Sensus Healthcare (SRTS) Q1 2025 earnings summary

Executive summary

• Q1 2025 revenue was $8.3 million, down from $10.7 million in Q1 2024, mainly due to fewer units sold to a large customer.

• Net loss for Q1 2025 was $2.6 million, or $0.16 per share, compared to net income of $2.3 million, or $0.14 per share, in Q1 2024.

• 21 SRT systems shipped in Q1, bringing the installed base to over 880, with most sales concentrated to a large customer.

• Significant increase in patient treatments under FDA installations, with a 65% sequential rise from Q4 to Q1, supporting recurring revenue growth.

• Strategic investments in sales, marketing, and R&D, including expansion of the FDA program and brand visibility at major industry events.

Financial highlights

• Gross profit was $4.4 million, with a gross margin of 53.0% in Q1 2025, down from 62.6% in Q1 2024.

• Operating expenses rose to $7.0 million, with R&D up 188.9% and selling/marketing up 69.2% year-over-year.

• Adjusted EBITDA was negative $2.5 million, compared to positive $3.0 million a year ago.

• Ended Q1 with $19.1 million in cash, no debt, and $9.9 million in inventory.

• $0.3 million used for share repurchases in Q1 2025.

Outlook and guidance

• Profitability is forecasted for each of the next three quarters and for the full year 2025.

• Q2 revenue anticipated to be higher than Q1, with stronger revenue in the second half as FDA agreements mature.

• G&A expenses projected at $1.8 million per quarter, sales/marketing at $1.3 million, and R&D at $1.5 million for the remainder of 2025.

• Anticipate signing 3-5 additional multi-site FDA customers in 2025.

• Liquidity is considered sufficient for the next 12 months, with access to a $15 million undrawn credit facility.