Inogen Cuts 2026 Revenue Guidance, Raises Adjusted EBITDA Outlook

Inogen (NASDAQ: INGN ) released second-quarter financial results and hosted an earnings call on Thursday. Read the complete transcript below. This transcript is brought to you APIs. For real-time access to our entire catalog, please visit for a consultation.

1 million, a 3% year-over-year increase, primarily driven by strong international growth and new product contributions. S. S. sales to return to growth as new products gain traction.

International sales grew 15% year over year, marking the tenth consecutive quarter of double-digit growth. 4 million, reflecting a 15% year-over-year increase, while the company ended the quarter with a strong cash position of $107 million and no debt. S. channel mix shifts and international distributor inventory management as challenges.

Strategically, Inogen continues to invest in product innovation, with its Voxi and Aurora products showing positive market reception, and is advancing its digital health capabilities. The company is progressing with regulatory processes in China and expects a significant long-term opportunity in respiratory care there. Management remains optimistic about future growth and profitability, emphasizing strategic investments and new leadership appointments to drive operational execution. Full Transcript OPERATOR Welcome to Inogen's second quarter 2026 earnings conference call.

At this time, all participants are in a listen-only mode. Following management's prepared remarks, we will hold a question and answer session. To ask a question at that time, please press star followed by 1 on your touchtone phone. If anyone has difficulty hearing the conference, please press star, star, and zero for operator assistance.

As a reminder, this conference is being recorded today, August 6, 2026. I'd now like to turn the call over to Lorna Williams, SVP of Investor Relations and Strategic Planning. Lorna Williams, SVP of Investor Relations and Strategic Planning Thank you all for participating in today's call. Joining me are President and CEO Kevin Smith and CFO Jason Richardson.

Earlier today, Inogen released financial results for the second quarter of 2026. The earnings release is available in the Investor Relations section of the company's website along with a supplemental financial package. During today's call, we will discuss non-GAAP financial measures that we believe provide useful information for investors. This information is not intended to be considered in isolation or as a substitute for GAAP financial information.

Reconciliations of these non-GAAP measures to the most directly comparable GAAP measures are included in today's earnings release and supplemental financial package. In addition, our discussion today will include forward-looking statements, including but not limited to expectations on our future financial and operating performance. We make these statements based on current expectations and reasonable assumptions. However, our actual results could differ due to risks and uncertainties.

Please review our Annual Report and other SEC filings for a discussion of risk factors that could cause our actual results to differ materially from any forward-looking statements made today. Forward-looking statements made on today's call speak only as of today and Inogen undertakes no obligation to update or revise these statements except as required by law. The company has not provided a reconciliation of forward-looking adjusted EBITDA to the most directly comparable GAAP measure because certain items that impact net income are uncertain or outside the company's control and cannot be reasonably predicted without unreasonable effort.

With that, I will turn the call over to Inogen's President and CEO, Kevin Smith. Kevin Smith, President, CEO and Director Good afternoon and thank you for joining Our second quarter 2026 conference call, starting with the Q2 results. 1 million, growing 3% year over year due to strong international growth, POC demand, and contribution from our new products including Voxi and Aurora masks. S.

distributors. In addition, we continue investing in product innovation and commercial leadership to expand our presence in the home respiratory care market with a long-term goal of consistently delivering high single-digit revenue growth. S. 3 million in the quarter, as the strong mid single-digit revenue growth in our B2B sales channel was not enough to offset the channel mix challenges in B2C.

Results in B2C reflect a market shift where HMEs are prescribing POCs from day one and, in turn, HMEs are our largest and most strategic funnel. S. segment unit volume was up high single digits, indicating continued strong interest in our products and bolstering our confidence in our strategy. This quarter we also increased our investment in the B2B sales force, and the team is working across the commercial organization to sharpen execution and align priorities.

That investment is already starting to show a return. S. customers moving through the B2B sales channel sequentially over Q1. The cost-of-ownership case we're making to HMEs is compelling: an eight-year useful life against a five-year industry standard, best-in-class serviceability, and a growing body of real-world outcomes data.

