# LENSAR, Inc. (LNSR) Informational only - not investment advice. CIK: 0001320350 SIC: 3841 Surgical & Medical Instruments & Apparatus SIC breadcrumb: [Manufacturing](/division/D/) > [SIC Major Group 38](/major-group/38/) > [SIC 3841 Surgical & Medical Instruments & Apparatus](/industry/3841/) Latest 10-K filed: 2026-03-31 SEC page: https://www.sec.gov/edgar/browse/?CIK=1320350 Filing source: https://www.sec.gov/Archives/edgar/data/1320350/000119312526134587/lnsr-20251231.htm ## At a glance FY2025 · period end 2025-12-31 · filed 2026-03-31 · accession 0001193125-26-134587 · source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001320350.json | Metric | Value | FY | Provenance | | --- | ---: | ---: | --- | | Revenue | 58,435,000 USD | 2025 | verified | | Net income | -34,280,000 USD | 2025 | verified | | Assets | 71,430,000 USD | 2025 | verified | | Free cash flow | -14,914,000 USD | 2025 | computed | | Net margin | -58.66% | 2025 | computed | | Operating margin | -42.06% | 2025 | computed | | Revenue YoY | +9.24% | 2025 | computed | Stockholders' equity was not positive at FY2025 year-end (-26,019,000 USD, as filed); ROE and liabilities / equity are omitted rather than computed. Computed values are grepcent-computed from the verified facts above and may differ from ratios the company itself reports. Free cash flow = operating cash flow − capital expenditures. Net margin = net income ÷ revenue. Operating margin = operating income ÷ revenue. Revenue YoY = FY2025 revenue ÷ FY2024 revenue − 1 (consecutive fiscal years only). No market price, no rating, no forecast on this site. Not investment advice. ### Peer percentile fingerprint | Ratio | LNSR | Peer median | Percentile | N | | --- | ---: | ---: | ---: | ---: | | Net margin | -58.7% | -6.0% | 18 | 63 | | Operating margin | -42.1% | -2.7% | 18 | 63 | | Revenue growth | 9.2% | 13.6% | 35 | 64 | | FCF margin | -25.5% | 0.2% | 23 | 63 | | ROA | -48.0% | -4.8% | 8 | 65 | | Liabilities / equity | 9.80 | 0.89 | 95 | 63 | | Current ratio | 1.15 | 3.23 | 3 | 65 | Percentile = share of the N covered peers reporting that ratio whose value is lower (ties counted half); computed among grepcent-covered companies in SIC industry 3841 Surgical & Medical Instruments & Apparatus, not the whole market. A higher percentile means a higher value of the ratio, not a better company. Ratios with fewer than 8 reporting peers are omitted. Latest reported values per company; fiscal periods may differ. Descriptive arithmetic - not a score, rating, or ranking. ## Selected Fundamentals | Metric | Value | Unit | FY | Filed | | --- | ---: | --- | ---: | --- | | Revenue | 58435000 | USD | 2025 | 2026-03-31 | | Net income | -34280000 | USD | 2025 | 2026-03-31 | | Assets | 71430000 | USD | 2025 | 2026-03-31 | ## Financials Annual standardized facts from SEC companyfacts as of latest extracted filing date 2026-03-31. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001320350.json. Derived margins, ratios, and free cash flow are computed from the extracted annual SEC facts. | Metric | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | | Revenue | | 30,528,000 | 26,382,000 | 34,459,000 | 35,358,000 | 42,164,000 | 53,494,000 | 58,435,000 | | Net income | | -14,657,000 | -19,774,000 | -19,601,000 | -19,914,000 | -14,383,000 | -31,404,000 | -34,280,000 | | Operating income | | -12,714,000 | -18,502,000 | -19,652,000 | -20,177,000 | -12,229,000 | -10,665,000 | -24,578,000 | | Diluted EPS | | | | -2.09 | -1.96 | -1.31 | -2.73 | -2.87 | | Operating cash flow | | -12,589,000 | -13,791,000 | -8,969,000 | -14,856,000 | -9,659,000 | -2,275,000 | -14,831,000 | | Capital expenditures | | 389,000 | 366,000 | 354,000 | 115,000 | 236,000 | 156,000 | 83,000 | | Assets | | 34,536,000 | 79,120,000 | 66,465,000 | 55,844,000 | 69,585,000 | 66,297,000 | 71,430,000 | | Liabilities | | 65,089,000 | 11,910,000 | 11,586,000 | 13,860,000 | 22,409,000 | 47,651,000 | 83,665,000 | | Stockholders' equity | -20,465,000 | -30,553,000 | 67,210,000 | 54,879,000 | 41,984,000 | 33,429,000 | 4,862,000 | -26,019,000 | | Cash and cash equivalents | | 4,615,000 | 40,599,000 | 31,637,000 | 14,674,000 | 20,621,000 | 16,263,000 | 12,974,000 | | Free cash flow | | -12,978,000 | -14,157,000 | -9,323,000 | -14,971,000 | -9,895,000 | -2,431,000 | -14,914,000 | ### Ratios ROE and ROA use period-end equity/assets. Liabilities / equity uses total liabilities divided by stockholders' equity. Current ratio uses current assets divided by current liabilities when both are reported. | Metric | 2018 | 2019 | 2020 | 2021 | 2022 | 2023 | 2024 | 2025 | | --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: | ---: | | Net margin | | -48.01% | -74.95% | -56.88% | -56.32% | -34.11% | -58.71% | -58.66% | | Operating margin | | -41.65% | -70.13% | -57.03% | -57.06% | -29.00% | -19.94% | -42.06% | | Return on assets | | -42.44% | -24.99% | -29.49% | -35.66% | -20.67% | -47.37% | -47.99% | | Liabilities / equity | | | 0.18 | 0.21 | 0.33 | 0.67 | 9.80 | | | Current ratio | | 2.19 | 6.90 | 5.14 | 2.95 | 3.99 | 2.80 | 1.15 | ## As-reported value updates No tracked differences above grepcent's stated thresholds and capped precision rule were found between the earliest XBRL-filed value and the value currently on file for the standardized annual metrics grepcent tracks. ## Quarterly Quarterly standardized facts from SEC companyfacts as of latest extracted filing date 2026-08-13. Source: https://data.sec.gov/api/xbrl/companyfacts/CIK0001320350.json. Flow metrics use discrete quarter-length periods from 10-Q/10-Q/A filings. Q4 revenue and net income are derived only when annual FY and nine-month YTD facts exist for the same fiscal year; derived Q4 values are labeled. EPS Q4 is not derived. | Quarter | End date | Revenue | Net income | Diluted EPS | Method | | --- | --- | ---: | ---: | ---: | --- | | 2022-Q3 | 2022-09-30 | | | -0.39 | reported discrete quarter | | 2023-Q1 | 2023-03-31 | | | -0.40 | reported discrete quarter | | 2023-Q2 | 2023-06-30 | | | -0.81 | reported discrete quarter | | 2023-Q3 | 2023-09-30 | 9,795,000 | 1,433,000 | -0.23 | reported discrete quarter | | 2023-Q4 | 2023-12-31 | 12,105,000 | -3,926,000 | | derived Q4 = FY annual - nine-month YTD | | 2024-Q1 | 2024-03-31 | 10,588,000 | -2,157,000 | -0.19 | reported discrete quarter | | 2024-Q2 | 2024-06-30 | 12,636,000 | -9,043,000 | -0.79 | reported discrete quarter | | 2024-Q3 | 2024-09-30 | 13,539,000 | -1,502,000 | -0.13 | reported discrete quarter | | 2024-Q4 | 2024-12-31 | 16,731,000 | -18,702,000 | | derived Q4 = FY annual - nine-month YTD | | 2025-Q1 | 2025-03-31 | 14,159,000 | -27,345,000 | -2.32 | reported discrete quarter | | 2025-Q2 | 2025-06-30 | 13,935,000 | -1,764,000 | -0.15 | reported discrete quarter | | 2025-Q3 | 2025-09-30 | 14,316,000 | -3,713,000 | -0.31 | reported discrete quarter | | 2025-Q4 | 2025-12-31 | 16,025,000 | -1,458,000 | | derived Q4 = FY annual - nine-month YTD | | 2026-Q1 | 2026-03-31 | 13,428,000 | 18,914,000 | 0.00 | reported discrete quarter | | 2026-Q2 | 2026-06-30 | 16,495,000 | 1,767,000 | 0.10 | reported discrete quarter | ## Filed narrative (10-K & 10-Q) ## Business Verbatim Item 1 Business section from LNSR's latest 10-K: [/company/LNSR/business/](/company/LNSR/business/). ## Risk Factors Verbatim Item 1A Risk Factors from LNSR's latest 10-K: [/company/LNSR/risk-factors/](/company/LNSR/risk-factors/). ## Latest quarter (10-Q) Latest 10-Q source: https://www.sec.gov/Archives/edgar/data/1320350/000119312526349315/lnsr-20260630.htm Extracted structurally from real Item 2 body heading to real Item 3/4 boundary. Published MD&A gate trimmed front/tail over-capture. Confidence: high Filing date: 2026-08-13 Report date: 2026-06-30 Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations. The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our condensed financial statements and the related notes included elsewhere in this Quarterly Report, as well as the audited financial statements and the related notes thereto, and the discussion under “Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Business” included in our Annual Report on Form 10-K for the fiscal year ended December 31, 2025 (the “Annual Report”). Some of the information contained in this discussion and analysis or set forth elsewhere in this Quarterly Report, including information with respect to our plans and strategy for our business, includes forward-looking statements that involve risks, uncertainties and other factors that could cause actual results to differ materially from those made, projected or implied in the forward-looking statements. Please see the “Risk Factors Summary” and “Risk Factors” sections for a discussion of the uncertainties, risks and assumptions associated with these statements. Overview We are a commercial-stage medical device company focused on designing, developing and marketing advanced laser systems for the treatment of cataracts and the management of pre-existing or surgically induced corneal astigmatism. Our systems incorporate a range of proprietary technologies designed to assist the surgeon in obtaining better visual outcomes, efficiency and reproducibility by providing advanced imaging, simplified procedure planning, efficient design and precision. We believe the cumulative effect of these technologies results in a laser system that can be quickly and efficiently integrated into a surgeon’s existing practice, is easy to use and provides surgeons the ability to deliver improved visual outcomes more efficiently. Our current product portfolio includes the LENSAR Laser System, or LLS, and the ALLY Robotic Cataract Laser System®, or ALLY System, (collectively, the Systems) and its associated consumable components. The consumable portion of the system consists of a disposable patient interface device kit, or PID kit, and the system