Tactile Medical (NASDAQ: TCMD) lifts 2026 outlook after strong Q1 growth

Rhea-AI Filing Summary

Tactile Systems Technology, Inc. reported a strong first quarter of 2026, with total revenue rising 23% to $75.3 million from $61.3 million a year earlier. Growth was broad-based, as lymphedema product revenue increased to $62.2 million and airway clearance revenue rose to $13.0 million, each maintaining 83% and 17% of total sales.

Gross profit grew 27% to $57.6 million and gross margin improved to 76.5%. Operating loss narrowed to $1.5 million and net loss improved to $1.8 million, or $0.08 per diluted share. Adjusted EBITDA swung to a positive $3.7 million from a small loss, helped by higher revenue and operating leverage.

As of March 31, 2026, the company held $75.0 million in cash with no borrowings and repurchased $1.1 million of stock. Management raised its 2026 revenue outlook to $360–$368 million, implying 9%–12% growth over 2025, while maintaining adjusted EBITDA guidance of $49–$51 million. The quarter also reflected integration of the LymphaTech acquisition and ongoing investment in R&D and commercialization.

Positive

• Strong revenue growth and mix: Q1 2026 revenue grew 23% to $75.3 million, with lymphedema and airway clearance products both expanding while maintaining their 83%/17% revenue mix.
• Margin and profitability improvement: Gross margin increased to 76.5%, operating loss narrowed from $4.5 million to $1.5 million, and Adjusted EBITDA improved to a positive $3.7 million from a small loss.
• Guidance raised with solid balance sheet: 2026 revenue outlook increased to $360–$368 million (about 9%–12% growth) while maintaining Adjusted EBITDA guidance of $49–$51 million, supported by $75.0 million in cash and no debt.

Negative

• None.

Insights

Equity research analyst

Q1 2026 showed strong top-line growth, margin expansion, and a modest guidance raise, signaling improving fundamentals.

Tactile Medical delivered 23% revenue growth to $75.3M, with both lymphedema and airway clearance product lines contributing. Gross profit rose 27% to $57.6M and gross margin improved to 76.5%, highlighting better pricing, mix, or cost control.

Operating loss narrowed to $1.5M from $4.5M, while net loss improved to $1.8M or $0.08 per share. Importantly, Adjusted EBITDA turned positive at $3.7M versus a small loss last year, even as operating expenses increased to support growth and the LymphaTech acquisition.

The balance sheet remains solid with $75.0M in cash and no debt, alongside ongoing share repurchases. Management nudged 2026 revenue guidance up to $360M–$368M, or roughly 9–12% growth, and reaffirmed Adjusted EBITDA guidance of $49M–$51M. Subsequent filings will show how execution tracks this outlook through the rest of 2026.

8-K Event Classification

2 items: 2.02, 9.01

2 items

Item 2.02 Results of Operations and Financial Condition Financial

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

Item 9.01 Financial Statements and Exhibits Exhibits

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

Key Figures

Q1 2026 Revenue: $75.3M Q1 2026 Gross Margin: 76.5% Q1 2026 Net Loss: $1.8M +5 more

8 metrics

Q1 2026 Revenue $75.3M Total revenue for quarter ended March 31, 2026; up 23% from $61.3M

Q1 2026 Gross Margin 76.5% Gross profit $57.6M on $75.3M revenue; up from 74.0% a year earlier

Q1 2026 Net Loss $1.8M Net loss improved from $3.0M in Q1 2025; EPS $(0.08)

Q1 2026 Adjusted EBITDA $3.7M Shift from Adjusted EBITDA loss of $0.3M in Q1 2025

Cash Balance $75.0M Cash as of March 31, 2026; no outstanding borrowings under credit agreement

2026 Revenue Guidance $360M–$368M Updated full-year 2026 outlook; ~9%–12% growth over $329.5M in 2025

2026 Adjusted EBITDA Guidance $49M–$51M Full-year 2026 Adjusted EBITDA guidance vs $44.8M in 2025

Share Repurchases Q1 2026 $1.1M Stock repurchased under $25M program; $23.9M remaining authorization

Key Terms

Adjusted EBITDA, gross margin, share repurchase program, acquisition & integration costs, +2 more

6 terms

Adjusted EBITDA financial

"Adjusted EBITDA was $3.7 million in the first quarter of 2026, compared to an Adjusted EBITDA loss of $0.3 million"

Adjusted EBITDA is a way companies measure how much money they make from their core operations, like running a business, by removing certain costs or income that aren’t part of regular business activities. It helps investors see how well a company is doing without distractions from unusual expenses or gains, making it easier to compare companies or track performance over time.

gross margin financial

"Gross margin was 76.5% of revenue, compared to 74% of revenue in the first quarter of 2025."

