IRADIMED CORP

Previous wording

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 March 31, 2026, our direct U.S. sales force consisted of 29 field sales representatives, 4 regional sales directors and supplemented by 10 clinical application specialists. Internationally, we have distribution agreements with independent distributors selling our products.

Current wording

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.

Previous wording

For the quarter ended March 31, 2026, our revenue increased by $2.5 million, or 13% to $22.0 million, compared to $19.5 million for the quarter ended March 31, 2025. Income before the provision for income taxes was $7.8 million for the quarter ended March 31, 2026, compared to $5.9 million for the quarter ended March 31, 2025. Net income was $5.8 million, or $0.45 per diluted share, in the quarter ended March 31, 2026, compared to $4.7 million, or $0.37 per diluted share in the quarter ended March 31, 2025.

Current wording

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.

Previous wording

For the three months ended March 31, 2026, total revenue increased by $2.5 million, or 13%, to $22.0 million from $19.5 million for the same period in 2025. This increase is primarily attributed to continued demand for our IV infusion pump systems, amortization of extended maintenance revenue, and modifications to our sales incentive plan for patient vital signs monitoring systems.

Current wording

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.

Previous wording

Revenue from sales in the U.S. increased by $2.1 million, or 13%, to $18.0 million for the three months ended March 31, 2026, from $16.0 million for the same period in 2025. Revenue from sales internationally increased for the three months ended March 31, 2026 and 2025 at $4.0 million. Domestic sales accounted for 82% of revenue for the three months ended March 31, 2026 and 2025.

Current wording

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.

Previous wording

Revenue from sales of devices increased by $2.4 million, or 19%, to $15.4 million for the three months ended March 31, 2026, from $13.0 million for the same period in 2025. Revenue from the amortization of extended maintenance agreements increased by $99 thousand, or 18%, to $659 thousand for the three months ended March 31, 2026, from $560 thousand for the three months ended March 31, 2025. Revenue from sales of disposables remained constant at $4.9 million for the three months ended March 31, 2026 and 2025. Revenue from services and other remained constant at $1.0 million for the three months ended March 31, 2026 and 2025.

Current wording

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.

Previous wording

For the three months ended March 31, 2026, our cost of revenue increased by $0.5 million, or 11%, to $5.2 million from $4.7 million for the same period in 2025. For the three months ended March 31, 2026, our gross profit increased by $2.0 million, or 13%, to $16.8 million from $14.8 million for the same period in 2025. For the three months ended March 31, 2026, gross profit margin increased to 77% compared to 76% for the same period in 2025.

Current wording

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.

Previous wording

For the three months ended March 31, 2026, sales and marketing expense decreased by $0.1 million, or 3%, to $4.1 million from $4.2 million for the same period in 2025. This increase is primarily due to reduced sales commissions, related to timing and transition of sales focus to our MRidium® 3870 IV infusion pump system.

Current wording

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.

Previous wording

For the three months ended March 31, 2026, research and development expense increased by $0.4 million, or 67%, to $1.0 million from $0.6 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 same period in 2025.

Current wording

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

Previous wording

Other income, net consists of interest income, (the largest component), foreign currency gains and losses, and other miscellaneous income. For the three months ended March 31, 2026, other income, net increased $19 thousand, or 4%, to $532 thousand from $513 thousand for the same period in 2025.

Current wording

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.

Previous wording

For the three months ended March 31, 2026, we recorded a provision for income tax expense of $1,951 thousand. For the three months ended March 31, 2026, our effective tax rate was 25.1% , 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.

Current wording

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.

Previous wording

For the three months ended March 31, 2025, we recorded a provision for income tax expense of $1,258 thousand . For the three months ended March 31, 2025, our effective tax rate was 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.

Current wording

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.

Previous wording

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.

Current wording

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.

Previous wording

As of March 31, 2026, we had cash and cash equivalents of $56.4 million, stockholders’ equity of $98.5 million, and working capital of $74.3 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.

Current wording

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.

Previous wording

Cash provided by operating activities increased by $4.0 million, to $8.3 million for the three months ended March 31, 2026, compared to $4.3 million for the same period in 2025. During the three months ended March 31, 2026, cash provided by operations was positively impacted by higher net income, and lower cash outflows related to accounts payable, pre-paid expenses, and inventory purchases, and offset by an increase in accounts receivable related to timing.

Current wording

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.

Previous wording

Cash used in investing activities decreased by $3.4 million, to $0.5 million for the three months ended March 31, 2026, compared to $3.9 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.

Current wording

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.

Previous wording

Cash used in financing activities increased by $0.3 million, to $2.6 million for the three months ended March 31, 2026, compared to approximately $2.3 million for the same period in 2025. The increase is primarily due to the per share increase of a regular quarterly cash dividend payment. Special and quarterly cash dividend payments are subject to the sole discretion of the Board and applicable law.

Current wording

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 increase is primarily due to the per share increase of our quarterly cash dividend payment. Special and quarterly cash dividend payments are subject to the sole discretion of the Board and applicable law.