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    SGHT
    Earnings call· Jun 2026(Q2 FY26)

    Sight Sciences Q2 FY26 earnings call SGHT

    Aug 5, 2026 Source

    Executive summary

    Sight Sciences Q2 FY26 — Strong Revenue Growth and Raised Guidance

    Sight Sciences delivered a strong second quarter, marked by significant revenue growth across both interventional segments and improved operating results. The company raised its full-year revenue guidance and lowered its adjusted operating expense outlook, demonstrating a balanced approach to growth and financial discipline. Management highlighted the strategic advantage of addressing both glaucoma and dry eye disease in the same patient population and clinical workflows, while preparing for the launch of OmniUltra and navigating ongoing payer engagement for TierCare.

    Highlights

    5
    • Total revenue grew 20% year-over-year to $23.4 million, the highest growth rate since 2023.

    • Interventional Dry Eye (IDE) revenue reached a record $2.7 million, nearly doubling from Q1 FY26.

    • Interventional Glaucoma (IG) revenue increased 8% year-over-year to $20.7 million, its highest growth rate since Q4 FY24.

    • Adjusted operating expenses decreased 8% year-over-year to $22.3 million.

    • Cash used in the quarter (excluding one-time items) decreased 81% to $1.4 million.

    Concerns

    3
    • A one-time $5.4 million payment related to the Alcon litigation success fee impacted cash usage.

    • Alcon filed an appeal in the patent litigation case, delaying the receipt of $55 million in past damages and ongoing royalties.

    • Q3 FY26 interventional glaucoma revenue is expected to grow mid-single digits, reflecting tougher prior-year comparisons and historically lower procedural trends.

    Guidance & targets

    7
    CategoryTargetConfidence
    Full-year 2026 Revenue
    $88 million to $92 million
    high materiality
    High
    Full-year 2026 Adjusted Operating Expense
    $92 million to $94 million
    medium materiality
    High
    Full-year 2026 Interventional Dry Eye Revenue
    $9 million to $11 million
    medium materiality
    High
    Full-year 2026 Interventional Glaucoma Revenue
    $79 million to $81 million
    medium materiality
    High
    Q3 FY26 Total Revenue Growth
    mid to high teens
    medium materiality
    Medium
    Q3 FY26 Interventional Glaucoma Growth
    mid-single digits
    medium materiality
    Medium
    Q3 FY26 Interventional Dry Eye Revenue
    approximately $3 million
    medium materiality
    Medium

    Segment performance

    2
    SegmentRevenueYoYQoQMargin
    Interventional Glaucoma
    Fourth consecutive quarter of year-over-year growth, driven by increased Omni volume, record active accounts, stronger utilization, and pricing. Gross margin excluding tariff benefit was 86%.
    Active accounts: all-time high (3% YoY increase)Utilization: returned to highest level since Q4 2024
    $20.7 million8%86%
    Interventional Dry Eye
    Record revenue driven by growth in ordering accounts and increased utilization. Approximately two-thirds of SmartList volume came from overlapping IG accounts, which had significantly higher utilization. Gross margin excluding tariff benefit was 80%, up significantly from 38% in the prior year, primarily due to higher average selling prices.
    Ordering accounts: 176 (up from 96 in Q1)SmartLIS volume: >3,000 (more than double Q1 volumes)Average utilization: ~18 SmartLIS per active account (up from 16 in Q1)Patient lives with reimbursement access: 14.5 million (up from 10.4 million in Q1)
    $2.7 millionnearly doubling from Q180%

    Operational metrics

    20
    Total Revenue Growth
    20%YoY
    Q2 FY26

    Strongest quarterly revenue growth rate in three years.

    Gross Margin
    91%up from 85% in prior year period
    Q2 FY26

    Primarily driven by one-time tariff refunds.

    Gross Margin
    86%
    Q2 FY26

    Gross margin for Interventional Glaucoma excluding the one-time tariff benefit.

    Gross Margin
    80%up significantly from 38% in same period in prior year
    Q2 FY26

    Gross margin for Interventional Dry Eye excluding the one-time tariff benefit.

