Tactile Systems posts 2025 growth, buys LymphaTech

Tactile Systems Technology reported strong fourth quarter and full-year 2025 results and announced a strategic acquisition.

Rhea-AI Filing Summary

Tactile Systems Technology reported strong fourth quarter and full-year 2025 results and announced a strategic acquisition. Fourth quarter revenue rose 21% to $103.6 million, with operating income up to $18.8 million and net income of $10.6 million, or $0.46 per diluted share. Full-year 2025 revenue grew 12% to $329.5 million, driven by 7% growth in lymphedema products and 52% growth in airway clearance products. Net income increased to $19.1 million and Adjusted EBITDA rose to $44.8 million, reflecting improved profitability.

The company ended 2025 with $83.4 million in cash and no debt after repaying $26.3 million of term loan borrowings and repurchasing $26.5 million of stock. For 2026, it guides revenue to $357–$365 million and Adjusted EBITDA to $49–$51 million, implying continued growth. Separately, Tactile Medical acquired LymphaTech Inc. for an upfront cash payment of $6.8 million plus potential milestone-based consideration, adding a 3D digital measurement platform to deepen its lymphedema solutions portfolio.

Positive

• Stronger growth and profitability: 2025 revenue rose to $329.5 million, up 12%, while Adjusted EBITDA increased to $44.8 million, indicating improved operating leverage and margin expansion.
• Balance sheet de-risking and capital returns: The company ended 2025 with $83.4 million in cash and no debt after repaying $26.3 million of term borrowings and repurchasing $26.5 million of common stock.

Negative

• None.

Insights

Medical technology equity analyst

Double-digit growth, higher margins, debt repayment, and a focused tuck-in deal make this update directionally positive.

Tactile Systems Technology delivered 2025 revenue of $329.5 million, up 12%, with strong Q4 momentum and notable contribution from airway clearance products. Adjusted EBITDA increased to $44.8 million, showing operating leverage as gross margin reached 78% in Q4.

The balance sheet strengthened meaningfully: cash ended at $83.4 million with no outstanding borrowings after repaying $26.3 million of term debt. The company also repurchased $26.5 million of stock, signaling confidence in its financial position while still funding growth.

Guidance for 2026 targets revenue of $357–$365 million and Adjusted EBITDA of $49–$51 million, consistent with ongoing but slightly moderating growth. The $6.8 million acquisition of LymphaTech adds a validated 3D measurement platform that fits the core lymphedema franchise, aiming to enhance disease identification and workflow efficiency within existing channels.

8-K Event Classification

3 items: 2.02, 7.01, 9.01

3 items

Item 2.02 Results of Operations and Financial Condition Financial

Disclosure of earnings results, typically an earnings press release or preliminary financials.

Item 7.01 Regulation FD Disclosure Disclosure

Material non-public information disclosed under Regulation Fair Disclosure, often investor presentations or guidance.

Item 9.01 Financial Statements and Exhibits Exhibits

Financial statements, pro forma financial information, or exhibit attachments filed with this report.

FAQ

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

How did Tactile Systems Technology (TCMD) perform financially in Q4 2025?

Tactile Systems Technology posted solid Q4 2025 results. Revenue increased 21% to $103.6 million, driven by growth in both lymphedema and airway clearance products. Operating income rose to $18.8 million and net income reached $10.6 million, or $0.46 per diluted share, reflecting stronger profitability.

What were Tactile Systems Technology’s full-year 2025 results?

For 2025, Tactile Systems Technology delivered double-digit growth. Total revenue climbed to $329.5 million, up 12% year over year, with lymphedema products up 7% and airway clearance products up 52%. Net income was $19.1 million and Adjusted EBITDA improved to $44.8 million, highlighting better operating performance.

What 2026 guidance did Tactile Systems Technology provide?

The company expects continued growth in 2026. It projects full-year revenue between $357 million and $365 million, implying roughly 8–11% growth over 2025. Adjusted EBITDA is guided to $49–$51 million, above 2025’s $44.8 million, indicating planned profitability gains.

What is the strategic rationale for TCMD’s acquisition of LymphaTech?

Tactile Medical acquired LymphaTech to enhance its lymphedema platform. The deal adds a 3D digital body measurement and monitoring system designed for lymphedema, supporting more accurate diagnosis, longitudinal tracking, and streamlined garment ordering. This deepens the company’s integrated solutions and supports its market leadership in lymphatic dysfunction.

How did Tactile Systems Technology’s balance sheet change during 2025?