also requires a procedure license. Each procedure on each system requires the use of a PID kit. The PID kit includes a suction ring, vacuum filter and fluidic connection that are designed to facilitate placement of the laser while minimizing a patient’s discomfort, intraocular pressure and trauma to the retina and maintaining corneal integrity. The procedure license is downloaded onto the system as required or as purchased by the customer. The system will not perform a procedure without a valid license. We sell licenses individually and also offer licenses in a subscription package with minimum monthly obligations and the ability to increase procedure numbers as the practice grows to address increases in demand. We believe this structure allows the surgeon to implement a budget while also providing us with a predictable revenue stream. We are focused on continuous innovation and have launched our proprietary next generation ALLY System. The ALLY System is designed to transform premium cataract surgery by utilizing our advanced robotic technologies with the ability to perform the entire procedure in a sterile operating room or in-office surgical suite, delivering operational efficiencies and reducing overhead. Our ALLY System received clearance from the U.S. Food and Drug Administration, or FDA, in June 2022 and was certified in August 2024 under Regulation (EU) No 2017/745, or EU MDR. The ALLY System is available to all U.S. and European Union, or EU, cataract surgeons and has also received regulatory clearance in India, Taiwan, South Korea, as well as certain other countries. Our growth, market presence and ability to sell the ALLY System will depend on whether the ALLY System receives additional regulatory clearances or certifications and the timing of these clearances or certifications, among other factors. Our future revenue and cash flows will depend on, among other factors, our installed base of Systems and the timing of and applicable clearances for our ALLY System. We have built and are continuing to grow our commercial organization, which includes a direct sales force in the United States and distributors in Europe and Asia and other targeted international markets. We believe there is significant opportunity for us to expand our presence in these countries and other markets and regions, subject to applicable regulatory clearance or certification. In the United States, we sell our products through a direct sales organization that, as of June 30, 2026, consisted of approximately 70 commercial professionals, including regional sales managers, clinical applications and outcomes specialists, field service, marketing, technical and customer support personnel. We manufacture our Systems at a facility in Orlando, Florida. We purchase custom and off-the-shelf components from a number of suppliers, including some single-source suppliers. We purchase the majority of our components and major assemblies through purchase orders with limited long-term supply agreements and generally do not maintain large volumes of finished goods. We strive to maintain enough inventory of our various component parts to avoid the impact of potential disruptions in the supply chain; however, availability of these components can be outside of our control. Our revenue increased from $13.9 million for the three months ended June 30, 2025 to $16.5 million for the three months ended June 30, 2026, representing an increase of 18%, primarily due to increased procedure volume. Our net income was $3.5 million for the three months ended June 30, 2026 compared to a net loss of $1.8 million for the three months ended June 30, 2025. Net income for the three months ended June 30, 2026 was primarily due to a $1.2 million decrease in the change in fair value of warrant liabilities. Net loss for the three months ended June 30, 2025 was primarily due to a $4.3 million increase in the change in fair value of warrant liabilities. Our revenue increased from $28.1 million for the six months ended June 30, 2025 to $29.9 million for the six months ended June 30, 2026, representing an increase of 7%, primarily due to an increase in procedure volume offset by a decrease in system sales. Our net income 25 was $39.9 million for the six months ended June 30, 2026 compared to a net loss of $29.1 million for the six months ended June 30, 2025. Our installed base of Systems is approximately 445 as of June 30, 2026. Factors to Consider We operate in a highly competitive environment that involves a number of risks, some of which are beyond our control. We are subject to risks common to medical device companies, including risks inherent in: • our laser system development and commercialization efforts; • clinical studies; • uncertainty of regulatory actions and marketing approvals or certifications; • reliance on a network of international distributors and a network of suppliers; • levels of coverage and