Back to top

Image: Bigstock

BFLY's Q3 Earnings Miss Estimates, Revenues Surpass, Stock Climbs

Read MoreHide Full Article

Key Takeaways

  • Butterfly Network posted a wider Q3 loss of $0.13 per share, missing the consensus estimate.
  • BFLY's revenues rose 4.5% year over year to $21.5 million, surpassing expectations by 2.4%.
  • Butterfly Network's new AI innovations, FDA submissions, and chip development supported investor confidence.

Butterfly Network, Inc. (BFLY - Free Report) posted third-quarter 2025 loss of 13 cents per share, wider than the Zacks Consensus Estimate of a loss of 7 cents. The company had incurred a loss of 8 cents per share in the year-ago period.

Revenues in the third quarter totaled $21.5 million, up 4.5% year over year. The reported figure topped the Zacks Consensus Estimate by 2.4%.

International revenues increased 4% year over year to $5.4 million, driven by the higher price point of the iQ3 probe, which launched internationally during the third quarter of 2024.

Following the earnings announcement, shares of BFLY climbed 5.1% in pre-market trading today.

BFLY’s Q3 Margin Performance

In the third quarter, the company’s gross loss totaled $3.8 million compared to gross profit of $12.2 million in the year-ago period. This was mainly due to a 203.2% increase in the cost of revenues.

Butterfly Network, Inc. Price, Consensus and EPS Surprise

Butterfly Network, Inc. Price, Consensus and EPS Surprise

Butterfly Network, Inc. price-consensus-eps-surprise-chart | Butterfly Network, Inc. Quote

Selling and marketing expenses rose 10.6% year over year to $10.6 million, while research and development expenses decreased 1.6% to $8.7 million. General and administration expenses dropped 0.7% to $9 million. The operating loss in the quarter was $32.3 million compared with $15.6 million loss in the 2024 comparable period. 

BFLY’s 2025 Guidance

For 2025, the company continues to expect revenues to be in the range of $91-$95 million, reflecting approximately 13% growth. The Zacks Consensus Estimate is currently pegged at $91 million.

However, adjusted EBITDA loss is now expected to be between $32 million and $35 million (earlier $32-$37 million).

Our View on BFLY Stock

Butterfly Network closed the third quarter of 2025 with a wider-than-expected loss, while revenues topped estimates.  Even in a seasonally softer period, the company delivered growth over last year’s record third-quarter growth, while continuing to lower cash usage. Recent key highlights include the launch of a first-of-its-kind AI-powered Gestational Age Calculator in Malawi and Uganda, developed by the University of North Carolina with support from the Gates Foundation. The tool has been submitted to the FDA and is currently pending review.

In addition, HeartFocus by DESKi became the first FDA-cleared third-party app to launch on Butterfly Garden – enabling AI-guided echo exams in the hands of any Butterfly user. The company also completed the development of the P5.1 chip and initiated sixth-generation Apollo AI chip development, designed for powerful edge AI capabilities and future platform scalability.

BFLY’s Zacks Rank and Key Picks

Butterfly Network currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the broader medical space are Medpace Holdings (MEDP - Free Report) , Intuitive Surgical (ISRG - Free Report) and Boston Scientific (BSX - Free Report) .

Medpace, currently sporting a Zacks Rank #1 (Strong Buy), reported a third-quarter 2025 EPS of $3.86, which surpassed the Zacks Consensus Estimate by 10.29%. Revenues of $659.9 million beat the Zacks Consensus Estimate by 3.04%. You can see the complete list of today’s Zacks #1 Rank stocks here.

MEDP has an estimated earnings growth rate of 17.1% for 2025 compared with the industry’s 16.6% growth. The company surpassed earnings estimates in each of the trailing four quarters, the average surprise being 14.28%.

Intuitive Surgical, carrying a Zacks Rank #2 (Buy) at present, posted a third-quarter 2025 adjusted EPS of $2.40, exceeding the Zacks Consensus Estimate by 20.6%. Revenues of $2.51 billion topped the Zacks Consensus Estimate by 3.9%.

ISRG has an estimated long-term earnings growth rate of 15.7% compared with the industry’s 11.9% growth. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 16.34%.

Boston Scientific, currently carrying a Zacks Rank #2, reported a third-quarter 2025 adjusted EPS of 75 cents, which surpassed the Zacks Consensus Estimate by 5.6%. Revenues of $5.07 billion topped the Zacks Consensus Estimate by 1.9%.

BSX has an estimated long-term earnings growth rate of 16.4% compared with the industry’s 13.5% growth. The company’s earnings beat estimates in each of the trailing four quarters, the average surprise being 7.36%.

Published in