Tenon(R) Medical Reports Third Quarter 2026 Financial Results

Rhea-AI Summary

Tenon Medical (NASDAQ:TNON) reported third-quarter 2026 revenue of $1.4 million, up 22% from the same period last year. Gross margin rose to 66.3% from 65.9%, while operating loss narrowed to $3.085 million from $3.392 million. Net loss widened to $6.639 million from $3.339 million, including warrant-inducement expense and non-cash interest expense.

Tenon raised approximately $15.6 million in quarterly gross proceeds, repaid its convertible notes and ended September with no outstanding debt and $8.3 million in cash. It regained Nasdaq equity and bid-price compliance following financing and a 1-for-35 reverse split effective August 10, 2026. Nine-month revenue increased 66% to $4.1 million. Tenon commercially launched its SImmetry+ lateral screw after an alpha launch generated approximately $1.2 million in revenue; it targets full Quickstep Decorticator release in the first quarter of 2027.

17 points · 2 major

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2 major · 7 points

Hollow bars mark forward-looking points. How the balance works

Positive

• Major pointApproximately $15.6 million in third-quarter gross proceeds strengthened funding through offerings, stock sales and warrant exercises. 3.3× market cap
• Major pointApproximately $5.12 million of remaining convertible-note principal was repaid before September 11, 2026 maturity; quarter-end debt was zero. 1.1× market cap
• Moderate pointThird-quarter revenue increased 22% year over year and 12% sequentially to $1.4 million.
• Moderate pointThird-quarter gross profit rose to $950,000 from $773,000; margin increased to 66.3% from 65.9%.
• Moderate pointThird-quarter operating loss narrowed to $3.085 million from $3.392 million a year earlier.
• Moderate pointCash and cash equivalents increased to $8.3 million at September 30, 2026, from $3.8 million at December 31, 2025.
• Moderate pointNasdaq compliance was restored for both minimum stockholders' equity and minimum bid price requirements.
• Moderate pointSImmetry+ lateral screw commercially launched after alpha-launch revenue of approximately $1.2 million from late fourth-quarter 2025 through third-quarter 2026.

9 minor points

• Minor pointNine-month revenue increased 66% to $4.1 million from $2.5 million in 2025.
• Minor pointNine-month gross profit increased to $2.709 million from $1.341 million; margin rose to 66.2% from 54.4%.
• Minor pointNine-month operating loss narrowed to $9.719 million from $9.926 million a year earlier.
• Minor pointGeneral and administrative expenses fell to $1.517 million quarterly and $4.753 million year-to-date, versus $2.199 million and $5.341 million.
• Minor point. Forward-looking: it has not happened yet and may not happen.Quickstep Decorticator completed initial alpha cases; Tenon targets full market release in the first quarter of 2027.
• Minor pointEight new U.S. patents issued so far in 2026, bringing the portfolio to 38 U.S. and nine international patents.
• Minor pointJuly 2, 2026 clearance reclassified certain Catamaran instruments as reusable, contributing to improved per-procedure costs.
• Minor point. Forward-looking: it has not happened yet and may not happen.Commercial expansion plans include hiring direct sales representatives and onboarding distributor partners.
• Minor point. Forward-looking: it has not happened yet and may not happen.Remaining 2026 priorities include expanding physician training and adoption across both platforms and advancing the product pipeline.

Negative

• Major pointThird-quarter net loss widened to $6.639 million from $3.339 million; loss per share narrowed to $5.39 from $14.17.
• Major pointCommon shares outstanding increased to 2,682,721 at September 30, 2026, from 310,036 at December 31, 2025, diluting holders.
• Minor pointNine-month net loss widened to $14.165 million from $9.724 million; loss per share narrowed to $22.48 from $51.72.
• Minor pointResearch and development expenses rose to $804,000 quarterly and $2.234 million year-to-date, versus $428,000 and $1.622 million.
• Minor pointSales and marketing expenses rose to $1.714 million quarterly and $5.441 million year-to-date, versus $1.538 million and $4.304 million.

2 minor points

• Minor pointWarrant-inducement expense of $3.1 million and $0.7 million non-cash debt-discount interest contributed to third-quarter net loss.
• Minor point1-for-35 reverse split effective August 10, 2026, preceded restoration of Nasdaq minimum bid price compliance.

News Explained

Tenon reports common shares issued and outstanding rising from 310,036 at December 31, 2025 to 2,682,721 at September 30, 2026; issuing additional shares reduces existing holders’ percentage ownership absent offsetting changes.

