On February 17, 2026, Nine Ten Capital Management disclosed selling 342,907 shares of IRadimed (NASDAQ:IRMD), an estimated $29.42 million trade based on quarterly average pricing. What happened According to a Securities and Exchange Commission (SEC) filing dated February 17, 2026, Nine Ten Capital Management reduced its position in IRadimed by 342,907 shares during the fourth quarter. The estimated value of the shares sold is approximately $29.42 million, calculated using the average closing price for th ...

Core Viewpoint - Iradimed has achieved significant financial growth, setting a new all-time high in revenue for the 18th consecutive quarter, with both revenue and net income increasing at double-digit rates, leading to a nearly 10% rise in stock price on the announcement day [1]. Financial Performance - In Q4 2025, Iradimed reported revenue of $22.7 million, a 17% increase compared to Q4 2024. Net income rose 23% to just under $7 million, equating to $0.54 per share [2]. - The company exceeded consensus analyst estimates for earnings per share, which was projected at $0.48 [3]. Product Development - Iradimed's growth was bolstered by the launch of a new product, the 3870 intravenous infusion pump, which began shipping during the quarter [4]. Dividend Announcement - The company announced an increase in its quarterly dividend from $0.17 to $0.20 per share, effective March 6 for investors of record as of February 23 [5]. Future Guidance - For the full year 2026, Iradimed projects revenue between $91 million and $96 million, with non-GAAP net income expected to be between $2.06 and $2.21 per share, both significantly higher than the 2024 figures of $73 million in revenue and $1.66 per share adjusted net profit [6]. Market Position - Iradimed is positioned as a strong player in the niche medical devices segment, particularly in MRI-compatible equipment, indicating a continued growth trajectory [7].

Financial Data and Key Metrics Changes - IRadimed achieved record revenue for the 18th consecutive quarter, with Q4 2025 revenue reaching $22.7 million, a 17% increase from Q4 2024, and full-year revenue of $83.8 million, up 14% year-over-year [3][10] - GAAP diluted earnings per share for Q4 was $0.50, up 25%, and for the full year, it reached $1.75, up 17% [3][12] - Gross margins remained strong at approximately 77% for the year and 75% for Q4 [3][11] Business Line Data and Key Metrics Changes - MRI-compatible infusion pump systems contributed $9.1 million in Q4, up 20% year-over-year, while patient vital signs monitoring systems contributed $7.1 million, up 7.5% [10] - Disposable revenue grew 18% to $4.3 million, reflecting increased utilization of devices [10][11] Market Data and Key Metrics Changes - Domestic sales accounted for 81% of total revenue in Q4 and 84% for the full year, indicating strong U.S. performance [11] - There are approximately 6,400 5+-year-old 3860/3861 pump channels in the U.S. market that are up for replacement [6] Company Strategy and Development Direction - The company anticipates a significant increase in revenue from the replacement of older pump models, which is expected to be a key growth driver for the next several years [5][7] - The new 3870 MR IV pump is expected to penetrate greenfield opportunities more effectively and increase utilization among existing customers [4][5] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a $100 million-plus revenue run rate during 2026, driven by the new 3870 pump and increased disposable sales [7][8] - The company plans to maintain quarterly revenue in the first half of 2026, with significant growth expected in the second half [8] Other Important Information - The company ended the year with cash and cash equivalents of $51.2 million, and cash flow from operations was $5.9 million for Q4 and $24.9 million for the full year [12] - The company is working on a next-generation MRI monitor expected to launch in 2028 [21] Q&A Session Summary Question: Initial market feedback from the pilot - Management reported very positive feedback from initial users of the 3870 pump, leading to confidence in scaling the launch [15][16] Question: Gross margin scaling - Management indicated that gross margins are expected to remain stable in the first half of the year but may improve in the second half due to higher volumes and ASP [18][19] Question: Updates on disposables and services growth - Management noted that disposable revenue growth is expected to align with capital sales, with potential for increased utilization with the new 3870 pump [26][27] Question: Inventory levels and backlog for the 3860 - Management stated that inventory levels are being closely monitored to ensure fulfillment of backlog while transitioning to the 3870 [28][29] Question: Regulatory process for 3870 in Europe and Japan - Management confirmed that CE mark approval is expected by the end of 2026, with Japan clearance anticipated by summer 2027 [32]

