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Press Release · InMode Ltd.

InMode Reports Third Quarter 2026 Financial Results: Quarterly GAAP Revenues of $92.1 Million; Reaffirms Full-Year 2026 Financial Outlook

NASDAQINMD

Distributed by AdPowerLine · Originally issued via PR Newswire

YOKNEAM, Israel, Nov. 11, 2026 — InMode Ltd. (Nasdaq: INMD) ("InMode"), a leading global provider of innovative medical technologies, today announced its consolidated financial results for the third quarter of 2026.

Third Quarter 2026 Highlights:


●  Quarterly GAAP revenues of $92.1 million, broadly in line with the third quarter of 2025.


●  Quarterly revenues from consumables and service of $19.3 million, a decrease of 3% compared to the third quarter of 2025.

●  GAAP operating income of $17.5 million and *non-GAAP operating income of $20.5 million.

●  Total cash position of $512.7 million as of September 30, 2026, including cash and cash equivalents, marketable securities and short-term bank deposits.

●  Successful initial launch of Morpheus8 Max, with continued growth anticipated.

U.S. GAAP Results

(U.S. dollars in thousands, except for per share data)


Q3 2026

Q3 2025

Revenues

$92,138

$93,165

Gross Margins

78 %

78 %

Operating Margins

19 %

22 %

Net Income

$18,863

$21,863

Earnings per Diluted Share

$0.32

$0.34

*Non-GAAP Results

(U.S. dollars in thousands, except for per share data)


Q3 2026

Q3 2025

Gross Margins

78 %

78 %

Operating Margins

22 %

25 %

Net Income

$21,902

$24,532

Earnings per Diluted Share

$0.37

$0.38

*Please refer to "Use of non-GAAP Financial Measures" below for important information about non-GAAP financial measures. A
reconciliation between U.S. GAAP and non-GAAP Statement of Income 
is provided following the financial statements included in this release.
Non-GAAP results exclude share-based compensation, expenses related to the Special Committee's review (representing non-recurring cost) 
and related income tax adjustments where applicable.

Management Comments

"Total revenue in the third quarter was largely consistent with the prior-year period," said Moshik Itzkovich, Chief Financial Officer of InMode. "Both U.S. and international capital equipment revenue remained relatively stable compared to the second quarter of 2026. These results are consistent with the stabilization we expect to continue through the remainder of the year. We remain focused on disciplined execution and investing in opportunities that support long-term growth."

Third Quarter 2026 Financial Results

Total GAAP revenues for the third quarter of 2026 were $92.1 million, broadly in line with the $93.2 million reported in the prior-year period. Revenues in Asia continued to grow strongly and reached another quarterly record, reflecting sustained demand across key markets in the region. Quarterly revenues from consumables and service decreased 3% to $19.3 million, compared to the third quarter of 2025.

GAAP gross margin for the third quarter of 2026 was 78%, compared to 78% for the third quarter of 2025.

*Non-GAAP gross margin for the third quarter of 2026 was 78%, compared to 78% for the third quarter of 2025.

Gross margin for the third quarter of 2026 benefited from a non-recurring U.S. tariff refund, which increased gross margin by approximately one percentage point.

GAAP operating margin for the third quarter of 2026 was 19%, compared to 22% for the third quarter of 2025. *Non-GAAP operating margin for the third quarter of 2026 was 22%, compared to 25% for the third quarter of 2025. These decreases were primarily attributable to the restructuring of the North American sales team implemented toward the end of 2025, increased sales and marketing investments to retain talent and maintain market share, and higher general and administrative expenses driven by increased professional services costs. These factors are expected to continue to affect expenses for the foreseeable future.

InMode reported GAAP net income of $18.9 million, or $0.32 per diluted share, in the third quarter of 2026, compared to $21.9 million, or $0.34 per diluted share, in the third quarter of 2025. On a *non-GAAP basis, InMode reported net income of $21.9 million, or $0.37 per diluted share, in the third quarter of 2026, compared to $24.5 million, or $0.38 per diluted share, in the third quarter of 2025.

As of September 30, 2026, InMode had cash and cash equivalents, marketable securities and short-term bank deposits of $512.7 million.

2026 Financial Outlook

Management reaffirmed its previously issued financial outlook for the full fiscal year ending December 31, 2026. Based on current estimates, management expects:

  • Revenues between $365 million and $375 million
  • *Non-GAAP gross margin between 74% and 76%
  • *Non-GAAP income from operations between $68 million and $73 million
  • *Non-GAAP earnings per diluted share between $1.29 and $1.34

These expectations are based on management's current estimates and are subject to change.

This outlook is not a guarantee of future performance, and investors should not place undue reliance on these forward-looking statements. See "Forward-Looking Statements" for additional information.

