Beyond Air, Inc. (NASDAQ: XAIR) released strong Q3 FY2026 earnings. As a result, shares rose during intraday trading. Investors reacted positively to triple-digit revenue growth. Additionally, the company cut costs sharply.
Stock Performance and Trading Context
Shares traded higher by mid-session. This reflected quick investor enthusiasm. Over the past 52 weeks, the stock stayed volatile. Why? It ties to the company’s early commercial stage. Furthermore, capital raises and regulatory news sparked episodic rebounds. Recent trends showed pressure through much of the year. However, financing updates triggered recoveries. Meanwhile, commercialization milestones fueled gains. Notably, no analysts issued upgrades, downgrades, or price-target changes after the release.
Q3 FY2026 Financial Results
Revenue soared 105% year over year. It hit $2.2 million for the quarter ended December 31, 2025. Previously, it stood at $1.1 million. What drove this? Expanding adoption of the LungFit PH nitric oxide delivery system. This spanned U.S. and international markets. Gross profit reached $0.3 million. That’s up from a $0.2 million gross loss last year.
Higher system utilization helped. Improved cost absorption contributed too. Management focused on expense discipline. R&D expenses dropped 19% to $2.4 million. SG&A expenses fell 42% to $4.5 million. As a result, total operating expenses declined 36% to about $6.9 million. Net loss narrowed significantly. It came in at $7.3 million, or $0.85 per share. That’s better than the prior year’s $13.0 million, or $2.96 per share.
Balance Sheet and Liquidity
Beyond Air held $17.8 million in cash and equivalents as of December 31, 2025. This included restricted cash and marketable securities. Additionally, a January 2026 private placement added $4.5 million in net proceeds. Pro forma liquidity now totals $22.3 million. Management expects this to fund operations into calendar 2027.
Commercial and Corporate Highlights
Commercialization progressed steadily. The company sold its first LungFit PH system to a U.S. Veterans Affairs medical center. Distribution expanded too. It now covers Canada, Germany, Brazil, Austria, the Netherlands and Sri Lanka. International reach spans 40 countries. Furthermore, Beyond Air signed a binding agreement. XTL Biopharmaceuticals will acquire 85% of subsidiary NeuroNOS. Potential consideration reaches up to $32.5 million. This includes cash, milestones, and equity.
Outlook
Management kept its fiscal 2026 revenue guidance. It ranges from $8 million to $10 million. Regulatory review continues for the second-generation LungFit PH system. The company targets FDA clearance before calendar 2026 ends. Timelines depend on review progress.