Financial Data and Key Metrics Changes - IRadimed achieved record revenue for the 18th consecutive quarter, with Q4 2025 revenue reaching $22.7 million, a 17% increase from Q4 2024, and full-year revenue of $83.8 million, up 14% year-over-year [3][10] - GAAP Diluted Earnings Per Share for Q4 was $0.50, up 25%, and for the full year, it reached $1.75, up 17% [3][12] - Gross margins remained strong at approximately 77% for the year and 75% for Q4 [3][11] Business Line Data and Key Metrics Changes - MRI-compatible infusion pump systems contributed $9.1 million in Q4, up 20% year-over-year, while patient vital signs monitoring systems contributed $7.1 million, up 7.5% [10] - Disposable revenue grew 18% to $4.3 million, reflecting increased utilization of devices [10][11] Market Data and Key Metrics Changes - Domestic sales accounted for 81% of total revenue in Q4 and 84% for the full year, indicating strong U.S. performance [11] - There are approximately 6,400 5+-year-old 3860/3861 pump channels in the U.S. market that are up for replacement [6] Company Strategy and Development Direction - The company anticipates a significant increase in revenue from the new 3870 MR IV pump, with an expected average selling price increase of 10%-14% [4] - The strategy includes targeting an additional 1,000 replacement sales annually from existing 5+-year-old units, aiming for a $100 million-plus revenue run rate during 2026 [7][8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a $100 million-plus revenue run rate during 2026, driven by the new product launch and existing product sales [7][8] - The company is focused on optimizing the new 3870 pump based on initial user feedback before the broader launch [15][31] Other Important Information - Cash flow from operations was $5.9 million for Q4 and $24.9 million for the full year, with cash and cash equivalents ending at $51.2 million [12] - The company is working on a next-generation MRI monitor expected to launch in 2028 [21] Q&A Session Summary Question: Initial market feedback on the 3870 pump - Management reported very positive feedback from initial users, leading to confidence in scaling the launch [15][16] Question: Gross margin trends - Management expects gross margins to remain stable in the first half of the year, with potential improvement in the second half due to higher volumes and ASP [18][19] Question: R&D efforts post-3870 launch - The R&D team is already working on a next-generation MRI monitor, with plans for a market launch in 2028 [20][21] Question: Strength of disposables and services - Management indicated that disposable revenue growth is expected to align with capital sales, with potential for increased utilization with the new 3870 pump [26][27] Question: Inventory levels and backlog for the 3860 - Management is closely monitoring inventory levels to ensure fulfillment of backlog while transitioning to the 3870 [28][29] Question: Regulatory updates for the 3870 in Europe and Japan - Management confirmed that CE mark approval is expected by the end of 2026, with Japan clearance anticipated by summer 2027 [32]

Financial Data and Key Metrics Changes - IRadimed achieved record revenue for the 18th consecutive quarter, with Q4 2025 revenue reaching $22.7 million, a 17% increase from Q4 2024, and full-year revenue of $83.8 million, up 14% year-over-year [3][10] - GAAP Diluted Earnings Per Share for Q4 was $0.50, up 25%, while non-GAAP Diluted Earnings Per Share was $0.54, up 23% [3][12] - Gross margins remained strong at approximately 77% for the year and 75% for Q4 [3][11] Business Line Data and Key Metrics Changes - MRI-compatible infusion pump systems contributed $9.1 million, up 20% year-over-year, while patient vital signs monitoring systems contributed $7.1 million, up 7.5% [10] - Disposable revenue grew 18% to $4.3 million, reflecting increased utilization of devices [10][11] - Ferromagnetic detection systems also saw solid gains, contributing to overall revenue growth [10] Market Data and Key Metrics Changes - Domestic sales accounted for 81% of total revenue in Q4 and 84% for the full year, indicating strong U.S. market performance [11] - There are approximately 6,400 5+-year-old 3860/3861 pump channels in the U.S. market that are up for replacement, with a target of adding an additional 1,000 channels per year through replacement sales [5][6] Company Strategy and Development Direction - The company anticipates a significant increase in revenue from the large replacement opportunity, which is expected to be a key growth driver for the next several years [5][7] - The new 3870 MR IV pump is expected to penetrate greenfield opportunities more effectively and increase utilization among existing customers [4][5] - The company plans to maintain quarterly revenue in the first half of 2026, driven by growth in MRI monitoring and the 3860 pump backlog, with significant bookings expected for the 3870 systems [8] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in achieving a $100 million-plus revenue run rate during 2026, driven by the new 3870 pump and other product lines [7] - The initial market feedback for the 3870 pump has been very positive, with excitement from users regarding its modernized design and functionality [16][18] - The company is working on regulatory approvals for the 3870 in Europe and Japan, with expectations for CE mark by the end of 2026 and clearance in Japan by summer 2027 [33] Other Important Information - Cash and cash equivalents at year-end were $51.2 million, with cash flow from operations of $5.9 million for Q4 and $24.9 million for the full year [12] - The company is managing inventory levels closely during the transition from the 3860 to the 3870 pump [30] Q&A Session Summary Question: Initial market feedback from the pilot for the 3870 pump - Management reported very positive feedback from initial users, with additional orders already on the books [15][16] Question: Gross margin scaling expectations - Management anticipates gross margins to remain in line initially but expects improvement in the second half of the year as production ramps up [19][20] Question: Future R&D efforts post-3870 launch - The R&D team is already working on a next-generation MRI monitor, expected to launch in 2028 [22] Question: Strength of disposables and services growth - Management indicated that growth in disposables is expected to align with capital sales, with potential for increased utilization with the new 3870 pump [27][28] Question: Inventory levels and backlog for the 3860 - Management confirmed they are managing inventory levels closely and are in good shape to fulfill backlog while transitioning to the 3870 [29][30] Question: Regulatory process updates for the 3870 in Europe and Japan - Management confirmed that CE mark is expected by the end of 2026, with Japan clearance anticipated by summer 2027 [33]

