Q3 FY2026
Filed Oct 28, 2026Record Q3 net sales of $211.0 million increased 58% year-over-year; Glaukos raised 2026 net sales guidance to $775 million to $785 million and introduced preliminary 2027 net sales guidance of $1 billion.
Record sales growth, substantial gross-margin expansion, a return to GAAP and non-GAAP profitability, and increased 2026 net sales guidance characterized the quarter.
Key metrics
shortened, hover for the filing’s print| Metric | Value | q/q | y/y |
|---|---|---|---|
| Q3 2026 net salesGAAP | $211M | 13.7% | 58% |
| Q3 2026 cost of salesGAAP | $31.16M | – | – |
| Q3 2026 gross profitGAAP | $179.9M | – | – |
| Q3 2026 gross marginGAAP | 85.2 % | – | – |
| Q3 2026 non-GAAP gross marginnon-GAAP | 87.7 % | – | – |
| Q3 2026 selling, general and administrative expensesGAAP | $130.9M | – | 58% |
| Q3 2026 non-GAAP selling, general and administrative expensesnon-GAAP | $109.7M | – | 32% |
| Q3 2026 research and development expensesGAAP | $48.1M | – | 26% |
| Q3 2026 total operating expensesGAAP | $179.0M | – | – |
| Q3 2026 income (loss) from operationsGAAP | $800K | – | – |
| Q3 2026 non-GAAP income (loss) from operationsnon-GAAP | $27.3M | – | – |
| Q3 2026 interest incomeGAAP | $2.49M | – | – |
| Q3 2026 interest expenseGAAP | −$1.09M | – | – |
| Q3 2026 other income (expense), netGAAP | $87K | – | – |
| Q3 2026 total non-operating incomeGAAP | $1.49M | – | – |
| Q3 2026 income (loss) before taxesGAAP | $2.32M | – | – |
| Q3 2026 income tax provisionGAAP | $303K | – | – |
| Q3 2026 net income (loss)GAAP | $2M | – | – |
| Q3 2026 non-GAAP net income (loss)non-GAAP | $28.5M | – | – |
| Q3 2026 basic net income (loss) per shareGAAP | $0.03 | – | – |
| Q3 2026 diluted net income (loss) per shareGAAP | $0.03 | – | – |
| Q3 2026 non-GAAP basic net income (loss) per sharenon-GAAP | $0.48 | – | – |
| Q3 2026 non-GAAP diluted net income (loss) per sharenon-GAAP | $0.47 | – | – |
| Nine months ended September 30, 2026 net salesGAAP | $547.2M | – | – |
| Nine months ended September 30, 2026 gross profitGAAP | $448.7M | – | – |
| Nine months ended September 30, 2026 gross marginGAAP | 82.0 % | – | – |
| Nine months ended September 30, 2026 non-GAAP gross marginnon-GAAP | 85.5 % | – | – |
| Nine months ended September 30, 2026 total operating expensesGAAP | $485.0M | – | – |
| Nine months ended September 30, 2026 income (loss) from operationsGAAP | −$36.30M | – | – |
| Nine months ended September 30, 2026 non-GAAP income (loss) from operationsnon-GAAP | $9.24M | – | – |
| Nine months ended September 30, 2026 net income (loss)GAAP | −$36.14M | – | – |
| Nine months ended September 30, 2026 non-GAAP net income (loss)non-GAAP | $9.77M | – | – |
| Nine months ended September 30, 2026 diluted net income (loss) per shareGAAP | $ (0.62 ) | – | – |
| Nine months ended September 30, 2026 non-GAAP diluted net income (loss) per sharenon-GAAP | $ 0.16 | – | – |
Segments
| Segment | Revenue | q/q | y/y |
|---|---|---|---|
| U.S. GlaucomaRecord net sales. | $118.6M | – | 47% |
| Corneal HealthRecord net sales. | $59M | – | 154% |
| International GlaucomaReported sales growth was 13.3 % year-over-year and reported sales declined (8.9%) quarter-over-quarter. | $33.36M | (8.9%) | 13.3 % |
Amounts quoted below without a unit are in thousands, as in the filing’s tables. Per-share figures are as printed.
2026 and preliminary 2027 outlook
- Revenue2026 net sales of $775 million to $785 million; preliminary 2027 net sales of $1 billion
- Note2026 guidance is based on the latest foreign currency exchange rates.
- NotePreliminary 2027 guidance is based on the latest foreign currency exchange rates.
What drove it
- Total net sales increased 58% on a reported and constant currency basis.
- U.S. Glaucoma record net sales increased 47% year-over-year.
- Corneal Health record net sales increased 154% year-over-year.
- Q3 GAAP gross margin was 85.2 %, compared with 78.4 % in Q3 2025; Q3 non-GAAP gross margin was 87.7 %, compared with 83.9 %.
- Q3 non-GAAP adjustments included $5.9 million related to trade secrets litigation and other litigation matters, $14.1 million related to the resolution agreement with the Regents of the University of California, and $0.8 million associated with the integration of a major system.
Concerns
- Nine-month GAAP loss from operations was $ (36,295 ) (in thousands), and nine-month GAAP net loss was $ (36,142 ) (in thousands).