The balance sheet became stronger and less leveraged in 2025. Cash ended at $83.4 million, and all $26.3 million of term loan borrowings were repaid, leaving no debt. The company also returned capital by repurchasing $26.5 million of stock while maintaining solid liquidity.

How are TCMD’s different product lines contributing to growth?

Both lymphedema and airway clearance products are growing. In 2025, lymphedema product revenue rose to $278.4 million, up 7%, while airway clearance products increased to $51.1 million, up 52%. This shows diversification, with the newer respiratory segment expanding faster but lymphedema remaining the core revenue base.

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

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Accepted by SEC EDGAR 02/17/2026 - 04:04 PM Learn about SEC filing dates

0001027838false00010278382026-02-172026-02-17

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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported) February 17, 2026

TACTILE SYSTEMS TECHNOLOGY, INC.

(Exact name of registrant as specified in its charter)

Delaware		001-37799		41-1801204
(State or other jurisdiction of		(Commission		(I.R.S. Employer
incorporation)		File Number)		Identification No.)

3701 Wayzata Blvd, Suite 300, Minneapolis, MN 55416

(Address of principal executive offices) (Zip Code)

(612) 355-5100

(Registrant’s telephone number, including area code)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

☐ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

☐ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

☐ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

☐ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Securities registered pursuant to Section 12(b) of the Act:

Title of each class	Trading Symbol(s)	Name of each exchange on which registered
Common Stock, Par Value $0.001 Per Share	TCMD	The Nasdaq Stock Market LLC

​

Indicate by check mark whether the registrant is an emerging growth company as defined in Rule 405 of the Securities Act of 1933 (§230.405 of this chapter) or Rule 12b-2 of the Securities Exchange Act of 1934 (§240.12b-2 of this chapter). ☐ Emerging growth company

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ☐

​

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Item 2.02. Results of Operations and Financial Condition.

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On February 17, 2026, Tactile Systems Technology, Inc. (“we,” “us,” and “our”) issued a press release disclosing our results of operations and financial condition for our most recently completed fiscal quarter and year. A copy of the press release is attached hereto as Exhibit 99.1.

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In accordance with General Instruction B.2 of Form 8-K, the information in this Item 2.02, including Exhibit 99.1, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933 or the Securities Exchange Act of 1934, except as shall be expressly set forth by specific reference in that filing.

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Item 7.01. Regulation FD Disclosure.

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On February 17, 2026, we also issued a press release announcing an acquisition. A copy of the press release is attached hereto as Exhibit 99.2.

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In accordance with General Instruction B.2 of Form 8-K, the information in this Item 2.02, including Exhibit 99.2, shall not be deemed to be “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 or otherwise subject to the liability of that section, and shall not be incorporated by reference into any registration statement or other document filed under the Securities Act of 1933 or the Securities Exchange Act of 1934, except as shall be expressly set forth by specific reference in that filing

​

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

​

EXHIBIT INDEX

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Exhibit No.				Description
99.1			Press Release dated February 17, 2026 (Earnings Release) ​
99.2	​		Press Release dated February 17, 2026 (Acquisition Release)
104	​		Cover Page Interactive Data File (embedded within the Inline XBRL document)
​		​		​

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SIGNATURES

​

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

​

		TACTILE SYSTEMS TECHNOLOGY, INC.
Date: February 17, 2026		By:	/s/ Elaine M. Birkemeyer
			Elaine M. Birkemeyer
			Chief Financial Officer

​

​

​

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Exhibit 99.1

Tactile Systems Technology, Inc. Reports Fourth Quarter and Full Year 2025 Financial Results

MINNEAPOLIS, MN, February 17, 2026 – Tactile Systems Technology, Inc. (“Tactile Medical”; the “Company”) (Nasdaq: TCMD), a medical technology company providing therapies for people with chronic disorders, today reported financial results for the fourth quarter and full year ended December 31, 2025.

Fourth Quarter 2025 Summary:

● Total revenue increased 21% year-over-year to $103.6 million

● Gross margin of 78% versus 75% in Q4 2024

● Net income of $10.6 million versus $9.7 million in Q4 2024

● Adjusted EBITDA of $22.9 million versus $16.2 million in Q4 2024

Full Year 2025 Summary:

● Total revenue increased 12% year-over-year to $329.5 million

● Gross margin of 76%, compared to 74% in 2024

● Operating cashflow of $42.8 million, compared to $40.7 million in 2024

● Repaid full outstanding principal balance of $26.3 million under the Company’s term loan

● Repurchased $26.5 million of stock at an average price of $12.36 per share

● Ended 2025 with $83.4 million in cash, compared to $94.4 million at the end of 2024