Key Figures

Third-quarter revenue: $1.4 million; +22% Gross margin: 66.3%; +0.4 percentage points Operating loss: $3.1 million +4 more

Third-quarter revenue

$1.4 million; +22%

Q3 2026 versus Q3 2025

Gross margin

66.3%; +0.4 percentage points

Q3 2026 versus Q3 2025

Operating loss

$3.1 million

Q3 2026, improved from $3.4 million in Q3 2025

Net loss

$6.6 million

Q3 2026 versus $3.3 million in Q3 2025

Cash and cash equivalents

$8.3 million

As of September 30, 2026, versus $3.8 million at December 31, 2025

Aggregate gross proceeds

Approximately $15.6 million

Raised during Q3 2026

Senior convertible notes repaid

Approximately $5.12 million

Remaining principal repaid in full ahead of maturity

Previous Earnings Reports

1 past event · Latest: Aug 13

Same Type 1 event

1. Aug 13

   2Q26 earnings

   24h Move

   -13.4%

   Revenue and gross margin increased, while net loss widened and cash fell before subsequent financing.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

senior convertible notes, reverse stock split, 510(k) clearance, at-the-market offering

4 terms

senior convertible notes financial

"Repaid in full approximately $5.12 million of remaining principal balance of senior convertible notes"

A senior convertible note is a loan a company issues that ranks near the top of payment priority and can be exchanged for the company’s stock under preset terms. Think of it as an IOU that promises interest payments and first dibs on repayments if assets are liquidated, but also gives the lender the option to become an owner later; investors watch these for repayment safety, interest income, and potential stock dilution.

reverse stock split financial

"following its 1-for-35 reverse stock split, effective August 10, 2026"

A reverse stock split reduces a company's number of outstanding shares while raising the price per share proportionally, so the total value of each investor's holding is unchanged; a 1-for-10 split turns 100 shares worth $1 each into 10 shares worth $10 each. Companies often do this to regain compliance with an exchange's minimum price rule or to attract investors who avoid very low-priced stocks.

510(k) clearance regulatory

"driven by the 510(k) clearance the Company announced receiving on July 2, 2026"

A 510(k) clearance is a U.S. regulatory approval that lets a medical device be sold because it is shown to be substantially similar to an already-legal device; think of it as a passport saying the new product is close enough to a known item to enter the market without a full, lengthy review. For investors, 510(k) clearance signals faster, lower-cost market access and reduced regulatory risk compared with new, untested device pathways, which can materially affect timelines, costs and revenue prospects.

at-the-market offering financial

"from the sale of common stock under its at-the-market offering program"

An at-the-market offering is a method companies use to sell new shares of stock directly into the open market over time, rather than all at once. This allows them to raise money gradually, similar to selling small pieces of a product instead of a large batch. For investors, it means the company can access funding more flexibly, but it may also increase the supply of shares and influence the stock’s price.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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LOS GATOS, CA / ACCESS Newswire / November 12, 2026 / Tenon Medical, Inc. (NASDAQ:TNON) ("Tenon Medical" or the "Company"), a company redefining care for patients with sacro-pelvic disorders, today reported financial results for the third quarter ended September 30, 2026.

Financial Results and Business Updates

• Third Quarter 2026 Results:
  • Third quarter revenue of $1.4 million, an increase of 22% compared to $1.2 million in the third quarter of 2025.
  • Third quarter gross profit of $1.0 million, an increase of 23% compared to $0.8 million in the third quarter of 2025.
  • Gross margin of 66.3%, a 0.4 percentage point increase from 65.9% in the third quarter of 2025.
  • Cash and cash equivalents of $8.3 million as of September 30, 2026, compared to $3.8 million as of December 31, 2025.
  • Operating loss of $3.1 million in the third quarter, an improvement of $0.3 million compared to $3.4 million in the third quarter of 2025.
  • Net loss of $6.6 million, or $5.39 per share, in the third quarter of 2026, compared to a net loss of $3.3 million, or $14.17 per share, in the third quarter of 2025.
• Commercially launched the 3D-printed lateral screw for the SImmetry®+ SI Joint Fusion System, the first component of a next-generation lateral system, following an alpha launch that generated approximately $1.2 million in revenue from late in the fourth quarter of 2025 through the third quarter of 2026.
• Raised approximately $15.6 million in aggregate gross proceeds and regained compliance with Nasdaq's minimum stockholders' equity requirement. The Company also regained compliance with Nasdaq's minimum bid price requirement following its 1-for-35 reverse stock split, effective August 10, 2026.
• Repaid in full approximately $5.12 million of remaining principal balance of senior convertible notes ahead of their September 11, 2026 maturity.