*Please refer to "Use of non-GAAP Financial Measures" below for important information about non-GAAP financial measures. A reconciliation between U.S. GAAP and non-GAAP Statement of Income is provided following the financial statements included in this release. Non-GAAP results exclude share-based compensation, expenses related to the Special Committee's review (representing non-recurring cost) and related income tax adjustments where applicable.

Investor Relations Update

The Special Committee has completed its work and ceased its activities. The Company will resume its investor relations activities, including participation in investor conferences and engagement with research analysts and investors. In addition, the Company plans to host an earnings conference call in connection with the release of its Q4 and full-year 2026 financial results early next year.

The Current Situation in Israel

The scope and severity of ongoing conflicts in Gaza, northern Israel, Lebanon, Iran, and the broader region are unpredictable and could escalate at any time. To date, our operations have not been materially affected. We continue to closely monitor political and military developments and to assess their potential consequences for our operations and assets. 

Use of Non-GAAP Financial Measures

In addition to InMode's operating results presented in accordance with GAAP, this release contains certain non-GAAP financial measures including non-GAAP net income, non-GAAP earnings per diluted share, non-GAAP operating margin, non-GAAP gross margin and non-GAAP income from operations. Because these measures are used in InMode's internal analysis of financial and operating performance, management believes they provide investors with greater transparency into its view of InMode's economic performance. Management also believes the presentation of these measures, when analyzed in conjunction with InMode's GAAP operating results, allows investors to more effectively evaluate and compare InMode's performance to that of its peers, although InMode's presentation of its non-GAAP measures may not be strictly comparable to the similarly titled measures of other companies. Schedules reconciling each of these non-GAAP financial measures are provided as a supplement to this release. Reconciliations of non-GAAP gross margin, non-GAAP income from operations, and non-GAAP earnings per diluted share for management's projections of such non-GAAP financial measures for the 2026 fiscal year are not available without unreasonable effort due to the variability, complexity and limited visibility of certain reconciling items, including share-based compensation, expenses related to the Special Committee review and related income tax adjustments where applicable. These reconciling items could have a significant and unpredictable impact on our future GAAP results.

About InMode

InMode is a leading global provider of innovative medical technologies. InMode develops, manufactures, and markets devices harnessing novel radio frequency ("RF") technology. InMode strives to enable emerging surgical procedures as well as improve existing treatments. InMode has leveraged its medically accepted minimally invasive RF technologies to offer a comprehensive line of products across several categories for plastic surgery, gynecology, dermatology, otolaryngology, and ophthalmology. For more information about InMode, please visit www.inmodemd.com.

Forward-Looking Statements 

The information in this press release includes forward-looking statements within the meaning of the federal securities laws, including the Private Securities Litigation Reform Act of 1995. These statements generally relate to future events or InMode's future financial or operating performance, including statements regarding InMode's 2026 financial outlook, expected expense trends, anticipated demand for its products, including Morpheus8 Max, and the Special Committee's evaluation of unsolicited proposals. Actual outcomes and results may differ materially from what is expressed or forecast in such forward-looking statements. In some cases, you can identify these statements because they contain words such as "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "predict," "project," "will," "would" and similar expressions that concern our expectations, strategic plans or intentions. Forward-looking statements are based on management's current expectations and assumptions, and are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict. Consequently, actual results could differ materially from those indicated in these forward-looking statements. When considering these forward-looking statements, you should keep in mind the risk factors and other cautionary statements included in InMode's Annual Report on Form 20-F filed with the Securities and Exchange Commission on February 10, 2026, and our subsequent public filings. InMode undertakes no obligation and does not intend to update these forward-looking statements to reflect events or circumstances occurring after this press release. You are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date of this press release.

Company Contact:

Moshik Itzkovich

Chief Financial Officer

Email: %[email protected]

Investor Relations Contact:

Miri Segal

MS-IR LLC

Email: [email protected]

INMODE LTD.

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(U.S. dollars in thousands, except for per share data)

(Unaudited)



Three months ended

Nine months ended

September 30,

September 30,


2026


2025

2026


2025

REVENUES

92,138


93,165

269,744


266,641

COST OF REVENUES

20,344


20,856

64,882


56,971

GROSS PROFIT

71,794


72,309

204,862


209,670

OPERATING EXPENSES:







Research and development

3,862


3,543

11,060


9,810

Sales and marketing

45,950


44,970

139,700


132,171

General and administrative

4,474


2,899

14,281


8,293

TOTAL OPERATING EXPENSES

54,286


51,412

165,041


150,274

OPERATING INCOME

17,508


20,897

39,821


59,396

Finance income, net

4,710


4,721

16,438


19,642

INCOME BEFORE INCOME TAXES

22,218


25,618

56,259


79,038

INCOME TAXES

3,355


3,755

8,770


12,232

NET INCOME

18,863


21,863

47,489


66,806








EARNINGS PER SHARE:







Basic

0.33


0.35

0.79


1.03

Diluted

0.32


0.34

0.78


1.02

WEIGHTED AVERAGE NUMBER
OF SHARES OUTSTANDING USED
IN COMPUTATION OF EARNINGS
PER SHARE (in thousands)







Basic

57,568


63,291

59,932


65,072

Diluted

58,248


63,868

60,665


65,727

INMODE LTD.