Recent Business Highlights

● Acquired LymphaTech, expanding our lymphedema solutions portfolio and strengthening our R&D capabilities with their digital 3D scanning technology for chronic swelling detection, measurement, and monitoring

● Announced the publication of two-month clinical data comparing Flexitouch Plus™ to usual care in the Journal of the Sciences and Specialties of the Head and Neck

​

“In 2025, we executed with discipline against our core growth strategies, delivering double-digit revenue growth, expanding gross margin and adjusted EBITDA, and generating strong cash flow, while continuing to strategically invest in people and workflow-related processes to strengthen our business for scale,” said Sheri Dodd, Chief Executive Officer of Tactile Medical. “We delivered on our goals, and in doing so, advanced our mission of improving the lives of over 95,000 patients with lymphedema and chronic inflammatory lung disease.”

​

Ms. Dodd continued, “Looking ahead, we anticipate continued commercial and operational momentum in our lymphedema business to support sustained market leadership and revenue performance in line with overall market growth. Alongside increasing depth and breadth of collaboration with our DME partners in our respiratory business, we believe we are entering 2026 from a position of operational and financial strength.”

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Fourth Quarter 2025 Financial Results

Total revenue in the fourth quarter of 2025 increased $18.0 million, or 21%, to $103.6 million, compared to $85.6 million in the fourth quarter of 2024. The increase in total revenue was attributable to an increase of $12.4 million, or 16%, in sales and rentals of the lymphedema product line and an increase of $5.6 million, or 66%, in sales of the airway clearance product line.

Gross profit in the fourth quarter of 2025 increased $16.6 million, or 26%, to $81.0 million, compared to $64.4 million in the fourth quarter of 2024. Gross margin was 78% of revenue, compared to 75% of revenue in the fourth quarter of 2024.

Operating expenses in the fourth quarter of 2025 increased $10.4 million, or 20%, to $62.2 million, compared to $51.9 million in the fourth quarter of 2024.

Operating income was $18.8 million in the fourth quarter of 2025, compared to $12.5 million in the fourth quarter of 2024.

Income tax expense was $8.8 million in the fourth quarter of 2025, compared to $3.3 million in the fourth quarter of 2024.

Net income in the fourth quarter of 2025 was $10.6 million, or $0.46 per diluted share, compared to $9.7 million, or $0.40 per diluted share, in the fourth quarter of 2024.

Weighted average shares used to compute diluted net income per share were 23.0 million and 24.5 million for the fourth quarters of 2025 and 2024, respectively.

Adjusted EBITDA was $22.9 million in the fourth quarter of 2025, compared to $16.2 million in the fourth quarter of 2024.

Full Year 2025 Financial Results

Total revenue in the full year of 2025 increased $36.5 million, or 12%, to $329.5 million, compared to $293.0 million in the full year of 2024. The increase in total revenue was attributable to an increase of $19.0 million, or 7%, in sales and rentals of the lymphedema product line and an increase of $17.5 million, or 52%, in sales of the airway clearance product line.

Net income in the full year of 2025 was $19.1 million, or $0.82 per diluted share, compared to $17.0 million, or $0.70 per diluted share, in the full year of 2024.

Weighted average shares used to compute diluted net income per share were 23.3 million and 24.1 million in the full year of 2025 and 2024, respectively.

Adjusted EBITDA was $44.8 million in the full year of 2025, compared to $37.1 million in the full year of 2024.

Balance Sheet Summary

As of December 31, 2025, the Company had $83.4 million in cash and no outstanding borrowings under its credit agreement, compared to $94.4 million in cash and $26.3 million of outstanding borrowings under its credit agreement as of December 31, 2024. In 2025, the Company repaid the

full outstanding principal balance of $26.3 million under its term loan and repurchased $26.5 million of stock under its original share repurchase program at an average price of $12.36 per share excluding commissions and excise tax.

2026 Financial Outlook

The Company expects full year 2026 total revenue in the range of $357 million to $365 million, representing growth of approximately 8% to 11% year-over-year, compared to total revenue of $329.5 million in 2025. The Company also expects full year 2026 adjusted EBITDA in the range of $49 million to $51 million, compared to adjusted EBITDA of $44.8 million in 2025.

Conference Call

Management will host a conference call with a question-and-answer session at 5:00 p.m. Eastern Time on February 17, 2026, to discuss the results of the quarter and fiscal year. Those who would like to participate may dial 877-407-3088 (201-389-0927 for international callers) and provide access code 13758303. A live webcast of the call will also be provided on the investor relations section of the Company's website at investors.tactilemedical.com.

