64,231	$	94,618
Net income	—	—		—		5,818		5,818
Dividends declared	—	—		—		(2,556)		(2,556)
Stock-based compensation expense	—	—		684		—		684
Net share settlement of restricted stock units	1	—		(50)		—		(50)

Balances, March 31, 2026	12,783	$	1	$	31,020	$	67,493	$	98,514

Net income	—	—		—		5,218		5,218
Dividends declared	—	—		—		(2,557)		(2,557)
Stock-based compensation expense	—	—		807		—		807
Net share settlement of restricted stock units	4	—		(234)		—		(234)

Balances, June 30, 2026	12,787	$	1	$	31,593	$	70,154	$	101,748


	Common Stock			Additional Paid-in Capital		Retained Earnings		Stockholders’ Equity
	Shares	Amount
Balances, December 31, 2024	12,710	$	1	$	30,027	$	56,791	$	86,819
Net income	—	—		—		4,687		4,687
Dividends declared	—	—		—		(2,161)		(2,161)
Stock-based compensation expense	—	—		826		—		826
Net share settlement of restricted stock units	5	—		(116)		—		$	(116)

Balances, March 31, 2025	12,715	$	1	$	30,737	$	59,317	$	90,055

Net income	—	—		—		5,774		5,774
Dividends declared	—	—		—		(2,162)		-2,162
Stock-based compensation expense	—	—		730		—		730
Net share settlement of restricted stock units	5	—		(96)		—		(96)

Balances, June 30, 2025	12,720	$	1	$	31,371	$	62,929	$	94,301

See accompanying notes to unaudited condensed financial statements.

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IRADIMED CORPORATION

CONDENSED STATEMENTS OF CASH FLOWS

(Unaudited)

(in thousands)


	Six Months Ended June 30,
	2026		2025
Operating activities:
Net income	$	11,036	$	10,461
Adjustments to reconcile net income to net cash provided by operating activities:
Allowance for credit losses	(17)		(33)
Provision for excess and obsolete inventory	53		8
Depreciation & amortization	865		402
Loss on disposal of property and equipment	—		1
Stock-based compensation	1,491		1,557
Deferred income taxes, net	(269)		263
Changes in operating assets and liabilities:
Accounts receivable	492		(333)
Inventory	(1,049)		(871)
Prepaid income taxes	2,319		207
Prepaid expenses and other current assets	245		(411)
Other assets	(5)		(6)
Accounts payable	29		5
Accrued payroll and benefits	(159)		(562)
Other accrued taxes	328		162
Warranty reserve	2		3
Deferred revenue	683		1,336
Other current liabilities	—		(150)
Accrued income taxes	(1,814)		—
Net cash provided by operating activities	14,230		12,039
Investing activities:
Purchases of property and equipment	(588)		(6,333)
Capitalized intangible assets	(324)		(408)
Net cash used in investing activities	(912)		(6,741)
Financing activities:
Dividends paid	(5,113)		(4,323)

Taxes paid related to the net share settlement of equity awards	(284)		(212)
Net cash used in financing activities	(5,397)		(4,535)
Net increase in cash and cash equivalents	7,921		762
Cash and cash equivalents, beginning of period	51,159		52,234
Cash and cash equivalents, end of period	$	59,080	$	52,996
Supplemental disclosure of cash flow information:
Cash paid for income taxes	$	3,385	$	2,346

See accompanying notes to unaudited condensed financial statements.

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IRADIMED CORPORATION

Notes to Unaudited Condensed Financial Statements

1 — Basis of Presentation

The accompanying interim unaudited condensed financial statements of IRADIMED CORPORATION (“IRADIMED,” the “Company,” “we,” “our” and “us”) have been prepared pursuant to the rules and regulations of the SEC. Certain information and footnote disclosures normally presented in annual financial statements prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) have been condensed or omitted pursuant to such rules and regulations. The interim financial information is unaudited, but reflects all normal adjustments that are, in the opinion of management, necessary for the fair presentation of our financial position, results of operations and cash flows for the interim periods presented. Operating results for the three and six months ended June 30, 2026 are not necessarily indicative of the results that may be expected for the year ending December 31, 2026, and other interim periods, or future years or periods.

The accompanying interim unaudited condensed financial statements should be read in conjunction with the financial statements and related footnotes to financial statements included in our 2025 Annual Report. The accounting policies followed in the preparation of these interim condensed financial statements, except as described in Note 1 herein, are consistent in all material respects with those described in Note 1 to the Financial Statements in the 2025 Annual Report.

