Apyx Medical (APYX) came out with a quarterly loss of $0.14 per share versus the Zacks Consensus Estimate of a loss of $0.15. This compares to loss of $0.13 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 6.67%. A quarter ago, it was expected that this medical device maker would post a loss of $0.18 per share when it actually produced a loss of $0.19, delivering a surprise of -5.56%.Over the last four quarters, the company has ...

Exhibit 10.2 SECURITIES PURCHASE AGREEMENT This Securities Purchase Agreement (this "Agreement") is dated as of November 7, 2024, between Apyx Medical Corporation, a Delaware corporation (the "Company"), and each purchaser identified on the signature pages hereto (each, including its successors and assigns, a "Purchaser" and collectively the "Purchasers"). WHEREAS, subject to the terms and conditions set forth in this Agreement and pursuant to an effective registration statement under the Securities Act (as ...

CLEARWATER, Fla., Nov. 08, 2024 (GLOBE NEWSWIRE) -- Apyx Medical Corporation (NASDAQ:APYX) (“Apyx Medical” or the “Company”), the manufacturer of a proprietary helium plasma and radiofrequency platform technology marketed and sold as Renuvion®, today announced it has entered into a definitive purchase agreement with Nantahala Capital for the purchase and sale in a registered direct offering of 3,000,000 shares of the Company’s common stock at a purchase price of $1.18 per share and pre-funded warrants to pu ...

Strengthened balance sheet with a common stock registered direct offering with gross proceeds of approximately $7.0 million; and amended revenue covenants for the Company’s credit agreement with PerceptiveAnnounces cost savings restructuring program to better focus, optimize and streamline operations, including a nearly 25% reduction in U.S. workforce Announces 9% overall growth in single-use handpiece revenue and 15% growth in the U.S.Management to host a conference call today at 8:00 a.m. ET CLEARWATER, F ...

Company Overview - Apyx Medical Corporation is an advanced energy technology company focused on innovative products, including its Helium Plasma Platform Technology marketed as Renuvion in the cosmetic surgery market and J-Plasma in the hospital surgical market [2] - The effectiveness of Renuvion and J-Plasma is supported by over 90 clinical documents, showcasing the company's commitment to clinical validation [2] Financial Results Announcement - Apyx Medical will release its financial results for the third quarter of fiscal year 2024 before the market opens on November 8, 2024 [1] - Management will host a conference call at 8:00 a.m. Eastern Time on the same day to discuss the quarterly results and conduct a question-and-answer session [1] - Interested parties can access the call by phone or through a live webcast, which will also be archived for future reference [1]

Apyx Medical (APYX) could be a solid choice for investors given its recent upgrade to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The Zacks rating relies solely on a company's changing earnings picture. It tracks EPS estimates for the current and following years from the sell-side analysts covering the stock through a consensus measure -- the Zacks Consensus Estimate.The power of a changing ear ...

Group 1 - Renuvion has been recognized as the 1 trusted body contouring technology by plastic and cosmetic surgeons in an independent survey conducted by Wakefield Research, highlighting its effectiveness in targeting loose skin [1][3] - The technology is the first and only FDA-cleared device for contracting subcutaneous tissue and is preferred by 4 out of 5 surgeons for use after liposuction, which was the most common cosmetic surgical procedure in 2023 with nearly 2.3 million performed [3] - Apyx Medical has secured four FDA 510(k) clearances in the past two years, demonstrating its commitment to evidence-based outcomes through advanced technology [2] Group 2 - Renuvion has treated over 350,000 patients since its market launch, aiming to improve physical, mental, and emotional well-being [2] - The company emphasizes the importance of trust and results in the plastic surgery industry, supported by over 90 clinical papers and peer-reviewed studies [2] - Apyx Medical Corporation specializes in advanced energy technology, with products marketed as Renuvion in the cosmetic surgery market and J-Plasma in the hospital surgical market, providing controlled heat to tissue for desired surgical outcomes [4]