- Q3 GAAP SG&A expenses increased 58% to $130.9 million, while Q3 R&D expenses increased 26% to $48.1 million.
- International Glaucoma reported sales declined (8.9%) quarter-over-quarter.
- The company cited risks relating to commercialization of iDose TR and Epioxa therapies, supply or manufacturing disruptions, reimbursement, regulatory processes, and the ability to achieve or sustain profitability.
What to watch
- Execution toward 2026 net sales guidance of $775 million to $785 million.
- Progress toward preliminary 2027 net sales guidance of $1 billion.
- Sustainability of U.S. Glaucoma and Corneal Health sales growth.
- International Glaucoma sales following its reported quarter-over-quarter decline of (8.9%).
- The trajectory of SG&A expenses, R&D expenses, and GAAP profitability.
Balance sheet and cash flow
- Cash and cash equivalents, short-term investments, and restricted cash of $339.8 million at the end of Q3 2026.
- Cash and cash equivalents, short-term investments, and restricted cash increased by $50.5 million compared to $289.3 million at the end of Q2 2026.
- Cash and cash equivalents were $ 162,327 (in thousands) at September 30, 2026, compared to $ 90,813 (in thousands) at December 31, 2025.
- Short-term investments were $ 174,372 (in thousands) at September 30, 2026, compared to $ 187,947 (in thousands) at December 31, 2025.
- Restricted cash was $ 3,115 (in thousands) at September 30, 2026, compared to $ 3,834 (in thousands) at December 31, 2025.
- The company ended Q3 2026 with no debt.
Analysis
Glaukos reported record Q3 2026 net sales of $211.0 million, up 58% year-over-year on both a reported and constant-currency basis. Sales also rose 13.7% quarter-over-quarter on a reported basis from $185,610 (in thousands) in Q2 2026. U.S. Glaucoma delivered record sales of $118.6 million, up 47%, while Corneal Health generated record sales of $59.0 million, up 154%. International Glaucoma sales were $ 33,356 (in thousands), up 13.3% year-over-year but down (8.9%) quarter-over-quarter on a reported basis.
The quarter returned the company to profitability. GAAP income from operations was $0.8 million versus an operating loss of $16.4 million a year earlier, and GAAP net income was $2.0 million, or $0.03 per diluted share, versus a net loss of $16.2 million, or ($0.28) per diluted share. Non-GAAP income from operations was $27.3 million and non-GAAP net income was $28.5 million, or $0.47 per diluted share. The nine-month period remained loss-making on a GAAP basis, with loss from operations of $ (36,295 ) (in thousands) and net loss of $ (36,142 ) (in thousands), while non-GAAP operating income was $ 9,243 (in thousands).
Margin performance improved materially. Q3 GAAP gross margin expanded to 85.2 % from 78.4 %, while non-GAAP gross margin rose to 87.7 % from 83.9 %. Operating expense growth remained significant: GAAP SG&A increased 58% to $130.9 million and R&D increased 26% to $48.1 million. Non-GAAP SG&A increased 32% to $109.7 million. The non-GAAP reconciliation excluded costs including litigation expenses, the resolution agreement with the Regents of the University of California, system-integration costs, contingent-consideration adjustments, and acquisition-related amortization.
Liquidity increased during the quarter. Cash and cash equivalents, short-term investments, and restricted cash totaled $339.8 million at the end of Q3 2026, up $50.5 million from $289.3 million at the end of Q2 2026, and the company reported no debt. The company raised 2026 net sales guidance to $775 million to $785 million from $680 million to $700 million previously and introduced preliminary 2027 net sales guidance of $1 billion. The central execution points are sustaining the growth of U.S. Glaucoma and Corneal Health, restoring sequential growth in International Glaucoma, and maintaining profitability as commercial and development spending continues.
Management, verbatim
Our record third quarter results reflect successful global execution across our key global commercial and development priorities, leaving us well positioned to sustain our strong growth momentum driven by two transformational growth drivers in iDose TR and Epioxa.
Thomas Burns, chairman and chief executive officer
We continue to successfully advance our robust pipeline of novel, dropless platform technologies designed to meaningfully advance the standard of care and improve outcomes for patients suffering from chronic eye diseases.
Thomas Burns, chairman and chief executive officer
Not in the filing
stated, not guessed- Previous outlook section was not provided; therefore, no actual-versus-prior-guidance comparison is available.
- Operating cash flow was not reported.
- Free cash flow was not reported.
- Share repurchases were not reported.
- Dividend information was not reported.
- Forward guidance for gross margin, operating expenses, tax rate, EPS, operating income, net income, operating cash flow, or free cash flow was not reported.
- Q3 2026 tax rate was not reported.
- Detailed Q3 revenue values and comparisons for all operating segments beyond U.S. Glaucoma, Corneal Health, and International Glaucoma were not reported.
Written by an AI language model from the company’s SEC earnings filing (Form 8-K Item 2.02, or Form 6-K for a foreign private issuer). Every figure is checked against the filing text, and a metric the filing does not print, or whose value, prior period and change do not add up, is dropped from the metrics. The model can still misread a table, in the metrics or in the text, so check a number in the filing before you rely on it. Consensus estimates, price targets and share-price reactions are not shown because they are not in the filing. AI-generated research, not investment advice.