AtriCure Posts $154.5 Million in Third-Quarter Revenue, Raises 2026 Outlook
Key Facts
AtriCure reported global revenue of $154.5 million for the third quarter on November 3, 2026, up 15% year over year, and net income of $4.1 million, compared with a net loss of $0.3 million in the same period of 2025. The company said in its earnings call transcript that earnings per share were $0.08 on a reported basis and $0.18 adjusted. It had set November 3 as the date for releasing results, with the call webcast starting at 4:30 p.m. Eastern time. The return to profitability coincided with revenue growth and an improved gross margin. But the stock fell in extended trading after the announcement, despite the financial results and higher annual guidance.
U.S. activity drove most of the revenue growth, generating $128 million, up 17.1% year over year. International revenue was $26.4 million, up 5.8% on a reported basis and 6.1% excluding the effect of currency movements. The figures show differing growth rates between the U.S. and international markets during the quarter. Management said gross margin rose to 77.3%, up 180 basis points from the third quarter of 2025. It attributed the improvement to product and geographic mix, without breaking out the contribution of each factor in the figures provided.
The margin improvement was reflected in growth in adjusted operating earnings: adjusted EBITDA was $26.8 million, up 50.6% from $17.8 million in the third quarter of 2025. For earnings per share, the company posted $0.08 on a reported basis and $0.18 adjusted, compared with a loss per share of $0.01 in the same period last year. These measures show two different profitability results: reported earnings under accounting standards and adjusted earnings that exclude items under the company's methodology. The company also swung to net income of $4.1 million from a net loss of $0.3 million. Management linked the improvement in gross margin to product and geographic mix.
AtriCure raised its fiscal 2026 revenue forecast to a range of $606 million to $610 million and increased its adjusted EBITDA forecast to a range of $91–94 million. The company reaffirmed its expectation of generating net income for the year, without specifying a figure in the statement provided. For the fourth quarter, management said costs from the new manufacturing facility would affect revenue during that period. The company expects its full-year gross margin to be in the upper end of 76%. The guidance frames the remaining quarters of the year and costs from the new facility within the company's annual estimates.
In extended trading on November 3, shares fell about 2% to $59.20 after closing the regular session at $60.49, according to Investing.com. The stock had closed at $59.88 on November 2, the session before the announcement. Before the results, an earlier report said the stock had reached a 52-week high of $61.71 and analysts' average price target was $57.56. The report also said the pain management business grew 27% year over year in the first half of 2026, describing it as an important driver of the stock's momentum. These figures provide context from before the announcement, while the postmarket move reflects the market reaction recorded after the November 3 results.
The company's research calendar includes the BoxX-NoAF trial; an earlier report said an update on its results was expected in early 2027, potentially supporting a later expansion of the therapy's indication. The investor presentation listed trial enrollment during 2026–2027, alongside a request for premarket approval for the trial involving the clinical atrial fibrillation indication. In the near term, the company said costs from the new manufacturing facility would affect the fourth quarter. It also expects full-year gross margin in the upper end of 76%. Its fiscal 2026 revenue and adjusted earnings forecasts remain within the ranges management announced after the third-quarter results.