For those unable to participate, a replay of the call will be available for two weeks at 877-660-6853 (201-612-7415 for international callers); access code 13758303. The webcast will be archived at investors.tactilemedical.com.

About Tactile Systems Technology, Inc. (DBA Tactile Medical)

Tactile Medical is a leader in developing and marketing at-home therapies for people suffering from underserved, chronic conditions including lymphedema, lipedema, chronic venous insufficiency and chronic inflammatory lung disease by helping them live better and care for themselves at home. Tactile Medical collaborates with clinicians to expand clinical evidence, raise awareness, increase access to care, reduce overall healthcare costs and improve the quality of life for tens of thousands of patients each year.

Legal Notice Regarding Forward-Looking Statements

This release contains forward-looking statements, including guidance for the full year 2025. Forward-looking statements are generally identifiable by the use of words like “may,” “will,” “should,” “could,” “expect,” “anticipate,” “estimate,” “believe,” “intend,” “continue,” “confident,” “outlook,” “guidance,” “project,” “goals,” “look forward,” “poised,” “designed,” “plan,” “return,” “focused,” “prospects” or “remain” or the negative of these words or other variations on these words or comparable terminology. The reader is cautioned not to put undue reliance on these forward-looking statements, as these statements are subject to numerous factors and uncertainties outside of the Company’s control that can make such statements untrue, including, but not limited to, the Company’s ability to obtain reimbursement from third-party payers for its products; adverse economic conditions, including inflation, rising interest rates or a recession; the adequacy of the Company’s liquidity to pursue its business objectives; price increases for supplies and components; wage and component price inflation; loss of a key supplier or other supply chain disruptions; entry of new competitors and/or competitive products; compliance with and changes in federal, state and local government laws and regulations; technological obsolescence of, or quality issues with, the Company’s products; the

Company’s ability to expand its business through strategic acquisitions; the Company’s ability to integrate acquisitions and related businesses; the effects of current and future U.S. and foreign trade policy and tariff actions; or the inability to carry out research, development and commercialization plans. In addition, other factors that could cause actual results to differ materially are discussed in the Company’s filings with the SEC. Investors and security holders are urged to read these documents free of charge on the SEC’s website at http://www.sec.gov. The Company undertakes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or otherwise.

Use of Non-GAAP Financial Measures

This press release includes the non-GAAP financial measure of Adjusted EBITDA, which differs from financial measures calculated in accordance with U.S. generally accepted accounting principles (“GAAP”). Adjusted EBITDA in this release represents net income, plus interest expense, net, or less interest income, net, less income tax benefit or plus income tax expense, plus depreciation and amortization, plus stock-based compensation expense, and plus executive transition costs. Reconciliation of this non-GAAP financial measure to its most directly comparable GAAP measure is included in this press release.

This non-GAAP financial measure is presented because the Company believes it is a useful indicator of its operating performance. Management uses this measure principally as a measure of the Company’s operating performance and for planning purposes, including the preparation of the Company’s annual operating plan and financial projections. The Company believes this measure is useful to investors as supplemental information and because it is frequently used by analysts, investors and other interested parties to evaluate companies in its industry. The Company also believes this non-GAAP financial measure is useful to its management and investors as a measure of comparative operating performance from period to period. In addition, Adjusted EBITDA is used as a performance metric in the Company’s compensation program.

The non-GAAP financial measure presented in this release should not be considered as an alternative to, or superior to, its respective GAAP financial measure, as a measure of financial performance or cash flows from operations as a measure of liquidity, or any other performance measure derived in accordance with GAAP, and it should not be construed to imply that the Company’s future results will be unaffected by unusual or non-recurring items. In addition, Adjusted EBITDA is not intended to be a measure of free cash flow for management’s discretionary use, as it does not reflect certain cash requirements such as tax payments, debt service requirements, capital expenditures and certain other cash costs that may recur in the future. Adjusted EBITDA contains certain other limitations, including the failure to reflect our cash expenditures, cash requirements for working capital needs and cash costs to replace assets being depreciated and amortized. In evaluating non-GAAP financial measures, you should be aware that in the future the Company may incur expenses that are the same as or similar to some of the adjustments in this presentation. The Company’s presentation of non-GAAP financial measures should not be construed to imply that its future results will be unaffected by any such adjustments. Management compensates for these limitations by primarily relying on the Company’s GAAP results in addition to using non-GAAP financial measures on a supplemental basis. The Company’s definition of these non-GAAP financial measures is not

necessarily comparable to other similarly titled captions of other companies due to different methods of calculation.

