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Financial Data and Key Metrics Changes - Revenues for Q4 2025 were $4.9 million, a decrease from $31 million in Q4 2024, primarily due to lower unit sales [13] - Full year revenues for 2025 were $27.5 million, down from $41.8 million in 2024, driven by reduced sales to the largest customer [16] - Gross profit for Q4 2025 was $1.9 million, or 38.8% of revenues, compared to $7.1 million, or 54.2% in Q4 2024 [14] - Net loss for Q4 2025 was $3.2 million, or a loss of $0.19 per share, compared to net income of $1.5 million, or $0.09 per diluted share in Q4 2024 [15] - Full year net loss for 2025 was $7.7 million, or a loss of $0.47 per share, compared to net income of $6.6 million, or $0.41 per diluted share in 2024 [18] Business Line Data and Key Metrics Changes - The company shipped 14 units in Q4 2025, with 8 in the U.S. and 6 internationally, with no sales to the largest customer [5][22] - Utilization across the Fair Deal Agreement program increased substantially, with treatments up more than eightfold year-over-year and the number of patients treated increasing by over 250% [6] Market Data and Key Metrics Changes - International sales were strong in Q4 2025, with shipments to China and a growing demand in Asia, particularly in Taiwan and South Korea [7][28] - The company expects international markets to remain a significant part of its growth strategy, with Brazil clearance anticipated in 2026 [28] Company Strategy and Development Direction - The introduction of new CPT codes for SRT and IG-SRT technology is expected to enhance physician reimbursement and support broader adoption [4][20] - The company aims to achieve full-year profitability in 2026, supported by a diversified customer base and expanding international opportunities [8][19] - A disciplined approach to scaling the sales organization is being implemented, with plans to hire additional sales representatives [10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about entering 2026 with greater clarity and control over the business, emphasizing the positive impact of new reimbursement codes [20] - The company is focused on educating physicians about the new reimbursement codes to drive adoption and growth [5][8] Other Important Information - The company ended 2025 with $22.1 million in cash and cash equivalents, unchanged from the previous year, and no outstanding debt [18] - Research and development expenses for 2025 increased to $7.8 million, primarily due to higher costs related to billing and reimbursement efforts [17] Q&A Session Summary Question: Guidance on revenue growth excluding the largest customer - Management confirmed that projections for 2026 do not include expectations from the largest customer, as they are reevaluating their model moving forward [22][23] Question: Update on TDI and FDA approval - Management indicated ongoing efforts with the FDA regarding TDI but could not provide a timeline for approval [25] Question: International demand outlook - Management highlighted strong demand in China and growth in Taiwan, with expectations for further expansion in Asia and South America [27][28] Question: Reaction to reimbursement and system mix - Management noted a shift towards outright purchases and leasing options due to improved reimbursement clarity, with a stronger focus on SRT technology [37][41] Question: Interest from private equity-backed groups - Increased interest from private equity groups was noted, with a reevaluation of acquisition strategies due to clearer reimbursement pathways [42]

Sensus Healthcare (NasdaqCM:SRTS) Q4 2025 Earnings call February 12, 2026 04:30 PM ET Company ParticipantsAnthony Vendetti - Executive Managing DirectorBen Haynor - Managing Director of Medical Technology ResearchJavier Rampolla - CFOJoe Sardano - Chairman and CEOMichael Sardano - President & Chief Commercial OfficerTirth Patel - VPOperatorGood afternoon, and welcome to the Sensus Healthcare Fourth Quarter and Full Year 2025 Financial Results Conference Call. All participants will be in listen-only mode. Sh ...

