Description

PROCEPT BioRobotics: Initiation of Coverage- Could Hydros Adoption Be the Secret Catalyst Behind Its Surgical Robotics Growth Story?

PROCEPT BioRobotics reported first quarter 2026 total revenue of $83.1 million, reflecting a 20% year-over-year increase driven by procedural volume growth and higher average selling prices across its product portfolio. The company performed approximately 12,200 procedures in the U.S. during the quarter, showing a procedural volume increase of around 30% year-over-year; however, quarter-over-quarter procedure volume was flat due to typical seasonality and organizational realignment effects. The handpiece-to-procedure ratio settled near 95% in Q1, slightly below the targeted 1:1 ratio for the full year, with management affirming confidence in achieving that target despite short-term variances influenced by inventory normalization. The U.S. Hydros system sales totaled 49 units, including two replacement systems marking the early stages of a replacement cycle. Encouragement was expressed regarding the strong market reception to the AQUABEAM replacement program and disciplined pricing, which led to a record-high average selling price (ASP) of approximately $485,000 for systems, a 14% increase from Q4 2025, and $3,500 for handpieces, representing 5% and 10% increases quarter-over-quarter and year-over-year, respectively.