Gross margin is the difference between how much money a company makes from selling its products and how much it costs to produce them, expressed as a percentage of sales. It shows how efficiently a company is turning sales into profit before other expenses like marketing or salaries. Higher gross margin means the company keeps more money from each sale, which is a good sign of financial health.

share repurchase program financial

"The Company repurchased $1.1 million of its stock during the first quarter under its repurchase program."

A share repurchase program is when a company buys back its own shares from the marketplace. This reduces the total number of shares available, which can increase the value of each remaining share and signal confidence in the company's prospects. For investors, it often suggests that the company believes its stock is undervalued or that it has extra cash to return to shareholders.

acquisition & integration costs financial

"Acquisition & integration costs | | | 817 | | | —"

litigation-related costs financial

"Litigation-related costs | | | 1,000 | | | —"

non-GAAP financial measure regulatory

"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"

A non-GAAP financial measure is a way companies present their financial results that excludes certain expenses or income to show how they believe their core business is performing. It matters because it can give a clearer picture of how the company is really doing, but it can also be used to make results look better than they actually are.

Earnings Snapshot

Revenue: $75.3M · Guidance included

Q1 2026

Revenue $75.3M +23% YoY

Gross margin 76.5% up from 74.0% YoY

Net loss $1.8M improved from $3.0M YoY

Adjusted EBITDA $3.7M from $(0.3)M YoY

Guidance

For full year 2026, the company expects total revenue of $360M–$368M and Adjusted EBITDA of $49M–$51M, compared to 2025 revenue of $329.5M and Adjusted EBITDA of $44.8M.

Understanding 8-K Material Events →

0001027838false00010278382026-05-042026-05-04

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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) May 4, 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

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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 May 4, 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. 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 9.01. Financial Statements and Exhibits.

(d) Exhibits

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EXHIBIT INDEX

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Exhibit No.				Description
​		​		​
99.1			Press Release dated May 4, 2026 (Earnings Release)
104	​		Cover Page Interactive Data File (embedded within the Inline XBRL document)
​		​		​

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SIGNATURES

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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.

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		TACTILE SYSTEMS TECHNOLOGY, INC.
Date: May 4, 2026		By:	/s/ Elaine M. Birkemeyer
			Elaine M. Birkemeyer
			Chief Financial Officer

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Exhibit 99.1

Tactile Systems Technology, Inc. Reports First Quarter 2026 Financial Results

MINNEAPOLIS, MN, May 4th, 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 first quarter ended March 31, 2026.

First Quarter 2026 Summary and Recent Business Highlights:

● Total revenue increased 23% year-over-year to $75.3 million

● Gross margin of 76.5% versus 74% in Q1 2025

● Net loss of $1.8 million versus $3.0 million in Q1 2025

● Adjusted EBITDA of $3.7 million versus an Adjusted EBITDA loss of $0.3 million in Q1 2025

● Expanded AI-enabled order management platform with the implementation of new operational capabilities to execute the Medicare prior authorization requirement for PCDs

● Repurchased $1.1 million of stock under the Company’s share repurchase program

● Received FDA 510(k) clearance for next-generation AffloVest airway clearance device

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“We delivered a strong start to 2026, with first quarter revenue growth of 23% year-over-year driven by disciplined execution of our strategic priorities,” said Sheri Dodd, Chief Executive Officer of Tactile Medical. “Performance in the quarter was broad-based and reflected the strength and durability of our go-to-market strategy, including increased productivity from a fully resourced sales organization, growing access to advanced therapy under the NCD, and continued momentum across both lymphedema and airway clearance. Importantly, this top line strength translated into meaningful expansion in gross margin and adjusted EBITDA, underscoring the operating leverage in our model.”