Subsequent Updates

• The Company hired Thomas Batton Jr. as Chief Revenue Officer, effective October 1, 2026, to lead the commercial organization. Mr. Batton has over 15 years of medical device sales and commercial leadership experience across spine, neuromodulation and pain management, including extensive experience within SI joint fixation. The Company plans to continue to add to its commercial organization through hiring direct sales representatives and onboarding distributor partners.
• On October 15, 2026, the Company announced that the U.S. Patent and Trademark Office had issued eight new patents to the Company so far in 2026, bringing its portfolio to 38 issued U.S. patents and nine international patents, with 31 U.S. and foreign patent applications pending. The patents include both system and method claims covering the Catamaran® SI Joint Fusion System and are expected to strengthen the Company's intellectual property position in the sacro-pelvic fusion market.
• On October 28, 2026, the Company announced the completion of the initial alpha cases of its new Quickstep™ Decorticator for the next-generation SImmetry®+ SI Joint Fusion System. Quickstep is designed to streamline joint decortication and simplify the SImmetry+ surgical workflow, and the Company is targeting full market release in the first quarter of 2027.

"Third quarter revenue of $1.4 million grew 22% compared to the prior year and 12% sequentially from the second quarter, and we delivered that growth while reducing operating expenses compared to both the third quarter of 2025 and the second quarter of this year," said Steven M. Foster, President and CEO of Tenon Medical, Inc. "Just as importantly, we significantly strengthened our balance sheet during the quarter. We raised approximately $15.6 million in aggregate gross proceeds, repaid our convertible notes in full, regained compliance with Nasdaq's stockholders' equity and minimum bid price requirements, and ended the quarter with $8.3 million in cash."

"With our convertible notes now behind us, our attention is fully on growth. The full commercial launch of our 3D-printed SImmetry®+ lateral screw, the first component of our next-generation lateral system, and the completion of initial alpha cases with our Quickstep™ Decorticator, which we are targeting for full market release in the first quarter of 2027, expand the tools we can offer our physician partners. Our eight new U.S. patents this year further strengthen the protection around our Catamaran® platform. For the balance of 2026, our priorities remain consistent: expanding physician training and adoption across both platforms, advancing our product pipeline, and maintaining discipline on spend."

Third Quarter 2026 Financial Results

Revenue was $1.4 million in the third quarter of 2026, an increase of 22% compared to $1.2 million in the same period of 2025. Revenue for the nine months ended September 30, 2026 was $4.1 million, an increase of 66% compared to $2.5 million in the nine months ended September 30, 2025. The increase in revenue for the three months ended September 30, 2026 as compared to 2025 was primarily due to an increase in the number of surgical procedures, including continued adoption of the SImmetry®+ System.

Gross profit was $1.0 million, or 66.3% of revenue, in the third quarter of 2026, compared to $0.8 million, or 65.9% of revenue, in the third quarter of 2025. For the nine months ended September 30, 2026, gross profit was $2.7 million, or 66.2% of revenue, compared to $1.3 million, or 54.4% of revenue, for the nine months ended September 30, 2025. The 0.4 percentage point gross margin increase in the three months ended September 30, 2026 was primarily driven by increased revenue, further absorbing fixed costs within costs of goods sold, as well as improved Catamaran® per-procedure costs, driven by the 510(k) clearance the Company announced receiving on July 2, 2026, which reclassifies certain instruments to reusable status.

Operating expenses totaled $4.0 million in the third quarter of 2026, compared to $4.2 million in the third quarter of 2025. For the nine months ended September 30, 2026, operating expenses totaled $12.4 million, compared to $11.3 million in the prior year period. The decrease in the three months ended September 30, 2026 was primarily due to lower general and administrative expenses, primarily reflecting lower professional service fees, partially offset by higher sales and marketing expenses associated with higher revenue and higher research and development expenses as the Company continues to work towards future product additions.

Net loss was $6.6 million, or $5.39 per share, in the third quarter of 2026, compared to a net loss of $3.3 million, or $14.17 per share, in the third quarter of 2025. For the nine months ended September 30, 2026, net loss was $14.2 million, or $22.48 per share, compared to a net loss of $9.7 million, or $51.72 per share, in the same year ago period. The increase in net loss in the third quarter of 2026 was primarily attributable to non-cash items below the operating line, including $3.1 million of expense related to warrants issued as inducement consideration and $0.7 million of non-cash interest expense from the amortization of debt discount on the Company's convertible notes, which were repaid in full during the quarter. Loss from operations improved to $3.1 million from $3.4 million in the prior year period.

