Neuronetics (STIM) Q4 2024 earnings summary

Executive summary

• Achieved Q4 2024 revenue of $22.5 million, up 11% year-over-year, and full-year revenue of $74.9 million, up 5%, driven by the Greenbrook TMS acquisition and expanded clinic network.

• Completed the Greenbrook TMS acquisition, forming a vertically integrated mental health provider with 95 new clinics and expanded service offerings, including SPRAVATO®.

• Treated over 206,000 unique patients and administered 7.4 million treatments, with Greenbrook contributing 53,000 patients and 1.7 million treatments.

• Secured FDA clearance for NeuroStar as the first TMS treatment for adolescents, expanding the addressable market by up to 35%.

• Raised $18.9 million in capital and $10 million in incremental funding to support growth and financial flexibility.

Financial highlights

• Q4 2024 revenue was $22.5 million, up from $20.3 million in Q4 2023; full-year 2024 revenue was $74.9 million, up 5% year-over-year.

• Gross margin declined to 66.2% in Q4 2024 from 77.6% in Q4 2023, mainly due to Greenbrook integration; full-year gross margin was 72.3%.

• Operating expenses rose to $25.8 million in Q4 2024, up 28% year-over-year, and $88.2 million for the full year.

• Net loss widened to $12.1 million ($0.33/share) in Q4 and $43.2 million ($1.37/share) for the year.

• Adjusted EBITDA was $0.1 million in Q4 2024, with full-year Adjusted EBITDA at $(21.4) million.

• Cash and equivalents at year-end were $18.5 million, down from $59.7 million a year earlier.

Outlook and guidance

• Q1 2025 revenue expected at $28–$30 million; full-year 2025 revenue guidance is $145–$155 million, up from pro forma $129.8 million in 2024.

• Full-year 2025 gross margin expected at ~55% due to Greenbrook clinic inclusion; operating expenses guided at $90–$98 million.

• Cash flow breakeven targeted for Q3 2025.