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Ms. Dodd continued, "We also advanced our business transformation technology while demonstrating the operational agility required to respond effectively to an evolving regulatory environment. Further, we have expanded our product portfolio and R&D capabilities through our acquisition of LymphaTech, positioning us to support lymphedema patients across the full continuum of care, beginning with accurate, timely, and objective diagnosis. As we move through 2026 and beyond, we remain confident in the trajectory of our business and the multiple catalysts ahead, and we will continue to invest with intent and execute with discipline.”

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First Quarter 2026 Financial Results

Total revenue in the first quarter of 2026 increased $14.0 million, or 23%, to $75.3 million, compared to $61.3 million in the first quarter of 2025. The increase in total revenue was attributable to an increase of $11.7 million, or 23%, in sales and rentals of the lymphedema product line and an increase of $2.3 million, or 22%, in sales of the airway clearance product line.

Gross profit in the first quarter of 2026 increased $12.3 million, or 27%, to $57.6 million, compared to $45.3 million in the first quarter of 2025. Gross margin was 76.5% of revenue, compared to 74% of revenue in the first quarter of 2025.

Operating expenses in the first quarter of 2026 increased $9.3 million, or 19%, to $59.1 million, compared to $49.9 million in the first quarter of 2025.

Operating loss was $1.5 million in the first quarter of 2026, compared to $4.5 million in the first quarter of 2025.

Income tax expense was $0.9 million in the first quarter of 2026, compared to an income tax benefit of $1.1 million in the first quarter of 2025.

Net loss in the first quarter of 2026 was $1.8 million, or $0.08 per diluted share, compared to $3.0 million, or $0.13 per diluted share, in the first quarter of 2025.

Weighted average shares used to compute diluted net income per share were 22.6 million and 23.7 million for the first quarters of 2026 and 2025, respectively.

Adjusted EBITDA was $3.7 million in the first quarter of 2026, compared to an Adjusted EBITDA loss of $0.3 million in the first quarter of 2025.

Balance Sheet Summary

As of March 31, 2026, the Company had $75.0 million in cash and no outstanding borrowings under its credit agreement, compared to $83.4 million in cash and no outstanding borrowings under its credit agreement as of December 31, 2025. The Company repurchased $1.1 million of its stock during the first quarter under its repurchase program. As of March 31, 2026, $23.9 million remained available under the Company’s $25.0 million share repurchase program, which expires November 3, 2027.

2026 Financial Outlook

The Company is updating its 2026 financial outlook and now expects full year 2026 total revenue in the range of $360 million to $368 million, representing growth of approximately 9% to 12% year-over-year, compared to total revenue of $329.5 million in 2025. The Company’s prior 2026 guidance expectation was total revenue in the range of $357 million to $365 million, representing growth of approximately 8% to 11% year-over-year.