Financial Performance - The Company reported record revenue of $22.7 million for Q4 2025, a 17% increase year-over-year, exceeding previous guidance [3] - For the full year 2025, the Company reported revenue of $83.8 million, a 14% increase from $73.2 million in 2024 [11] - Revenue for Q4 2025 reached $22.692 million, a 17.8% increase from $19.389 million in Q4 2024 [37] - Gross profit for the year ended December 31, 2025, was $64.324 million, up 14.1% from $56.350 million in 2024 [37] - Operating expenses for the year ended December 31, 2025, totaled $38.177 million, a 10.4% increase from $34.385 million in 2024 [37] Earnings - GAAP diluted EPS for Q4 2025 was $0.50, a 25% increase compared to Q4 2024, while non-GAAP diluted EPS was $0.54, a 23% increase [8] - Net income for Q4 2025 was $6.442 million, representing a 25.1% increase compared to $5.147 million in Q4 2024 [37] - Non-GAAP net income for Q4 2025 was $7.0 million, a 23% increase from $5.7 million in Q4 2024 [10] - Non-GAAP net income for the year ended December 31, 2025, was $24.792 million, a 16.5% increase from $21.228 million in 2024 [39] - The company reported a diluted net income per share of $0.50 for Q4 2025, compared to $0.40 for Q4 2024, marking a 25% increase [37] Cash Flow and Dividends - Cash flow from operations for Q4 2025 was $5.9 million, a slight decrease of 2% from $6.0 million in Q4 2024 [15] - Free cash flow for Q4 2025 was $5.506 million, significantly up from $2.930 million in Q4 2024 [41] - The Company declared a regular quarterly cash dividend of $0.20 per share, up from $0.17 per share, reflecting confidence in the business outlook [4] Guidance and Future Outlook - For full year 2026 guidance, the Company expects revenue between $91.0 million and $96.0 million, with GAAP diluted EPS between $1.90 and $2.05 [5] - The company anticipates meaningful revenue contributions from the next-generation 3870 MRI-compatible IV infusion pump in the future [31] Sales and Market Performance - Domestic sales accounted for 81% of total revenue in Q4 2025, down from 85% in 2024, while gross profit margin was 75% [13] - The Company shipped 3,870 units of the next-generation 3870 MRI-compatible IV infusion pump in Q4 2025, with full rollout expected in Q1 2026 [3] Assets and Equity - Total assets increased to $108.776 million in 2025, compared to $98.326 million in 2024, reflecting a growth of 10.8% [35] - Total stockholders' equity rose to $94.618 million in 2025, up from $86.819 million in 2024, indicating an increase of 9.9% [35] Stock-Based Compensation - The Company expects stock-based compensation expense to be approximately $2.0 million for the full year 2026 [18]