reimbursement by government or other third-party payors for procedures using our products; • patients’ willingness and ability to pay for procedures with significant costs not covered by or reimbursable through government or other third-party payors; • enforcement of patent and proprietary rights; • the need for future capital; • all safety requirements and suggestions regarding patient treatment as required or suggested by health care authorities; • clearance or certification by regulatory agencies, including the FDA, or notified bodies for our ALLY System; • supply chain shortages, labor market shifts, tariffs, and price increases resulting from various macroeconomic factors; • competition associated with our products; and • reimbursement practices in jurisdictions where procedures using our Systems are performed, such as South Korea. We cannot provide assurance that we will generate significant revenues or achieve and sustain profitability in the future. In addition, we can provide no assurance that we will have sufficient funding to meet our future capital requirements. Our revenues and operating expenses are also difficult to predict and depend on several factors, including the level of ongoing research and development requirements necessary to further develop and/or obtain further regulatory clearance or certification of our ALLY System, the number of Systems we manufacture, sell, and lease on an annual basis, the availability of capital and direction from regulatory agencies or notified bodies, which are difficult to predict. We may be able to control the timing and level of research and development and selling, general and administrative expenses, but many of these expenditures will occur irrespective of our actions due to contractually committed activities and payments. Global economic uncertainty and other factors, including tariff policies, political instability and conflicts in foreign regions, have impeded global supply chains, resulted in longer lead times and delays in procuring component parts and raw materials, and resulted in inflationary cost increases in certain raw materials, labor and transportation. We expect these inflationary impacts to continue for the foreseeable future. A high rate of inflation in the future, whether due to actual or uncertain impacts from increased tariffs or other trade barriers or other market volatility, may have an adverse effect on our ability to maintain and increase our gross margin or decrease our operating expenses as a percentage of our revenues if our selling prices of our products do not increase as much or more than our increase in costs. As a result of these and other factors, our historical results are not necessarily indicative of future performance, and any interim results we present are not indicative of the results that may be expected for the full fiscal year. Components of Our Results of Operations Revenue Total revenue comprises product revenue, service revenue and lease revenue. We derive product revenue from the sale of our Systems and sales of our PIDs and procedure licenses to our surgeon customers and to our distributors outside the United States. A PID and procedure license, which may also be referred to as an application license, is required to perform each procedure using our laser system. A procedure license represents a one-time right to utilize the system surgical application in connection with a surgery procedure. Service revenue is derived from the sale of extended warranties for our Systems that provide additional maintenance and service beyond our 26 standard limited warranty. In some situations, we lease our Systems to surgeons, primarily through non-cancellable leases with a fixed lease payment. The following table provides information about revenue and revenue attributable to recurring sources, which we consider to be all components of our revenue except for sales of our Systems: [[GREPCENT_TABLE]] [["","","Three Months Ended June 30,","","","Six Months Ended June 30,"],["(Dollars in thousands)","","2026","","","2025","","","2026","","","2025"],["System","","$","2,809","","","$","2,576","","","$","3,645","","","$","5,208"],["Recurring revenue:"],["Procedure","","","10,233","","","","8,334","","","","19,473","","","","16,620"],["Lease","","","1,772","","","","1,645","","","","3,453","","","","3,529"],["Service","","","1,681","","","","1,380","","","","3,352","","","","2,737"],["Total recurring revenue","","","13,686","","","","11,359","","","","26,278","","","","22,886"],["Total revenue","","$","16,495","","","$","13,935","","","$","29,923","","","$","28,094"],["Recurring revenue %","","83%","","","82%","","","88%","","","81%"]] [[/GREPCENT_TABLE]] Cost of Revenue Total c [Excerpt truncated for page length; source filing is linked above.] ## Latest 10-K MD&A (excerpt) Latest 10-K Item 7 source: https://www.sec.gov/Archives/edgar/data/1320350/000119312526134587/lnsr-20251231.htm