We operate in one reportable segment, which develops, manufactures, markets, sells, and distributes innovative Magnetic Resonance Imaging (“MRI”) compatible medical devices, related accessories, disposables, and service for use primarily by hospitals and acute care facilities during MRI procedures. We are a provider of (i) non-magnetic intravenous (“IV”) infusion pump systems and (ii) non-magnetic patient vital signs monitoring systems that are each designed for use during MRI procedures.

Certain Significant Risks and Uncertainties

We market our products to end users in the U.S. and to third-party distributors internationally. Sales to end users in the U.S. are generally made on open credit terms. Management maintains an allowance for potential credit losses.

We have deposited our cash and cash equivalents with various financial institutions. Our cash and cash equivalents balances exceed federally insured limits regularly throughout the year. We have not incurred any losses related to these balances.

Our medical devices require clearance from the FDA and international regulatory agencies prior to commercialized sales. Our future products may not receive required clearance. If we were denied such clearances, or if such clearances were revoked or delayed or if we were unable to timely renew certain clearances for existing products, it would have a materially adverse impact on our business, results of operations and financial condition.

Certain key components essential to the functionality of our products are obtained from sole-source suppliers. Any disruption in the availability of these components would have a materially adverse impact on our business, results of operations and financial condition.

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2 — Revenue Recognition

Disaggregation of Revenue

We disaggregate revenue from contracts with customers by geographic region and revenue type as we believe it best depicts the nature, amount, timing and uncertainty of our revenue and cash flow.

Revenue information by geographic region is as follows:


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
(in thousands)	(unaudited)				(unaudited)
United States	$	16,721	$	18,190	$	34,745	$	34,143
International	3,745		2,219		7,699		5,777
Total revenue	$	20,466	$	20,409	$	42,444	$	39,920

Revenue information by type is as follows:


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
(in thousands)	(unaudited)				(unaudited)
Devices:
MRI Compatible Intravenous ("IV") Infusion Pump Systems	$	6,428	$	8,188	$	14,092	$	14,187
MRI Compatible Patient Vital Signs Monitoring Systems	6,665		5,944		13,772		12,489
Ferro Magnetic Detection Systems	756		482		1,377		900
Total devices revenue	13,849		14,614		29,241		27,576
Amortization of extended maintenance agreements	758		592		1,417		1,153
Disposables	4,793		4,204		9,678		9,151
Services and other	1,066		999		2,108		2,040
Total revenue	$	20,466	$	20,409	$	42,444	$	39,920

Contract Liabilities

Our contract liabilities consist of:


	June 30, 2026		December 31, 2025
(in thousands)	(unaudited)		(audited)
Advance payments from customers	$	346	$	486
Shipments in-transit	108		93
Extended maintenance agreements	7,078		6,270
Total	$	7,532	$	6,849

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Changes in the contract liabilities during the periods presented are as follows:


	Deferred Revenue
(in thousands)	(unaudited)
Contract liabilities, December 31, 2025	$	6,849
Increases due to cash received from customers	3,795
Decreases due to recognition of revenue	(3,112)
Contract liabilities, June 30, 2026	$	7,532


	Deferred Revenue
(in thousands)	(unaudited)
Contract liabilities, December 31, 2024	$	5,253
Increases due to cash received from customers	3,045
Decreases due to recognition of revenue	(1,709)
Contract liabilities, June 30, 2025	$	6,589

Capitalized Contract Costs

Our capitalized contract costs totaled $244 thousand and $239 thousand as of June 30, 2026 and December 31, 2025, respectively, and are classified as other assets on the unaudited condensed balance sheets.

3 — Basic and Diluted Net Income per Share

Basic net income per share is based upon the weighted-average number of shares of Company common stock, par value $0.0001 per share (“common stock”), outstanding during the period. Diluted net income per share of common stock reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock. Stock options, restricted stock units and performance-based restricted stock units granted by us represent the only dilutive effect reflected in diluted weighted-average shares of common stock outstanding.

