Investment Thesis
Allurion Technologies exhibits severe financial distress with negative stockholders' equity of -$82.9M, indicating the company is technically insolvent. The company is burning cash at an unsustainable rate (-$24.2M free cash flow) while generating only $11.6M in revenue, demonstrating a fundamental mismatch between operations and business model viability. Without immediate operational profitability or significant capital injection, the company faces existential liquidity challenges.
ALUR Strengths
- Strong gross margin of 68.5% indicates the core product has inherent profitability potential
- Adequate current ratio of 1.26x provides near-term liquidity buffer
- Operating in specialized medical device sector with addressable market opportunity
ALUR Risks
- Negative stockholders' equity of -$82.9M represents technical insolvency and equity wipeout risk
- Operating cash burn of -$23.6M annually with only $6.1M cash on hand creates acute solvency risk
- Operating margin of -205.4% and net margin of -195.6% indicate business model cannot support current cost structure; revenue would need to triple just to approach breakeven
- Long-term debt of $47.2M against negative equity and negative cash flow creates refinancing risk
- No insider purchases in last 90 days despite distressed valuation suggests lack of management confidence
Key Metrics to Watch
- Quarterly revenue growth rate and path to $50M+ annual revenue needed for viability
- Monthly cash burn rate and runway to profitability or capital raise deadline
- Gross margin sustainability and operating expense reduction progress toward 50%+ net margins
ALUR Financial Metrics
ALUR Profitability Ratios
ALUR Balance Sheet & Liquidity
ALUR 5-Year Financial Trend
5-Year Trend Summary: ALLURION TECHNOLOGIES, INC.'s revenue has declined by 17% over the 5-year period, indicating business contraction. The most recent EPS of $-57.83 indicates the company is currently unprofitable.
ALUR Growth Metrics (YoY)
ALUR Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $2.7M | -$1.5M | $-1.53 |
| Q2 2025 | $3.4M | -$1.5M | $-1.28 |
| Q1 2025 | $5.6M | $5.6M | $0.20 |
| Q3 2024 | $5.4M | -$2.2M | $-0.10 |
| Q2 2024 | $11.8M | -$2.2M | $-0.05 |
| Q1 2024 | $9.4M | $5.6M | $0.11 |
| Q3 2023 | $16.1M | -$5.4M | $-0.53 |
| Q2 2023 | $13.0M | -$5.4M | $-0.82 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
ALUR Capital Allocation
ALUR SEC Filings
Access official SEC EDGAR filings for ALLURION TECHNOLOGIES, INC. (CIK: 0001964979)