Financial Data and Key Metrics Changes - Revenues for Q4 2025 were $4.9 million, a significant decrease from $31 million in Q4 2024, primarily due to lower unit sales [13] - Gross profit for Q4 2025 was $1.9 million, or 38.8% of revenues, down from $7.1 million, or 54.2% in Q4 2024, driven by lower sales and higher servicing costs [14] - For the full year 2025, revenues were $27.5 million, compared to $41.8 million in 2024, reflecting a decrease in unit sales [15] - The net loss for 2025 was $7.7 million, or a loss of $0.47 per share, compared to a net income of $6.6 million, or $0.41 per diluted share in 2024 [18] Business Line Data and Key Metrics Changes - The company shipped 14 units in Q4 2025, with 8 in the U.S. and 6 internationally, but did not include sales to its largest customer [24] - The Fair Deal Agreement program saw substantial year-over-year utilization increases, with treatments up more than eightfold and the number of patients treated increasing by over 250% in 2025 [7] Market Data and Key Metrics Changes - International sales were strong in Q4 2025, with shipments to China and a growing demand in Asia, particularly in Taiwan and South Korea [8][28] - The company expects international markets to remain a significant part of its growth strategy, with Brazil and the Middle East also showing potential [29] Company Strategy and Development Direction - The introduction of new CPT codes for SRT and IG-SRT technologies is expected to enhance physician reimbursement and support broader adoption of non-invasive treatments [4] - The company aims to achieve full-year profitability in 2026, supported by a diversified customer base and expanding international opportunities [9] - A disciplined approach to scaling the sales organization is being implemented, with plans to hire additional sales representatives to enhance market education and lead conversions [11] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about entering 2026 with improved clarity and control over the business, emphasizing the positive impact of new reimbursement codes [20] - The company is focused on converting interest into system placements as the year progresses, with expectations for Q1 revenues to exceed Q4 levels [19] Other Important Information - The company ended 2025 with $22.1 million in cash and cash equivalents, with no outstanding debt, indicating a strong balance sheet [18] - Research and development expenses for 2025 increased to $7.8 million, reflecting higher costs related to billing and reimbursement efforts [17] Q&A Session Summary Question: Does the revenue growth guidance for Q1 assume no contribution from the largest customer? - Management confirmed that projections for 2026 exclude expectations from the largest customer, and any contribution from them would be considered upside [24] Question: What is the status of the TDI program and expected FDA approval? - Management indicated ongoing efforts with the FDA but could not provide a timeline for approval [26] Question: What is the demand outlook internationally for 2026? - Management highlighted strong demand in China and growth in Taiwan, with expectations for expansion in South Korea, Japan, and potential entry into Brazil and the Middle East [28][29] Question: How has the reaction to reimbursement affected system mix and financing options? - Management noted a shift towards outright purchases and leasing options due to guaranteed reimbursements, with a stronger focus on SRT products [38][40] Question: What is the outlook for service revenue? - Service revenue remains consistent at about 10% of total revenue, with no expected changes [48]

Exhibit 99.1 Highlights include the following: Management Commentary "Following the publication of Current Procedural Terminology (CPT) codes for treating non-melanoma skin cancer with SRT in November – with a per-fraction increase of more than 300% versus prior delivery code – and despite a very tight subsequent selling window in the midst of multiple holidays, we shipped 14 systems in Q4 without any contribution from our historically largest customer, compared with six units in Q3 excluding shipments to t ...

Financial Performance - Revenues for the three months ended September 30, 2025 were $6.9 million, a decrease of $1.9 million, or 21.6%, compared to $8.8 million for the same period in 2024 [105] - For the nine months ended September 30, 2025, revenues were $22.5 million, a decrease of $6.2 million, or 21.6%, from $28.7 million in the same period in 2024 [113] - Gross profit for the three months ended September 30, 2025 was $2.7 million, a decrease of $2.5 million, or 48.1%, with a gross profit percentage of 39.1% compared to 59.1% in the prior year [107] Expenses - Research and development expenses increased to $1.8 million for the three months ended September 30, 2025, up $0.9 million, or 100.0%, compared to $0.9 million in the same period in 2024 [110] - Total operating expenses for the three months ended September 30, 2025 were $5.3 million, an increase of $1.5 million, or 40.1%, compared to $3.7 million in the same period in 2024 [104] - Selling and marketing expenses increased to $5.1 million for the nine months ended September 30, 2025, up $1.5 million, or 41.7%, from $3.6 million in the same period in 2024 [117] Cash Flow - Net cash provided by operating activities for the nine months ended September 30, 2025 was $2.7 million, compared to a net cash used of $0.004 million in the same period in 2024 [129] - Net cash provided by operating activities was $2.7 million for the nine months ended September 30, 2025, consisting of a net loss of $4.6 million and non-cash activity of $0.9 million, offset by a decrease in net operating assets of $8.2 million [130] - Net cash used in investing activities for the nine months ended September 30, 2025 reflected $38 thousand of purchases of property and equipment, compared to $0.6 million for the same period in 2024 [131] - Net cash used in financing activities for the nine months ended September 30, 2025 reflected $0.3 million of repurchases of common stock, while the previous year showed $34 thousand of exercised stock options [132] Balance Sheet - Cash and cash equivalents increased to $24.5 million at September 30, 2025, compared to $22.1 million at December 31, 2024, an increase of $2.4 million [122] - Accounts receivable decreased to $9.3 million at September 30, 2025, down $10.4 million from $19.7 million at December 31, 2024, due to reduced sales [123] Taxation - The effective tax rate for the three months ended September 30, 2025 was 60.9%, up from 31.5% in the prior year, primarily due to increased estimated tax credits [112] Economic Factors - The company experienced inflationary pressures due to increased commodity and shipping prices, as well as rising energy and labor costs, prompting actions to minimize effects on product costs [133] Management Insights - Management identified revenue recognition policies as critical to understanding the financial condition and results of operations [136]

