Revenue growth accelerated to 20.1% YoY in 2026Q2, with gross margin expanding to 72.8% and operating loss narrowing to -$2.5M, marking a clear trajectory toward profitability.
iRhythm Technologies, Inc. (IRTC) annual income statement — 13-year revenue, gross profit & net income history
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 |
|---|
| Sales/Revenue | 854.04M | 747.14M | 591.84M | 492.68M | 410.92M | 322.82M | 265.17M | 214.55M | 147.28M | 99.13M | 64.07M | 36.14M | 21.75M | 15.37M |
| Revenue Growth % | 21.56% | 26.24% | 20.13% | 19.9% | 27.29% | 21.74% | 23.59% | 45.68% | 48.57% | 54.72% | 77.29% | 66.17% | 41.52% | - |
| Cost of Goods Sold | 236.94M | 219.89M | 184.31M | 160.88M | 129.29M | 109.26M | 70.28M | 52.48M | 38.8M | 28.2M | 20.88M | 14.7M | 10.59M | 8.85M |
| COGS % of Revenue | - | 29.43% | 31.14% | 32.65% | 31.46% | 33.84% | 26.5% | 24.46% | 26.34% | 28.45% | 32.59% | 40.68% | 48.7% | 57.56% |
| Gross Profit | 617.11M | 527.25M | 407.53M | 331.81M | 281.63M | 213.57M | 194.89M | 162.07M | 108.48M | 70.93M | 43.19M | 21.44M | 11.16M | 6.52M |
| Gross Margin % | 72.26% | 70.57% | 68.86% | 67.35% | 68.54% | 66.16% | 73.5% | 75.54% | 73.66% | 71.55% | 67.41% | 59.32% | 51.3% | 42.44% |
| Gross Profit Growth % | - | 29.38% | 22.82% | 17.82% | 31.87% | 9.58% | 20.25% | 49.4% | 52.95% | 64.22% | 101.44% | 92.15% | 71.08% | - |
| Operating Expenses | 655.29M | 564.06M | 523.04M | 456.97M | 395.42M | 313.51M | 238.56M | 216.82M | 154.17M | 98.52M | 58.77M | 43.07M | 25.92M | 18.43M |
| OpEx % of Revenue | - | 75.5% | 88.37% | 92.75% | 96.23% | 97.11% | 89.97% | 101.06% | 104.68% | 99.38% | 91.73% | 119.18% | 119.19% | 119.91% |
| Selling, General & Admin | 511.42M | 479.45M | 418.56M | 385.64M | 322.2M | 274.84M | 197.23M | 179.52M | 133.31M | 85.25M | 51.62M | 36.72M | 20.23M | 14.04M |
| SG&A % of Revenue | - | 64.17% | 70.72% | 78.27% | 78.41% | 85.14% | 74.38% | 83.67% | 90.52% | 86% | 80.57% | 101.61% | 92.99% | 91.33% |
| Research & Development | 82.85M | 84.61M | 103.83M | 60.24M | 46.61M | 38.67M | 41.33M | 37.3M | 20.86M | 13.27M | 7.15M | 6.35M | 5.7M | 3.66M |
| R&D % of Revenue | - | 11.32% | 17.54% | 12.23% | 11.34% | 11.98% | 15.59% | 17.38% | 14.16% | 13.38% | 11.16% | 17.57% | 26.2% | 23.84% |
| Other Operating Expenses | 1000K | 0 | 641K | 11.08M | 26.61M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -38.18M | -36.81M | -115.5M | -125.16M | -113.78M | -99.94M | -43.67M | -54.76M | -45.69M | -27.59M | -15.58M | -21.63M | -14.77M | -11.18M |
| Operating Margin % | -4.47% | -4.93% | -19.52% | -25.4% | -27.69% | -30.96% | -16.47% | -25.52% | -31.02% | -27.83% | -24.32% | -59.85% | -67.89% | -72.74% |
| Operating Income Growth % | - | 68.13% | 7.71% | -10% | -13.85% | -128.84% | 20.24% | -19.84% | -65.6% | -77.07% | 27.96% | -46.5% | -32.09% | - |
| EBITDA | -12.84M | -10.33M | -89.73M | -103.02M | -94.17M | -83.35M | -30.74M | -51.31M | -43.42M | -25.99M | -15.01M | -21.14M | -14.52M | -11.03M |
| EBITDA Margin % | -1.5% | -1.38% | -15.16% | -20.91% | -22.92% | -25.82% | -11.59% | -23.91% | -29.48% | -26.22% | -23.43% | -58.49% | -66.78% | -71.76% |