The following table presents the computation of basic and diluted net income per share of common stock:


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
(in thousands, except per share data)	(unaudited)				(unaudited)
Net income	$	5,218	$	5,774	$	11,036	$	10,461
Weighted-average shares outstanding — Basic	12,784		12,716		12,783		12,715
Effect of dilutive securities:

Restricted stock units	46		58		46		55
Performance-based restricted stock units	42		61		42		60
Weighted-average shares outstanding — Diluted	12,872		12,835		12,871		12,830
Basic net income per share	$	0.41	$	0.45	$	0.86	$	0.82
Diluted net income per share	$	0.41	$	0.45	$	0.86	$	0.82

Restricted stock units excluded from the calculation of diluted net income per share because the effect would have been anti-dilutive are as follows:


	Three Months Ended June 30,		Six Months Ended June 30,
(shares in thousands)	2026	2025	2026	2025
	(unaudited)		(unaudited)
Anti-dilutive restricted stock units	16	—	10	—

4 — Inventory, net

Inventory consists of:


	June 30,		December 31,
	2026		2025
(in thousands)	(unaudited)		(audited)
Raw materials	$	10,713	$	9,612
Work in process	625		831
Finished goods	1,527		1,732
Inventory before allowance for excess and obsolete	12,865		12,175
Allowance for excess and obsolete	608		555
Total	$	12,257	$	11,620

5 — Property and Equipment, net

Property and equipment consist of:



	June 30, 2026		December 31, 2025
(in thousands)	(unaudited)		(audited)
Land	$	8,105	$	8,105
Land improvements	1,409		1,409
Building	11,545		11,526
Computer software and hardware	2,289		2,187
Furniture and fixtures	2,468		2,078

Machinery and equipment	3,836		3,600
Construction in-process	223		23
	29,875		28,928
Accumulated depreciation	(5,667)		(5,072)
Total	$	24,208	$	23,856

Depreciation expense of property and equipment was approximately $303 thousand and $136 thousand for the three months ended June 30, 2026 and 2025, respectively, and $595 thousand and $270 thousand for the six months ended June 30, 2026 and 2025, respectively.

Property and equipment, net, information by geographic region is as follows:


	June 30, 2026		December 31, 2025
(in thousands)	(unaudited)		(audited)
United States	$	23,709	$	23,507
International	499		349
Total property and equipment, net	$	24,208	$	23,856

Long-lived assets held outside of the U.S. consist principally of tooling, which is a component of machinery and equipment.

6 — Intangible Assets, net

The following table summarizes the components of intangible asset balances:



	June 30, 2026		December 31, 2025
(in thousands)	(unaudited)		(audited)
Patents — in use	$	443	$	443
Patents — fully amortized	70		70
Patents — in process	75		74
Internally developed software — in use	4,254		3,934
Internally developed software — in process	377		374
Trademarks	44		44
	5,263		4,939
Accumulated amortization	(1,825)		(1,555)
Total	$	3,438	$	3,384

Amortization expense of intangible assets was approximately $106 thousand and $72 thousand for the three months ended June 30, 2026 and 2025, respectively, and $270 thousand and $132 thousand for the six months ended June 30, 2026 and 2025, respectively.

Expected annual amortization expense for the remaining portion of 2026, the next five years, and thereafter related to intangible assets, excluding trademarks considered to have indefinite lives, is as follows:


(in thousands)
Six months remaining ending December 31, 2026	$	216
2027	431
2028	428
2029	424
2030	406
2031	243
Thereafter	1,246

7 — Segment Reporting

The Company operates in one business segment that develops, manufactures, markets, sells, and distributes MRI compatible medical devices, related accessories, disposables and services relating to them. The determination to operate as a single business segment is consistent with the consolidated financial information regularly provided to the Company’s appointed chief operating decision maker (CODM), the President, Chief Executive Officer, and Chairman of the Company’s Board of Directors (the “Board”), Roger Susi. As the Company has only one operating segment and is managed on a consolidated basis, the measure of profit or loss is consolidated net income or loss. The accounting policies for our segment are the same as those described in “Note 1 - Organization and Significant Accounting Policies” in our 2025 Annual Report, and in Note 1 above. See the Condensed Statements of Operations.

8 — Fair Value Measurements

The fair values of cash equivalents, accounts receivables, net, and accounts payable approximate their carrying amounts due to their short duration.

As of June 30, 2026, we did not have any assets or liabilities subject to recurring fair value measurements.

9 — Stock-Based Compensation

Stock-based compensation was recognized as follows in the unaudited Condensed Statements of Operations:



	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
(in thousands)	(unaudited)				(unaudited)
Cost of revenue	$	71	$	71	$	140	$	143
General and administrative	477		438		865		957
Sales and marketing	178		120		336		255
Research and development	81		102		150		202
Total	$	807	$	731	$	1,491	$	1,557

As of June 30, 2026, we had (i) $4,383 thousand of unrecognized compensation cost related to unvested restricted stock units, which is expected to be recognized over a weighted-average period of 2.38 years and (ii) $529 thousand of unrecognized compensation cost related to unvested performance-based restricted stock units, which is expected to be recognized over a weighted-average period of 1.25 years.

