Nova Eye Medical’s Q1 Revenue Climbs 20%, Eyes Breakeven by Mid-2026
Nova Eye Medical reported a 20% year-on-year revenue increase in Q1 FY26, reaffirming its FY26 sales guidance and targeting breakeven EBITDA by June 2026 amid cautious commercial expansion.
- Q1 FY26 revenue of US$7.47 million, up 20% year-on-year
- FY26 sales guidance confirmed at US$21-24 million excluding China
- On track for breakeven EBITDA by June 2026, delayed to H2 due to slower Q1 sales
- New clinical study supports safety and efficacy of iTrack Advance device
- Exploring drug delivery applications with microcatheter technology
Steady Growth Despite Seasonal Headwinds
Nova Eye Medical Limited (ASX – EYE) has reported a solid start to its 2026 financial year, with Q1 revenue reaching US$7.47 million, marking a 20% increase compared to the same quarter last year. This growth, while commendable, fell slightly short of internal expectations due to the typical summer slowdown in surgical procedures and slower-than-anticipated commercial expansion in the southeastern United States and Canada.
The company’s flagship product, the iTrack Advance, a minimally invasive glaucoma surgical device, continues to gain traction globally. With FDA, CE, and NMPA approvals, and reimbursement secured in major markets, iTrack Advance has treated over 170,000 patients to date and is positioned within a growing global market projected to reach approximately US$1.4 billion by 2030.
Clinical Validation and Market Position
Adding to its commercial momentum, Nova Eye Medical highlighted a new peer-reviewed clinical paper published in the "Journal of Current Glaucoma Practice." The study, conducted by German surgeons Dr Simon Ondrejka and Dr Norbert Koerber, followed 98 eyes treated with iTrack Advance over 24 months. The findings underscored the device’s high safety profile and its effectiveness in controlling intraocular pressure, significantly reducing patients’ dependence on medication.
This clinical endorsement bolsters Nova Eye’s competitive positioning against other glaucoma surgical devices, emphasizing its implant-free, tissue-preserving approach that appeals to surgeons seeking long-term patient outcomes.
Financial Outlook and Strategic Initiatives
Looking ahead, Nova Eye Medical confirmed its FY26 sales revenue guidance of US$21 million to US$24 million, excluding China. The company anticipates reaching breakeven EBITDA by the second half of FY26, a slight delay from earlier expectations due to the subdued Q1 sales performance. Cash flow from operations is expected to improve as the year progresses.
In addition to its core glaucoma device business, Nova Eye is exploring innovative drug delivery opportunities using its proprietary microcatheter technology, the world’s smallest of its kind. While recent evaluations by a pharmaceutical partner have yet to yield definitive program timelines, the company remains committed to advancing this potential new revenue stream.
Reimbursement and Working Capital Support
On the regulatory front, the US Centers for Medicare & Medicaid Services proposed reimbursement rates for 2026 remain favorable, continuing to incentivize the use of Nova Eye’s products in glaucoma surgeries. Final rates are expected to be confirmed by November 2025, which could further support sales growth.
To underpin its growth ambitions, Nova Eye has secured a working capital facility backed by high-quality accounts receivable and tangible assets, providing non-dilutive funding flexibility to manage inventory and receivables as the business scales.
Bottom Line?
With solid clinical validation and steady revenue growth, Nova Eye Medical is poised for a pivotal year as it targets profitability and explores new drug delivery horizons.
Questions in the middle?
- Will Nova Eye accelerate commercial expansion in North America to meet or exceed FY26 sales targets?
- How will the final 2026 Medicare reimbursement rates impact device adoption and revenue?
- What is the timeline and potential impact of the drug delivery program on Nova Eye’s future growth?