As of September 30, 2026, cash and cash equivalents totaled $8.3 million, compared to $3.8 million at December 31, 2025. During the third quarter of 2026, the Company raised approximately $10.1 million in aggregate gross proceeds through a $4.2 million public offering completed on July 1, 2026, a $3.0 million private placement closed on August 31, 2026, and a warrant inducement transaction in September 2026 for gross proceeds of approximately $2.9 million. The Company also received approximately $2.8 million in gross proceeds from the sale of common stock under its at-the-market offering program and approximately $2.7 million from the exercise of warrants during the quarter, bringing total gross proceeds for the third quarter to approximately $15.6 million. Through prepayments made in August and September 2026, the Company repaid in full its senior convertible notes, which had an aggregate principal amount of approximately $5.16 million, ahead of their September 11, 2026 maturity date, as announced on September 9, 2026. The Company had no outstanding debt as of quarter-end, positioning it to continue executing on its strategic initiatives, including the continued development and launch of the acquired SiVantage assets and expanding the commercial team.

Third Quarter 2026 Earnings Conference Call

Management will host a conference call at 4:30 p.m. ET (1:30 p.m. PT) today, November 12, 2026, to discuss Tenon's third quarter 2026 financial results, provide a corporate update, and conclude with Q&A with the Company's covering analysts. To participate, please use the following information:

Date:	Thursday, November 12, 2026
Time:	4:30 p.m. Eastern time
Dial-in:	1-877-407-0792
International Dial-in:	1-201-689-8263
Webcast:	TNON Conference Call

Please dial in at least 10 minutes before the start of the call to ensure timely participation.

An audio playback of the call will be available through November 26, 2026, on Tenon's Investor Relations website at http://ir.tenonmed.com/ or via telephone replay by dialing 1-844-512-2921 (USA) or 1-412-317-6671 (International). The access code will be 13763354.

About Tenon Medical, Inc.

Tenon Medical, Inc. is a medical device company dedicated to transforming care for patients with certain sacro-pelvic disorders. Tenon was incorporated in the State of Delaware in 2012 and currently offers two systems to treat a diseased sacroiliac joint (the "SI Joint"). The Company has developed The Catamaran® SI Joint Fusion System ("The Catamaran System") that offers a novel, less invasive approach to the SI Joint using a single, robust titanium implant. In August 2025, the Company acquired substantially all the assets of SiVantage, Inc. and SIMPL Medical, LLC, including the SImmetry+® SI Joint Fusion System, which treats disorders of the SI Joint through a minimally invasive lateral access solution that incorporates well-established orthopedic fusion principles. Since the national launch of The Catamaran System in October 2022, Tenon has been focused on three commercial opportunities: 1) primary SI Joint procedures, 2) revision procedures of failed SI Joint implants and 3) SI-Joint fusion adjunct to a spine fusion construct.

For more information, please visit www.tenonmed.com. Information on the Company's website does not constitute a part of and is not incorporated by reference into this press release.

The Tenon Medical logo shown above, and Catamaran®, PiSIF®, CAT PiSIF®, ETAD®, Posterior Inferior Sacroiliac Fusion®, CAT SIJ Fusion System®, Catamaran SIJ Fusion System®, Catamaran Inferior Posterior Fusion System®, Catamaran Transfixation Fusion System®, Catamaran Transfixation Fusion Device® and SImmetry® are registered trademarks of Tenon Medical, Inc. MAINSAIL^TM, SImmetry+ and Quickstep^TM are also trademarks of Tenon Medical, Inc.

Safe Harbor

This press release contains "forward-looking statements," which are statements related to events, results, activities or developments that Tenon expects, believes or anticipates will or may occur in the future. Forward-looking statements often contain words such as "intends," "estimates," "anticipates," "hopes," "projects," "plans," "expects," "seek," "believes," "see," "should," "will," "would," "target," and similar expressions and the negative versions thereof. These forward-looking statements include, but are not limited to, statements regarding the Company's commercial and product development plans, including the anticipated full market release of the Quickstep™ Decorticator, the expansion of its commercial organization, its intellectual property position and its strategic priorities. Such statements are based on Tenon's experience and perception of current conditions, trends, expected future developments and other factors it believes are appropriate under the circumstances, and speak only as of the date made. Forward-looking statements are inherently uncertain and actual results may differ materially from assumptions, estimates or expectations reflected or contained in the forward-looking statements as a result of various factors, including the Company's need to raise additional capital and the substantial doubt about its ability to continue as a going concern. For details on the uncertainties that may cause Tenon's actual results to be materially different than those expressed in any forward-looking statements, please review Tenon's Annual Report on Form 10-K for the fiscal year ended December 31, 2025, as updated from time to time in our Quarterly Reports on Form 10-Q and in our other public filings on file with the SEC at www.sec.gov, particularly the information contained in the section entitled "Risk Factors." We undertake no obligation to publicly update or revise any forward-looking statements to reflect new information or future events or otherwise unless required by law.

