RxSight, Inc. (RXST): Business Model Canvas [Dec-2025 Updated]

You're digging into a medical device company that's built its financial story around a classic razor-and-blade setup, but with a high-tech twist: the Light Adjustable Lens system. Honestly, when you see that the consumable Light Adjustable Lenses (LALs) made up 85% of their Q3 2025 revenue, you know the capital equipment-the Light Delivery Device (LDD)-is just the entry ticket. With an installed base hitting 1,109 LDDs by Q3 2025 and revenue guidance for the full year landing between $125.0 million and $130.0 million, the recurring revenue engine is defintely firing. Let's break down exactly how this model works across all nine blocks of the Business Model Canvas, from their R&D spend to their customer success strategy, so you can see the full picture.

RxSight, Inc. (RXST) - Canvas Business Model: Key Partnerships

You're looking at the backbone of how RxSight, Inc. (RXST) gets its technology into the hands of surgeons and patients as of late 2025. The partnerships here are critical because the Light Adjustable Lens (LAL) requires surgeon buy-in and a functioning ecosystem for both the lens and the Light Delivery Device (LDD).

Strategic clinical partners and Key Opinion Leaders (KOLs) for adoption and data generation

The success of the LAL system hinges on surgeons adopting the adjustability workflow. RxSight, Inc. management explicitly noted plans to deepen engagement with clinical partners to drive further LAL adoption, a strategy highlighted following Q2 2025 performance. The quality of outcomes generated through these partnerships is a key differentiator.

• The LAL technology achieved a 70% 20/20 vision success rate in a market where competitors like Alcon and J&J are present.
• The installed base of LDDs, the capital equipment needed for the partnership model, expanded 34% year-over-year to 1,084 units as of June 30, 2025.
• Procedure volume for the LAL increased 13% compared to the second quarter of 2024, showing traction within the existing partner network.

Here's a quick look at the operational metrics tied to the adoption driven by these clinical relationships through the first half of 2025.

Regulatory and distribution partners for international market entry (e.g., South Korea)

International expansion requires navigating varied regulatory landscapes and establishing local distribution channels. RxSight, Inc. has made concrete moves into key Asian markets.

• RxSight, Inc. began entry into South Korea and Singapore in the second quarter of 2025.
• The South Korea market is noted for its advanced healthcare infrastructure and a private-pay model that favors premium technology.
• The company is laying groundwork for larger Asian markets like Japan and China, though regulatory timelines there are expected to be longer.

The company's cash position supports these expansion efforts; cash, cash equivalents, and short-term investments stood at $227.5 million as of June 30, 2025.

Manufacturing and supply chain partners for LAL and LDD components

RxSight, Inc. is described as a commercial-stage medical device company that engages in the research and development, manufacture, and sale of the LAL. While specific third-party contract manufacturers or component suppliers for the LAL and LDD are not detailed in the latest reports, the efficiency of the supply chain is reflected in the company's improving profitability metrics.

• The revised full-year 2025 gross margin guidance was increased to a range of 72% to 74%.
• This compares to a Q1 2025 gross profit of $28.3 million, or 74.8% of revenue.

The lower cost of sales for both the LDD and LAL in Q1 2025 helped drive the gross profit increase, suggesting effective management of the supply chain costs. If onboarding takes 14+ days, churn risk rises.

RxSight, Inc. (RXST) - Canvas Business Model: Key Activities

You're looking at the core engine driving RxSight, Inc.'s value proposition-the day-to-day execution that turns R&D into revenue. This is where the capital goes and where the operational success is won or lost. Honestly, the numbers from late 2025 show a company in a tough spot with its commercial execution, but with clear operational improvements in gross margin.

Research and development (R&D) for new LAL indications and product enhancements

RxSight, Inc. continues to invest in its pipeline, which is critical for long-term differentiation in the premium IOL space. The commitment to innovation is reflected in the ongoing operating expense structure.

For the third quarter of 2025, Research and Development (R&D) expenses were reported at $9.1 million. This represented a 3% increase year-over-year for that quarter. Management noted ongoing investments to advance its research and development pipeline as a driver for total operating expenses.