Investor Inquiries:

Sam Bentzinger

Gilmartin Group

investorrelations@tactilemedical.com

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Tactile Systems Technology, Inc.
Consolidated Balance Sheets
​	​ ​ ​	December 31,		​ ​ ​	December 31,
(In thousands, except share and per share data)	​ ​ ​	2025		​ ​ ​	2024
Assets	​	​		​	​	​
Current assets	​	​	​	​	​	​
Cash	​	$	83,446	​	$	94,367
Accounts receivable, net	​		43,876	​		44,937
Net investment in leases	​		15,754	​		14,540
Inventories	​		14,025	​		18,666
Prepaid expenses and other current assets	​		8,066	​		5,053
Total current assets	​		165,167	​		177,563
Non-current assets	​	​	​	​	​	​
Property and equipment, net	​		5,117	​		5,603
Right of use operating lease assets	​		13,798	​		16,633
Intangible assets, net	​		39,167	​		42,789
Goodwill	​	​	31,063	​	​	31,063
Deferred income taxes	​		9,783	​		18,311
Other non-current assets	​		9,847	​		5,962
Total non-current assets	​		108,775	​		120,361
Total assets	​	$	273,942	​	$	297,924
Liabilities and Stockholders' Equity	​	​	​	​	​	​
Current liabilities	​	​	​	​	​	​
Accounts payable	​	$	4,968	​	$	5,648
Note payable	​	​	—	​	​	2,956
Accrued payroll and related taxes	​		19,378	​		17,923
Accrued expenses	​		8,531	​		7,780
Income taxes payable	​		1,428	​		270
Operating lease liabilities	​		3,195	​		2,980
Other current liabilities	​		3,457	​		3,147
Total current liabilities	​		40,957	​		40,704
Non-current liabilities	​	​	​	​	​	​
Note payable, non-current	​	​	—	​	​	23,220
Accrued warranty reserve, non-current	​		1,045	​		1,209
Income taxes payable, non-current	​		275	​		239
Operating lease liabilities, non-current	​	​	12,763	​		15,955
Total non-current liabilities	​		14,083	​		40,623
Total liabilities	​		55,040	​		81,327
​	​	​	​	​	​	​
Stockholders’ equity:	​	​	​	​	​	​
Preferred stock, $0.001 par value, 50,000,000 shares authorized; none issued and outstanding as of December 31, 2025 and December 31, 2024	​		—	​		—
Common stock, $0.001 par value, 300,000,000 shares authorized; 22,438,926 shares issued and outstanding as of December 31, 2025; 23,883,475 shares issued and outstanding as of December 31, 2024	​		22	​		24
Additional paid-in capital	​		163,940	​		180,719
Retained earnings	​		54,940	​		35,854
Total stockholders’ equity	​		218,902	​		216,597
Total liabilities and stockholders’ equity	​	$	273,942	​	$	297,924

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Tactile Systems Technology, Inc.

Consolidated Statements of Operations

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Three Months Ended

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Year Ended

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December 31,

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December 31,

(In thousands, except share and per share data)

​ ​ ​

2025

​ ​ ​

2024

​ ​ ​

2025

​ ​ ​

2024

Revenue

​

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​

​

​

​

​

​

​

​

Sales revenue

​

$

92,703

​

$

75,270

​

$

292,593

​

$

256,012

Rental revenue

​

10,891

​

10,315

​

36,929

​

36,972

Total revenue

​

103,594

​

85,585

​

329,522

​

292,984

Cost of revenue

​

​

​

​

​

​

​

​

​

​

​

​

Cost of sales revenue

​

19,416

​

18,005

​

68,686

​

64,815

Cost of rental revenue

​

3,172

​

3,211

​

10,690

​

11,481

Total cost of revenue

​

22,588

​

21,216

​

79,376

​

76,296

Gross profit

​

​

​

​

​

​

​

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Gross profit - sales revenue

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73,287

​

57,265

​

223,907

​

191,197

Gross profit - rental revenue

​

7,719

​

7,104

​

26,239

​

25,491

Gross profit

​

81,006

​

64,369

​

250,146

​

216,688

Operating expenses

​

​

​

​

​

​

​

​

​

​

​

​

Sales and marketing

​

33,873

​

29,206

​

121,237

​

112,009

Research and development

​

2,531

​

2,038

​

8,481

​

8,832

Reimbursement, general and administrative

​

25,231

​

19,977

​

88,705

​

71,135

Intangible asset amortization and earn-out

​

​

596

​

​

633

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​

2,444

​

​

2,531

Total operating expenses

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62,231

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51,854

​

220,867

​

194,507

Income from operations

​

18,775

​

12,515

​

29,279

​

22,181

Interest income

​

​

685

​

​

948

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​

3,097

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​

3,384

Interest expense

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(11)