IR Contact:

Shannon Devine
203-741-8811
MZ North America
tenon@mzgroup.us

Tenon Medical, Inc.
Condensed Balance Sheets (Unaudited)
(In thousands, except share data)

		September 30,				December 31,
		2026				2025
ASSETS
Current assets:
Cash and cash equivalents		$	8,271			$	3,756
Accounts receivable, net			1,701				1,698
Inventory			882				1,054
Prepaid expenses and other current assets			367				260
Total current assets			11,221				6,768
Property and equipment, net			717				918
Deposits			51				51
Operating lease right-of-use asset			1,362				131
Intangible assets, net			441				485
Goodwill			2,407				2,407
TOTAL ASSETS		$	16,199			$	10,760
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable		$	657			$	845
Accrued expenses			2,151				1,637
Current portion of accrued commissions			780				590
Current portion of operating lease liability			222				141
Current portion of contingent consideration			23				-
Total current liabilities			3,833				3,213
Accrued commissions, net of current portion			1,086				1,514
Operating lease liability, net of current portion			1,071				-
Contingent consideration, net of current portion			991				993
Total liabilities			6,981				5,720
Stockholders' equity:
Series A convertible preferred stock, $0.001 par value; 4,500,000 shares authorized at September 30, 2026 and December 31, 2025; 204,159 shares issued and outstanding at September 30, 2026 and December 31, 2025			2,622				2,622
Series B convertible preferred stock, $0.001 par value; 491,222 shares authorized at September 30, 2026 and December 31, 2025; 86,454 shares issued and outstanding at September 30, 2026 and December 31, 2025			452				452
Common stock, $0.001 par value; 130,000,000 shares authorized at September 30, 2026 and December 31, 2025; 2,682,721 and 310,036 shares issued and outstanding at September 30, 2026 and December 31, 2025, respectively			3				-
Additional paid-in capital			101,608				83,268
Accumulated deficit			(95,467	)			(81,302	)
Total stockholders' equity			9,218				5,040
TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY		$	16,199			$	10,760

Tenon Medical, Inc.
Condensed Statements of Operations and Comprehensive Loss (Unaudited)
(In thousands, except per share data)

		Three Months Ended September 30,								Nine Months Ended September 30,
		2026				2025				2026				2025
Revenue		$	1,432			$	1,173			$	4,090			$	2,463
Cost of sales			482				400				1,381				1,122
Gross Profit			950				773				2,709				1,341
Operating Expenses
Research and development			804				428				2,234				1,622
Sales and marketing			1,714				1,538				5,441				4,304
General and administrative			1,517				2,199				4,753				5,341
Total Operating Expenses			4,035				4,165				12,428				11,267
Loss from Operations			(3,085	)			(3,392	)			(9,719	)			(9,926	)
Other Income (Expense)
Gain on investments			43				53				92				202
Interest expense			(719	)			-				(1,747	)			-
Other income (expense), net			(2,878	)			-				(2,791	)			-
Total Other (Expense) Income, net			(3,554	)			53				(4,446	)			202
Net Loss and Comprehensive Loss		$	(6,639	)		$	(3,339	)		$	(14,165	)		$	(9,724	)
Net Loss Per Share of Common Stock
Basic and diluted		$	(5.39	)		$	(14.17	)		$	(22.48	)		$	(51.72	)
Weighted-Average Shares of Common Stock Outstanding
Basic and diluted			1,231				236				630				188

SOURCE: Tenon Medical

View the original press release on ACCESS Newswire

FAQ

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What were Tenon Medical's third-quarter 2026 earnings results?

Tenon reported $1.4 million in revenue, up 22% year over year, and a $6.639 million net loss, compared with $3.339 million a year earlier. Loss per share was $5.39 versus $14.17. Operating loss narrowed to $3.085 million from $3.392 million.

How did Tenon Medical raise funding in the third quarter of 2026?

Tenon raised approximately $15.6 million in aggregate gross proceeds during the quarter. Funding included a $4.2 million public offering, a $3.0 million private placement, approximately $2.9 million from a warrant-inducement transaction, approximately $2.8 million from at-the-market common-stock sales and approximately $2.7 million from warrant exercises.

Who is leading Tenon Medical's commercial expansion?

Thomas Batton Jr. became Chief Revenue Officer effective October 1, 2026, to lead Tenon's commercial organization. The company plans to add direct sales representatives and distributor partners.