Adjusted EBITDA was $2.1 million, marking the second consecutive quarter of positive adjusted EBITDA and four out of the last five quarters profitable.
Cash and equivalents totaled $123.7 million with no debt, and operating cash flow was $4.4 million.
Domestic B2B revenue increased 19.3% to $25.4 million, and international B2B revenue rose 17.7% to $35.9 million, while direct-to-consumer sales declined 21.1% to $17.8 million.
GAAP net loss improved to $4.2 million from $5.6 million, and adjusted net loss narrowed to $700,000 from $1.6 million.
Gross margin was 44.8%, down 335 basis points year-over-year due to increased B2B sales mix and premium priced components impacting margin by 121 basis points.
Inogen reported $92.3 million in revenue for Q2 2025, a 4% increase year-over-year, driven primarily by growth in business-to-business channels.
Operating expenses decreased 4.7% to $47.5 million, helped by a prior period one-time bad debt expense.
Rental revenue decreased 8.6% to $13.1 million due to a higher mix of lower private payer reimbursement rates.
Da Vinci procedures increased 17% globally, with U.S. growth led by benign general surgery and international growth led by non-urology procedures.
GAAP net income was $658 million or $1.81 per share, up from $527 million or $1.46 per share last year.
Gross margin declined to 67.9% from 70% last year due to higher facilities costs, product mix, and tariffs.
Instrument and accessory revenue per procedure remained stable at approximately $1,800.
Pro forma operating margin was 39%, and pro forma earnings per share increased 23% to $2.19.
Second quarter revenue grew 21% to $2.44 billion, driven by strong procedure growth and capital placements.
SP procedures grew 88% year-over-year, and Ion procedures grew 52% to approximately 35,000.
System placements totaled 395, including 180 da Vinci 5 systems and 23 SP systems, with strong U.S. capital placements but macro challenges in Japan, China, and Europe.
Dafinchi