    Total Operating Expenses
    $25.3 milliondecrease of 11% compared to prior year
    Q2 FY26

    Driven primarily by lower personnel related expenses and stock-based compensation, following a reduction in force in Q3 2025.

    Adjusted Operating Expenses
    $22.3 milliondown 8% compared to prior year
    Q2 FY26

    Non-GAAP financial measure.

    Net Loss
    $4.4 million63% improvement from $11.9 million in prior year
    Q2 FY26

    GAAP net loss.

    Net Loss Per Share
    $0.08compared to $0.23 in Q2 2025
    Q2 FY26

    GAAP net loss per share.

    Cash and Cash Equivalents
    $79.8 millioncompared to $85 million at end of Q1
    Q2 FY26

    Balance at the end of the quarter.

    Cash Used in Quarter (excl. one-time items)
    $1.4 milliondown 81% from $7.3 million in Q2 2025
    Q2 FY26

    Reflects meaningful improvement towards cash flow break-even.

    Debt
    $40 million
    Q2 FY26

    Excluding unamortized discount and debt issuance.

    Alcon Litigation Past Damages and Interest
    $55 million
    as of April

    Confirmed by final judgment in litigation case against Alcon; no cash received to date due to appeal.

    Alcon Litigation Ongoing Royalties
    10%
    ongoing

    Of HyDRIS revenue through patent expiration; no cash received to date due to appeal.

    Interventional Dry Eye Patient Lives with Reimbursement Access
    14.5 millionup from 10.4 million in Q1 FY26
    Q2 FY26

    Added approximately 4.1 million patient lives in Q2, primarily from Medicare Advantage plans publishing fee schedules.

    Interventional Dry Eye Ordering Accounts
    176up from 96 in Q1 FY26
    Q2 FY26

    Includes a healthy combination of new and reordering accounts.

    Interventional Dry Eye SmartLIS Volume
    >3,000more than double Q1 volumes
    Q2 FY26

    Volume of SmartLIS units purchased in the quarter.

    Interventional Dry Eye Average Utilization
    ~18up from 16 in Q1 FY26
    Q2 FY26

    Average utilization even as the active account base nearly doubled.

    Interventional Glaucoma Active Accounts Growth
    3%YoY increase
    Q2 FY26

    Active accounts reached an all-time high in the quarter.

    Interventional Glaucoma Utilization
    returned to its highest level since Q4 2024
    Q2 FY26

    Utilization returned to its highest level since LCDs began to adversely impact MIGS volumes.

    Manufacturing Transition Completion
    complete
    H2 FY26

    Diversification of supply chain outside of China; not expected to significantly impact margins.

    Industry KPIs

    12
    MetricValueDetails
    Tariff impact$1.4 millionUSD
    System utilizationIG: highest since Q4 2024; IDE: ~18units per account
    Pricing realized priceincreased
    New product launch rampOmniUltra
    Procedure volume growthincreased
    FCF conversion leverage guidanceprogressing toward cash flow break-even
    Installed base system placementsall-time highaccounts
    Segment franchise organic growthIG: 8%; IDE: nearly doubled%
    Consumables recurring revenue mixdurable and efficient recurring revenue business model
    Sales force commercial capacity buildaddedheadcount
    Indicated addressable patient population14.5 millionpatient lives
    Pivotal trial clinical evidence milestonesSahara trial data

    Product announcements

    1
    ProductTypeDetails
    OmniUltralaunch

    Risks & headwinds

    3
    Payer timing uncertainty for Interventional Dry Eyeongoing

    outside of our control

    Mitigation: continued patient and provider advocacy, ongoing dialogue with MACs and commercial payers

    Alcon patent litigation appealongoing judicial process

    no cash received to date for $55 million past damages and 10% ongoing royalties

    Mitigation: remain confident in our position while the judicial process runs its course

    Q3 seasonality and tougher prior year comparison for Interventional GlaucomaQ3 FY26

    mid-single digits growth expected

    Mitigation: momentum from Q2, stable market, strong team execution

    What to watch in Q3 FY26

    5

    OmniUltra Full Launch

    Q4 FY26
    Currentearly release to close partners
    Targetfull launch at AAO

    Why it matters

    This next-generation technology has the potential to deepen engagement with customers and reinforce leadership in implant-free MIGS.