Core Insights - Sensus Healthcare, Inc. reported an EPS of -$0.06, outperforming the expected -$0.11 and achieving a positive surprise of 50% [1][5] - The company's quarterly revenue reached $6.9 million, exceeding the estimated $6.3 million and surpassing the Zacks Consensus Estimate by 48.36% [2][5] - Despite a decline from $8.84 million in the same quarter last year, Sensus Healthcare has exceeded consensus revenue estimates in three of the last four quarters [2] Financial Metrics - The company has a negative price-to-earnings (P/E) ratio of approximately -67.74, indicating current losses [3] - The price-to-sales ratio is about 1.54, suggesting investors are paying $1.54 for every dollar of sales, which is considered reasonable [3] - The enterprise value to sales ratio stands at approximately 0.97, indicating a low valuation relative to sales [3] - The enterprise value to operating cash flow ratio is around 10.18, reflecting its valuation in relation to cash flow from operations [4] - Sensus Healthcare has a negative earnings yield of approximately -1.48% [4] - The company maintains a strong financial position with a debt-to-equity ratio of about 0.011, indicating minimal debt [4] - A robust current ratio of approximately 8.14 highlights the company's ability to cover short-term liabilities with short-term assets [4][5]

Core Insights - Sensus Healthcare, Inc. reported a quarterly loss of $0.06 per share, which was better than the Zacks Consensus Estimate of a loss of $0.12, representing an earnings surprise of +50.00% [1] - The company generated revenues of $6.88 million for the quarter ended September 2025, exceeding the Zacks Consensus Estimate by 48.36%, although this is a decline from $8.84 million in the same quarter last year [2] - Sensus Healthcare shares have decreased by approximately 46.7% year-to-date, contrasting with the S&P 500's gain of 15.6% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is -$0.09 on revenues of $6.04 million, and for the current fiscal year, it is -$0.43 on revenues of $26.34 million [7] - The estimate revisions trend for Sensus Healthcare was unfavorable prior to the earnings release, resulting in a Zacks Rank 4 (Sell) for the stock, indicating expected underperformance in the near future [6] Industry Context - The Medical - Instruments industry, to which Sensus Healthcare belongs, is currently ranked in the top 35% of over 250 Zacks industries, suggesting a favorable outlook compared to lower-ranked industries [8] - Empirical research indicates a strong correlation between near-term stock movements and trends in earnings estimate revisions, which can be tracked by investors [5]

