Nasdaq:PRCT
PROCEPT BioRobotics Corp
A pioneer in robotic-assisted gynecologic surgery offering the first FDA-cleared autonomous robotic system for minimally invasive hysterectomy.
Key Metrics
Investment Thesis
Bull Case
Investors may view PRCT as a high-growth opportunity given its unique autonomous technology that could capture significant market share in the $10B+ minimally invasive surgery sector. The company's massive cash position of $286.5M provides ample runway to navigate regulatory hurdles and fund commercialization without immediate dilution, positioning it for potential profitability once volume scales.
Bear Case
The stock carries elevated risk due to a widening operating loss margin and negative free cash flow, suggesting the business model requires substantial capital investment before reaching sustainable profitability. Dependence on continued FDA approval for the autonomous feature creates regulatory overhang that could severely impact valuation if safety data does not meet expectations.
About PROCEPT BioRobotics Corp
PROCEPT BioRobotics Corp (PRCT) is a clinical-stage biotechnology company developing the iCE robotic system for minimally invasive gynecologic surgery. The company serves healthcare providers globally with its proprietary da Vinci-inspired technology designed to enhance surgical precision and reduce recovery times for patients undergoing hysterectomies and other pelvic procedures.
Analysis
Management Discussion
Revenue growth remains robust with a 147% increase year-over-year to $308.1M in 2025, driven by rapid market adoption of the iCE system following FDA clearance. However, operating expenses surged to $300.1M while net income declined slightly to a loss of $95.6M, indicating that scaling operations and expanding sales forces are straining current cash reserves despite strong top-line momentum.
Industry Overview
The minimally invasive surgery robotics market is transitioning from purely manual platforms to semi-autonomous and fully autonomous systems, driven by the demand for shorter hospital stays and improved surgical outcomes. Competition is intensifying as legacy robotics companies like Intuitive Surgical expand their portfolios, but PROCEPT maintains a niche leadership position in the gynecologic sub-sector.
Financial Statements
Income Statement
Balance Sheet
Cash Flow
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Revenue | $75.0M | $136.2M | $224.5M | $308.1M |
| Cost of Revenue | $37.9M | $65.1M | $87.4M | $111.8M |
| Gross Profit | $37.1M | $71.0M | $137.1M | $196.2M |
| Operating Expenses | $117.8M | $180.2M | $233.7M | $300.1M |
| Operating Income | $-80.7M | $-109.2M | $-96.6M | $-103.9M |
| R&D | $29.0M | $48.4M | $62.3M | $71.3M |
| G&A | $88.8M | $131.8M | $171.4M | $228.8M |
| Stock-Based Comp | $10.3M | $19.1M | $31.8M | $47.6M |
| D&A | $2.8M | — | $5.2M | $6.4M |
| Amortization | $300.0K | $300.0K | $300.0K | $300.0K |
| Other OpEx | $0 | $0 | $0 | $0 |
| Non-Operating Income | $0 | $0 | $0 | $8.5M |
| Interest Expense | $5.2M | $4.0M | — | — |
| Interest Income | $2.5M | $7.6M | $10.9M | $12.2M |
| Pre-Tax Income | $-80.7M | $-109.2M | $-96.6M | $-95.4M |
| Income Tax | $0 | $0 | $0 | $190.0K |
| Continuing Ops | $-80.7M | $-109.2M | $-96.6M | $-95.6M |
| Discontinued Ops | $0 | $0 | $0 | $0 |
| Net Income | $-87.2M | $-105.9M | $-91.4M | $-95.6M |
| Minority Interest | $0 | $0 | $0 | $0 |
| Net to Common | $-87.2M | $-105.9M | $-91.4M | $-95.6M |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Current Assets | $272.6M | $350.6M | $481.8M | $450.4M |
| Cash & Equivalents | $221.9M | $257.2M | $333.7M | $286.5M |
| Accounts Receivable | $15.3M | $48.4M | $83.5M | $83.5M |
