In the latest trading session, Sensus Healthcare, Inc. (SRTS) closed at $4.48, marking a +0.45% move from the previous day. This move outpaced the S&P 500's daily loss of 0.23%. Meanwhile, the Dow experienced a drop of 0.91%, and the technology-dominated Nasdaq saw an increase of 0.1%.The company's stock has dropped by 3.04% in the past month, exceeding the Medical sector's loss of 10.2% and the S&P 500's loss of 12.13%.Market participants will be closely following the financial results of Sensus Healthcare ...

The most recent trading session ended with Sensus Healthcare, Inc. (SRTS) standing at $4.69, reflecting a +1.08% shift from the previouse trading day's closing. The stock's change was more than the S&P 500's daily loss of 0.33%. Meanwhile, the Dow lost 0.37%, and the Nasdaq, a tech-heavy index, lost 0.53%.Prior to today's trading, shares of the company had lost 5.11% over the past month. This has lagged the Medical sector's loss of 3.24% and the S&P 500's loss of 4.03% in that time.The upcoming earnings rel ...

Sensus Healthcare, Inc. (SRTS) closed the latest trading day at $4.78, indicating a +0.84% change from the previous session's end. This change lagged the S&P 500's 1.08% gain on the day. At the same time, the Dow added 0.92%, and the tech-heavy Nasdaq gained 1.41%.The company's shares have seen a decrease of 18.84% over the last month, not keeping up with the Medical sector's gain of 0.21% and the S&P 500's loss of 8.26%.Investors will be eagerly watching for the performance of Sensus Healthcare, Inc. in it ...

Core Viewpoint - The average brokerage recommendation (ABR) for Sensus Healthcare, Inc. (SRTS) is 1.00, indicating a Strong Buy, but reliance solely on this recommendation may not be prudent due to potential biases in brokerage ratings [2][4]. Group 1: Brokerage Recommendations - Sensus Healthcare has an ABR of 1.00 based on recommendations from four brokerage firms, all of which are Strong Buy, representing 100% of the recommendations [2]. - Brokerage firms often exhibit a strong positive bias in their ratings, with research indicating that for every "Strong Sell" recommendation, there are five "Strong Buy" recommendations [5][9]. - The ABR is calculated based on brokerage recommendations and may not reflect the most current market conditions, potentially misleading investors [11]. Group 2: Zacks Rank Comparison - The Zacks Rank, a proprietary stock rating tool, categorizes stocks from 1 (Strong Buy) to 5 (Strong Sell) and is based on earnings estimate revisions, which are more timely indicators of stock performance [7][10]. - The Zacks Consensus Estimate for Sensus Healthcare has declined by 54.2% over the past month to $0.33, reflecting analysts' growing pessimism about the company's earnings prospects [12]. - Due to the recent decline in earnings estimates, Sensus Healthcare has received a Zacks Rank of 4 (Sell), suggesting caution despite the favorable ABR [13].

Revenue and Profitability - Revenues for 2024 were $41.8 million, an increase of $17.4 million, or 71%, from $24.4 million in 2023, driven by a higher number of units sold (115 units in 2024 vs. 67 units in 2023) [152] - Gross profit for 2024 was $24.4 million, representing 58.4% of revenue, an increase of $10.3 million, or 73%, from $14.1 million, or 57.8% of revenue, in 2023 [154] - Net income for 2024 was $6.6 million, compared to $0.5 million in 2023, with net income per share increasing to $0.41 from $0.03 [151] Costs and Expenses - Cost of sales for 2024 was $17.4 million, up $7.1 million, or 69%, from $10.3 million in 2023, primarily due to the increased number of units sold [153] - General and administrative expenses increased by $1.9 million, or 37%, to $7.1 million in 2024, primarily due to higher compensation and professional fees [155] - Research and development expenses rose by $0.5 million, or 14%, to $4.2 million in 2024, mainly due to higher compensation expenses [157] Cash Flow and Financial Position - Cash and cash equivalents decreased by $1.0 million, or 4%, to $22.1 million at December 31, 2024, from $23.1 million at December 31, 2023 [158] - Accounts receivable increased by $9.1 million, or 86%, to $19.7 million at December 31, 2024, primarily due to increased sales to a primary customer with extended payment terms [159] - The company reported net cash used in operating activities of $0.8 million for 2024, compared to $2.1 million for 2023 [164] Economic Factors - Inflationary pressures from increased commodity and shipping prices, as well as labor costs, were noted, prompting the company to take actions to mitigate these effects [168]

Core Insights - The article emphasizes the importance of investing in quality companies at reasonable valuations, inspired by renowned investors like Warren Buffett, Peter Lynch, and Terry Smith [1]. Group 1 - The focus is on long-term fundamentals driving share prices, with an emphasis on predicting earnings per share [1].

