aibioTenon Medical reports second quarter 2026 revenue of $1.3 million
Tickers TNON
Revenue rose 127% from a year earlier and gross margin reached 64%. Cash was $1.7 million at June 30, 2026, before a $4.2 million offering that closed on July 1.
Key facts
- Company
- Tenon Medical, Inc. (NASDAQ: TNON)
- News type
- Company Updates
- Primary source
- Tenon Medical, Inc. 8-K (2026-08-13)
Tenon Medical, Inc. (Nasdaq: TNON) reported second quarter 2026 revenue of $1.3 million, an increase of 127% from $0.6 million in the second quarter of 2025, in a press release dated August 13, 2026. Gross profit was $0.8 million, a 232% increase, and gross margin was 64%, up from 43% a year earlier. The net loss for the quarter was $4.1 million, or $12.35 per share, compared with $2.8 million, or $12.76 per share, in the second quarter of 2025.
Results for the quarter and the six months
Revenue for the six months ended June 30, 2026 was $2.7 million, up 106% from $1.3 million a year earlier. Gross profit for the six months was $1.8 million, or 66% of revenue. The company said the quarterly revenue increase was primarily due to a significant increase in the number of surgical procedures, including revenue related to the SImmetry+ System.
Chief Executive Officer Steven M. Foster said in the release that "the 64% gross margin demonstrates that the cost structure we've implemented is delivering as designed." He added that case volume grew across both the Catamaran and SImmetry+ platforms.
Operating expenses totaled $4.2 million in the second quarter, compared with $3.1 million a year earlier, and $8.4 million for the six months, compared with $7.1 million. The company attributed the quarterly increase to higher sales expenses tied to higher revenue, the expanded commercial team, the ongoing rollout of the SImmetry+ System and higher research and development expenses.
The net loss for the six months was $7.5 million, or $23.16 per share, compared with $6.4 million, or $39.91 per share, a year earlier. The company said the year-over-year increase in the quarterly loss was largely driven below the line by non-cash interest expense of $0.9 million, which includes amortization of the original issue discount on its convertible notes. That was partially offset by other income of $0.1 million, related to gains on the change in fair value of its derivative liability.
Cash, financing and convertible notes
Cash and cash equivalents totaled $1.7 million as of June 30, 2026, compared with $3.8 million at December 31, 2025. On July 1, 2026, the company closed a best efforts public offering of common stock, or pre-funded warrants, and common stock purchase warrants for aggregate gross proceeds of $4.2 million, with net proceeds of approximately $3.6 million.
The company said it intends to use the net proceeds for partial repayment of outstanding convertible notes, commercial expansion, clinical research, product development and general corporate purposes. Its $5.2 million of convertible notes mature on September 11, 2026, and are extendable to December 11, 2026. The release says a portion of the July proceeds will be used toward partial repayment, and that there can be no assurance the company will repay or refinance these obligations in full.
Commercial and regulatory updates
On July 2, 2026, the company said it had received U.S. Food and Drug Administration 510(k) clearance for its updated Catamaran SI Joint Fusion System. The clearance includes various instrument upgrades and moves certain instruments from disposable to reusable status, which the company expects to improve system performance while reducing ongoing per-procedure costs.
Physician and distributor training events increased 98% in the first half of 2026 compared with the second half of 2025. The company said it recorded its highest monthly surgical case volume to date in July 2026.
The risks ahead
The company says it is working to regain compliance with Nasdaq listing requirements, including the minimum bid price rule, and it effected a 1-for-35 reverse stock split on August 10, 2026. Cash and cash equivalents were $1.7 million at June 30, 2026. The $5.2 million of convertible notes mature on September 11, 2026, and the release says there can be no assurance the company will repay or refinance them in full. The net loss was $4.1 million for the quarter, and operating expenses rose to $4.2 million.