| EBITDA Growth % | 54.99% | 88.49% | 12.9% | -9.39% | -12.99% | -171.12% | 40.08% | -18.17% | -67.05% | -73.13% | 28.97% | -45.56% | -31.69% | - |
| D&A (Non-Cash Add-back) | 25.35M | 26.48M | 25.78M | 22.14M | 19.61M | 16.59M | 12.93M | 3.44M | 2.27M | 1.6M | 568K | 492K | 242K | 150K |
| EBIT | -24.43M | -30.44M | -99.9M | -119.01M | -111.75M | -99.83M | -42.08M | -52.86M | -47.22M | -26.35M | -17.66M | -21.74M | -15.06M | -11.18M |
| Net Interest Income | 6.49M | 8.37M | 9.12M | 2.5M | -1.79M | -1.05M | -1.52M | -1.64M | -3.12M | -3.39M | -3.25M | -1.06M | -774K | 0 |
| Interest Income | 19.69M | 21.52M | 21.94M | 6.16M | 2.35M | 118K | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 1.68M |
| Interest Expense | 13.2M | 13.15M | 12.82M | 3.65M | 4.14M | 1.17M | 1.52M | 1.64M | 3.12M | 3.39M | 3.25M | 1.06M | 774K | 0 |
| Other Income/Expense | 545K | -6.79M | 2.78M | 2.5M | -2.1M | -1.05M | 72K | 252K | -4.64M | -2.15M | -5.32M | -1.17M | -1.07M | -2.41M |
| Pretax Income | -37.64M | -43.6M | -112.72M | -122.66M | -115.89M | -100.99M | -43.6M | -54.5M | -50.33M | -29.74M | -20.9M | -22.8M | -15.83M | -13.59M |
| Pretax Margin % | -4.41% | -5.84% | -19.05% | -24.9% | -28.2% | -31.28% | -16.44% | -25.4% | -34.18% | -30% | -32.62% | -63.09% | -72.79% | -88.42% |
| Income Tax | 947K | 953K | 565K | 750K | 269K | 367K | 229K | 65K | 44K | 0 | 0 | 0 | 0 | 0 |
| Effective Tax Rate % | -2.52% | -2.19% | -0.5% | -0.61% | -0.23% | -0.36% | -0.53% | -0.12% | -0.09% | 0% | 0% | 0% | 0% | 0% |
| Net Income | -38.59M | -44.55M | -113.29M | -123.41M | -116.16M | -101.36M | -43.83M | -54.57M | -50.38M | -29.74M | -20.9M | -22.8M | -15.83M | -13.59M |
| Net Margin % | -4.52% | -5.96% | -19.14% | -25.05% | -28.27% | -31.4% | -16.53% | -25.43% | -34.21% | -30% | -32.62% | -63.09% | -72.79% | -88.42% |
| Net Income Growth % | 25.02% | 60.67% | 8.2% | -6.24% | -14.6% | -131.26% | 19.68% | -8.32% | -69.39% | -42.28% | 8.32% | -44.01% | -16.51% | - |
| Net Income (Continuing) | -38.59M | -44.55M | -113.29M | -123.41M | -116.16M | -101.36M | -43.83M | -54.57M | -50.38M | -29.74M | -20.9M | -22.8M | -15.83M | -13.59M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | -1.17 | -1.39 | -3.63 | -4.04 | -3.88 | -3.46 | -1.58 | -2.16 | -2.02 | -1.30 | -3.95 | -1.54 | -1.07 | -10.69 |
| EPS Growth % | 27.44% | 61.71% | 10.15% | -4.12% | -12.14% | -118.99% | 26.85% | -6.93% | -55.38% | 67.09% | -156.49% | -43.93% | 89.99% | - |
| EPS (Basic) | - | -1.39 | -3.63 | -4.04 | -3.88 | -3.46 | -1.58 | -2.16 | -2.02 | -1.30 | -3.95 | -1.54 | -1.07 | -10.69 |
| Diluted Shares Outstanding | 33.1M | 32M | 31.2M | 30.53M | 29.92M | 29.33M | 27.75M | 25.27M | 23.89M | 22.63M | 5.29M | 14.77M | 14.77M | 1.27M |
| Basic Shares Outstanding | 33.1M | 32M | 31.2M | 30.53M | 29.92M | 29.33M | 27.75M | 25.27M | 23.89M | 22.63M | 5.29M | 14.77M | 14.77M | 1.27M |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Quick answers to the most common questions about buying IRTC stock.