Financial Data and Key Metrics Changes - The company reported fourth quarter revenue of $13.1 million, up from $12.6 million a year ago, and full year revenue of $41.8 million, a 71% increase from $24.4 million in 2023 [9][24][27] - Net income for Q4 2024 was $1.5 million or $0.09 per diluted share, compared to $4.2 million or $0.26 per diluted share a year ago [26] - Adjusted EBITDA for 2024 was $8.7 million compared to $0.3 million in 2023, indicating significant improvement [29] Business Line Data and Key Metrics Changes - The company achieved a quarterly record of 39 SRT-100 systems shipped in Q4 and 115 for the full year, increases of 18% and 74% respectively [10] - Gross profit for Q4 was $7.1 million, or 54.4% of revenues, down from 62.3% in the prior year due to a one-time discount and higher service costs [24] Market Data and Key Metrics Changes - The company noted that five systems were shipped to international customers in Q4 and ten for the full year, indicating a focus on expanding international sales [11] - The Fair Deal Agreement program has gained traction, particularly among large dermatology groups and private equity-backed practices [8][14] Company Strategy and Development Direction - The company is focusing on expanding its Fair Deal Agreement program, which allows practices to acquire SRT systems without significant upfront costs, thus enhancing customer relationships and driving recurring revenue [15][16] - The company is exploring new markets, including veterinary medicine, which demonstrates the versatility of its SRT technology [20][21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the growth trajectory for 2025, particularly from the Fair Deal Agreement program, which is expected to contribute meaningfully to revenue in the second half of the year [14][36] - The company is preparing to resubmit its TBI-510K application in the first half of 2025, aiming to diversify its product line and solidify its market position [22] Other Important Information - The company ended 2024 with $22.1 million in cash and cash equivalents, with no debt, reflecting a strong capital position [12][29] - The company anticipates that first quarter 2025 sales could be considerably lower than the first quarter of 2024 due to seasonal factors [32] Q&A Session Summary Question: How many units shipped in Q4 were part of the Fair Deal Agreement? - The number of units shipped in Q4 was 39, none of which were part of the Fair Deal Agreement [44] Question: What percentage of new customers are inclined to sign up for the Fair Deal Agreement? - Management indicated that many customers are deciding between purchasing and the Fair Deal Agreement, suggesting a strategic shift towards the latter for long-term benefits [46] Question: Are there any new competitors emerging in the space? - Management noted that the main competitor remains Mohs surgery, and there have been no significant new entrants or dropouts in the market [60] Question: What percent of sales came from the largest customer? - Of the 39 units delivered, 25 came from the largest customer, and they are expected to continue purchasing throughout the year [66] Question: Can you provide more color on the interest from private equity groups? - There are between 12 and 15 major private equity-backed roll-ups, representing about 20% of dermatology clinics, and interest in the Fair Deal Agreement is growing among these groups [70]

Core Insights - Sensus Healthcare, Inc. reported quarterly earnings of $0.09 per share, missing the Zacks Consensus Estimate of $0.10 per share, and down from $0.26 per share a year ago, representing an earnings surprise of -10% [1] - The company posted revenues of $13.07 million for the quarter ended December 2024, surpassing the Zacks Consensus Estimate by 32.59%, compared to year-ago revenues of $12.57 million [2] - Sensus Healthcare shares have increased approximately 22% since the beginning of the year, outperforming the S&P 500's gain of 2.7% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $0.15 on revenues of $11.46 million, and for the current fiscal year, it is $0.71 on revenues of $49.34 million [7] - The estimate revisions trend for Sensus Healthcare is mixed, resulting in a Zacks Rank 3 (Hold), indicating expected performance in line with the market in the near future [6] Industry Context - The Medical - Instruments industry, to which Sensus Healthcare belongs, is currently in the top 34% of over 250 Zacks industries, suggesting a favorable outlook compared to the bottom 50% [8] - Another company in the same industry, Nevro, is expected to report a quarterly loss of $0.79 per share, reflecting a year-over-year change of -426.7%, with revenues projected at $105.65 million, down 9.1% from the previous year [9]