In addition to POCs, our two new products, Voxi and Aurora, continue to receive positive feedback from patients, physicians, and caregivers. We are starting to build inroads in these markets and are pleased with the progress to date. I remain excited about our path to growth with our core business as we bring new innovation to market. On rental, as more patients enter the long-term oxygen therapy pathway through HMEs with a POC, the traditional funnel for rental is narrowing.

While this creates a tailwind in our B2B channel, our direct sales channels are feeling pressure. We are managing the rental business with discipline, balancing growth against profitability. At the same time, we remain committed to ensuring every patient who wants an Inogen device can get one. International was again a standout.

3 million grew 15% year over year, a mid-teen digit expansion sustained across geographies and commercial initiatives. We are penetrating in existing countries and expanding further across Eastern Europe and Latin America, while our teams are deepening distributor relationships. Q2 was continued evidence of a repeatable model, and while we do see the timing of select distributor purchases impacting the second half, we expect the trajectory to continue to fuel further growth over the long term. One example of our continued global expansion is the Rove 6 portable oxygen concentrator launch in Canada.

Canada is a large opportunity with roughly 2 million COPD patients. This follows Rove 6's launch in Brazil last quarter, which continues to perform in line with our expectations. These successive launches are the execution of a deliberate international expansion strategy: entering new geographies, building upon established distributor relationships, and extending Inogen's reach to patients who currently have limited access to high-quality portable oxygen therapy. Profitability is an active priority at Inogen, and we are diligently executing toward it.

4 million, reflecting 15% year over year improvement. At the same time, we are conducting a thorough review of our P&L. We have been examining every line of the business with a clear mandate to ensure our cost structure is aligned with our growth priorities and that we are deploying capital to drive growth, expand into large, growing markets, or expand the value proposition of our market-leading products. That work is underway and we will share more as it gains progress.

Our approach to capital allocation also reflects a simple principle: every dollar we spend must contribute to building a stronger company and generating sustainable shareholder returns. In practice, that means investing with conviction where we see clear returns, such as the salesforce expansion, HME channel development, international market entry, and adding higher-growth, margin-accretive products in adjacent markets. 9 million of operating cash flow and ended our second quarter with 107 million in cash, cash equivalents, marketable securities, and restricted cash.

Reflecting our strong capital position and ability to continue investing in innovation and long-term growth, we continue to operate with no debt. Innovation remains central to how we generate long-term value at Inogen, and this quarter we made meaningful progress across our pipeline. Specifically, Voxi expands our core oxygen product portfolio as a high-quality alternative for home oxygen therapy. To date, we've shipped more than 5,000 units, and we continue to receive positive feedback from patients and increased traction with our HME partners.

Beyond the encouraging early commercial performance, Voxi addresses an attractive market opportunity. S. Importantly, stationary concentrators are a foundational part of oxygen therapy, as virtually every patient who uses a POC also has a stationary oxygen concentrator in the home. S.

B2B partners, and capture additional value within our core respiratory care market. At the same time, we are building traction with Aurora CPAP masks, and we are encouraged by the strong early adoption, having more than doubled our customer count sequentially. We continue to expand the Aurora pipeline and convert those opportunities. We expect this momentum to continue.

The clinical evidence confirms what our commercial teams have been hearing. At Sleep 2026 in Baltimore in June, we presented the full results of a 90-day in-home study evaluating experienced CPAP users who are already satisfied with their existing masks. That is a deliberately high bar, as these are not dissatisfied patients looking for an alternative, and yet the data showed that they overwhelmingly preferred Aurora. The reception at Sleep, the conversations that followed, and, most importantly, the growing traction in Aurora reinforced our conviction.

We have a product people want to use and the clinical foundation to prove it. S. B2B sales reps are deepening provider conversations, and we expect Aurora's contribution to gradually increase throughout the rest of the year. S.

