Beyond Air, Inc. Q3 FY2026 earnings call

• Steve Lisi introduced new CFO Dan Moorhead and Chief Commercial Officer Bob Goodman.
• LungFit PH revenue up 105% YOY, supports over 45 hospitals, retention >90%, multiyear agreements.
• Gen II system expected by end 2026, with enhancements to expand addressable market.
• Commercial team has national GPO agreements, sold to VA Medical Center, expanded global distribution to 40 countries.
• NeuroNOS sold to XTL Biopharmaceuticals for equity and milestone payments.
• Financial results: Q3 2026 revenue $2.2M (up 105% YOY), gross profit $300k, operating expenses reduced to $6.9M (down 36% YOY), net loss $7.3M, cash burn $4.3M (down >40% YOY), cash runway into 2027 with $17.8M cash as of Dec 31, 2025.

Core Business (LungFit PH): Revenue in the fiscal quarter increased 105% year-over-year to $2.2 million. Supports over 45 hospitals in the US and internationally, with retention exceeding 90% and more than half of customers under multiyear agreements. Gen II system expected by end of 2026, designed for reduced size/weight, simplified operation, extended service intervals, etc. Beyond Cancer: Abstract selected for 2026 AACR Annual Meeting, ongoing Phase Ib combination study with anti-PD-1 therapy. NeuroNOS: Sold to XTL Biopharmaceuticals for equity and milestone payments, with NeuroNOS to serve as XTL's flagship platform for autism and neuro-oncology development.

• Cash runway into calendar year 2027 with $17.8M cash as of Dec 31, 2025, and $4.5M equity financing completed.
• Potential for profitability if current revenue estimates met and costs controlled.
• Gen II system expected to be approved by end of 2026, subject to regulatory review.

• Regulatory risks related to FDA review of Gen II system.
• Market adoption risks for Gen I and Gen II systems.
• Cash burn risks if revenue growth does not meet expectations.

Q: Talk about the sales process, especially penetrating systems like VA and identifying target facilities.

A: Bob Goodman mentioned access through ECAD system, refined commercial organization with prospecting tools, CRM rigor, and pipeline discipline to target facilities.

Q: Change in sales cycle length for LungFit PH.

A: Bob Goodman said sales cycle is around 6-9 months, could be longer, but team is identifying customers and reaching out effectively.

Q: Concerns about purchasers holding off for Gen II system.

A: Bob Goodman stated focus on Gen I non-transport systems, with Gen II transportation systems being a later conversation.

Q: Communications with FDA on Gen II process.

A: Steve Lisi said constant communication with FDA, no major hurdles expected, waiting on contract manufacturer inspection for timing.

Q: Attraction of XTL to NeuroNOS and future collaboration.

A: Steve Lisi said XTL was attracted by the science and clear path to human studies, with Beyond Air retaining a stake in XTL.

Q: COGS and sustainable COGS.

A: Dan Moorhead said long-term COGS expected to be 60% for Gen I and 70% for Gen II, with near-term COGS close to Q3 levels.

Q: Elaboration on extended service intervals for Gen II.

A: Steve Lisi said Gen I has 1,000-hour service intervals, Gen II aims for at least 3,000-hour intervals, testing ongoing.

Q: Phase Ib study on oncology side.

A: Steve Lisi said focus on commercial operations for now, not committing to timeline for full funding of Phase Ib study