Nephros (NASDAQ:NEPH) Posts Quarterly Earnings Results

Posted by on Aug 8th, 2026

Nephros (NASDAQ:NEPH – Get Free Report) issued its quarterly earnings results on Thursday. The company reported $0.06 earnings per share for the quarter, Zacks reports. Nephros had a return on equity of 11.03% and a net margin of 8.38%.The business had revenue of $6.02 million during the quarter, compared to the consensus estimate of $4.99 million.

Here are the key takeaways from Nephros’ conference call:

  • Record revenue and broad-based growth: Second-quarter revenue reached $6.0 million, up 36% year over year and 15% sequentially. Programmatic product revenue rose 27%, service revenue nearly tripled, and growth was driven largely by increased sales and services within existing customer sites.
  • Profitability improved substantially: Net income increased more than 400% to approximately $1.2 million, while adjusted EBITDA rose 260% to $1.3 million. The company ended the quarter with $4.7 million in cash and no debt.
  • Reported margins benefited from a one-time tariff refund: The 67% quarterly gross margin included approximately $600,000 of tariff refunds, about $500,000 of which related to inventory sold in prior periods. Management expects tariff policy, currency movements, shipping costs, and the growing mix of lower-margin services and commercial products to continue pressuring underlying margins.
  • New products remain an emerging opportunity rather than a current growth driver: PFAS, microplastics, and nanoplastics offerings have not yet gained significant traction and may require additional education, trials, and regulatory momentum. Education initiatives are currently used to drive product adoption and are not being monetized directly.
  • Cash generation weakened: Operating cash flow fell to $681,000 in the second quarter from $994,000 a year earlier, while first-half operations used $990,000 as accounts receivable and inventory increased.

Nephros Stock Up 17.3%

NEPH stock traded up $0.62 during midday trading on Friday, reaching $4.21. The company had a trading volume of 67,358 shares, compared to its average volume of 10,920. The firm has a market capitalization of $45.72 million, a PE ratio of 26.31 and a beta of 1.51. The stock has a 50 day moving average price of $3.48 and a 200 day moving average price of $3.53. Nephros has a fifty-two week low of $2.66 and a fifty-two week high of $6.42.

Analyst Upgrades and Downgrades

Several equities analysts recently issued reports on the company. Weiss Ratings upgraded Nephros from a “hold (c-)” rating to a “hold (c)” rating in a research note on Monday, August 3rd. Zacks Research upgraded shares of Nephros to a “hold” rating in a research note on Monday, July 20th. Finally, Northland Securities started coverage on shares of Nephros in a report on Friday, July 17th. They set a “market perform” rating and a $4.00 target price on the stock. Three investment analysts have rated the stock with a Hold rating, According to data from MarketBeat.com, the stock currently has an average rating of “Hold” and an average price target of $4.00.

Check Out Our Latest Research Report on Nephros

Institutional Trading of Nephros

Several hedge funds have recently made changes to their positions in NEPH. Topline Capital Management LLC boosted its position in Nephros by 13.1% during the 2nd quarter. Topline Capital Management LLC now owns 477,449 shares of the company’s stock valued at $1,953,000 after purchasing an additional 55,360 shares during the period. Renaissance Technologies LLC increased its position in Nephros by 25.8% in the fourth quarter. Renaissance Technologies LLC now owns 103,772 shares of the company’s stock worth $506,000 after buying an additional 21,272 shares during the period. Geode Capital Management LLC increased its position in Nephros by 3.2% in the second quarter. Geode Capital Management LLC now owns 93,187 shares of the company’s stock worth $381,000 after buying an additional 2,898 shares during the period. HighTower Advisors LLC lifted its stake in Nephros by 7.2% in the fourth quarter. HighTower Advisors LLC now owns 59,710 shares of the company’s stock valued at $291,000 after buying an additional 4,000 shares during the last quarter. Finally, Essex Investment Management Co. LLC lifted its stake in Nephros by 57.1% in the fourth quarter. Essex Investment Management Co. LLC now owns 38,984 shares of the company’s stock valued at $190,000 after buying an additional 14,162 shares during the last quarter. Institutional investors own 41.10% of the company’s stock.

Nephros Company Profile

(Get Free Report)

Nephros, Inc is a development-stage company specializing in advanced water filtration and purification technologies for medical, laboratory, industrial and defense applications. The company’s core offering centers on proprietary hollow fiber ultrafilters designed to remove bacteria, viruses, endotoxins and particulates from water streams. These ultrafilters are used in hemodialysis systems to protect patient treatment, in pharmaceutical and laboratory environments to ensure water quality and in critical field-deployable units for military and emergency response.

The company’s product portfolio includes standalone filtration cartridges for point-of-use and point-of-entry installations in dialysis clinics and hospitals, as well as bench-top and portable water purification systems.

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Earnings History for Nephros (NASDAQ:NEPH)

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