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(472)

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(1,038)

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​

(2,085)

Other income

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—

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—

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1

​

9

Income before income taxes

​

19,449

​

12,991

​

31,339

​

23,489

Income tax expense

​

8,815

​

3,275

​

12,253

​

6,529

Net income

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$

10,634

​

$

9,716

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$

19,086

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$

16,960

Net income per common share

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​

​

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​

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Basic

​

$

0.47

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$

0.40

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$

0.83

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$

0.71

Diluted

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$

0.46

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$

0.40

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$

0.82

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$

0.70

Weighted-average common shares used to compute net income per common share

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Basic

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​

22,390,282

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​

24,007,863

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​

22,872,841

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​

23,883,729

Diluted

​

​

23,043,226

​

​

24,473,898

​

​

23,295,328

​

​

24,138,244

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Tactile Systems Technology, Inc.
Consolidated Statements of Cash Flows
​	​	​
​	​	Year Ended December 31,
(In thousands)	​ ​ ​	2025		​ ​ ​	2024
Cash flows from operating activities	​	​	​	​	​	​
Net income	​	$	19,086	​	$	16,960
Adjustments to reconcile net income to net cash provided by operating activities:	​	​	​	​	​	​
Depreciation and amortization	​	​	6,643	​	​	6,792
Deferred income taxes	​	​	8,528	​	​	1,067
Stock-based compensation expense	​	​	8,357	​	​	7,819
Loss on disposal of property and equipment and intangibles	​	​	78	​	​	308
Changes in assets and liabilities, net of acquisition:	​	​	​	​	​	​
Accounts receivable, net	​	​	1,061	​	​	(1,764)
Net investment in leases	​	​	(1,214)	​	​	(345)
Inventories	​	​	4,641	​	​	3,861
Income taxes payable	​	​	1,194	​	​	(1,404)
Prepaid expenses and other assets	​	​	(6,898)	​	​	(3,929)
Right of use operating lease assets	​	​	(142)	​	​	187
Accounts receivable, non-current	​	​	—	​	​	10,936
Accounts payable	​	​	(758)	​	​	(1,087)
Accrued payroll and related taxes	​	​	1,455	​	​	1,134
Accrued expenses and other liabilities	​	​	780	​	​	120
Net cash provided by operating activities	​	​	42,811	​	​	40,655
Cash flows from investing activities	​	​	​	​	​	​
Purchases of property and equipment	​	​	(2,380)	​	​	(2,392)
Proceeds from sale of property and equipment	​	​	—	​	​	12
Intangible assets expenditures	​	​	(155)	​	​	(117)
Net cash used in investing activities	​	​	(2,535)	​	​	(2,497)
Cash flows from financing activities	​	​	​	​	​	​
Payments on note payable	​	​	(26,250)	​	​	(3,000)
Proceeds from exercise of common stock options	​	​	222	​	​	24
Proceeds from the issuance of common stock from the employee stock purchase plan	​	​	1,392	​	​	1,660
Payments for repurchases of common stock	​	​	(26,561)	​	​	(3,508)
Net cash used in financing activities	​	​	(51,197)	​	​	(4,824)
Net (decrease) increase in cash	​	​	(10,921)	​	​	33,334
Cash – beginning of period	​	​	94,367	​	​	61,033
Cash – end of period	​	$	83,446	​	$	94,367
​	​	​	​	​	​	​
Supplemental cash flow disclosure	​	​	​	​	​	​
Cash paid for interest	​	$	1,218	​	$	2,106
Cash paid for taxes	​	$	2,500	​	$	6,866
Accrued excise tax on stock repurchases	​	$	191	​	$	—
Capital expenditures incurred but not yet paid	​	$	78	​	$	76

​

​

​

​

​

The following table summarizes revenue by product line for the three and twelve months ended December 31, 2025 and 2024:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Three Months Ended

​

Year Ended

​

​

December 31,

​

December 31,

(In thousands)

​ ​ ​

2025

​

2024

​

2025

​

2024

Revenue

​

​

​

​

​

​

​

​

​

​

​

​

Lymphedema products

​

$

89,476

​

$

77,083

​

$

278,380

​

$

259,361

Airway clearance products

​

​

14,119

​

​

8,502

​

​

51,142

​

​

33,623

Total

​

$

103,595

​

$

85,585

​

$

329,522

​

$

292,984

​

​

​

​

​

​

​

​

​

​

​

​

​

Percentage of total revenue

​

​

​

​

​

​

​

​

​

​

​

​

Lymphedema products

​

86%

​

90%

​

84%

​

89%

Airway clearance products

​

​

14%

​

​

10%

​

​

16%

​

​

11%

Total

​

100%

​

100%

​

100%

​

100%

​

The following table contains a reconciliation of net income to Adjusted EBITDA for the three and twelve months ended December 31, 2025 and 2024, as well as the dollar and percentage change between the comparable periods:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Tactile Systems Technology, Inc.