    As you said, the full launch we're targeting for AAO in a couple of months, Between now and then, we will be rolling out ultra some of our earlier users earlier customers and close partners of the company we obviously want to get as much feedback as we can on the product and procedure in advance of the full launch so expect expect that over the coming months and we're the team is super excited about it

    Q&A highlights

    8

    Is the interventional glaucoma market currently the healthiest it's been in some time, and what are the underlying trends going forward?

    Management agrees the market is stable and in growth mode (mid-single digits). They are focused on growing in combo cataract by taking share and expanding the market, and developing the standalone market with a dedicated team and playbook. The outlook for 2027 also remains stable.

    We do feel like we are finally operating in a stable environment. Team is very excited about that. I think they've been doing a great job. We believe the MIGS market is back in growth mode, maybe mid single digits.

    asked by Adam Maeder · answered by Paul Badawi

    2 min read6 chapters

    Detailed Narrative

    01

    Interventional Dry Eye (IDE) Momentum

    The Interventional Dry Eye segment achieved record revenue of $2.7 million, nearly doubling from Q1 FY26, driven by increased ordering accounts (from 96 to 176) and higher average utilization (18 SmartLIS per active account, up from 16). The company added approximately 4.1 million patient lives with access to appropriate reimbursement in Q2, bringing the total to 14.5 million, primarily due to Medicare Advantage plans publishing fee schedules. Management noted that approximately two-thirds of SmartList volume came from accounts that are also interventional glaucoma customers, demonstrating synergy.

    02

    Interventional Glaucoma (IG) Performance

    The Interventional Glaucoma segment delivered $20.7 million in revenue, an 8% year-over-year increase, marking its fourth consecutive quarter of growth. Active accounts reached an all-time high, and utilization returned to its highest level since Q4 2024. Payer access expanded with Aetna covering Omni and Scion for approximately 25 million lives, securing access across all major national payers. The company continues to focus on driving growth and penetration in the combo cataract market and developing the standalone market.

    03

    OmniUltra Launch Preparation

    Sight Sciences is preparing for the full launch of OmniUltra, its next-generation glaucoma technology, targeting AAO later this year, with broad utilization and training expected in 2027. OmniUltra incorporates surgeon feedback, offering a complete single-pass canaloplasty and TruSync Plus technology for automated viscoelastic delivery, aiming to improve surgical efficiency and confidence. An early release to close partners is planned before the full launch to gather additional feedback.

    04

    Operational Discipline and Cash Flow

    The company demonstrated significant operational improvement, with total operating expenses decreasing 11% year-over-year to $25.3 million and adjusted operating expenses down 8% to $22.3 million. Cash used in the quarter, excluding a one-time📎 $5.4 million litigation payment and $1.6 million tariff refunds, was $1.4 million, an 81% reduction from Q2 2025. This progress positions the company to achieve cash flow break-even without the need to raise additional equity capital.

    05

    Alcon Litigation Update

    The final judgment in the Alcon patent litigation case confirmed past damages and interest totaling approximately $55 million, plus ongoing royalties of 10% of HyDRIS revenue through patent expiration. While Alcon has filed an appeal and no cash has been received to date, Sight Sciences remains confident in its position as the judicial process continues. The company noted a one-time📎 $5.4 million payment related to a success fee in Q2.

    06

    Intersection of Intervention Strategy

    Sight Sciences emphasizes the strategic advantage of the 'intersection of intervention,' where glaucoma and dry eye disease often affect the same patients and are treated within similar procedural workflows. This overlap creates opportunities to deepen customer relationships, increase account utilization, and drive durable growth. The established interventional glaucoma relationships are particularly effective in accelerating TierCare adoption and deepening customer engagement in interventional dry eye.

    AI-generated summary of the company’s earnings call. Not investment advice.