BBNX

Beta Bionics is a textbook early-commercialization medtech story. Since the iLet won FDA clearance for T1D in May 2023, revenue has scaled from $12.0M (FY2023) to $65.1M (FY2024) to $100M (FY2025, +53.9% YoY), and gross margin is healthy and expanding (55.4%, gross profit +54.8%). That combination — durable double-digit-plus top-line growth on a >50% gross margin — is exactly what you want to see from a device franchise still adding new patients. The MD&A confirms the razor/blade economics: recurring single-use cartridges and infusion sets attach to each pump, and PBP-channel users are 'expected to start generating cumulative positive gross margin beyond the third month,' so today's negative initial per-unit margin should improve as the installed base ages.

The balance sheet is the second reason this isn't a 'sell/avoid' despite red ink. A recent capital raise lifted stockholders' equity +217% to $288M and total assets +120% to $329M, with current assets of $268M against just $30.9M of current liabilities and $41.1M total liabilities (0.14x liabilities/equity). Even though headline cash is only $31.6M, the large current-asset balance (short-term investments) funds an operating burn of ~$50.9M/year for several years — no near-term financing gun to the head.