Key Highlights

  • Third-quarter Revenue climbed 15.0% to USD 154.5 million from USD 134.3 million, while U.S. sales advanced 17.1% to USD 128.0 million.
  • Net income reached USD 4.1 million, or USD 0.08 per share, a turnaround from a net loss of USD 0.3 million, or USD 0.01, a year earlier.
  • Gross Margin improved 180 basis points to 77.3% on product and geographic mix, and adjusted EBITDA surged 51% to USD 26.8 million.
  • The company announced on November 3, 2026 full-year 2026 revenue guidance of USD 606 to 610 million and adjusted EBITDA of USD 91 to 94 million.

Pain Management and Appendage Devices Drive Third-Quarter Sales

AtriCure (NASDAQ:ATRC) published third-quarter 2026 results on November 3, 2026. Worldwide revenue hit USD 154.5 million, a 15.0% increase, or 15.1% at constant currency. In the U.S., expansion came from the cryoSPHERE MAX probe for post-operative pain, the EnCompass clamp used in open ablation, and the AtriClip FLEX-Mini and PRO-Mini appendage devices. U.S. pain management revenue went from USD 20.8 million to USD 28.1 million, about 35% higher (own arithmetic), and appendage management increased to USD 51.6 million from USD 45.5 million. International sales rose 5.8% to USD 26.4 million, with every Franchise growing. The company builds surgical devices for atrial fibrillation, appendage management and pain control.

Operating Leverage Converts a Small Loss Into Profit

Gross profit increased to USD 119.4 million from USD 101.3 million. Operating expenses rose 14% to USD 115.0 million, a slower pace than the 15% revenue increase, which lifted Operating Income to USD 4.4 million from USD 0.2 million. GAAP Net Income was USD 4.1 million. Adjusted Earnings came to USD 0.18 per share, versus an adjusted loss of USD 0.01, and the adjusted EBITDA measure excludes share-based pay and contingent consideration changes. Nine-month net income of USD 13.1 million compares with a loss of USD 13.2 million. R&D spending jumped about 40% to USD 32.1 million, including the BoxX-NoAF trial, which the CEO described as moving quickly. Cash and equivalents stood at USD 187.0 million on September 30, 2026, up from USD 167.4 million at year-end.

Hybrid Procedure Erosion and the Guidance Test

Not all lines grew. U.S. minimally invasive ablation revenue dropped to USD 5.4 million from USD 7.4 million, as surgeons switched to pulsed field ablation catheters and performed fewer Hybrid procedures. That signals competitive pressure from catheter-based technologies, which the company also lists as a risk alongside dependence on independent distributors, reimbursement, tariffs and trial outcomes. Management now expects 2026 revenue of USD 606 to 610 million, adjusted EBITDA of USD 91 to 94 million, EPS of USD 0.21 to 0.27 and adjusted EPS of USD 0.40 to 0.46, and it foresees ongoing positive cash generation. The call is scheduled for 4:30 p.m. ET on November 3, 2026. The prior guidance was not in the reviewed material, so the size of any change is not stated.

Where Things Stand

The swing to profit reflects Operating Leverage rather than a single event. AtriCure (NASDAQ:ATRC) expanded revenue 15.0% while operating costs grew 14%, and a 77.3% gross margin supplied the rest, leading to USD 4.1 million of net income. The main headwind is the contracting Hybrid ablation line as pulsed field catheters gain share. Next markers include fourth-quarter delivery against the guided range, further R&D spending and progress on BoxX-NoAF.