BrainsWay (BWAY) Q4 2025 earnings summary

Executive summary

• Q4 2025 revenue rose 27% year-over-year to $14.5 million, with full-year revenue also up 27% to $52.2 million, exceeding guidance and reaching record highs.

• Achieved 10 consecutive quarters of profitability, driven by expanding margins, recurring revenue, and multi-year contracts.

• Strategic partnerships, minority investments in five mental health networks, and collaboration with Valor Equity Partners are fueling growth and innovation.

• International expansion and new care settings are targeted for future growth, with a focus on adolescent and accelerated MDD protocols.

• Shipped 95 Deep TMS systems in Q4, bringing the installed base to approximately 1,700 worldwide.

Financial highlights

• Gross profit for Q4 was $11.1 million (76% margin), up from $8.5 million (75%) year-over-year; full-year gross profit reached $39.4 million (75% margin).

• Adjusted EBITDA for Q4 was $2.3 million (up 53% YoY); full-year adjusted EBITDA was $7 million (13% of revenue), up from $4.5 million.

• Net income for Q4 was $2.9 million, up 90% YoY; full-year net income was $7.6 million, up 161% YoY.

• Ended 2025 with $68 million in cash and cash equivalents, and no debt.

• Operating income for Q4 was $1.9 million, up from $0.4 million; full-year operating income was $4.3 million.

Outlook and guidance

• 2026 revenue guidance is $66–68 million, representing 27–30% year-over-year growth.

• Operating income expected at 13–14% of revenue; adjusted EBITDA guidance is $12–14 million, up 86–100% over 2025.

• Recurring revenue expected to increase, driven by multi-year leases and high customer retention (93%).

• Management anticipates continued profitability and positive cash flow.

• Targeted operating expense growth below 15% as revenue expands.