The following table presents a summary of our equity award activity for the six months ended June 30, 2026:


	Six Months Ended June 30, 2026
(shares in thousands)	Restricted Stock Units	Performance Based Restricted Stock Units
Outstanding beginning of period	83	25
Awards granted	17	—
Awards exercised/vested	(8)	—
Awards canceled/ forfeited	(1)	—
Outstanding end of period	91	25

10 — Income Taxes

For the three and six months ended June 30, 2026, we recorded a provision for income tax expense of $1,670 thousand and $3,621 thousand, respectively. For the three and six months ended June 30, 2026, our effective tax rate was 24.2% and 24.7%, respectively, and differed from the U.S. federal statutory rate primarily due to U.S. state income tax expense, and non-deductible compensation expenses, partially offset by benefits from research and development tax credits.

For the three and six months ended June 30, 2025, we recorded a provision for income tax expense of $1,553 thousand and $2,811 thousand, respectively. For the three and six months ended June 30, 2025, our effective tax rate was consistent at 21.2%, and differed from the U.S. federal statutory rate primarily due to U.S. state income tax expense, partially offset by benefits from research and development tax credits.

We file tax returns in the U.S. federal jurisdiction and many U.S. state jurisdictions. Our returns are not currently under examination by the Internal Revenue Service. The Company remains subject to income tax examinations for our U.S. federal and certain U.S. state income taxes for 2023 and subsequent years.

On July 4, 2025, the One Big Beautiful Bill Act (“OBBBA”) was enacted in the U.S. The OBBBA includes several significant provisions, including the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act, modifications to the international tax framework, and the restoration of favorable tax treatment for certain business provisions, such as accelerated deductions for qualified property and domestic research expenditures. The Company has evaluated the impact of the OBBBA on its financial statements and does not expect the legislation to result in a material

change to its annual effective tax rate. During the first quarter of 2026, the Company implemented the OBBBA‑related changes to the foreign‑derived deduction regime, including the transition from the foreign‑derived intangible income (“FDII”) deduction to the foreign‑derived deduction‑eligible income (“FDDEI”) deduction, which became effective for tax years beginning after December 31, 2025.

11 — Commitments and Contingencies

Purchase commitments. We had various purchase orders for goods or services totaling $11,020 thousand and $9,827 thousand as of June 30, 2026 and December 31, 2025, respectively. Amounts recognized on our balance sheets related to these purchase orders were immaterial.

Legal matters. From time to time, the Company is party to litigation and other legal matters incidental to the conduct of its business. Such matters are subject to many uncertainties and outcomes cannot be predicted with assurance. The Company accrues liabilities for such matters when it is probable that future expenditures will be made and such expenditures can be reasonably estimated. As of June 30, 2026, the Company was not involved in any such matters, individually or in the aggregate, which management believes would have a material adverse effect on the Company’s business, financial condition, results of operations, or cash flows.

12 — Subsequent Events

On July 30, 2026, the Board declared a regular quarterly cash dividend of $0.20 per share of outstanding common stock. The dividend is payable to stockholders of record as of the close of business on August 14, 2026 and will be paid on August 28, 2026.

Except as described above and elsewhere in this Quarterly Report, there were no subsequent events requiring disclosure or recognition in the Company’s unaudited condensed financial statements.

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following discussion and analysis should be read in conjunction with (i) our unaudited condensed financial statements and the related notes thereto included in this Quarterly Report, (ii) discussions under "Part I, Item 1. Business,” “Part I, Item 1A. Risk Factors,” and “Part II, Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations” in the 2025 Annual Report, and (iii) “Part II, Item 1A. Risk Factors” and the “Cautionary Statements Regarding Forward-Looking Statements” section included in this Quarterly Report.

Our Business

We develop, manufacture, market, sell, and distribute MRI compatible medical devices and product related accessories, disposables, and services.

We are a leader in the development of innovative MRI compatible medical devices. We are the only known provider of non-magnetic IV infusion pump systems specifically designed to be safe for use during MRI procedures. We were the first to develop an infusion delivery system that largely eliminates many of the dangers and problems present during MRI procedures. Standard infusion pumps contain magnetic and electronic components, which can create radio frequency interference and are dangerous to operate in the presence of the powerful magnet that drives an MRI system. Our patented MRidium MRI compatible IV infusion pump systems have been designed with a non-magnetic ultrasonic motor, uniquely designed non-ferrous parts and other special features to safely and predictably deliver anesthesia and other IV fluids during various MRI procedures. Our pump solutions provide a seamless approach that enables accurate, safe and dependable fluid delivery before, during and after an MRI scan, which is important to critically ill patients who cannot be removed from their vital medications, and children and infants who must generally be sedated to remain immobile during an MRI scan.

