Stereotaxis, Inc.

What they do

Stereotaxis designs, manufactures and markets robotic systems, instruments and information systems for the interventional laboratory. Its Robotic Magnetic Navigation technology uses computer-controlled magnetic fields to steer the tip of flexible catheters through blood vessels and heart chambers, letting physicians work from a control cockpit away from x-ray exposure. Primary products include the Genesis RMN and GenesisX RMN systems, the Synchrony and SynX digital solutions, and interventional devices sold under Map-iT, MAGiC and EMAGIN brands.

Revenue drivers

• Recurring revenue (disposables, software and service) — Proprietary disposable devices, ongoing software updates and service contracts produced $6.2 million of the $7.7 million in Q2 2026 revenue, up from $5.8 million a year earlier.
• System revenue (Genesis RMN, GenesisX RMN, Synchrony) — Sales of robotic and digital operating-room systems totaled $1.5 million in Q2 2026, down from $3.0 million a year earlier because no robotic system was delivered in the quarter.
• Robotic catheter revenue — Sales of the company's novel robotic catheters surpassed $1 million in Q2 2026, growing 270% sequentially, and are included in recurring revenue.
• Third-party x-ray and accessory devices — Through relationships with fluoroscopy system manufacturers, catheter and mapping-system providers, Stereotaxis resells x-ray systems and other accessory diagnostic and therapeutic devices.

Recent performance

Q2 2026 revenue was $7.7 million, with recurring revenue of $6.2 million and system revenue of $1.5 million. Gross margin was 58% overall; recurring revenue gross margin was 66% and system gross margin was 29%. Operating loss and net loss were $4.6 million and $4.5 million, or adjusted losses of $2.1 million and $2.0 million excluding $2.5 million of non-cash charges. Free cash flow was negative $3.7 million, and the company ended the quarter with $10.5 million of cash and no debt.

Strategy

Management is commercializing an expanded robotic platform: it reported the first US purchase of a GenesisX robot, multiple Synchrony digital operating room sales and installs after April FDA clearance, and continued ramp of MAGiC catheter manufacturing. It closed the acquisition of Robocath to broaden its robotic technology across endovascular procedures. Stereotaxis says it is investing in a pipeline of innovations to extend the platform beyond electrophysiology into coronary, neuro and peripheral interventions. The company states it can fund the strategy and Robocath integration without substantial dilution.

Risks

• Persistent losses and cash burn — Net losses have exceeded $18 million annually since 2022, and Q2 2026 free cash flow was negative $3.7 million against a $10.5 million cash balance.
• System revenue concentration — No robotic system was delivered in Q2 2026, cutting system revenue to $1.5 million from $3.0 million as the quarter depended on initial Synchrony sales.
• Manufacturing and supply constraints — Management attributed general procedural pressure to limited catheter supply and said revenue growth depends on methodically increasing MAGiC catheter manufacturing.
• Acquisition integration risk — The company flagged risks related to integrating APT and Robocath, retaining key personnel, funding Robocath's operations and achieving milestones that could trigger contingent payments.

Outlook

Stereotaxis expects recurring revenue of approximately $7 million in Q3 2026 and $8 million in Q4 2026, driven by increases in MAGiC catheter manufacturing, with system revenue of roughly $3 million in each quarter. Management says it has line of sight to sustained revenue growth and expects to reach cash flow profitability in the first half of 2027. It also states it believes it can grow revenue significantly and integrate Robocath without subjecting investors to substantial dilution.