The Company continues to expect 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 May 4, 2026, to discuss the results of the quarter. Those who would like to participate may dial 877-407-3088 (201-389-0927 for international callers) and provide access code 13759535. 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 13759535. 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 2026. 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 (loss), 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, plus litigation-related costs, plus executive transition costs, and plus acquisition and integration 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.
Condensed Consolidated Balance Sheets
(Unaudited)
​	​ ​ ​	March 31,		​ ​ ​	December 31,
(In thousands, except share and per share data)	​ ​ ​	2026		​ ​ ​	2025
Assets	​	​		​	​	​
Current assets	​	​	​	​	​	​
Cash	​	$	74,993	​	$	83,446
Accounts receivable, net	​		38,219	​		43,876
Net investment in leases	​		15,198	​		15,754
Inventories	​		16,581	​		14,025
Prepaid expenses and other current assets	​		7,851	​		8,066
Total current assets	​		152,842	​		165,167
Non-current assets	​	​	​	​	​	​
Property and equipment, net	​		5,196	​		5,117
Right of use operating lease assets	​		13,310	​		13,798
Intangible assets, net	​		42,306	​		39,167
Goodwill	​	​	39,554	​	​	31,063
Deferred income taxes	​		8,721	​		9,783
Other non-current assets	​		10,187	​		9,847
Total non-current assets	​		119,274	​		108,775
Total assets	​	$	272,116	​	$	273,942
Liabilities and Stockholders' Equity	​	​	​	​	​	​
Current liabilities	​	​	​	​	​	​
Accounts payable	​	$	7,124	​	$	4,968
Accrued payroll and related taxes	​		11,041	​		19,378
Accrued expenses	​		8,545	​		8,531
Income taxes payable	​		2,161	​		1,428
Operating lease liabilities	​		3,237	​		3,195
Other current liabilities	​		3,904	​		3,457
Total current liabilities	​		36,012	​		40,957
Non-current liabilities	​	​	​	​	​	​
Accrued warranty reserve, non-current	​		1,068	​		1,045
Income taxes payable, non-current	​		370	​		275
Operating lease liabilities, non-current	​	​	11,937	​		12,763
Other non-current liabilities	​	​	4,863	​	​	—
Total non-current liabilities	​		18,238	​		14,083
Total liabilities	​		54,250	​		55,040
​	​	​	​	​	​	​
Stockholders’ equity:	​	​	​	​	​	​
Preferred stock, $0.001 par value, 50,000,000 shares authorized; none issued and outstanding as of March 31, 2026 and December 31, 2025	​		—	​		—
Common stock, $0.001 par value, 300,000,000 shares authorized; 22,710,160 shares issued and outstanding as of March 31, 2026; 22,438,926 shares issued and outstanding as of December 31, 2025	​		22	​		22
Additional paid-in capital	​		164,667	​		163,940
Retained earnings	​		53,177	​		54,940
Total stockholders’ equity	​		217,866	​		218,902
Total liabilities and stockholders’ equity	​	$	272,116	​	$	273,942

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Tactile Systems Technology, Inc.
Condensed Consolidated Statements of Operations
(Unaudited)
​	​	​	​	​	​	​
​	​	​	​	​	​	​
​	​	Three Months Ended
​	​	March 31,
(In thousands, except share and per share data)	​ ​ ​	2026		​ ​ ​	2025
Revenue	​	​	​	​	​	​
Sales revenue	​	$	66,966	​	$	52,469
Rental revenue	​		8,301	​		8,799
Total revenue	​		75,267	​		61,268
Cost of revenue	​	​	​	​	​	​
Cost of sales revenue	​		15,259	​		13,891
Cost of rental revenue	​		2,394	​		2,031
Total cost of revenue	​		17,653	​		15,922
Gross profit	​	​	​	​	​	​
Gross profit - sales revenue	​		51,707	​		38,578
Gross profit - rental revenue	​		5,907	​		6,768
Gross profit	​		57,614	​		45,346
Operating expenses	​	​	​	​	​	​
Sales and marketing	​		32,732	​		27,516
Research and development	​		2,776	​		1,741
Reimbursement, general and administrative	​		23,044	​		19,998
Intangible asset amortization and earn-out	​	​	596	​	​	633
Total operating expenses	​		59,148	​		49,888
Loss from operations	​		(1,534)	​		(4,542)
Interest income	​	​	666	​	​	895
Interest expense	​	​	(28)	​	​	(424)
Loss before income taxes	​		(896)	​		(4,071)
Income tax expense (benefit)	​		867	​		(1,097)
Net loss	​	$	(1,763)	​	$	(2,974)
Net loss per common share	​	​	​	​	​	​
Basic	​	$	(0.08)	​	$	(0.13)
Diluted	​	$	(0.08)	​	$	(0.13)
Weighted-average common shares used to compute net loss per common share	​	​	​	​	​	​
Basic	​	​	22,561,053	​	​	23,710,643
Diluted	​	​	22,561,053	​	​	23,710,643