Each IV infusion pump system generally consists of an MRidium MRI compatible IV infusion pump, non-magnetic mobile stand, proprietary disposable IV tubing sets and many of these systems contain additional optional upgrade accessories.

Our 3880 MRI compatible patient vital signs monitoring system has been designed with non-magnetic components and other special features to safely and accurately monitor a patient’s vital signs during various MRI procedures. The IRadimed 3880 system operates dependably in magnetic fields up to 30,000 gauss, which means it can operate virtually anywhere in the MRI scanner room. The IRadimed 3880 has a compact, lightweight design allowing it to travel with the patient from their critical care unit, to the MRI and back, resulting in increased patient safety through uninterrupted vital signs monitoring and decreasing the amount of time critically ill patients are away from critical care units. The features of the IRadimed 3880 include: wireless electrocardiogram (ECG) with dynamic gradient filtering; wireless peripheral oxygen saturation (SpO2) monitoring using Masimo® algorithms; non-magnetic respiratory carbon dioxide (CO2); invasive and non-invasive blood pressure; patient temperature; and optional advanced multi-gas anesthetic agent unit featuring continuous Minimum Alveolar Concentration measurements. The IRadimed 3880 MRI compatible patient vital signs monitoring system has an easy-to-use design and allows for the effective communication of patient vital signs information to clinicians.

We generate revenue from the sale of MRI compatible medical devices and accessories, extended maintenance agreements, services related to maintaining our products and the sale of disposable products used with our devices. The principal customers for our MRI compatible products include hospitals and acute care facilities, both in the U.S. and internationally. As of June 30, 2026, our direct U.S. sales force consisted of 29 field sales representatives, 4 regional sales directors and supplemented by 11 clinical application specialists. Internationally, we have distribution agreements with independent distributors selling our products.

Selling cycles for our devices have varied widely and have historically ranged between three and six months in duration. We also enter into agreements with integrated delivery networks (“IDNs”) and healthcare supply contracting companies, which are commonly referred to as group purchasing organizations (“GPOs”) in the U.S., which enable us to sell and distribute our products to their member hospitals. GPOs negotiate volume purchase prices for hospitals, group practices, and other clinics that are members of a GPO. Under our GPO agreements, we are required to pay the GPOs a fee of three percent of the sales of our products to members of the GPO. Sales to participating IDNs do not have an associated fee.

Financial Highlights

For the quarter ended June 30, 2026, our revenue increased by $0.1 million, or 0.5%, to $20.5 million from $20.4 million compared to the same period of 2025. Income before the provision for income taxes was $6.9 million for the quarter ended June 30, 2026, compared to $7.3 million for the quarter ended June 30, 2025. Net income was $5.2 million, or $0.41 per diluted share, in the quarter ended June 30, 2026, compared to $5.8 million, or $0.45 per diluted share in the quarter ended June 30, 2025.

For the fiscal year 2026, we expect higher revenue when compared to the fiscal year 2025 primarily due to higher sales of our medical devices and products, related accessories, disposables, and services. We also expect higher operating expenses compared to the fiscal year 2025 primarily due to higher sales and marketing, regulatory, and general and administrative expenses.

Recent Developments and Trends

In addition to the trends identified in the 2025 Annual Report under “Part II, Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations,” our business in fiscal year 2026 has been impacted, and we believe will continue to be impacted, by the recent developments and trends stated therein and herein.

In February 2026, the Supreme Court of the United States issued a ruling determining that certain tariffs were not lawfully imposed. As a result of this decision, impacted importers may be entitled to seek refunds of previously paid tariffs, subject to applicable administrative processes and further governmental actions. The Company has incurred costs associated with tariffs on certain imported materials and components and is evaluating its eligibility to pursue refunds. While the ruling may provide a basis for recovery of certain amounts previously paid, the timing, process, and ultimate realization of any such refunds remain uncertain and may be subject to additional regulatory guidance or legal developments. The Company cannot reasonably estimate the financial impact of this matter, including the amount or timing of any potential refunds at this time and will continue to assess developments and their potential impact on its business, financial condition, and results of operations.