For fiscal year 2025, iRhythm Technologies, Inc. (IRTC) reported total revenue of $747.1M. This represents a 4761.6% increase compared to $15.4M in 2013.
iRhythm Technologies, Inc. (IRTC) reported a net loss of $44.6M for the fiscal year ending 2025.
iRhythm Technologies, Inc. (IRTC) reported an operating income of $-36.8M, resulting in an operating profit margin of -4.9%. This margin reflects the operational efficiency of the business before interest and taxes.
iRhythm Technologies, Inc. (IRTC) generated $527.3M in gross profit for the year, representing a gross profit margin of 70.6%. This demonstrates the company's core pricing power and production efficiency.
Key Metrics
Top Statement Risk
Reimbursement and regulatory overhang
Metrics are mathematically derived from official filings.
Revenue Momentum Accelerates on Volume
IRTC's revenue grew 20.1% YoY in 2026Q2, accelerating from 18.4% in 2024Q1, driven by Zio service volumes and international expansion, per reported financials.
The sequential acceleration from 18.4% to 20.1% YoY growth over the past two years suggests sustained demand for the Zio platform, likely supported by increased physician adoption and the recent entry into Japan and UK. However, the growth is heavily US-centric, and the company's ability to maintain this pace will depend on continued reimbursement stability and competitive differentiation.
Gross Margin Expansion Nears Ceiling
Gross margin improved to 72.8% in 2026Q2 from 66.3% in 2024Q1, reflecting scale benefits and cost efficiencies, as reported in financial statements.
The 650 basis point expansion in gross margin over ten quarters indicates that the company is leveraging its fixed-cost base, particularly in AI analysis and manufacturing. However, with margins now above 70%, further expansion may be limited, and any adverse CMS reimbursement changes could compress margins, given the high sensitivity to CPT code pricing.
Operating Leverage Emerges as Losses Narrow
Operating loss narrowed to -$2.5M in 2026Q2 from -$38.1M in 2024Q1, with operating margin improving to -1.1% from -28.9%, based on reported figures.
The dramatic improvement in operating margin suggests that SG&A and R&D expenses are growing slower than revenue, indicating early signs of operating leverage. However, the company still posted a loss, and the sustainability of this trend depends on whether SG&A can be contained as the company scales internationally and invests in regulatory compliance.
SBC Masks Underlying Cash Burn
Stock-based compensation averaged $20M+ per quarter, exceeding net losses in most periods, implying reported losses understate cash consumption, as per SEC filings.
With SBC consistently around $20M per quarter, the company's cash burn is higher than the reported net loss suggests. For instance, in 2026Q2, net loss was only -$381K, but SBC was $20M, indicating a significant non-cash expense. Investors should adjust for SBC to assess true cash flow and the path to profitability.
SG&A Dominates Cost Structure
SG&A expenses reached $131.7M in 2026Q2, representing 58.7% of revenue, while R&D remained stable at ~$20M, as reported in financial statements.
The heavy SG&A burden reflects investments in sales force expansion and international market entry, but it also highlights the company's reliance on commercial execution to drive growth. R&D spending has been relatively flat, suggesting a focus on scaling existing products rather than new innovation, which may be a concern for long-term competitive positioning.
2025Q4 Marks Profitability Inflection
In 2025Q4, IRTC reported its first positive operating income of $8.8M and net income of $5.6M, a turning point from prior losses, based on reported data.
The quarter's profitability was driven by a 27.1% revenue growth and a 4.2% operating margin, suggesting that the company's scale finally offset fixed costs. However, this was followed by a return to losses in 2026Q1, indicating that the inflection may not be durable, and investors should monitor whether the company can consistently achieve profitability.
Reimbursement and Regulatory Risks Loom
Despite revenue growth, IRTC's reliance on US reimbursement and ongoing FDA scrutiny of Zio AT could pressure margins and delay growth, as per regulatory disclosures.
The company's high gross margins are vulnerable to CMS pricing adjustments, and any negative change could compress margins significantly. Additionally, the FDA's past warning letters and 483 observations regarding Zio AT quality systems may lead to increased compliance costs or product delays, which could disrupt the growth trajectory and further delay profitability.