Manufacturing and quality control of the LAL and Light Delivery Device (LDD)

The manufacturing and quality control activities are directly reflected in the company's gross margin performance, which has seen a notable improvement despite revenue headwinds. This suggests better cost management or a favorable shift in product mix.

Here's a quick look at the profitability metrics tied to production and sales execution:

The improvement in gross margin as a percent of revenue was primarily driven by the favorable shift in product mix toward Light Adjustable Lens (LAL) sales.

Direct sales and clinical support via the Customer Success Organization

This activity is about getting the Light Delivery Device (LDD) installed and ensuring surgeons use the Light Adjustable Lens (LAL) consistently. In Q3 2025, RxSight, Inc. took a significant step by realigning its U.S. commercial organization, integrating clinical and sales teams to deepen LAL practice integration.

The organization launched new practice development and clinical engagement programs designed to share key learnings from more than 250,000 LAL cases to drive targeted practice engagement.

Key operational results from Q3 2025 highlight the mixed success of this function:

• LALs sold: 26,045 units, generating $25.7 million in revenue.
• LAL revenue was up 6 percent year-over-year in Q3 2025.
• LDD sales: 25 units, generating $3.2 million in revenue.
• LDD revenue decreased 69 percent compared with Q3 2024.
• LDD installed base reached 1,109 units as of September 30, 2025.

The LAL revenue represented 85 percent of total revenue for the third quarter of 2025.

Securing and maintaining global regulatory clearances (e.g., FDA, UK, Asian markets)

Maintaining compliance and expanding market access is a non-negotiable key activity. RxSight, Inc. is leveraging its existing foundation to push into new territories.

The company is building on the foundation established since its initial FDA approval.

For 2025, the focus includes plans to enter key international markets in Asia and Europe. Regulatory bodies like the FDA are expected to release further guidance in 2025, specifically on AI/ML-based Software as a Medical Device (SaMD), which impacts the ongoing management of the system.

The company's focus is on strategically expanding its base of LDDs and implanting surgeons while positioning customers for success.

RxSight, Inc. (RXST) - Canvas Business Model: Key Resources

You're looking at the core assets RxSight, Inc. (RXST) relies on to run this business, the stuff that can't easily be replicated. Honestly, for a medical device company, this is where the real value is locked up-the IP and the physical footprint in the field.

Here's the quick math on the tangible assets and the installed base as of the middle and end of 2025. The cash position gives you a runway, but the LDD count shows where the technology is actually deployed and ready for use.

That installed base of 1,109 LDDs as of September 30, 2025, represents a 25% expansion year-over-year, which is a solid indicator of market penetration, even if LDD sales slowed down recently. The fact that cash was flat between June 30 and September 30, 2025, at $227.5 million, is something to watch, but it's a substantial cushion.

The intellectual property is definitely the moat here. RxSight, Inc. has built its entire value proposition around the Light Adjustable Lens (LAL) system, which is protected by a portfolio of patents. You've got to keep an eye on those expiration dates; some principal technologies were noted to begin expiring in 2025, continuing until 2043, with specific LAL-related patents noted to expire in 2026 and continue until 2033. Still, the company's know-how and brand reputation act as substantial barriers to entry.

The human capital and the depth of experience are also critical resources in this specialized field. You're dealing with highly trained ophthalmologists, and the company's ability to engage them is key. Here are some figures related to the user base and R&D investment:

• More than 2,000 ophthalmologists have implanted the Light Adjustable Lens as of late 2025.
• The implanted surgeon base represents roughly 1/5 of the estimated total number of U.S. cataract surgeons.
• The company reported Q3 2025 R&D expenses of $9.1 million.
• Specific patents protecting the LAL and LDD system include US Patent No. 6,851,804 and US Patent No. 10,874,505, among others.

The technology itself is protected by specific grants and applications, like the one filed May 30, 2024, concerning LALs that suppress unintended optical power drift. That's the kind of deep engineering you're paying for.