The Company continues to monitor ongoing geopolitical developments, including the current conflicts in the Middle East, and the potential impacts on global trade policies and economic conditions. These events have contributed to increased uncertainty in international markets, including potential disruptions to supply chains, fluctuations in commodity and transportation costs, and evolving trade regulations. The Company has not experienced a material adverse impact on its operations or financial condition as a direct result of these developments. However, the situation remains dynamic, and the extent to which these geopolitical events may affect the Company’s business, results of operations, or financial condition in future periods remains uncertain. The Company will continue to actively assess potential risks and implement mitigation strategies, where appropriate, to address any emerging impacts.

Critical Accounting Estimates

The discussion and analysis of our financial condition and results of operations are based on our unaudited condensed financial statements, which we have prepared in accordance with GAAP. The preparation of these unaudited condensed financial statements requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities and the disclosure of contingent assets and liabilities at the date of the unaudited condensed financial statements as well as the reported revenue and expenses during the reporting periods. On an ongoing basis, we evaluate our estimates and judgments. We base our estimates on historical experience and on various other factors that we believe are reasonable under the circumstances, the results of which form the basis for making judgments about the carrying value of assets and liabilities that are not readily apparent from other sources. Actual results may differ from these estimates under different assumptions or conditions.

We believe that the estimates, assumptions and judgments involved in the accounting policies described in “Part II, Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations” of our 2025 Annual Report have the greatest potential impact on our financial statements, so we consider them to be our critical accounting policies and estimates. As of June 30, 2026, there were no material changes to the information provided regarding recent accounting pronouncements in Note 1 to the Financial Statements in the 2025 Annual Report.

Results of Operations

The following table sets forth selected statements of operations data as a percentage of total revenue for the periods indicated. Our historical operating results are not necessarily indicative of the results for any future period.


	Percent of Revenue				Percent of Revenue
	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
	(unaudited)				(unaudited)
Revenue	100.0	%	100.0	%	100.0	%	100.0	%
Cost of revenue	25.9		21.8		24.7		22.9
Gross profit	74.1		78.2		75.3		77.1
Operating expenses:
General and administrative	18.9		21.0		19.9		22.3
Sales and marketing	20.7		19.6		19.5		20.5
Research and development	3.2		4.3		3.8		3.8
Total operating expenses	42.8		44.9		43.2		46.6
Income from operations	31.3		33.3		32.1		30.6
Other income, net	2.4		2.6		2.4		2.6
Income before provision for income taxes	33.7		35.9		34.5		33.2
Provision for income tax expense	8.2		7.6		8.5		7.0
Net income	25.5	%	28.3	%	26.0	%	26.2	%

Comparison of the Three Months Ended June 30, 2026 and 2025

Revenue by Geographic Region


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
(in thousands)	(unaudited)				(unaudited)
United States	$	16,721	$	18,190	$	34,745	$	34,143
International	3,745		2,219		7,699		5,777
Total revenue	$	20,466	$	20,409	$	42,444	$	39,920

Revenue by Type


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
(in thousands)	(unaudited)				(unaudited)
Devices:
MRI Compatible Intravenous ("IV") Infusion Pump Systems	$	6,428	$	8,188	$	14,092	$	14,187
MRI Compatible Patient Vital Signs Monitoring Systems	6,665		5,944		13,772		12,489
Ferro Magnetic Detection Systems	756		482		1,377		900
Total devices revenue	13,849		14,614		29,241		27,576
Amortization of extended maintenance agreements	758		592		1,417		1,153
Disposables	4,793		4,204		9,678		9,151
Services and other	1,066		999		2,108		2,040
Total revenue	$	20,466	$	20,409	$	42,444	$	39,920

For the three months ended June 30, 2026, total revenue increased by $0.1 million, or 0.5%, to $20.5 million from $20.4 million for the same period in 2025. This increase is primarily attributed to modifications to our sales incentive plan for patient vital signs monitoring systems, disposables, and amortization of extended maintenance revenue.

Revenue from sales in the U.S. decreased by $1.5 million, or 8%, to $16.7 million for the three months ended June 30, 2026, from $18.2 million for the same period in 2025. Revenue from sales internationally increased by $1.5 million, or 69%, to $3.7 million from $2.2 million for the same period in 2025. Domestic sales accounted for 82% of revenue for the three months ended June 30, 2026 and 89% of revenue for the same period in 2025.

Revenue from sales of devices decreased by $0.8 million, or 5%, to $13.8 million for the three months ended June 30, 2026, from $14.6 million for the same period in 2025. Revenue from the amortization of extended maintenance agreements increased by $0.2 million, or 28%, to $0.8 million for the three months ended June 30, 2026 from $0.6 million for the three months ended June 30, 2025. Revenue from sales of disposables increased by $0.6 million, or 14%, to $4.8 million for the three months ended June 30, 2026 from $4.2 million for the three months ended June 30, 2025. Revenue from services and other increased by $0.1 million, or 7%, to $1.1 million from $1.0 million for the same period in 2025.