Complete FY 2025 MD&A: /company/LNSR/mda/fy2025/ Extracted structurally from real Item 7 body heading to real Item 7A/8 boundary. Published MD&A gate trimmed front/tail over-capture. Confidence: high Filing date: 2026-03-31 Report date: 2025-12-31 Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations. The following discussion and analysis of our financial condition and results of operations should be read in conjunction with our financial statements and the related notes included elsewhere in this Annual Report. Some of the information contained in this discussion and analysis or set forth elsewhere in this Annual Report, including information with respect to our plans and strategy for our business, includes forward-looking statements that involve risks, uncertainties and other factors that could cause actual results to differ materially from those made, projected or implied in the forward-looking statements. Please see the “Risk Factors Summary” and “Risk Factors” sections for a discussion of the uncertainties, risks and assumptions associated with these statements. A discussion of the year ended December 31, 2024 compared to the year ended December 31, 2023 has been reported previously in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024, filed with the SEC on March 4, 2024, under the heading “Management’s Discussion and Analysis of Financial Condition and Results of Operations.” Overview We are a commercial-stage medical device company focused on designing, developing and marketing advanced laser systems for the treatment of cataracts and the management of pre-existing or surgically induced corneal astigmatism. Our systems incorporate a range of proprietary technologies designed to assist the surgeon in obtaining better visual outcomes, efficiency and reproducibility by providing advanced imaging, simplified procedure planning, efficient design and precision. We believe the cumulative effect of these technologies results in a laser system that can be quickly and efficiently integrated into a surgeon’s existing practice, is easy to use and provides surgeons the ability to deliver improved visual outcomes more efficiently. Our current product portfolio includes the LENSAR Laser System, or LLS, and the ALLY Robotic Cataract Laser System™, or ALLY System, (collectively, the Systems) and its associated consumable components. The consumable portion of the system consists of a disposable patient interface device kit, or PID kit, and the system also requires a procedure license. Each procedure on each system requires the use of a PID kit. The PID kit includes a suction ring, vacuum filter and fluidic connection that are designed to facilitate placement of the laser while minimizing a patient’s discomfort, intraocular pressure and trauma to the retina and maintaining corneal integrity. The procedure license is downloaded onto the system as required or as purchased by the customer. The system will not perform a procedure without a valid license. We sell licenses individually and also offer licenses in a subscription package with minimum monthly obligations and the ability to increase procedure numbers as the practice grows to address increases in demand. We believe this structure allows the surgeon to implement a budget while also providing us with a predictable revenue stream. We are focused on continuous innovation and have launched our proprietary next generation ALLY System. The ALLY System is designed to transform premium cataract surgery by utilizing our advanced robotic technologies with the ability to perform the entire procedure in a sterile operating room or in-office surgical suite, delivering operational efficiencies and reducing overhead. Our ALLY System received clearance from the FDA in June 2022, and we executed a controlled and targeted initial launch of the ALLY System beginning in August 2022. The ALLY System is available to all U.S. and EU cataract surgeons and has also received regulatory clearance in India, Taiwan, South Korea, as well as certain other countries. Our growth, market presence and ability to sell the ALLY System will depend on whether the ALLY System receives additional regulatory clearances or certifications and the timing of these clearances or certifications, among other factors. Our future revenue and cash flows will depend on, among other factors, our installed base of Systems and the timing of and applicable clearances for our ALLY System. We have built and are continuing to grow our commercial organization, which includes a direct sales force in the United States and distributors in Europe and Asia and other targeted international markets. We believe there is significant opportunity for us to expand our presence in these countries and other markets and regions, subject to applicable regulatory clearance or certification. In the United States, we sell our products through a direct