LENSAR Reports 34% Revenue Growth to $14.2 Million in Q1 2025, Faces $27.3 Million Net Loss

LENSAR, Inc. reported significant financial results for the first quarter of 2025, with total revenue reaching $14.2 million, a 34% increase from $10.6 million in the same period last year. The growth was primarily driven by a 47% rise in product revenue, which amounted to $10.9 million, attributed to increased sales of the ALLY Robotic Cataract Laser Treatment System and higher procedure volumes. However, the company also reported a net loss of $27.3 million for the quarter, compared to a loss of $2.2 million in the prior year, largely due to a $21.7 million change in the fair value of warrant liabilities.

In terms of operational metrics, LENSAR's installed base of systems grew to approximately 395 as of March 31, 2025. The company has been expanding its commercial organization, which now includes around 70 professionals in the U.S. This expansion is part of LENSAR's strategy to enhance its market presence, particularly with the ALLY System, which has received regulatory clearances in multiple regions, including the U.S., EU, India, and South Korea. The company is also pursuing additional certifications in China.

LENSAR's operating expenses increased significantly, with selling, general, and administrative expenses rising by 64% to $11.1 million, primarily due to acquisition-related costs associated with its pending merger with Alcon Research, LLC. The merger, announced on March 23, 2025, is expected to close in mid-to-late 2025, subject to regulatory approvals and stockholder consent. Under the terms of the merger agreement, LENSAR shareholders will receive $14.00 in cash per share, plus a contingent value right.

The company’s balance sheet showed total assets of $73.0 million as of March 31, 2025, up from $66.3 million at the end of 2024. Cash and cash equivalents increased to $19.5 million, bolstered by a $10 million cash deposit related to the merger. However, LENSAR continues to face challenges, including ongoing operating losses and the need for additional capital to support its growth and product development initiatives. The company anticipates that it will continue to incur losses in the near term as it builds its commercial infrastructure and seeks further regulatory approvals for the ALLY System.

Looking ahead, LENSAR's management remains optimistic about the potential for revenue growth driven by the ALLY System and plans to expand its sales and marketing efforts. However, they acknowledge the risks associated with market conditions, regulatory approvals, and the competitive landscape in the medical device sector. The company is focused on navigating these challenges while aiming to achieve sustainable profitability in the future.