Financial Data and Key Metrics Changes - Total revenue for Q2 2024 decreased 10% year-over-year to $12.1 million [6] - Gross profit decreased $1.8 million or 19% to $7.5 million, with a gross profit margin of 61.7% compared to 68.4% in the prior period [16] - Net loss attributable to stockholders was $6.6 million or $0.19 per share, compared to $1 million or $0.03 per share in the prior year period [18] - Adjusted EBITDA loss increased $2.7 million or 166% to $4.3 million compared to $1.6 million in Q2 2023 [19] Business Line Data and Key Metrics Changes - Sales of Advanced Energy products decreased 17% year-over-year to $9.8 million, while OEM products increased 29% year-over-year to $2.4 million [6] - Handpiece sales increased by more than 20% year-over-year, helping to mitigate the impact of lower generator sales [7][15] Market Data and Key Metrics Changes - The cosmetic surgery market remains challenging, with prospective customers delaying purchase decisions due to macroeconomic concerns [6][7] - International sales comprised a higher percentage of total sales compared to the prior period, impacting gross margin [16] Company Strategy and Development Direction - The company is focused on raising awareness of Renuvion technology and educating surgeons and patients about its benefits [8][26] - A strategic review of the business is being conducted to enhance growth and unlock shareholder value [26] - The company aims to capitalize on long-term trends such as the increasing acceptance of aesthetic treatments and the rise of body contouring procedures [26][27] Management's Comments on Operating Environment and Future Outlook - Management expects the challenging capital equipment environment to continue impacting sales of generator systems throughout the year [24] - There is an expectation of continued growth in handpiece sales, with low double-digit growth anticipated for the second half of 2024 [24] - The company is managing expenses closely to optimize cash efficiency while preparing for a return to strong growth [26] Other Important Information - The company has launched the "Renewing Lives" campaign, a nationwide giveback program to fund Renuvion procedures for those who cannot afford them [14] Q&A Session Summary Question: What are the primary drivers for handpiece utilization? - Management noted that some growth is attributed to GLP-1 patients needing treatments for loose skin, contributing to strong handpiece sales [30] Question: Are there opportunities to add new geographies this year? - Management confirmed that registrations for South Korea and China are in place, and updates will be provided once news is available [32] Question: How did U.S. versus international handpiece sales perform? - Both U.S. and international handpiece sales were up more than 20% year-over-year, indicating strong performance in both markets [35] Question: What is the outlook for capital equipment sales? - Management indicated that the capital equipment environment remains challenged, and guidance reflects this ongoing difficulty [35] Question: How many system sales were to new customers? - The majority of system sales in the quarter were to new customers adopting the technology [40] Question: Is there an acceleration in utilization with the micro handpiece? - The micro handpiece is contributing to growth, but the primary driver remains the body contouring handpieces [42]

Apyx Medical (APYX) came out with a quarterly loss of $0.19 per share versus the Zacks Consensus Estimate of a loss of $0.18. This compares to loss of $0.11 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of -5.56%. A quarter ago, it was expected that this medical device maker would post a loss of $0.18 per share when it actually produced a loss of $0.22, delivering a surprise of -22.22%.Over the last four quarters, the company h ...