For the six months ended June 30, 2026, total revenue increased by $2.5 million, or 6%, to $42.4 million from $39.9 million for the same period in 2025. This is attributed to sales of our new MRidium® 3870 IV infusion pump system, disposables, modification to sales incentive plan for patient vital signs monitoring systems, and increase in Ferro Magnetic Detection System sales.

Revenue from sales in the U.S. increased by $0.6 million, or 2%, to $34.7 million for the six months ended June 30, 2026, from $34.1 million for the same period in 2025. Revenue from sales internationally increased by $1.9 million, or 33%, for the six months ended June 30, 2026 to $7.7 million, from $5.8 million for the same period in 2025. Domestic sales accounted for 82% of revenue for the six months ended June 30, 2026, and 86% of revenue for the same period in 2025.

Revenue from sales of devices increased by $1.7 million, or 6%, to $29.2 million for the six months ended June 30, 2026, from $27.6 million for the same period in 2025. Revenue from the amortization of extended maintenance agreements increased by $0.2 million, or 23%, to $1.4 million for the six months ended June 30, 2026, from $1.2 million for the six months ended June 30, 2025. Revenue from sales of our disposables increased by $0.5 million, or 6%, to $9.7 million for the six months ended June 30, 2026, from $9.2 million for the same period in 2025. Revenue from the services and other increased by $0.1 million, or 3%, to $2.1 million for the six months ended June 30, 2026, from $2.0 million for the six months ended June 30, 2025.

Cost of Revenue and Gross Profit


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
(in thousands)	(unaudited)						(unaudited)
Revenue	$	20,466		$	20,409		$	42,444		$	39,920
Cost of revenue	5,306			4,454			10,471			9,122
Gross profit	$	15,160		$	15,955		$	31,973		$	30,798
Gross profit percentage	74		%	78		%	75		%	77		%

For the three months ended June 30, 2026, our cost of revenue increased by $0.8 million, or 18%, to $5.3 million from $4.5 million for the same period in 2025. For the three months ended June 30, 2026, our gross profit decreased by $0.8 million, or 5%, to $15.2 million from $16.0 million for the same period in 2025. For the three months ended June 30, 2026, gross profit margin decreased to 74% compared to 78% for the same period in 2025. The decrease in gross margin is attributed to initial production inefficiencies on new product manufacturing.

For the six months ended June 30, 2026, our cost of revenue increased by $1.3 million, or 14%, to $10.4 million from $9.1 million for the same period in 2025. For the six months ended June 30, 2026, our gross profit increased by $1.2 million, or 4%, to $32.0 million from $30.8 million for the same period in 2025. For the six months ended June 30, 2026, gross profit margin decreased to 75% compared to 77% for the same period in 2025.

Operating Expenses


	Three Months Ended June 30,						Six Months Ended June 30,
	2026			2025			2026			2025
(in thousands)	(unaudited)						(unaudited)
General and administrative	$	3,866		$	4,280		$	8,435		$	8,891
Percentage of revenue	18.9		%	21.0		%	19.9		%	22.3		%
Sales and marketing	$	4,246		$	4,010		$	8,298		$	8,186
Percentage of revenue	20.7		%	19.6		%	19.6		%	20.5		%
Research and development	$	657		$	877		$	1,613		$	1,502
Percentage of revenue	3.2		%	4.3		%	3.8		%	3.8		%

General and Administrative

For the three months ended June 30, 2026, general and administrative expense decreased by $0.4 million, or 9%, to $3.9 million from $4.3 million for the same period in 2025. This decreased primarily because of lower legal and professional expenses, regulatory consulting, and payroll and benefit expenses.

For the six months ended June 30, 2026, general and administrative expense decreased by $0.5 million, or 5%, to $8.4 million from $8.9 million for the same period in 2025. This decreased primarily because of lower legal and professional expenses, regulatory consulting, and payroll and benefits expenses.

Sales and Marketing

For the three months ended June 30, 2026, sales and marketing expense increased by $0.2 million, or 6%, to $4.2 million from $4.0 million for the same period in 2025. This increase is primarily due to increased sales commissions related to increased monitor books and newly released MRidium® 3870 IV infusion pump system bookings.