Finance: draft 13-week cash view by Friday.

RxSight, Inc. (RXST) - Canvas Business Model: Value Propositions

Postoperative vision customization, eliminating high-stakes preoperative guesswork.

Superior visual outcomes; 70% of LAL patients achieved 20/20 vision in trials.

Increased confidence and peace of mind for surgeons and patients.

• 89% of patients believed the RxSight system delivered the highest quality vision in a 2022 customer survey.
• 98% of patients in the 2022 survey would recommend the system.

Expanded premium patient pool and scalable growth for ophthalmic practices.

The installed base of Light Delivery Devices (LDDs) grew to 1,109 units as of September 30, 2025, representing a 25% year-over-year increase. LAL procedures accounted for over 10% of the North American premium IOL market as of early 2025.

LAL revenue represented 80% of total revenue in the second quarter of 2025. The company sold 26,045 LAL lenses in the third quarter of 2025.

RxSight, Inc. (RXST) - Canvas Business Model: Customer Relationships

You're looking at how RxSight, Inc. keeps its clinical partners engaged, which is crucial given the complexity of the Light Adjustable Lens (LAL) system. The relationship isn't just transactional; it's about embedding the technology deeply into the practice workflow.

Dedicated Customer Success Organization for deep practice integration and support.

RxSight, Inc. has explicitly stated a shift in commercial focus toward supporting customer success. Following preliminary Q2 2025 results, CEO Ron Kurtz noted the company was 'evolving our commercial approach to re-direct more of our focus toward supporting customer success within new and existing practices.' This indicates a formal, dedicated structure is central to their strategy. As of October 2025, the company had approximately 379 employees across North America, Asia, and Europe, with a designated Vice President, Customer Success, D. B., leading this effort. This structure is designed to ensure practices fully realize the benefits of adjustability, which in turn drives LAL adoption.

The relationship management is evolving to support the installed base, which is the foundation of their recurring revenue model. Here's a look at the growth in the hardware base that this organization supports:

The focus is on deepening this integration, moving beyond initial sales to sustained utilization.

High-touch clinical education and training for surgeons and staff.

The high-touch nature of the relationship is evident in the company's commitment to sharing best practices. In Q3 2025, RxSight, Inc. launched a new series of practice development and clinical engagement programs. These programs are specifically designed to share key learnings derived from more than 250,000 LAL cases performed to date. This volume of shared experience is a key asset in their educational outreach, helping new and existing customers optimize outcomes. The LDD installed base grew significantly year-over-year, from 810 units at the end of Q2 2024 to 1,084 units by June 30, 2025, meaning a large cohort of practices requires ongoing, high-level support to maximize the value of their capital investment.

Direct, consultative sales approach to drive LAL procedure volume.

The sales engagement is consultative because the LAL system represents a paradigm shift from traditional fixed-power IOLs. The direct sales force engages ophthalmology practices to educate surgeons on the technology and offer in-depth support. This consultative approach is necessary to drive the volume of the consumable component-the LALs. For instance, in Q3 2025, the company sold 26,045 LAL lenses. Historically, insights suggest this consultative approach is effective because 74% of surveyed practices anticipated growing LAL procedure volumes, and 40% of LAL patients would have otherwise opted for a non-premium monofocal IOL, showing the value proposition is successfully communicated through direct engagement.

• Focus on surgeons handling 70%-80% of all premium IOL procedures in the U.S. (as of early 2024 context).
• The LDD sales volume saw a sharp decline in Q3 2025, with only 25 units sold, emphasizing the need for the sales team to pivot to driving procedure adoption (LAL sales) over capital equipment placement.
• The company's cash position as of September 30, 2025, stood at $227.5 million, providing the financial runway to support this high-touch, direct commercial model.

RxSight, Inc. (RXST) - Canvas Business Model: Channels

You're looking at how RxSight, Inc. gets its Light Adjustable Lens (LAL) system and services to the ophthalmologists and patients who need them as of late 2025. It's a mix of direct effort in the U.S. and groundwork for going global.