Core Insights - Iradimed Corporation reported record revenue of $22.7 million for Q4 2025, marking a 17% increase year-over-year and surpassing previous guidance [2][7] - The company achieved a net income of $6.4 million for Q4 2025, a 25% increase compared to the same period in 2024 [7][10] - Iradimed plans to roll out its next-generation 3870 MRI-compatible IV infusion pump in Q1 2026, with significant revenue contributions expected in the second half of the year [2][4] Financial Performance - For Q4 2025, total revenue was $22.7 million, up from $19.4 million in Q4 2024, representing a 17% increase [7][12] - The company reported a GAAP diluted EPS of $0.50 for Q4 2025, a 25% increase from $0.40 in Q4 2024 [8][10] - For the full year 2025, revenue reached $83.8 million, a 14% increase from $73.2 million in 2024 [10][11] Guidance and Dividends - For the full year 2026, Iradimed expects revenue between $91.0 million and $96.0 million, with GAAP diluted EPS projected between $1.90 and $2.05 [4][17] - The company declared a quarterly cash dividend of $0.20 per share, up from $0.17, reflecting confidence in future business outlook [3][5] Product Development and Market Position - Iradimed is a leader in MRI-compatible medical devices, providing non-magnetic IV infusion pump systems and patient vital signs monitoring systems [1][27] - The company’s patented MRidium® MRI-compatible IV infusion pump system is designed to safely deliver fluids during MRI procedures, addressing safety concerns associated with traditional pumps [28] - The 3880 MRI-compatible patient vital signs monitoring system is engineered to operate in high magnetic fields, enhancing patient safety during MRI scans [29]

Core Viewpoint - Iradimed Corporation will release its 2025 fourth quarter and full year financial results on February 10, 2026, followed by a conference call to discuss the results and answer questions [1]. Company Overview - Iradimed Corporation is a leader in developing MRI-compatible medical devices, specifically known for its non-magnetic intravenous infusion pump system designed for safe use during MRI procedures [3]. - The company was the first to create an infusion delivery system that mitigates dangers associated with standard infusion pumps during MRI, which can cause radio frequency interference [3]. - The patented MRidium® MRI-compatible IV infusion pump system features a non-magnetic ultrasonic motor and non-ferrous parts, ensuring safe and reliable delivery of anesthesia and IV fluids during MRI scans [3]. Product Details - The 3880 MRI-compatible patient vital signs monitoring system is designed with non-magnetic components, allowing it to operate in magnetic fields up to 30,000 gauss, ensuring patient safety during MRI procedures [4]. - The Iradimed 3880 system features wireless ECG, SpO2 monitoring, non-magnetic respiratory CO2 measurement, and blood pressure monitoring, facilitating uninterrupted vital signs monitoring for critically ill patients [4]. - The compact design of the Iradimed 3880 allows for easy transport with patients, enhancing safety and reducing time away from critical care units [4].

Riverwater Partners, an investment management company, released its “Micro Opportunities Strategy” Q4 2025 investor letter. A copy of the letter can be downloaded here. Both Q4 and the full year 2025 were challenging for the strategy, which struggled to match the benchmark performance in Q4 and FY2025. The underweight exposure in speculative areas of the market led to the underperformance in the second half of the year. Low-quality stocks with poor fundamentals outperformed the market in the year. The stra ...

Core Insights - Riverwater Partners' Micro Opportunities Strategy reported positive returns in Q3 2025 but lagged behind its benchmark due to not keeping pace with the market rally [1] - The strategy emphasizes quality companies in a volatile environment and highlights its top holdings for 2025 [1] Company Overview: IRADIMED CORPORATION - IRADIMED CORPORATION (NASDAQ:IRMD) is a manufacturer of MRI-compatible medical devices, headquartered in Winter Springs, Florida [2] - The stock achieved a one-month return of 13.54% and a remarkable 84.62% increase over the past 52 weeks, closing at $97.02 per share with a market capitalization of $1.244 billion on December 15, 2025 [2] Performance and Market Position - The Micro Opportunities Strategy noted that IRADIMED's healthcare holdings contributed significantly to performance, with the company gaining market share through its MRI-compatible devices [3] - IRADIMED reported record revenue of $21.2 million in Q3 2025, reflecting a 16% increase from Q3 2024 [4] - Despite its potential, IRADIMED is not among the 30 most popular stocks among hedge funds, with 14 hedge fund portfolios holding the stock at the end of Q3 2025, up from 13 in the previous quarter [4] Investment Perspective - The strategy views medical technology, including IRADIMED, as a compelling subsector with long-term growth opportunities and reasonable valuations [3] - However, the company is compared to certain AI stocks that are perceived to offer greater upside potential and less downside risk [4]