Outset Medical Reports $119.5 Million Revenue for 2025, Net Loss Decreases to $81.7 Million

Outset Medical, Inc. reported total revenue of $119.5 million for the year ended December 31, 2025, an increase of 5% compared to $113.7 million in 2024. Product revenue, which includes sales of Tablo consoles and consumables, reached $84.8 million, up from $81.0 million in the previous year. Service and other revenue, primarily from service agreements, grew to $34.7 million from $32.7 million in 2024. The company's net loss for 2025 was $81.7 million, compared to a net loss of $128.0 million in 2024.

The company's gross profit increased by 21% to $46.8 million in 2025, resulting in a gross margin of 39.1%, compared to 33.9% in 2024. Operating expenses decreased by 25% to $113.5 million, driven by reductions in research and development, sales and marketing, and general and administrative costs. Research and development expenses were $21.2 million, down from $38.4 million in the prior year, while sales and marketing expenses decreased to $54.4 million from $70.0 million. General and administrative expenses were $37.9 million, compared to $43.5 million in 2024. Interest expense decreased to $14.0 million from $23.9 million, but the company incurred a $7.7 million loss on the extinguishment of term loan.

Key operational developments included a focus on expanding the installed base of Tablo in acute and post-acute care markets, as well as driving utilization and fleet expansion with existing customers. The company also continued to leverage its commercial infrastructure to broaden its reach in these markets. As of December 31, 2025, Outset Medical had 310 full-time employees, with 58% in field sales and service teams and 42% in other functions. The company also had 254 full-time team members at its manufacturing facility in Tijuana, Mexico.

Looking ahead, Outset Medical plans to continue investing in research and development to enhance existing products and reduce costs. The company also aims to expand its presence in the home dialysis market and optimize its commercial organization to support growth in the acute care market. The company believes its existing cash, cash equivalents, and short-term investments, along with cash generated from sales, will be sufficient to meet its anticipated needs for at least the next 12 months. However, the company acknowledges that its ability to achieve and sustain profitability depends on growing revenue, expanding gross margins, and optimizing operating expenses and working capital.