Apyx Medical (APYX) Q4 2024 earnings summary

Executive summary

• Q4 2024 revenue was $14.2 million, down 3% year-over-year; advanced energy segment revenue was flat at $12.1 million, while OEM segment sales declined 16%.

• Domestic revenue increased 1% to $10.6 million, while international revenue decreased 8% to $3.7 million year-over-year.

• Gross profit margin improved to 63.0% from 60.9% year-over-year, driven by favorable product and geographic mix.

• Operating expenses fell to $12 million from $14.7 million, reflecting cost-saving initiatives.

• Net loss narrowed to $4.6 million ($0.12/share) from $9.6 million ($0.28/share) year-over-year; adjusted EBITDA loss decreased 53% to $2.2 million.

Financial highlights

• Gross profit for Q4 2024 was $9 million, up from $8.9 million in Q4 2023.

• Loss from operations decreased 47% to $3 million.

• Cash used in operating activities increased to $2.9 million in Q4 2024 from $2.2 million in Q4 2023.

• Cash and equivalents at year-end were $31.7 million, down from $43.7 million a year earlier.

• Full-year 2024 revenue declined 8% to $48.1 million; Advanced Energy sales down 11%, OEM up 6%.

Outlook and guidance

• 2025 revenue guidance is $47.6–$49.0 million, compared to $48.1 million in 2024.

• Advanced energy revenue expected at $39.6–$41.0 million (up from $38.6 million); OEM revenue expected at ~$8 million (down from $9.5 million).

• Gross margin projected at ~60% for 2025; operating expenses not to exceed $40 million.

• Launch of Aion/AYON system anticipated in H2 2025, with minimal revenue contribution expected in the first year.