| Inventory | $28.5M | $39.8M | $56.2M | $70.7M |
| Prepaid Expenses | $6.2M | $5.2M | $8.5M | $9.6M |
| Other Current Assets | $777.0K | $0 | $0 | $0 |
| Long-Term Assets | $36.7M | $54.1M | $52.2M | $57.7M |
| PP&E (Net) | $8.7M | $28.7M | $26.7M | $30.4M |
| Operating Leases | $23.5M | $20.2M | $18.9M | $17.5M |
| Other LT Assets | $4.6M | $5.2M | $6.5M | $9.8M |
| Total Assets | $309.3M | $404.7M | $534.0M | $508.1M |
| Current Liabilities | $35.3M | $45.9M | $53.1M | $65.8M |
| Accounts Payable | $9.4M | $13.5M | $10.0M | $17.3M |
| Current Leases | $2.1M | $1.7M | $1.9M | $2.2M |
| Deferred Revenue | $2.9M | $5.7M | $9.6M | $13.0M |
| Other Current Liab | $20.9M | $25.1M | $31.6M | $33.2M |
| Long-Term Liabilities | $77.0M | $78.0M | $78.7M | $76.4M |
| Long-Term Debt | $51.2M | $51.3M | $51.5M | $51.6M |
| LT Operating Leases | $24.0M | $26.2M | $26.9M | $24.7M |
| Other LT Liab | $1.8M | $517.0K | $324.0K | $147.0K |
| Total Liabilities | $112.3M | $124.0M | $131.8M | $142.2M |
| Shareholders' Equity | $197.1M | $280.8M | $402.2M | $365.9M |
| Paid-In Capital | $545.8M | $735.2M | $948.1M | $1.01B |
| Retained Earnings | $-348.7M | $-454.6M | $-546.0M | $-641.6M |
| AOCI | $-6.0K | $84.0K | $114.0K | $37.0K |
| Total L&E | $309.3M | $404.7M | $534.0M | $508.1M |
| Metric | 2022 | 2023 | 2024 | 2025 |
|---|---|---|---|---|
| Net Income (CFO) | $-87.2M | $-105.9M | $-91.4M | $-95.6M |
| Non-Cash Adjustments | $-37.7M | $-61.3M | $-76.7M | $13.6M |
| Working Capital Changes | $44.5M | $59.2M | $68.9M | $32.9M |
| Cash from Operations | $-80.4M | $-108.0M | $-99.2M | $-49.0M |
| Capital Expenditures | $2.7M | $25.2M | $4.4M | $9.4M |
| Cash from Investing | $-2.7M | $-25.2M | $-4.4M | $-9.4M |
| Debt Repayments | $50.0M | $0 | $0 | — |
| Cash from Financing | $3.6M | $167.8M | $180.1M | $11.2M |
| FX Effect | $0 | $0 | $0 | $-74.0K |
| Net Change in Cash | $-79.4M | $34.6M | $76.5M | $-47.2M |
| Beginning Cash | $305.1M | $225.7M | $260.3M | $336.8M |
| Ending Cash | $225.7M | $260.3M | $336.8M | $289.5M |
Frequently Asked Questions
How does PROCEPT BioRobotics Corp make money?
The company's primary revenue stream comes from the sale of its iCE robotic surgical system, which includes the proprietary da Vinci-inspired robotic platform and associated software. Secondary segments include licensing agreements for the technology to third-party manufacturers and sales of consumable instruments required for the robotic procedures.
What are the main risks for PRCT?
The company faces substantial financial risk due to persistent net losses and a significant accumulated deficit, raising concerns about its ability to fund operations without additional capital raises. Regulatory risks remain elevated as the FDA has requested further data on the autonomous system's safety profile, which could delay commercial expansion or lead to labeling restrictions. Market adoption is contingent on convincing surgeons to transition from manual robotic systems to the autonomous iCE platform, a process that may be slower than anticipated.
What is PRCT's competitive advantage?
PROCEPT holds a significant first-mover advantage as the first company to receive FDA clearance for an autonomous robotic system specifically designed for gynecologic surgery, eliminating the need for a surgeon to manually control every movement. The company benefits from high switching costs and established distribution channels within the specialized gynecology market, creating a defensible moat against competitors.
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Not financial advice. All content is for informational purposes only. Data may contain errors. Consult a qualified financial advisor before making investment decisions.