Nexstim (NXTMH) H1 2024 earnings summary

Executive summary

• H1 revenue rose 26.9% YoY to €3.18m; operating loss narrowed to €0.86m from €1.39m.

• Gross margin improved to 81.9% from 79.6%, and operating cash flow turned positive at €0.70m.

• Growth came from Diagnostics and Therapy, with recurring revenue and the installed therapy base expanding.

Financial highlights

• Revenue was €3.18m, up 26.9% YoY; FX-adjusted growth was 27.5%.

• Equipment sales were €1.2m, up 11.4%; recurring revenue was €1.9m, up 39.1%.

• Gross profit reached €2.60m, up 30.6%; EBITDA was -€0.5m versus -€1.1m, and operating expenses rose 3% to €3.84m.

• Net loss narrowed to €0.95m from €1.44m.

Outlook and guidance

• FY2024 guidance expects comparable revenue to grow and the operating result to improve.

• NBS 6 diagnostic-combination system launch on key markets is targeted for H2 2024; development continues.

• 2024 forecasts exclude Magnus Medical royalties; the total value over the royalty period remains uncertain amid discussions.