sales organization that, as of December 31, 2025, consisted of approximately 70 commercial professionals, including regional sales managers, clinical applications and outcomes specialists, field service, marketing, technical and customer support personnel. We manufacture our Systems at a facility in Orlando, Florida. We purchase custom and off-the-shelf components from a number of suppliers, including some single-source suppliers. We purchase the majority of our components and major assemblies through purchase orders with limited long-term supply agreements and generally do not maintain large volumes of finished goods. We strive to maintain enough inventory of our various 78 component parts to avoid the impact of potential disruptions in the supply chain; however, availability of these components can be outside of our control. Our revenue increased from $53.5 million for the year ended December 31, 2024 to $58.4 million for the year ended December 31, 2025, representing an increase of 9%. Our net losses were $31.4 million and $34.3 million for the years ended December 31, 2024 and 2025, respectively. A significant component of our net loss in the years ended December 31, 2025 and 2024 was the change in fair value of warrant liabilities of $10.3 million and $21.4 million, respectively. Our total installed base of LLS and ALLY Systems was approximately 435 as of December 31, 2025. Termination of Merger Agreement with Alcon On March 23, 2025, we entered into an Agreement and Plan of Merger, or the Merger Agreement, with Alcon Research, LLC, or Alcon and VMI Option Merger Sub, Inc., or Merger Sub, which provided that, subject to the terms and conditions set forth in the Merger Agreement, Merger Sub would merge with and into the Company, which we refer to as the Merger, with the Company continuing as the surviving corporation of the Merger and as a wholly-owned subsidiary of Alcon. On May 21, 2025, we and Alcon each received a request for additional information and documentary material from the FTC in connection with the FTC’s review of the Merger. Following its investigation, the FTC indicated its intention to seek to enjoin the Merger. On March 16, 2026, we entered into a Termination and Mutual Release Agreement, or the Termination Agreement, with Alcon and Merger Sub, pursuant to which the parties agreed to terminate the Merger Agreement, effective immediately. Pursuant to the Termination Agreement, Alcon agreed that we will retain the $10.0 million cash deposit provided to us and being held by us pursuant to the Merger Agreement. The parties also agreed to a mutual release of claims, relating to or arising out of the Merger Agreement and the transactions contemplated therein or thereby. In connection with the Merger Agreement, we have incurred acquisition-related costs of approximately $17.1 million in the year ended December 31, 2025. Of the $17.1 million in acquisition-related costs incurred, $13.8 million is classified as accounts payable and $0.2 million is classified as accrued liabilities on the balance sheet at December 31, 2025. Certain amounts of these acquisition-related costs were contingent upon the successful closing of the Merger. During the three months ending March 31, 2026, the Company will reduce acquisition-related costs and accounts payable by approximately $4.3 million. Furthermore, during the three months ending March 31, 2026, $5.0 million of accounts payable will be reclassified from current to long-term based upon extended payment terms provided by our acquisition advisers. Factors to Consider We operate in a highly competitive environment that involves a number of risks, some of which are beyond our control. We are subject to risks common to medical device companies, including risks inherent in: • our laser system development and commercialization efforts; • clinical studies; • uncertainty of regulatory actions and marketing approvals or certifications; • reliance on a network of international distributors and a network of suppliers; • levels of coverage and reimbursement by government or other third-party payors for procedures using our products; • patients’ willingness and ability to pay for procedures with significant costs not covered by or reimbursable through government or other third-party payors; • enforcement of patent and proprietary rights; • the need for future capital; • all safety requirements and suggestions regarding patient treatment as required or suggested by health care authorities; 79 • clearance or certification by regulatory agencies, including the FDA, or notified bodies for our ALLY System; • supply chain shortages, labor market shifts, tariffs, and price increases resulting from various macroeconomic factors; • competition associated with our products; and • reimbursement practices in jurisdictions where procedures using our Systems are performed, such as South Korea. We cannot provide assurance