Diabetes management solutions provider, Beta Bionics Inc. (NASDAQ:BBNX), on Thursday reported preliminary fourth-quarter 2025 results showing strong revenue growth, driven by rapid expansion in its Pharmacy Benefit Plan channel and a growing installed user base for its diabetes management technology.
The company said net sales for the quarter are expected to reach at least $32 million, versus the consensus of $28.19 million, representing a year-over-year increase of at least 56%.
Sales through the Durable Medical Equipment (DME) channel are expected to total at least $22.3 million, up at least 23%. Pharmacy Benefit Plan (PBP) channel revenue is expected to reach at least $9.7 million, compared with $2.4 million a year ago.
The company expects the installed base to exceed 35,000 users, more than double the 15,298 reported a year earlier.
New patient starts for the quarter are projected to be at least 5,581, up at least 36% from 4,084 in the fourth quarter of 2024.
The company noted that approximately 69% of new users transitioned from multiple daily insulin injections.
In addition, Beta Bionics said a low-30% share of new patient starts were reimbursed through the PBP channel, marking an increase from the prior quarter.
The company also saw rising adoption among people with Type 2 diabetes, who accounted for roughly 25% to 30% of new starts.
In October 2025, during its third quarter earnings release, Beta Bionics raised its fiscal 2025 sales guidance from $88 millio-$93 million to more than $96.5 million compared to the consensus of $91.36 million.
The company estimated 27% to 29% of new patient starts reimbursed through the PBP channel (previously 25% to 28%).
Beta Bionics estimated gross margin of 54% to 55% compared to prior guidance of 52% to 55%.
Analyst Take
Bank of America (BofA) downgraded Beta Bionics from Buy to Neutral, citing the stock is trading at valuation highs vs comps (~6.5x EV/2027 Sales) and the leading indicator is not beating expectations.
BofA noted that new patient starts came in 4% below the consensus of 5,816.
The bar for sustained upside becomes even more paramount without profitability. Analyst Travis Steed lowered the price forecast from $33 to $28.
Analyst Steed on Thursday wrote that with a 1-2% total market share, there should be more momentum in new patient starts.
The market is increasingly competitive, and Beta Bionics is going to have to prove its ability to execute against larger / more scaled competitors.
BofA acknowledges the patch pump expected in 2027 supports the long-term thesis and should be a catalyst for the stock, but the Q4 update makes it more difficult to see as much upside until the patch is available.
BBNX Price Action: Beta Bionics shares were down 31.38% at $21.95 at the time of publication on Friday, according to Benzinga Pro data.
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