Beyond Air 2026 Q1 Earnings Narrowed Losses Despite Strong Revenue Growth

Beyond Air (XAIR) reported its fiscal 2026 Q1 earnings on August 12, 2025, with notable revenue growth and reduced losses compared to the prior year. The company significantly outperformed expectations, with year-over-year revenue surging 157.7% and net losses narrowing by 38.1%. The company also reaffirmed its FY2026 revenue guidance of $12–$16 million.

Revenue
Beyond Air reported total revenue of $1.76 million in fiscal 2026 Q1, marking a 157.7% year-over-year increase from $683,000 in fiscal 2025 Q1. The entire revenue contribution came from Beyond Air’s core operations, reflecting strong market adoption and expansion efforts. The 50% sequential revenue growth further underscores the company's momentum in its key markets.

Earnings/Net Income
The company narrowed its loss per share to $1.53 in Q1 2026 from $5.32 in the same period a year ago, a 71.2% improvement. Meanwhile, the net loss decreased to $8.08 million from $13.05 million year-over-year, a 38.1% reduction. Despite these improvements, Beyond Air has reported losses for five consecutive years in the same quarter, underscoring ongoing financial challenges. However, the reduction in losses indicates progress in managing costs and improving efficiency.

Price Action
Despite the positive earnings results, the stock price of Beyond Air fell 4.24% in the latest trading day. However, it showed significant strength over the past week and month, gaining 14.49% for the week and surging 1730.82% month-to-date, reflecting strong investor sentiment.

Post-Earnings Price Action Review
A strategy of buying XAIR following a revenue miss and holding for 30 days returned a dismal -93.79%, underperforming the benchmark by 131.67%. The strategy exhibited no maximum drawdown, yet the negative Sharpe ratio of -0.72 highlighted the high level of risk associated with such an approach, indicating that the investment underperformed given the volatility and risk it carried.

CEO Commentary
Steven Adam Lisi, CEO & Chairman of Beyond Air, expressed optimism over the company’s strong business performance. He highlighted 157% year-over-year revenue growth to $1.8 million, along with 50% sequential growth. Lisi emphasized market adoption of LungFit PH, retention of over 55% of multiyear contracts, and international expansion through partnerships in 30 countries covering 2 billion lives. The company is focused on securing Premier GPO contracts to access 3,000 hospitals and preparing for the FDA-approved second-gen LungFit PH II, expected to drive further market share gains.

Guidance
Beyond Air reaffirmed its FY2026 revenue guidance of $12–$16 million, driven by U.S. hospital contracts, Premier network expansion, and international growth. Steve Lisi expressed confidence in achieving the guidance range, citing sequential revenue growth and potential from international tender wins later in FY2026. The company expects operating expenses to rise in line with revenue but remain controlled, with cash burn decreasing in Q2 and sufficient reserves to support operations into 2026.

Additional News
Beyond Air recently announced a partnership with a European health technology firm to expand its lung diagnostic solutions into the EMEA region, marking a strategic move to increase global reach. Additionally, the company appointed a new Chief Commercial Officer with over two decades of healthcare sales experience to lead U.S. growth initiatives. Lastly, Beyond Air announced a restructuring of its finance department, aiming to streamline operations and reduce overhead costs, further supporting its long-term financial stability.