Reconciliation of Net Income to Non-GAAP Adjusted EBITDA

(Unaudited)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Three Months Ended

​

Increase

​

Year Ended

​

Increase

​

​

December 31,

​

(Decrease)

​

December 31,

​

(Decrease)

(Dollars in thousands)

​ ​ ​

2025

​ ​ ​

2024

​ ​ ​

$

​ ​ ​

%

​ ​ ​

2025

​ ​ ​

2024

​

$

​ ​ ​

%

Net Income

$

10,634

​

$

9,716

​

$

918

9

%

​

$

19,086

​

$

16,960

​

$

2,126

13

%

Interest (income) expense, net

​

​

(674)

​

​

(476)

​

​

(198)

42

%

​

​

(2,059)

​

​

(1,299)

​

​

(760)

59

%

Income tax expense

​

​

8,815

​

​

3,275

​

​

5,540

169

%

​

​

12,253

​

​

6,529

​

​

5,724

88

%

Depreciation and amortization

​

​

1,621

​

​

1,714

​

​

(93)

(5)

%

​

​

6,644

​

​

6,793

​

​

(149)

(2)

%

Stock-based compensation

​

​

2,538

​

​

1,850

​

​

688

37

%

​

​

8,357

​

​

7,819

​

​

538

7

%

Executive transition costs

​

​

—

​

​

137

​

​

(137)

​

(100)

%

​

​

491

​

​

248

​

​

243

​

98

%

Adjusted EBITDA

​

$

22,934

​

$

16,216

​

$

6,718

41

%

​

$

44,772

​

$

37,050

​

$

7,722

21

%

​

​

The following table contains a reconciliation of GAAP net income guidance range to the Adjusted EBITDA guidance range for the twelve months ending December 31, 2026:

​	​	​	​	​	​	​
Tactile Systems Technology, Inc.
Reconciliation of FY 2026 GAAP Net Income to Adjusted EBITDA Guidance
(Unaudited)
​	​	​	​	​	​	​
​	​	Year Ended
​	​	December 31, 2026
(Dollars in thousands)	​ ​ ​	Low		​ ​ ​	High
Net income		$	26,080	​	$	27,519
Interest income, net	​	​	(2,983)	​	​	(2,983)
Income tax expense	​	​	10,142	​	​	10,703
Depreciation and amortization	​	​	6,863	​	​	6,863
Stock-based compensation	​	​	8,898	​	​	8,898
Adjusted EBITDA	​	$	49,000	​	$	51,000

​

Investor Inquiries:

Sam Bentzinger

Gilmartin Group

investorrelations@tactilemedical.com

Exhibit 99.2

​

Tactile Medical Acquires LymphaTech, Expanding Breadth and Depth of its Lymphedema Solutions Portfolio

LymphaTech’s 3D Platform and Digital Capabilities to Improve Disease Identification, Accelerate Therapy Adoption, and Support Next-Generation Lymphatic Therapies

MINNEAPOLIS, MN, February 17, 2026 – Tactile Systems Technology, Inc. (“Tactile Medical”; the “Company”) (Nasdaq: TCMD), a medical technology company providing therapies for people with chronic disorders, today announced that it has acquired LymphaTech Inc., for an upfront cash payment at closing of $6.8 million, plus potential additional consideration that is contingent upon the achievement of future milestones.

​

Founded in 2014, LymphaTech, Inc. is a privately held medical technology company pioneering a digital, three-dimensional (“3D”) full body measurement and monitoring platform designed specifically for lymphedema. Damage to the lymphatic system from chronic fluid accumulation can cause swelling and tissue fibrosis, significantly impacting patients’ quality of life and health care utilization. The acquisition will expand Tactile Medical’s lymphedema portfolio with new solutions that enable more accurate and efficient disease identification and progression, while broadening the Company’s research and development capabilities and strengthening its market leadership position in conditions associated with lymphatic dysfunction.

​

LymphaTech’s primary technology is a hand-held, clinically validated solution that uses proprietary algorithms and mobile scanning to deliver highly accurate fluid volume and precise circumference measurements, two critical elements in identifying lymphedema and informing the appropriate therapy options. The platform immediately generates a clinical grade 3D model of the body and limbs, replacing traditional manual measurement methods that are time consuming and highly variable.