Financial Performance - Revenues for Q4 2024 were $13.1 million, up 4% from $12.6 million in Q4 2023, and full-year revenues reached $41.8 million, a 71% increase from $24.4 million in 2023[5][12] - Net income for Q4 2024 was $1.5 million, or $0.09 per diluted share, marking the fifth consecutive quarter of profitability, compared to $4.2 million, or $0.26 per diluted share, in Q4 2023[9][16] - Gross profit for Q4 2024 was $7.1 million, or 54.4% of revenues, down from $7.8 million, or 62.3% of revenues, in Q4 2023, primarily due to a one-time discount and higher service costs[7] - Adjusted EBITDA for Q4 2024 was $1.9 million, down from $5.7 million in Q4 2023, reflecting higher income tax expense in the prior year[10] - Gross profit for the year 2024 was $24,431,000, a significant increase from $14,060,000 in 2023, representing a growth of 73%[30] - Net income for Q4 2024 was $1,546,000, compared to $4,210,000 in Q4 2023, indicating a decrease of 63%[30] - Operating expenses for Q4 2024 totaled $5,381,000, significantly higher than $2,244,000 in Q4 2023, an increase of 140%[30] - The company reported a basic net income per share of $0.09 for Q4 2024, down from $0.26 in Q4 2023[30] Assets and Liabilities - Cash and cash equivalents at year-end 2024 were $22.1 million, with no debt, compared to $23.1 million in 2023[11] - Total current assets rose to $56,738,000 in 2024, up from $49,528,000 in 2023, reflecting an increase of 15%[31] - Accounts receivable increased significantly to $19,731,000 in 2024, compared to $10,645,000 in 2023, marking an increase of 85%[31] - Total liabilities increased to $6,338,000 in 2024 from $4,868,000 in 2023, representing a rise of 30%[31] - Retained earnings grew to $13,434,000 in 2024, up from $6,787,000 in 2023, indicating a growth of 98%[31] - Cash and cash equivalents decreased to $22,056,000 in 2024 from $23,148,000 in 2023, a decline of 5%[31] Product and Market Developments - A record 39 SRT systems were shipped in Q4 2024, representing an 18% increase year-over-year, with a total of 115 systems shipped for the year, up 74%[5][12] - The company plans to re-submit its TDI 510(k) application in the first half of 2025, indicating ongoing product innovation efforts[3] - The Fair Deal Agreement program is expected to contribute to revenues in the second half of 2025, with multiple new agreements in the pipeline[2] - The company anticipates that Q1 2025 sales could be considerably lower than Q1 2024, but expects full-year sales growth in 2025 compared to 2024[4] Research and Development - Research and development expenses for 2024 were $4.2 million, an increase of $0.5 million from 2023, driven by higher compensation and product development costs[15]

Company Performance - Sensus Healthcare, Inc. (SRTS) closed at $6.92, reflecting a +1.91% change from the previous day's close, outperforming the S&P 500's daily gain of 0.92% [1] - Over the past month, shares of the company have decreased by 5.3%, while the Medical sector gained 3.83% and the S&P 500 gained 0.81% [1] Upcoming Earnings - The company's earnings report is scheduled for February 5, 2025, with an expected EPS of $0.10, indicating a 61.54% decline from the same quarter last year [2] - The Zacks Consensus Estimate for revenue is projected at $9.86 million, down 21.6% from the previous year [2] Analyst Estimates - Recent changes to analyst estimates for Sensus Healthcare, Inc. are important for investors, as positive revisions can indicate a favorable business outlook [3] - The Zacks Rank system, which incorporates these estimate changes, provides a functional rating system for assessing stock performance [4] Zacks Rank and Valuation - Sensus Healthcare, Inc. currently holds a Zacks Rank of 3 (Hold), with the consensus EPS estimate remaining steady over the past month [5] - The company is trading at a Forward P/E ratio of 9.56, which is a discount compared to the industry average Forward P/E of 28.24 [6] Industry Context - The Medical - Instruments industry, to which Sensus Healthcare belongs, has a Zacks Industry Rank of 76, placing it in the top 31% of over 250 industries [6][7] - The Zacks Industry Rank assesses the strength of industry groups based on the average Zacks Rank of individual stocks, indicating that top-rated industries outperform lower-rated ones by a factor of 2 to 1 [7]