10-Q · August 10, 2026
Ceribell delivered strong top-line momentum in Q2 2026, with revenue of $28.097 million and gross margin of 92.0%, and raised full-year revenue guidance to $114 million-$117 million. However, EPS was a loss of $0.51,…
Earnings analysis · 10-Q
CBLL earnings analysis
Filed November 3, 2026 · Our reading of the company's report
The latest report
CeriBell delivered strong top-line growth in Q3 2026, with revenue of $29.341 million, a 27.6% year-over-year increase and a modest consensus beat. Gross margin remained high at 90.0%, but diluted EPS of $(0.55) missed…
Read full summary
CeriBell delivered strong top-line growth in Q3 2026, with revenue of $29.341 million, a 27.6% year-over-year increase and a modest consensus beat. Gross margin remained high at 90.0%, but diluted EPS of $(0.55) missed expectations and the company continues to report substantial losses. The raised full-year revenue outlook is positive, but reimbursement changes, secured-debt covenants, ongoing litigation, and supply-chain exposure create material execution and liquidity risks.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.55
- Gross margin
- 90.0%
What stood out
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Revenue growth exceeded expectations
Third-quarter revenue was $29.341 million, up $1.341 million, or 4.8%, from $28 million in Q2 2026 and up $6.341 million, or 27.6%, from $23 million in Q3 2025. Revenue exceeded consensus of $29.159 million by approximately $0.182 million, or 0.6%.
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Gross margin remains strong
Gross margin was 90.0%, improving 1.7 percentage points from 88.3% in Q3 2025, although it declined 2.3 percentage points from 92.3% in Q2 2026.
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Revenue outlook raised
Full-year 2026 revenue guidance was raised to $115 million-$117 million from $114 million-$117 million, a $1 million increase at the low end while the high end was unchanged.
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New product investment expands
Management reported $60.4 million of net loss for the nine months ended September 30, 2026, with an accumulated deficit of $280.7 million, highlighting the scale of investment supporting growth and new products.
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Refinanced secured debt
The company entered into a Credit Agreement on August 5, 2026, borrowed $20.0 million under the revolving facility, and used the proceeds to repay the VLSA in full.
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Controls assessed effective
Disclosure controls and procedures were concluded effective at a reasonable assurance level as of September 30, 2026, and the company reported no changes in internal control over financial reporting that materially affected, or were reasonably likely to materially affect, controls.
What to watch
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Persistent losses and EPS miss
Diluted EPS was $(0.55), missing the consensus estimate of $(0.51) by $(0.04), while the company reported a $60.4 million net loss for the first nine months of 2026. Management also expects additional substantial losses in the foreseeable future.
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Secured financing constrains liquidity
The August 5, 2026 Credit Agreement is secured by substantially all assets, including intellectual property; it includes a $70.0 million minimum-net-revenue covenant when applicable, a $65.0 million minimum unrestricted-cash requirement after a covenant failure, and daily cash sweeps if liquidity falls below $50.0 million.
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Reimbursement support is changing
The electrographic status epilepticus NTAP expired on September 30, 2026, eliminating additional Medicare payment for eligible cases, while the Delirium Monitor System NTAP became effective October 1, 2026. The new NTAP is temporary and lasts no more than three years for a specific indication.
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Patent litigation remains unresolved
The company’s Natus patent litigation involves six patents; USITC post-trial briefing is underway, with an initial determination expected by November 19, 2026 and a final determination by March 2027.
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Scaling execution risk
The company had more than 380 employees as of September 30, 2026 and identifies rapid expansion as a risk to manufacturing, quality, compliance, hiring, and customer onboarding capacity.
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International supply-chain exposure
The company relies on two primary contract manufacturers in China and suppliers in China and Vietnam, exposing it to tariffs, geopolitical restrictions, logistics disruption, and component availability risks that could pressure sales and gross margins.
Management's outlook
Full-year 2026 revenue outlook was raised to $115 million-$117 million from $114 million-$117 million. The revised range excludes material contributions from neonate, pediatric, and delirium products.
Earlier filings 3
10-Q · May 11, 2026
Ceribell's Q1 2026 results revealed stronger-than-expected revenue of $26.5 million, surpassing estimates of $26.1 million, despite a deeper-than-anticipated loss per share of $0.52 compared to the expected loss of…
10-K · February 24, 2026
Ceribell describes a focused strategy to become the standard of care for acute-care seizure detection by scaling adoption of its Ceribell System, expanding indications (FDA 510(k) for delirium in Dec 2025) and investing…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.