CONDENSED CONSOLIDATED BALANCE SHEETS

(U.S. dollars in thousands)

(Unaudited)





September 30,

2026

December 31,

2025

Assets



CURRENT ASSETS:



Cash and cash equivalents

397,111

302,543

Marketable securities

4,700

83,632

Short-term bank deposits

110,916

169,159

Accounts receivable, net of allowance for credit losses

49,955

43,504

Prepaid expenses and other receivables

35,705

25,733

Inventories

72,415

74,050

         TOTAL CURRENT ASSETS

670,802

698,621

    NON-CURRENT ASSETS:



Accounts receivable, net of allowance for credit losses

6,124

3,005

Deferred income tax assets

52,076

53,230

Operating lease right-of-use assets

8,182

8,274

Property and equipment, net

2,591

2,599

Other investments

700

700

TOTAL NON-CURRENT ASSETS

69,673

67,808

TOTAL ASSETS

740,475

766,429

Liabilities and shareholders' equity



CURRENT LIABILITIES:



Accounts payable

17,905

17,912

Contract liabilities

15,248

12,093

Other liabilities

45,027

40,739

TOTAL CURRENT LIABILITIES

78,180

70,744

    NON-CURRENT LIABILITIES:



Contract liabilities

2,501

3,043

Other liabilities

5,000

4,436

Operating lease liabilities

3,576

5,008

TOTAL NON-CURRENT LIABILITIES

11,077

12,487

TOTAL LIABILITIES

89,257

83,231




TOTAL SHAREHOLDERS' EQUITY

651,218

683,198

TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY

740,475

766,429

INMODE LTD.

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(U.S. dollars in thousands)

(Unaudited)







Three months ended
September 30,

Nine months ended
September 30,


2026

2025

2026

2025

CASH FLOWS FROM OPERATING ACTIVITIES:





Net income

18,863

21,863

47,489

66,806

Adjustments required to reconcile net income to net cash provided by operating activities:





Depreciation and amortization

232

156

586

521

Share-based compensation expenses

3,039

2,696

9,446

8,632

Change in allowance for credit losses of trade receivables

685

106

1,929

159

Loss on marketable securities, net

-

11

–

14

Finance expenses (income), net

(890)

3,147

217

1,260

Deferred income taxes

554

602

1,176

2,064

Changes in operating assets and liabilities:





Increase in accounts receivable (current and non-current)

(6,525)

(2,353)

(11,499)

(1,094)

Increase in other receivables

(2,935)

(147)

(9,965)

(2,403)

Decrease (increase) in inventories

(754)

(3,293)

1,635

(11,855)

Increase (decrease) in accounts payable

(887)

(759)

(7)

2,941

Increase (decrease) in other liabilities (current and non-current)

189

564

4,201

(2,596)

Increase (decrease) in contract liabilities (current and non-current)

(187)

1,874

2,613

(1,866)

Net cash provided by operating activities

11,384

24,467

47,821

62,583

CASH FLOWS FROM INVESTING ACTIVITIES:





   Investment in short-term deposits

(109,758)

(153,904)

(279,670)

(178,904)

   Proceeds from short-term deposits

85,000

103,390

337,570

189,687

   Purchase of fixed assets

(195)

(134)

(578)

(438)

   Purchase of marketable securities

–

-

(9,727)

(20,877)

   Proceeds from sale of marketable securities

–

14,211

–

17,214

   Proceeds from maturity of marketable securities

14,203

48,105

88,442

152,127

Net cash provided by (used in) investing activities

(10,750)

11,668

136,037

158,809

CASH FLOWS FROM FINANCING ACTIVITIES:





Tax withholding related to vesting of restricted share units

-

-

(1,802)

-

Repurchase of ordinary shares

-

-

(87,752)

(127,444)

Exercise of options

97

249

733

1,248

Net cash provided by (used in) financing activities

97

249

(88,821)

(126,196)

EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS

207

(184)

(469)

1,912

NET INCREASE IN CASH AND CASH EQUIVALENTS

938

36,200

94,568

97,108






CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD

396,173

216,237

302,543

155,329

CASH AND CASH EQUIVALENTS AT END OF PERIOD

397,111

252,437

397,111

252,437

INMODE LTD.

