Stereotaxis (STXS) Q2 2024 earnings summary

Executive summary

• Significant progress on strategic transformation, including product innovation, regulatory milestones for GenesisX and MAGIC, and the acquisition of Access Point Technologies (APT).

• Q2 2024 revenue declined 43% year-over-year to $4.5M, mainly due to delayed system deliveries and capital revenue recognition, but a stronger second half is expected.

• Net loss attributable to common stockholders was $6.2M for Q2 2024, with net loss per share of $(0.07).

• Stereotaxis completed the APT acquisition, issuing 1.49M shares upfront with additional contingent stock payments tied to milestones.

Financial highlights

• Q2 2024 revenue was $4.5M, down from $7.9M in Q2 2023; system revenue was $0.2M, recurring revenue $4.3M.

• Gross margin for Q2 2024 was 74%, up from 53% in Q2 2023.

• Operating loss was $6M; net loss was $5.8M; adjusted operating loss (excl. stock comp) was $3.5M.

• Cash and equivalents at June 30, 2024, were $15.2M, with no debt.

• Negative free cash flow for Q2 2024 was $3.1M.

Outlook and guidance

• Expects >$14M revenue in H2 2024, with full-year revenue approximately equal to prior year; guidance excludes potential contributions from APT, GenesisX, and MAGIC launches.

• Anticipates ending 2024 with ~$13M in cash and no debt, sufficient to fund commercialization and reach profitability without additional financing.

• No plans for shareholder dilution at current valuation.