Encision Reports Q2 Fiscal 2026 Results, Sees Revenue Decline

Encision Inc., based in Boulder, Colorado, has released its financial results for the second quarter of fiscal year 2026, which ended on September 30, 2025. The medical device company, known for its patented Active Electrode Monitoring (AEM®) Technology, reported a total net revenue of $1.52 million. This figure marks a decline compared to the same period last year, when the company generated $1.76 million in net revenue.

During the second quarter, Encision’s product net revenue was $1.48 million, alongside service net revenue of $46 thousand. This resulted in a net loss of $268 thousand, equating to a loss of $(0.02) per diluted share. In the previous year’s second quarter, the company had a net loss of $170 thousand, or $(0.01) per diluted share.

Financial Performance Overview

The decline in revenue is notable, with product net revenue decreasing from $1.65 million in the prior year to the current $1.48 million. The service net revenue also saw a significant drop, falling from $102 thousand to $46 thousand year over year.

Encision’s gross margin on product net revenue was reported at 46% for the second quarter of fiscal 2026, a slight decrease from 47% in the same quarter of the previous fiscal year. The company is focusing on strategies to stabilize and grow its revenue in the upcoming quarters.

These financial results highlight the challenges faced by Encision as it navigates the evolving landscape of the medical device industry. The decline in both product and service revenues raises concerns about the company’s ability to maintain its market position in a highly competitive sector.

Looking ahead, Encision aims to enhance its operational efficiencies and product offerings to drive future growth. The company’s innovative AEM® Technology remains a cornerstone of its product lineup, designed to prevent hazardous radiant energy burns during minimally invasive surgical procedures.

As Encision continues to adapt to market conditions, stakeholders will be closely monitoring its performance in the upcoming quarters. The company’s focus on innovation and patient safety through its technology will be crucial as it seeks to regain momentum and improve its financial standing.