Part I. Financial Information [Item 1. Condensed Consolidated Financial Statements (Unaudited)](index=2&type=section&id=Item%201.%20Condensed%20Consolidated%20Financial%20Statements%20(Unaudited)) Unaudited financial statements for Q2 and H1 2024 reflect decreased revenue, gross profit, and assets, alongside significant net losses and negative operating cash flow [Condensed Consolidated Balance Sheets](index=2&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) Total assets decreased to **$65.4 million** by June 30, 2024, driven by reduced cash, while total equity significantly fell to **$14.9 million** due to accumulated deficit Key Balance Sheet Items (in thousands) | Metric | June 30, 2024 (Unaudited) | December 31, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $32,678 | $43,652 | | Total current assets | $56,671 | $70,362 | | Total assets | $65,394 | $79,240 | | Total current liabilities | $10,639 | $12,740 | | Long-term debt, net | $33,628 | $33,185 | | Total liabilities | $50,470 | $52,318 | | Total equity | $14,924 | $26,922 | [Condensed Consolidated Statements of Operations](index=3&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q2 2024 sales decreased **10.5%** to **$12.1 million**, resulting in a **19.2%** gross profit drop and a significantly higher net loss of **$6.6 million** Q2 2024 vs Q2 2023 Performance (in thousands, except per share data) | Metric | Three Months Ended June 30, 2024 | Three Months Ended June 30, 2023 | | :--- | :--- | :--- | | Sales | $12,149 | $13,569 | | Gross Profit | $7,493 | $9,279 | | Loss from operations | ($5,547) | ($1,235) | | Net loss attributable to stockholders | ($6,556) | ($994) | | Loss per share (Basic and diluted) | ($0.19) | ($0.03) | Six Months 2024 vs 2023 Performance (in thousands, except per share data) | Metric | Six Months Ended June 30, 2024 | Six Months Ended June 30, 2023 | | :--- | :--- | :--- | | Sales | $22,393 | $25,711 | | Gross Profit | $13,442 | $16,852 | | Loss from operations | ($12,162) | ($6,846) | | Net loss attributable to stockholders | ($14,132) | ($4,477) | | Loss per share (Basic and diluted) | ($0.41) | ($0.13) | [Condensed Consolidated Statements of Cash Flows](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) Net cash used in operating activities for H1 2024 increased to **$10.7 million**, leading to an **$11.0 million** decrease in cash and cash equivalents Six-Month Cash Flow Summary (in thousands) | Metric | Six Months Ended June 30, 2024 | Six Months Ended June 30, 2023 | | :--- | :--- | :--- | | Net cash used in operating activities | ($10,670) | ($6,733) | | Net cash (used in) provided by investing activities | ($324) | $7,001 | | Net cash (used in) provided by financing activities | ($10) | $8,158 | | Net change in cash and cash equivalents | ($10,974) | $8,287 | | Cash and cash equivalents, end of period | $32,678 | $18,479 | [Notes to Condensed Consolidated Financial Statements](index=6&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail business operations, accounting policies, debt covenants, and significant litigation contingencies, including segment sales data - The company's business focuses on its Helium Plasma Platform Technology, sold as Renuvion® in the cosmetic surgery market and J-Plasma® in the hospital surgical market, alongside OEM agreements[16](index=16&type=chunk) - The company is in compliance with financial covenants on its Perceptive Credit Agreement, which include minimum trailing twelve-month net revenue targets for its Advanced Energy segment and a minimum cash balance of **$3 million**[28](index=28&type=chunk) - The company is involved in several product liability lawsuits, accruing an estimated loss of **$1.45 million** for one set of cases and **$1.3 million** for another set filed in March 2024, both representing estimated defense costs[44](index=44&type=chunk)[46](index=46&type=chunk) Segment Sales (in thousands) | Segment | Q2 2024 | Q2 2023 | Change | | :--- | :--- | :--- | :--- | | Advanced Energy | $9,766 | $11,722 | (16.7)% | | OEM | $2,383 | $1,847 | 29.0% | | **Total** | **$12,149** | **$13,569** | **(10.5)%** | [Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](index=16&type=section&id=Item%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management attributes the **10.5%** Q2 revenue decrease to lower Advanced Energy sales, partially offset by **29.0%** OEM growth, leading to gross margin decline and higher operating losses [Results of Operations](index=17&type=section&id=Results%20of%20Operations) Q2 2024 total revenue decreased **10.5%** to **$12.1 million**, primarily due to a **16.7%** fall in Advanced Energy sales, while OEM sales grew **29.0%**, resulting in gross margin contraction Sales by Reportable Segment - Q2 (in thousands) | Segment | June 30, 2024 | June 30, 2023 | Change | | :--- | :--- | :--- | :--- | | Advanced Energy | $9,766 | $11,722 | (16.7)% | | OEM | $2,383 | $1,847 | 29.0% | | **Total** | **$12,149** | **$13,569** | **(10.5)%** | - The decrease in Advanced Energy sales was driven by lower generator sales in domestic and