that we will generate significant revenues or achieve and sustain profitability in the future. In addition, we can provide no assurance that we will have sufficient funding to meet our future capital requirements. Our revenues and operating expenses are also difficult to predict and depend on several factors, including the level of ongoing research and development requirements necessary to further develop and/or obtain further regulatory clearance or certification of our ALLY System, the number of Systems we manufacture, sell, and lease on an annual basis, the availability of capital and direction from regulatory agencies or notified bodies, which are difficult to predict. We may be able to control the timing and level of research and development and selling, general and administrative expenses, but many of these expenditures will occur irrespective of our actions due to contractually committed activities and payments. Global economic uncertainty and other factors, including tariff policies, have impeded global supply chains, resulted in longer lead times and delays in procuring component parts and raw materials, and resulted in inflationary cost increases in certain raw materials, labor and transportation. We expect these inflationary impacts to continue for the foreseeable future. A high rate of inflation in the future, whether due to actual or uncertain impacts from increased tariffs or other trade barriers or other market volatility, may have an adverse effect on our ability to maintain and increase our gross margin or decrease our operating expenses as a percentage of our revenues if our selling prices of our products do not increase as much or more than our increase in costs. As a result of these and other factors, our historical results are not necessarily indicative of future performance, and any interim results we present are not indicative of the results that may be expected for the full fiscal year. Components of Our Results of Operations Revenue Total revenue comprises product revenue, service revenue and lease revenue. We derive product revenue from the sale of our Systems and sales of our PIDs and procedure licenses to our surgeon customers and to our distributors outside the United States. A PID and procedure license, which may also be referred to [Excerpt truncated for page length; the complete text is on the linked full-MD&A page.] Read the full FY 2025 MD&A: /company/LNSR/mda/fy2025/ All MD&A years: /company/LNSR/mda/ ## MD&A history Prior-year 10-K MD&A spans are extracted from SEC filings with the same bounded parser used for the latest filing. Each year's full verbatim text is on its own sub-page. - [FY 2024 MD&A](/company/LNSR/mda/fy2024/): filed 2025-02-27; accession 0000950170-25-029003 (https://www.sec.gov/Archives/edgar/data/1320350/000095017025029003/lnsr-20241231.htm) - [FY 2023 MD&A](/company/LNSR/mda/fy2023/): filed 2024-03-04; accession 0000950170-24-024807 (https://www.sec.gov/Archives/edgar/data/1320350/000095017024024807/lnsr-20231231.htm) - [FY 2022 MD&A](/company/LNSR/mda/fy2022/): filed 2023-03-16; accession 0000950170-23-008513 (https://www.sec.gov/Archives/edgar/data/1320350/000095017023008513/lnsr-20221231.htm) - [FY 2021 MD&A](/company/LNSR/mda/fy2021/): filed 2022-03-03; accession 0001564590-22-008556 (https://www.sec.gov/Archives/edgar/data/1320350/000156459022008556/lnsr-10k_20211231.htm) ## Macro cross-references Indicators mapped to this company's SIC classification (industry 3841 Surgical & Medical Instruments & Apparatus) by grepcent's deterministic macro-sector crosswalk. A navigational mapping, not a statistical or causal claim. - [INDPRO](/indicator/INDPRO/): Industrial Production: Total Index - [TCU](/indicator/TCU/): Capacity Utilization: Total Index - [PPIACO](/indicator/PPIACO/): Producer Price Index by Commodity: All Commodities - [GDPC1](/indicator/GDPC1/): Real Gross Domestic Product - [DGS10](/indicator/DGS10/): Market Yield on U.S. Treasury Securities at 10-Year Constant Maturity - [FEDFUNDS](/indicator/FEDFUNDS/): Federal Funds Effective Rate - [CES0500000003](/indicator/CES0500000003/): Average Hourly Earnings of All Employees, Total Private - [PAYEMS](/indicator/PAYEMS/): All Employees, Total Nonfarm Macro-to-micro threads including this sector: [Inflation (CPI / PCE / PPI)](/thread/inflation-cpi-pce-ppi/), [US labor market](/thread/us-labor-market/), [Growth & output](/thread/growth-output/), [Money & trade](/thread/money-trade/), [Government finances](/thread/government-finances/), [Sector employment](/thread/sector-employment/), [Industrial orders & inventories](/thread/industrial-orders/), [Trade & external](/thread/trade-external/). All macro indicators: /indicators/ ## For LLMs & downloads Markdown twin: /company/LNSR.md · JSON record: /company/LNSR.json · verified financials: /company/LNSR/financials.json / /company/LNSR/financials.csv · machine TOC for the whole site: /llms.txt