In addition to real-time measurement, the platform supports longitudinal surveillance, allowing clinicians to track swelling changes over time, including lymphedema disease progression and treatment response. Today, the platform is also used by compression garment manufacturers and fitters to digitize garment measurement and ordering, thereby improving fit accuracy, reducing returns, and streamlining the overall order process and clinic workflow.  

“This acquisition is a milestone in Tactile’s evolution from a product-based company to a comprehensive, integrated solutions leader for lymphatic dysfunction,” said Sheri Dodd, Chief Executive Officer of Tactile Medical. “By bringing together Tactile and LymphaTech, we become uniquely positioned to support patients and clinicians from early disease intervention to innovative connected therapies with long-term support and monitoring alongside our Kylee™ patient engagement application.”

Ms. Dodd continued, “The acquisition also brings advanced research competencies and programs that extend LymphaTech’s proprietary capabilities into next-generation approaches for assessment and treatment. As the scientific and clinical understanding of lymphatic

​

​

dysfunction continues to increase, Tactile is poised to lead the next wave of technological innovation accelerating therapy for the 20 million symptomatic patients in the United States.”

​

“With the rising prevalence of lymphedema, this tool is essential in providing clinicians with accurate, repeatable measurements that reduce variability and streamline workflows,” said Tony Gasparis, MD, Chief Medical Officer at Tactile Medical “By introducing greater objectivity and efficiency into assessment, it enhances confidence in clinical decision-making and enables providers to dedicate more time to patient care.”

​

In connection with the transaction, LymphaTech co-founders Mike Weiler, PhD, and Nate Frank, MBA, have joined Tactile Medical to drive commercial adoption of the LymphaTech platform and support ongoing research activities.

​

About Tactile Systems Technology, Inc. (DBA Tactile Medical)

Tactile Medical is a leader in developing and marketing at-home therapies for people suffering from underserved, chronic conditions including lymphedema, lipedema, chronic venous insufficiency, and chronic inflammatory lung disease by helping them live better and care for themselves at home. Tactile Medical collaborates with clinicians to expand clinical evidence, raise awareness, increase access to care, reduce overall healthcare costs and improve the quality of life for tens of thousands of patients each year.

Legal Notice Regarding Forward-Looking Statements

This release contains forward-looking statements, including expected impacts of the acquisition, such as portfolio expansion, market leadership and other positioning, future capabilities and leading indicators, as well as features, capabilities and effects of the technology acquired. Forward-looking statements are generally identifiable by the use of words like “may,” “will,” “should,” “could,” “expect,” “anticipate,” “estimate,” “believe,” “intend,” “continue,” “confident,” “outlook,” “guidance,” “project,” “goals,” “look forward,” “poised,” “designed,” “plan,” “return,” “focused,” “prospects” or “remain” or the negative of these words or other variations on these words or comparable terminology. The reader is cautioned not to put undue reliance on these forward-looking statements, as these statements are subject to numerous factors and uncertainties outside of the Company’s control that can make such statements untrue, including, but not limited to, the Company’s ability to obtain reimbursement from third-party payers for its products; adverse economic conditions, including inflation, rising interest rates or a recession; the adequacy of the Company’s liquidity to pursue its business objectives; price increases for supplies and components; wage and component price inflation; loss of a key supplier or other supply chain disruptions; entry of new competitors and/or competitive products; compliance with and changes in federal, state and local government laws and regulations; technological obsolescence of, or quality issues with, the Company’s products; the Company’s ability to expand its business through strategic acquisitions; the Company’s ability to integrate acquisitions and related businesses; the effects of current and future U.S. and foreign trade policy and tariff actions; or the inability to carry out research, development and commercialization plans. In addition, other factors that could cause actual results to differ materially are discussed in the Company’s filings with the Securities

​

​

and Exchange Commission (“SEC”). Investors and security holders are urged to read these documents free of charge on the SEC’s website at http://www.sec.gov. The Company undertakes no obligation to publicly update or revise its forward-looking statements as a result of new information, future events or otherwise.

​

Investor Inquiries:

Sam Bentzinger Gilmartin Group investorrelations@tactilemedical.com

​

Filing Exhibits & Attachments

6 documents

Press Releases

• EX-99.1 EX-99.1 572.0 KB
• EX-99.2 EX-99.2 20.6 KB

Other Documents

• EX-101 EX-101.SCH 3.3 KB
• EX-101 EX-101.DEF 2.7 KB
• EX-101 EX-101.LAB 16.8 KB
• EX-101 EX-101.PRE 10.0 KB