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Tactile Systems Technology, Inc.
Condensed Consolidated Statements of Cash Flows
(Unaudited)
​	​	​
​	​	Three Months Ended March 31,
(In thousands)	​ ​ ​	2026		​ ​ ​	2025
Cash flows from operating activities	​	​	​	​	​	​
Net loss	​	$	(1,763)	​	$	(2,974)
Adjustments to reconcile net loss to net cash (used in) provided by operating activities:	​	​	​	​	​	​
Depreciation and amortization	​	​	1,639	​	​	1,726
Deferred income taxes	​	​	24	​	​	252
Stock-based compensation expense	​	​	1,780	​	​	2,066
Loss on disposal of property and equipment and intangibles	​	​	73	​	​	5
Changes in assets and liabilities, net of acquisition:	​	​	​	​	​	​
Accounts receivable, net	​	​	5,676	​	​	9,244
Net investment in leases	​	​	556	​	​	(310)
Inventories	​	​	(2,556)	​	​	(201)
Income taxes payable	​	​	828	​	​	(1,347)
Prepaid expenses and other assets	​	​	(125)	​	​	(2,452)
Right of use operating lease assets	​	​	(296)	​	​	(267)
Accounts payable	​	​	2,171	​	​	1,387
Accrued payroll and related taxes	​	​	(8,337)	​	​	(6,994)
Accrued expenses and other liabilities	​	​	(9)	​	​	282
Net cash (used in) provided by operating activities	​	​	(339)	​	​	417
Cash flows from investing activities	​	​	​	​	​	​
Payments related to acquisition, net of cash acquired	​	​	(6,226)	​	​	—
Purchases of property and equipment	​	​	(821)	​	​	(379)
Intangible assets expenditures	​	​	(14)	​	​	(28)
Net cash used in investing activities	​	​	(7,061)	​	​	(407)
Cash flows from financing activities	​	​	​	​	​	​
Payments on note payable	​	​	—	​	​	(750)
Proceeds from exercise of common stock options	​	​	20	​	​	10
Payments for repurchases of common stock	​	​	(1,073)	​	​	(10,018)
Net cash used in financing activities	​	​	(1,053)	​	​	(10,758)
Net decrease in cash	​	​	(8,453)	​	​	(10,748)
Cash – beginning of period	​	​	83,446	​	​	94,367
Cash – end of period	​	$	74,993	​	$	83,619
​	​	​	​	​	​	​
Supplemental cash flow disclosure	​	​	​	​	​	​
Cash paid for interest	​	$	21	​	$	444
Cash paid for taxes	​	$	14	​	$	15
Accrued excise tax on stock repurchases	​	$	—	​	$	50
Capital expenditures incurred but not yet paid	​	$	63	​	$	189

​

​

​

​

The following table summarizes revenue by product line for the three months ended March 31, 2026 and 2025:

​	​	​	​	​	​	​
​	​	Three Months Ended
​	​	March 31,
(In thousands)	​ ​ ​	2026		​	2025
Revenue	​	​	​	​	​	​
Lymphedema products	​	$	62,221	​	$	50,554
Airway clearance products	​	​	13,046	​	​	10,714
Total	​	$	75,267	​	$	61,268
​	​	​	​	​	​	​
Percentage of total revenue	​	​	​	​	​	​
Lymphedema products	​		83%	​		83%
Airway clearance products	​	​	17%	​	​	17%
Total	​		100%	​		100%

​

The following table contains a reconciliation of net loss to Adjusted EBITDA for the three months ended March 31, 2026 and 2025, as well as the dollar and percentage change between the comparable periods:

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Tactile Systems Technology, Inc.

Reconciliation of Net Loss to Non-GAAP Adjusted EBITDA

(Unaudited)

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

​

Three Months Ended

​

Increase

​

​

​

March 31,

​

(Decrease)

(Dollars in thousands)

​ ​ ​

​ ​ ​

2026

​ ​ ​

2025

​

$

​ ​ ​

%

Net loss

​

$

(1,763)

​

$

(2,974)

​

$

1,211

(41)

%

Interest (income) expense, net

​

​

​

(638)

​

​

(471)

​

​

(167)

35

%

Income tax expense (benefit)

​

​

​

867

​

​

(1,097)

​

​

1,964

N.M.