The primary channel in the United States relies on a direct commercial organization. RxSight realigned its U.S. commercial organization during the third quarter of 2025, integrating clinical and sales teams to deepen LAL practice integration and help resume growth in LAL procedures. This direct sales force targets key cataract surgeons.

The reach of this direct channel can be quantified by the installed base of the Light Delivery Devices (LDDs), which are necessary for the adjustment procedure. As of September 30, 2025, the LDD installed base totaled 1,109 units. This infrastructure supports the surgeons who are actively using the technology.

Here's a quick look at the scale of the installed base and surgeon engagement as of the third quarter of 2025:

• LDD Installed Base reached 1,109 units as of September 30, 2025.
• More than 2,000 ophthalmologists have implanted the Light Adjustable Lens.
• The number of implanting surgeons represents roughly 1/5 of the estimated total U.S. cataract surgeons.
• LAL revenue for Q3 2025 was $25.7 million.
• LDD sales generated $3.2 million in revenue in Q3 2025.

For international expansion, RxSight is using a direct approach led by a newly added Executive Vice President of International. The focus isn't on widespread distribution yet; instead, it's on regulatory groundwork for expansion in Asia and Europe. The company is positioning itself for future direct sales and distribution networks in those regions.

The company uses major industry events to maintain brand visibility and drive surgeon engagement. Enthusiasm was noted at the AAO and ESCRS, which are the two largest ophthalmic conferences in the U.S. and Europe, respectively. These venues help the commercial team deepen customer relationships and share key learnings from the growing number of LAL cases.

To map out the channel performance and reach as of late 2025, look at this breakdown:

The company also launched new practice development programs like 'MasterClass' and 'Elevate' to optimize LAL workflow and boost clinical confidence among existing users, which is a key channel support function.

Finance: draft 13-week cash view by Friday.

RxSight, Inc. (RXST) - Canvas Business Model: Customer Segments

You're looking at the core audience for RxSight, Inc. (RXST) as of late 2025. Honestly, this business model hinges on convincing a specific, high-value group of surgeons that their premium lens technology is worth the investment and workflow change. It's not about everyone; it's about the leaders.

The primary customer segments RxSight, Inc. (RXST) targets are clearly defined:

• High-volume premium Intraocular Lens (IOL) cataract surgeons and clinics.
• Patients seeking the best possible, customized vision correction after cataract surgery.
• Early adopter ophthalmic practices in new international markets.

Let's break down the numbers associated with these groups based on the latest data from Q3 2025.

High-Volume Premium IOL Cataract Surgeons and Clinics

The immediate target is the established, high-volume surgeon base in the U.S. The company is focused on expanding its footprint within this group. As of the third quarter of 2025, more than 2,000 ophthalmologists had implanted the Light Adjustable Lens (LAL). This represents roughly 1/5 of the estimated total number of U.S. cataract surgeons the company sees as an opportunity, which they estimate to be between 9,000 to 10,000 total U.S. cataract surgeons. The installed base of the Light Delivery Device (LDD) reached 1,109 units by the end of Q3 2025, reflecting a 25% year-over-year expansion in the capital equipment footprint. This installed base is key because it drives the recurring revenue from the LAL procedures.

Here's a quick look at the installed base and surgeon reach as of late 2025:

Patients Seeking Customized Vision Correction

The patient segment is the ultimate end-user, and they are attracted by the promise of superior, customizable outcomes that traditional fixed IOLs cannot offer. This is especially true for patients with complex needs. For instance, patients who have had prior corneal refractive procedures, like LASIK, represent a significant niche where the technology offers distinct advantages. These patients are estimated to comprise 'somewhere between 10% and 20% of the patient population' in ongoing studies. The confidence level among adopting surgeons is high; in practices where the LAL is already the standard premium option, upwards of 80% of those surgeons stated they would choose the LAL for their own family members. The key metric for RxSight, Inc. (RXST) success is the number of LAL procedures performed, which was $25.7 million in LAL revenue for Q3 2025 alone.

