Butterfly Network, Inc.

Butterfly Network, Inc. is a digital health company focused on transforming medical imaging through its proprietary Ultrasound-on-Chip™ semiconductor technology, programmable cloud software, and artificial intelligence. The company's mission is to democratize healthcare by making high-quality ultrasound imaging affordable, easy-to-use, globally accessible, and intelligently connected for everyone around the world. Headquartered in Burlington, Massachusetts, Butterfly Network aims to address the global lack of access to medical imaging.

Butterfly Network's core offerings include its handheld, single-probe, whole-body ultrasound systems: the Butterfly iQ, iQ+, and the third-generation iQ3, which boasts enhanced processing power and clearer images. These devices are complemented by cloud-connected software solutions like Compass AI™ for ultrasound program management, and specialized products such as Butterfly Move (a POCUS cart) and iQ+ Bladder. The company also fosters a developer ecosystem, Butterfly Garden, and is expanding into home and community care.

In recent news, Joseph DeVivo serves as President, CEO, and Chairman, with Dr. Arun Nagdev appointed Chief Medical Officer – POCUS in April 2026. The company reported strong Q1 2026 financial results, with revenue reaching $26.5 million, a 25% year-over-year increase, and reaffirmed its FY 2026 revenue guidance of $117M–$121M. Butterfly Network also secured FDA clearance for its Gestational Age blind-sweep AI tool in March 2026, further solidifying its position as it evolves from a medical device company to an AI-native imaging and semiconductor-based enterprise.

Latest updates

Butterfly Network Beats Estimates, Eyes Embedded Expansion

Event summary

  • Butterfly Network reported Q1 2026 revenue of $26.5 million, a 25% increase year-over-year.
  • Gross margin improved to 68.9% from 63.0% in the prior year, driven by Embedded licensing revenue.
  • The company received FDA clearance for its Gestational Age AI tool and initiated rollout in the U.S. and global markets.
  • Butterfly reaffirmed full-year 2026 revenue guidance of $117-$121 million and adjusted EBITDA loss of $21-$25 million.

The big picture

Butterfly Network's Q1 results demonstrate a shift towards a platform-based business model, leveraging its core ultrasound technology across point-of-care, home healthcare, and embedded applications. While revenue growth remains strong, the company's profitability is still reliant on Embedded licensing and the successful execution of its expansion initiatives. The company's focus on AI-powered tools and global market penetration positions it within a rapidly evolving medical imaging landscape, but also exposes it to regulatory and competitive pressures.

What we're watching

Embedded Adoption
The success of Butterfly's Embedded strategy hinges on continued partner sign-ups and revenue generation, which currently contributes significantly to margin improvement.
Home Care Traction
The timing and scale of the first commercial agreement in Home & Community Care will be crucial for validating this new growth engine and offsetting operating expenses.
Apollo Platform
The development and eventual commercialization of the Apollo platform will determine Butterfly’s ability to maintain a technological edge and expand into new modalities beyond medical ultrasound.
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