Beyond Air reported third‑quarter revenue of $2.2 million, up 105% year‑over‑year and slightly ahead of the $2.15 million consensus estimate. The company posted an earnings‑per‑share loss of $0.85, missing the $0.74 estimate by 14.86%. The revenue beat was driven by strong demand for the LungFit PH nitric‑oxide delivery system, while the EPS miss reflected a higher operating expense load and a one‑time charge related to the NeuroNOS transaction.
Gross profit turned positive at $0.3 million, a turnaround from the $0.2 million gross loss reported in the prior year’s quarter. Net loss narrowed to $7.3 million from $13.0 million a year earlier, as operating expenses fell 36% to $6.9 million. Pro‑forma cash, cash equivalents, restricted cash and marketable securities stood at $22.3 million, including $17.8 million on December 31, 2025 and $4.5 million raised in a private placement that closed on January 14, 2026.
The company confirmed a binding letter of intent with XTL Biopharmaceuticals to acquire 85% of its NeuroNOS subsidiary. The deal is structured for up to $32.5 million, comprising $1 million in cash and milestone‑based payments contingent on regulatory and commercial milestones. The transaction is expected to generate immediate cash and provide NeuroNOS with dedicated funding and expertise to advance its pipeline.
Beyond Air also announced that Phase 1a data from its Beyond Cancer UNO program will be presented at the American Association for Cancer Research (AACR) Annual Meeting in April 2026. In addition, the company reiterated its expectation of FDA clearance for the second‑generation LungFit PH system before the end of 2026, subject to regulatory review.
"We exceeded $2.0 million in quarterly revenue which marks an important milestone as we continue scaling our business and building awareness of the benefits our tankless NO system delivers in real‑world settings," said CEO Steve Lisi. "Our commercial performance reflects steady momentum, with 21% sequential quarterly growth and a 105% increase over the same quarter last year. We will continue to grow our business with LungFit PH as we prepare for the FDA clearance of our second‑generation LungFit PH system, which we expect to receive before the end of calendar 2026, subject to regulatory review," Lisi added. "The transaction provides the potential to create meaningful value for our shareholders by enabling NeuroNOS’s pipeline to advance with dedicated focus and funding," he noted.
The earnings release signals that Beyond Air is gaining commercial traction, with revenue growth outpacing prior‑year performance and gross profit turning positive. Cost discipline has reduced operating expenses, narrowing the net loss and extending the cash runway to 2027. The NeuroNOS sale monetizes a non‑core asset while positioning the company to focus on its core device business. The upcoming AACR presentation and anticipated FDA clearance of the next‑generation LungFit PH system are key catalysts that could accelerate revenue growth and improve profitability in the near term.
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