some international markets due to economic uncertainty in the aesthetic capital equipment space, partially offset by increased handpiece volume[70](index=70&type=chunk) - Gross margin for Q2 2024 decreased to **61.7%** from **68.4%** in Q2 2023, attributed to changes in sales mix, with the OEM segment and international sales (both typically lower margin) comprising a higher percentage of total sales[74](index=74&type=chunk) - Management believes the increased use of GLP-1 weight-loss drugs may have an initial negative impact on liposuction procedures but will provide a long-term tailwind for Renuvion sales as patients seek solutions for skin laxity resulting from rapid weight loss[64](index=64&type=chunk) [Liquidity and Capital Resources](index=21&type=section&id=Liquidity%20and%20Capital%20Resources) Liquidity weakened with cash and cash equivalents at **$32.7 million** and working capital at **$46.0 million**, reflecting **$10.7 million** net cash used in operations, offset by available credit and ATM facilities Liquidity Snapshot (in millions) | Metric | June 30, 2024 | December 31, 2023 | | :--- | :--- | :--- | | Cash and cash equivalents | $32.7 | $43.7 | | Working capital | $46.0 | $57.6 | - The increase in cash used in operations for the first six months of 2024 was primarily due to payment of accrued bonuses and a higher operating loss driven by lower Advanced Energy sales[90](index=90&type=chunk) - The company has a credit agreement with Perceptive for up to **$45 million**, with an initial loan of **$37.5 million** drawn, and a shelf registration statement is in place, including an unused ATM facility for up to **$40 million**[94](index=94&type=chunk)[95](index=95&type=chunk) [Critical Accounting Estimates](index=22&type=section&id=Critical%20Accounting%20Estimates) Critical accounting estimates include stock-based compensation, accounts receivable and inventory allowances, litigation contingencies, and income taxes, notably the valuation allowance against deferred tax assets - Key critical accounting estimates include: Stock-Based Compensation, Accounts Receivable Allowance, Inventory Obsolescence Allowance, Litigation Contingencies, and Income Taxes[99](index=99&type=chunk) - For litigation, the company accrues a liability when a loss is probable and can be reasonably estimated, recording the minimum of the range if no single amount is a better estimate[105](index=105&type=chunk) - A full valuation allowance is maintained on net deferred tax assets due to historical losses and the expectation of continued losses in the near term[107](index=107&type=chunk) [Item 3. Quantitative and Qualitative Disclosures about Market Risk](index=25&type=section&id=Item%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) This item is not applicable for the company - The company has indicated that quantitative and qualitative disclosures about market risk are not applicable[113](index=113&type=chunk) [Item 4. Controls and Procedures](index=26&type=section&id=Item%204.%20Controls%20and%20Procedures) Management concluded the company's disclosure controls and procedures were effective as of June 30, 2024, with no material changes to internal control over financial reporting during the quarter - Based on an evaluation as of June 30, 2024, the CEO and CFO concluded that the company's disclosure controls and procedures were effective[115](index=115&type=chunk) - No changes in internal control over financial reporting occurred during the quarter that have materially affected, or are reasonably likely to materially affect, internal controls[116](index=116&type=chunk) Part II. Other Information [Item 1. Legal Proceedings](index=27&type=section&id=Item%201.%20Legal%20Proceedings) Information on legal proceedings, including ongoing product liability lawsuits and accrued defense costs, is detailed in Note 10 of the financial statements - Information regarding legal proceedings is detailed in Note 10 of the Notes to Condensed Consolidated Financial Statements[118](index=118&type=chunk) [Item 1A. Risk Factors](index=28&type=section&id=Item%201A.%20Risk%20Factors) There have been no material changes to the risk factors previously disclosed in the company's Annual Report on Form 10-K for the fiscal year ended December 31, 2023 - No material changes have been made to the risk factors described in the Annual Report on Form 10-K for the year ended December 31, 2023[120](index=120&type=chunk) [Item 2. Unregistered Sales of Equity Securities and Use of Proceeds](index=29&type=section&id=Item%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company reported no unregistered sales of equity securities during the period - None[122](index=122&type=chunk) [Item 6. Exhibits](index=30&type=section&id=Item%206.%20Exhibits) The report lists exhibits filed, including Sarbanes-Oxley certifications (31.1, 31.2, 32.1, 32.2) and XBRL data files - Exhibits filed with the report include CEO and CFO certifications pursuant to Sections 302 and 906 of the Sarbanes-Oxley Act, as well as XBRL instance and taxonomy documents[124](index=124&type=chunk)