SofWave Medical (SOFW) Q3 2025 earnings summary

Executive summary

• Q3 2025 revenue reached $21.1 million, a 56% year-over-year increase, with $8.3 million from recurring sources, up 55% year-over-year and representing 40% of total revenue.

• Gross margin was 73.7% in Q3 and 75.1% for the first nine months; IFRS net income was $1 million for Q3 and $1.4 million year-to-date.

• Over 667,000 treatments performed since commercialization, reflecting strong global execution and brand momentum.

• First nine months revenue totaled $58.7 million, up 42% year-over-year.

• IFRS net income for the first nine months was $1.4 million, compared to a net loss of $3.8 million in the prior year period.

Financial highlights

• Q3 2025 gross profit was $15.5 million, up 53% year-over-year.

• IFRS operating income for Q3 was $1.5 million; non-IFRS was $1.9 million.

• Ended Q3 with $26.5 million in cash and cash equivalents as of September 30, 2025.

• Positive cash flow of $2.5 million in Q3, compared to $0.2 million in the prior year period.

• Recurring revenue accounted for over 40% of total revenue.

Outlook and guidance

• Expects to achieve net profitability in 2025.

• Anticipates improved consumer spending as interest rates decline, potentially increasing access to capital.

• Expects continued growth driven by GLP-1 agonist adoption, expanding product indications, and demand for energy-based volumization treatments.

• Sees increased competition in the tightening segment but remains confident due to superior technology.