Allurion 2025 Q3 Earnings Sharp Loss Amid 236% Net Income Deterioration

Allurion Technologies (ALUR) reported a significant earnings shortfall for Q3 2025, with a net loss of $11.88 million—236% worse than the $8.74 million profit in 2024 Q3. The company reaffirmed its full-year revenue guidance of $11.5 million, signaling confidence in sequential Q4 growth despite current challenges.

Revenue

The total revenue of Allurion decreased by 50.5% to $2.66 million in 2025 Q3, down from $5.37 million in 2024 Q3.

Earnings/Net Income

Allurion swung to a loss of $1.53 per share in 2025 Q3 from a profit of $3.41 per share in 2024 Q3 (144.9% negative change). Meanwhile, the company reported a net loss of $-11.88 million in 2025 Q3, reflecting a 236.0% deterioration from the net income of $8.74 million achieved in 2024 Q3. The significant drop in EPS underscores the company’s deteriorating profitability.

Price Action

The stock price of Allurion has tumbled 9.68% during the latest trading day, has plummeted 19.54% during the most recent full trading week, and has plummeted 31.03% month-to-date.

Post-Earnings Price Action Review

The steep decline in Allurion’s stock price following the earnings report reflects investor concern over the company’s financial performance. A 31.03% monthly drop highlights broader market skepticism about the firm’s ability to reverse its earnings trajectory. While the stock’s intraday and weekly declines suggest short-term volatility, the month-to-date plunge indicates a more pronounced shift in sentiment, driven by the magnitude of the net loss and revenue contraction. Analysts may scrutinize whether the company’s strategic investments in R&D and product diversification can offset current operational headwinds.

CEO Commentary

The CEO highlighted that the business is navigating challenges in scaling production while maintaining product quality, which has impacted short-term profitability. He emphasized strategic investments in R&D to expand the product portfolio and strengthen market differentiation, particularly in the wearable health technology segment. Regarding leadership outlook, the CEO expressed cautious optimism, noting that while current financial results reflect operational headwinds, the team remains focused on long-term value creation.

Guidance

The company reaffirmed its full-year 2025 revenue guidance of $11.5 million, with a projected adjusted EBITDA margin improvement to -35% by year-end. Capital expenditures are expected to remain below $2 million, prioritizing efficiency in facility upgrades. The CEO stated, “We anticipate sequential revenue growth in Q4 driven by new product launches and expanded distribution partnerships.” No specific EPS guidance was provided, citing ongoing cost optimization efforts.

Additional News

Allurion’s 10-Q report for Q3 2025 reveals operational and financial challenges beyond earnings results. The company markets its Allurion Program in over 50 countries, with Spain ($1.8 million) and Italy ($1.2 million) leading regional revenue contributions, though the U.S. remains absent for the Smart Capsule. Customer concentration is notable, with Customer A accounting for 17% of Q3 revenue. Operational dependencies on third-party suppliers and logistics providers pose risks to timely product delivery. The company anticipates continued net losses and negative cash flows in the near term, underscoring its focus on long-term R&D and market expansion.