For the six months ended June 30, 2026, sales and marketing expense increased by $0.1 million, or 1%, to $8.3 million from $8.2 million for the same period in 2025. This increase is primarily due to increased sales commissions related to increased monitor books and newly released MRidium® 3870 IV infusion pump system bookings.

Research and Development

For the three months ended June 30, 2026, research and development expense decreased by $0.2 million, or 22%, to $0.7 million from $0.9 million for the same period in 2025. This is primarily due to a decrease in payroll and benefit expenses capitalized as internal software development for the current period.

For the six months ended June 30, 2026, research and development expense increased by $0.1 million, or 7%, to $1.6 million from $1.5 million for the same period in 2025. This increase is primarily due to an increase in payroll

and benefit expenses. Payroll expenses related to the MRidium® 3870 IV infusion pump system, were capitalized for the first three months in 2025, offset by current period capitalized software.

Other Income, Net

Other income, net consists of interest income (the largest component), foreign currency gains and losses, and other miscellaneous income. For the three months ended June 30, 2026, other income, net decreased $42 thousand, or 8%, to $497 thousand from $539 thousand for the same period in 2025.

For the six months ended June 30, 2026, other income, net, decreased by $23 thousand, or 2%, to $1,030 thousand from $1,053 thousand for the same period in 2025. This income is primarily interest received in 2026 and 2025 on money market fund investments.

Income Taxes

For the three and six months ended June 30, 2026, we recorded a provision for income tax expense of $1,670 thousand and $3,621 thousand, respectively. For the three and six months ended June 30, 2026, our effective tax rate was 24.2% and 24.7% respectively, and differed from the U.S. federal statutory rate primarily due to U.S. state income tax expense, and non-deductible compensation expenses, partially offset by benefits from research and development tax credits.

On July 4, 2025, the OBBBA was enacted in the United States. The OBBBA includes several significant provisions, including the permanent extension of certain expiring provisions of the Tax Cuts and Jobs Act, modifications to the international tax framework, and the restoration of favorable tax treatment for certain business provisions, such as accelerated deductions for qualified property and domestic research expenditures. The Company has evaluated the impact of the OBBBA on its financial statements and does not expect the legislation to result in a material change to its annual effective tax rate. During the first quarter of 2026, the Company implemented the OBBBA‑related changes to the foreign‑derived deduction regime, including the transition from the FDII deduction to the FDDEI deduction, which became effective for tax years beginning after December 31, 2025.

Liquidity and Capital Resources

Our principal sources of liquidity have historically been our cash and cash equivalents balances, cash flow from operations and access to the financial markets. Our principal uses of cash are operating expenses, working capital requirements, capital expenditures and dividend payments.

As of June 30, 2026, we had cash and cash equivalents of $59.1 million, stockholders’ equity of $101.7 million, and working capital of $77.6 million. As of December 31, 2025, we had cash and cash equivalents of $51.2 million, stockholders’ equity of $94.6 million, and working capital of $71.0 million.

We believe that our current cash, and cash generated from operations will be sufficient to meet our ongoing operating requirements for at least the next 12 months and into the foreseeable future. We do not anticipate requiring additional capital; however, if required or desirable, we may seek to obtain a credit facility, raise debt, or issue additional equity in private or public markets. Various economic conditions (including persistent inflationary pressures, elevated or volatile interest rate levels, and the imposition of, expansion of, or changes in tariffs or other trade restrictions) may disrupt capital markets at any time, which could reduce our ability to access capital and negatively affect our liquidity in the future.


	Six Months Ended June 30,
	2026		2025
(in thousands)	(unaudited)
Net cash provided by operating activities	$	14,230	$	12,039
Net cash used in investing activities	(912)		(6,741)
Net cash used in financing activities	(5,397)		(4,535)

Cash provided by operating activities increased by $2.2 million, to $14.2 million for the six months ended June 30, 2026, compared to $12.0 million for the same period in 2025. During the six months ended June 30, 2026, cash provided by operations was positively impacted by higher net income, lower cash outflows related to accounts payable and pre-paid expenses, and inventory purchases, and offset by an increase in accounts receivable related to timing.

Cash used in investing activities decreased by $5.8 million, to $0.9 million for the six months ended June 30, 2026, compared to $6.7 million for the same period in 2025. The decrease from our 2025 spend in investing activities is attributed to construction costs of the completed new executive offices and expanded manufacturing facility to accommodate our continued growth.

Cash used in financing activities increased by $0.9 million, to $5.4 million for the six months ended June 30, 2026, compared to approximately $4.5 million for the same period in 2025. The inc