%

Depreciation and amortization

​

​

​

1,639

​

​

1,726

​

​

(87)

(5)

%

Stock-based compensation

​

​

​

1,780

​

​

2,066

​

​

(286)

(14)

%

Acquisition & integration costs

​

​

​

817

​

​

—

​

​

817

​

—

%

Litigation-related costs

​

​

​

1,000

​

​

—

​

​

1,000

​

—

%

Executive transition costs

​

​

​

—

​

​

491

​

​

(491)

​

(100)

%

Adjusted EBITDA

​

​

$

3,702

​

$

(259)

​

$

3,961

N.M.

%

“N.M.” Not Meaningful

​

The following table contains a reconciliation of net income to Adjusted EBITDA for the year ended December 31, 2025:

​	​	​	​
Tactile Systems Technology, Inc.
Reconciliation of Net Income to Non-GAAP Adjusted EBITDA
(Unaudited)
​	​	​	​
​	​	Year Ended
(Dollars in thousands)	​ ​ ​	December 31, 2025
Net income		$	19,086
Interest (income) expense, net	​	​	(2,059)
Income tax expense	​	​	12,253
Depreciation and amortization	​	​	6,644
Stock-based compensation	​	​	8,357
Executive transition costs	​	​	491
Adjusted EBITDA	​	$	44,772

​

​

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		$	24,697	​	$	26,137
Interest (income) expense, net	​	​	(2,984)	​	​	(2,984)
Income tax expense	​	​	9,604	​	​	10,164
Depreciation and amortization	​	​	6,803	​	​	6,803
Stock-based compensation	​	​	8,587	​	​	8,587
Acquisition & integration costs	​	​	1,293	​	​	1,293
Litigation-related costs	​	​	1,000	​	​	1,000
Adjusted EBITDA	​	$	49,000	​	$	51,000

​

Investor Inquiries:

Sam Bentzinger

Gilmartin Group

investorrelations@tactilemedical.com

FAQ

How did Tactile Systems Technology (TCMD) perform in Q1 2026?

Tactile Systems Technology grew Q1 2026 revenue 23% to $75.3 million, up from $61.3 million a year earlier. Gross profit rose to $57.6 million and gross margin reached 76.5%, while net loss improved to $1.8 million, or $0.08 per diluted share.

What drove revenue growth for Tactile Systems Technology (TCMD) in Q1 2026?

Revenue growth was driven by both core product lines. Lymphedema products generated $62.2 million, up from $50.6 million, while airway clearance products produced $13.0 million, up from $10.7 million. Each line maintained its revenue mix contribution of 83% and 17%, respectively.

Did Tactile Systems Technology (TCMD) improve profitability metrics in Q1 2026?

Yes. Operating loss narrowed to $1.5 million from $4.5 million and net loss improved to $1.8 million from $3.0 million. Adjusted EBITDA turned positive at $3.7 million, compared with an Adjusted EBITDA loss of $0.3 million in the prior-year quarter.

What is Tactile Systems Technology’s (TCMD) 2026 revenue and Adjusted EBITDA guidance?

For full year 2026, the company guides revenue to $360–$368 million, implying about 9%–12% growth over 2025’s $329.5 million. It expects Adjusted EBITDA between $49 million and $51 million, up from $44.8 million in 2025.

What does the balance sheet look like for Tactile Systems Technology (TCMD) after Q1 2026?

As of March 31, 2026, Tactile Systems Technology held $75.0 million in cash and had no outstanding borrowings under its credit agreement. The company also repurchased $1.1 million of its stock, with $23.9 million remaining under its $25.0 million authorization.

How did non-GAAP Adjusted EBITDA change for Tactile Systems Technology (TCMD) in Q1 2026?

Adjusted EBITDA improved from a loss of $0.3 million in Q1 2025 to a positive $3.7 million in Q1 2026. This measure adds back interest, taxes, depreciation, amortization, stock-based compensation, litigation, acquisition, and executive transition costs.

Did Tactile Systems Technology (TCMD) make any acquisitions or strategic investments in Q1 2026?

Yes. The company recorded $6.2 million of acquisition-related cash outflows and reported acquisition and integration costs of $0.8 million in Q1 2026, reflecting its purchase of LymphaTech to enhance its lymphedema diagnostics and product portfolio.

Filing Exhibits & Attachments

5 documents

Press Releases

• EX-99.1 EX-99.1 454.5 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