Early Adopter Ophthalmic Practices in New International Markets

RxSight, Inc. (RXST) is actively laying groundwork for global growth, targeting markets where private-pay, tech-forward customers are likely to embrace new technology first. Regulatory access has been secured in Europe and some Asian markets, with specific mention of expansion efforts in South Korea and Singapore. While international revenue contribution is still modest, the installed base growth in these regions shows momentum. For example, the overall installed LDD base grew 34% year-over-year as of Q2 2025, with international deployments contributing to that expansion. The company appointed an Executive Vice President of International to spearhead these efforts, signaling a serious commitment to scaling beyond the U.S. footprint.

The focus here is on building the infrastructure for future volume.

RxSight, Inc. (RXST) - Canvas Business Model: Cost Structure

You're looking at the core costs RxSight, Inc. is managing as they push to scale the Light Adjustable Lens (LAL) system. Honestly, for a company with a high-value, specialized medical device, the cost structure is heavily weighted toward getting the technology into the hands of surgeons and continuing to innovate. It's a classic high-growth, high-investment profile right now.

The primary cost drivers are clearly in the operating expenses (OpEx), which cover the commercial engine-sales, marketing, and the crucial research and development (R&D) work. Management has set a clear boundary for these expenditures for the full year 2025.

The Cost of Goods Sold (COGS) is relatively lean, which is what allows for that high gross margin. This margin, guided between 76% and 77% for the full year 2025, reflects the favorable product mix shift toward the higher-margin Light Adjustable Lenses (LALs) over the Light Delivery Devices (LDDs), which are capital equipment sales.

The commitment to R&D is significant; you see this reflected in the overall OpEx. For example, looking at the third quarter of 2025, R&D spending alone was reported at $9.06 million (or $9,060 thousand). This spending is necessary to advance the pipeline and secure further regulatory advantages, like the recent FDA approval for expanded LAL dioptric power.

You have to account for the non-cash component of compensation, too. The projection for non-cash stock-based compensation expense for 2025 is set between $30 million and $32 million. This is a real cost to equity holders, even if it doesn't hit the cash flow statement directly.

Here's a quick breakdown of where the OpEx is going, based on the latest reported quarter:

• Selling, General and Administrative (SG&A) for Q3 2025 was $27.345 million.
• Research and Development (R&D) for Q3 2025 was $9.060 million.
• Total Q3 2025 Operating Expenses were $36.4 million.

The company is managing OpEx tightly, having revised the full-year guidance to the lower end of the previous range, while simultaneously raising the gross margin expectation. Finance: draft 13-week cash view by Friday.

RxSight, Inc. (RXST) - Canvas Business Model: Revenue Streams

You're looking at the core of how RxSight, Inc. (RXST) brings in cash, which really boils down to a classic razor-and-blades model, though the razor sales have been a bit bumpy lately. The business has two primary ways money comes in: the consumable lenses and the capital equipment needed to implant them.

The consumable revenue stream, which is the 'blade' of the model, comes from the sale of the Light Adjustable Lenses (LALs). This is where the real, recurring value is built. To give you a concrete look at the latest numbers, let's break down the third quarter of 2025 performance.

That table shows you the split. The LAL revenue is clearly the engine, and its recurring nature is what the company is banking on for stability. The capital equipment sales from the Light Delivery Device (LDD), which acts as the 'razor,' are less frequent but necessary to get the LAL stream flowing.

Here's what that Q3 2025 data tells us about the revenue mix:

• LAL revenue represented 85% of total revenue in Q3 2025, showing the defintely recurring nature of the business.
• The LDD installed base grew to 1,109 units as of September 30, 2025, supporting future LAL procedures.
• LDD unit sales were only 25 units in the quarter, a significant drop compared to the 73 units sold in the first quarter of 2025.
• LAL procedure volume was up 6% year-over-year in Q3 2025, even as total revenue was down 14% versus Q3 2024.

Looking ahead, the company has adjusted its expectations for the full year. RxSight, Inc. (RXST) narrowed its full-year 2025 revenue guidance to a range of $125.0 million to $130.0 million. Finance: draft 13-week cash view by Friday.