2 billion, growing at a high single-digit rate, so every point of market share is roughly 20 million of potential annual revenue for Inogen. We continue to execute the evidence-driven, HME-focused commercial strategy we have already put into motion to make this market meaningful for us. We are also actively building the clinical and commercial foundation to scale Simeox. S.

TAM of approximately 500 million in non—cystic fibrosis bronchiectasis alone, growing at a high single-digit rate. The path to access that vast market is through CMS reimbursement, and our IMPACT 200 trial's enrollment is progressing on track with the goal of providing CMS and payers the clinical and economic rationale to cover this differentiated therapy. In China, we completed enrollment and achieved last patient's last visit in the Simeox study. We expect statistical analysis results later this year.

China represents a significant long-term opportunity in respiratory care, and we are moving methodically through the regulatory pathway to access. While we invest aggressively in new products, we are equally committed to deepening the clinical and scientific foundation of our core oxygen therapy business. I want to highlight our recently published manuscript in the ERS Open Research journal, where we introduced a simple oxygen therapy assessment tool known as the Questionnaire for Oxygen Therapy evaluation, or QWT. S.

and Europe, QWT is a clinical assessment tool designed to improve how patients on long-term oxygen therapy are evaluated and managed. This manuscript demonstrates that Inogen's contribution to respiratory medicine extends beyond our device portfolio. It strengthens our scientific credibility in oxygen therapy, deepens our engagement with key respiratory thought leaders, and advances the standard of patient assessment and management in the global long-term oxygen therapy market. The early response has been striking.

Within days of publication, we received requests for translation into additional languages and interest in further development, validation, and deeper psychometric evaluation. The level of immediate engagement from the global respiratory community speaks to the unmet need this tool addresses. Beyond our current portfolio, we continue to invest in our innovation pipeline, advancing digital health capabilities designed to enhance patient engagement, connectivity, and clinical insights.

I would like to take a moment to welcome Andy Redding, who joined Inogen last month as Chief Operating Officer, a newly created role that reflects the operational scale and executional demands of this next chapter. Andy brings more than 30 years of medtech experience across commercial operations, product development, and healthcare reimbursement. As Chief Commercial Officer of Viant Medical, he led operations across 25 facilities serving hundreds of device companies and delivered exceptional growth over six years.

Prior to Viant, as VP, General Manager of Hillrom Respiratory Health, he held full P&L responsibility and led his team through global salesforce expansion, new product launches, and successful FDA and CMS navigation. We are glad to have him on board. 4 billion. Twelve months ago that number was 400 million, and every investment we have discussed today—in leadership, commercial execution, new products, and clinical evidence—is oriented towards the same outcome: durable top-line growth and a clear, accelerating path to profitability.

We remain committed to at least one new product launch per year, and with that I will turn the call over to Jason to discuss the financial results in more detail. Jason Richardson, Executive Vice President and Chief Financial Officer Thank you, Kevin, and good afternoon, everyone. 1 million, an increase of 3% from the prior-year period, primarily driven by strong international growth, the favorable impact of foreign exchange rates, and new product contributions. For the second quarter, foreign exchange had a positive 240-basis-point impact on total revenue.

S. 3 million, down 2% year over year. This quarter our distributor business benefited from both healthy POC volumes through DMEs and contributions from our new product launches. S.

sales to return to growth as these new products continue to gain traction and B2B customers convert patient new starts to POCs. However, the D2C sales channel will continue to be under pressure from the broader market channel mix dynamics. S. B2B sales channel to be partially offset by continued declines in DTC.

3 million, up 15% year over year. This marks the tenth consecutive quarter of double-digit growth of our international sales. S. 6 million, down 12% year over year, reflecting the continued and structural sales channel mix shift Kevin described.

8% in the prior-year period. 9% in the prior-year period due to cost improvements and lower warranty expenses. , and we are pleased with the second quarter and first half expansion. 2% compared to the prior-year period.

3% versus the prior-year period, as we are investing in clinical evidence generation and new product development that we believe will differentiate Inogen over the long term. S. B2B sales channel were offset by cost reductions. 2 million in the prior-year period.

7 million in the prior-year period.