CONDENSED CONSOLIDATED FINANCIAL HIGHLIGHTS

(U.S. dollars in thousands)

(Unaudited)



Three months ended September 30,


Nine months ended September 30,

2026


2025


2026


2025

Revenues by Category:
























Capital Equipment revenues - United States

42,682

46 %


45,203

49 %


119,435

44 %


115,398

44 %

Capital Equipment revenues - International

30,130

33 %


28,063

30 %


87,309

33 %


91,329

34 %

Total Capital Equipment revenues

72,812

79 %


73,266

79 %


206,744

77 %


206,727

78 %

Consumables and service revenues

19,326

21 %


19,899

21 %


63,000

23 %


59,914

22 %

Total Revenue

92,138

100 %


93,165

100 %


269,744

100 %


266,641

100 %

















Three months ended September 30,

Nine months ended September 30,

2026

2025

2026

2025


%

%

%

%


United
States

International

Total

United
States

International

Total

United 
States

International

Total

United
States

International

Total

Revenues by Technology:













Minimal-Invasive

80

77

78

75

76

75

75

77

76

79

79

80

Hands-Free

-

2

1

2

1

2

1

1

1

3

2

2

Non-Invasive

20

21

21

23

23

23

24

22

23

18

19

18


100

100

100

100

100

100

100

100

100

100

100

100

INMODE LTD.

RECONCILIATION OF GAAP CONDENSED CONSOLIDATED STATEMENTS OF

 INCOME TO NON-GAAP CONDENSED CONSOLIDATED STATEMENTS OF INCOME 

(U.S. dollars in thousands, except for per share data)

(Unaudited)




Three months ended September 30, 2026


Three months ended September 30, 2025



GAAP


Stock Based
Compensation



Non-GAAP


GAAP


Stock Based
Compensation


Non-GAAP

REVENUES


92,138


–



92,138


93,165


-


93,165

COST OF REVENUES


20,344


(315)



20,029


20,856


(343)


20,513

GROSS PROFIT


71,794


315



72,109


72,309


343


72,652

OPERATING EXPENSES:














Research and development


3,862


(292)



3,570


3,543


(274)


3,269

Sales and marketing


45,950


(2,091)



43,859


44,970


(1,804)


43,166

General and administrative


4,474


(341)



4,133


2,899


(275)


2,624

TOTAL OPERATING EXPENSES


54,286


(2,724)



51,562


51,412


(2,353)


49,059

OPERATING INCOME


17,508


3,039



20,547


20,897


2,696


23,593

Finance income, net


4,710


–



4,710


4,721


-


4,721

INCOME BEFORE INCOME TAXES


22,218


3,039



25,257


25,618


2,696


28,314

INCOME TAXES


3,355


–



3,355


3,755


27


3,782

NET INCOME


18,863


3,039



21,902


21,863


2,669


24,532















EARNINGS PER SHARE














Basic


0.33





0.38


0.35




0.39

Diluted


0.32





0.37


0.34




0.38

WEIGHTED AVERAGE NUMBER OF
SHARES OUTSTANDING USED IN
COMPUTATION OF EARNINGS PER
SHARE (in Thousands)














Basic


57,568





57,568


63,291




63,291

Diluted


58,248





58,758


63,868




64,531




















Nine months ended September 30, 2026


Nine months ended September 30, 2025



GAAP


Stock Based
Compensation


Expenses
Related to
Special
Committee Review


Non-
GAAP


GAAP


Stock Based
Compensation


Non-GAAP

REVENUES


269,744


–


–


269,744


266,641


-


266,641

COST OF REVENUES


64,882


(931)


–


63,951


56,971


(987)


55,984

GROSS PROFIT


204,862


931


–


205,793


209,670


987


210,657

OPERATING EXPENSES:















Research and development


11,060


(842)


–


10,218


9,810


(783)


9,027

Sales and marketing


139,700


(6,477)


–


133,223


132,171


(6,096)


126,075

General and administrative


14,281


(1,196)


(1,262)


11,823


8,293


(766)


7,527

TOTAL OPERATING EXPENSES


165,041


(8,515)


(1,262)


155,264


150,274


(7,645)


142,629

OPERATING INCOME


39,821


9,446


1,262


50,529


59,396


8,632


68,028

Finance income, net


16,438


–


–


16,438


19,642


-


19,642

INCOME BEFORE INCOME TAXES


56,259


9,446


1,262


66,967


79,038


8,632


87,670

INCOME TAXES


8,770


(389)


–


8,381


12,232


(628)


11,604

NET INCOME


47,489


9,835


1,262


58,586


66,806


9,260


76,066
















EARNINGS PER SHARE















Basic


0.79






0.98


1.03




1.17

Diluted


0.78






0.96


1.02




1.15

WEIGHTED AVERAGE NUMBER OF
SHARES OUTSTANDING USED IN
COMPUTATION OF EARNINGS PER
SHARE (in Thousands)















Basic


59,932






59,932


65,072




65,072

Diluted


60,665






61,118


65,727




66,199

















SOURCE InMode Ltd.