Financial Data and Key Metrics Changes - Revenues for Q3 2025 were $6.9 million, down from $8.8 million in Q3 2024, primarily due to a lower number of units sold [14] - Gross profit decreased to $2.7 million with a gross margin of 39.1%, compared to $5.2 million and 59.1% in the prior year [14][15] - The company reported a net loss of $0.9 million, or $0.06 per share, compared to net income of $1.2 million, or $0.07 per diluted share in Q3 2024 [16] Business Line Data and Key Metrics Changes - The company shipped 16 SRT systems in Q3 2025, including three to China, bringing total global sales to over 900 systems since the launch of the SRT platform [5][6] - FDA treatment volumes increased by 20% from Q2 2025, marking the third consecutive quarter of double-digit growth [6][10] - Treatment volumes have increased by 157% since the launch of the Fair Deal Agreement program late last year [6] Market Data and Key Metrics Changes - The introduction of dedicated CPT codes for superficial radiotherapy has increased reimbursement per fraction by over 300% [4][8] - The company anticipates strong interest and rising demand for SRT technology following the new coding [4][10] Company Strategy and Development Direction - The company is focused on expanding its Fair Deal Agreement program and enhancing its software platform, Sentinel, to support long-term revenue growth [11][12] - An expanded R&D program for the next generation of the Sentinel platform, called Sentinel 2.0, is underway, with initial results expected in 2026 [12] - International expansion is a priority, with shipments to China and plans for regulatory clearance in other key markets [13][66] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the future of SRT technology, citing strong patient demand and the importance of the new reimbursement codes [9][22] - The company believes that the clarity provided by the new coding will lead to increased sales and utilization of SRT systems [64] - Management anticipates that pent-up demand will drive sales in Q4 2025, potentially leading to break-even or profitability [32][33] Other Important Information - The company ended Q3 2025 with $24.5 million in cash and no debt, maintaining a strong inventory of approximately $13 million in finished goods [20] - The management acknowledged the passing of a board member, emphasizing the importance of teamwork in navigating recent challenges [21] Q&A Session Summary Question: Impact of LCD reimbursement for ultrasound-guided SRT system - Management indicated that the impact has been minimal due to the significant increase in fractionation reimbursement codes [25][26] Question: Utilization trend metrics - Utilization increased by 20% from Q2 to Q3 2025, with a year-to-date increase of 152% [30] Question: Acceleration of placements in Q4 - Management noted pent-up demand and expected clarity on reimbursement codes would lead to increased placements in Q4 [32] Question: Shift between SRT-100 and SRT-100 Vision - Management believes there will be an uptick in SRT-100 sales, while the Vision product will maintain its importance due to its operating system, Sentinel [39][40] Question: Anticipated ramp for international sales - Management expects international sales to grow to about 20% of total revenue over the next 12-24 months [68]

Financial Performance - Revenues for Q3 2025 were $6.9 million, a decrease of $1.9 million or 21.6% compared to Q3 2024[7] - Revenues for Q3 2025 were $6,884,000, a decrease of 22.1% compared to $8,839,000 in Q3 2024[38] - Net loss for Q3 2025 was $0.9 million, or $0.06 per share, compared to net income of $1.2 million, or $0.07 per diluted share, in Q3 2024[12] - Net loss for Q3 2025 was $943,000, compared to a net income of $1,215,000 in Q3 2024[38] - Adjusted EBITDA for Q3 2025 was negative $2.4 million, compared to positive $1.6 million in Q3 2024[13] - Gross profit for Q3 2025 was $2.7 million, with a gross margin of 39.1%, down from $5.2 million and 59.1% in Q3 2024[9] - Gross profit for Q3 2025 was $2,713,000, down 48.3% from $5,240,000 in Q3 2024[38] - Total operating expenses increased to $5,282,000 in Q3 2025, up 41.1% from $3,745,000 in Q3 2024[38] Inventory and Assets - The company exited Q3 2025 with nearly 100 systems in inventory, positioning it well to meet market demand[3] - Cash and cash equivalents were $24.5 million as of September 30, 2025, compared to $22.1 million at the end of 2024[14] - Cash and cash equivalents as of September 30, 2025, were $24,453,000, an increase from $22,056,000 as of December 31, 2024[36] - Total current assets decreased to $50,205,000 as of September 30, 2025, from $56,738,000 as of December 31, 2024[36] - Total stockholders' equity decreased to $51,194,000 as of September 30, 2025, down from $55,827,000 as of December 31, 2024[36] Research and Development - Research and development expenses increased to $1.8 million in Q3 2025 from $0.9 million in Q3 2024, reflecting higher costs related to billing code reimbursement and product development[11] - Research and development expenses for Q3 2025 were $1,819,000, significantly higher than $863,000 in Q3 2024, indicating increased investment in new technologies[38] Market and Expansion - The company is preparing for broader international expansion following MDSAP certification and is seeing strong interest in select markets[3] - The company shipped 16 SRT systems in Q3 2025, including three to China, down from 27 units in Q3 2024[5] Liabilities - Total liabilities increased to $7,101,000 as of September 30, 2025, compared to $6,338,000 as of December 31, 2024[36] Share Information - The weighted average number of shares used in computing net loss per share for Q3 2025 was 16,320,036[38]