ATLANTA, March 25, 2025 (GLOBE NEWSWIRE) -- A shareholder class action lawsuit has been filed against Zynex, Inc. (“Zynex” or the “Company”) (NASDAQ: ZYXI). The lawsuit alleges that Defendants made materially false and/or misleading statements and/or failed to disclose material adverse facts regarding Zynex’s business, operations, and prospects, including allegations that: (1) Zynex shipped products, including electrodes, in excess of need; (2) as a result of this practice, the Company inflated its revenue; ...

LOS ANGELES, March 25, 2025 /PRNewswire/ -- The Schall Law Firm, a national shareholder rights litigation firm, reminds investors of a class action lawsuit against Zynex, Inc. ("Zynex" or "the Company") (NASDAQ: ZYXI) for violations of §§10(b) and 20(a) of the Securities Exchange Act of 1934 and Rule 10b-5 promulgated thereunder by the U.S. Securities and Exchange Commission.Investors who purchased the Company's securities between March 13, 2023 to March 11, 2025, inclusive (the "Class Period"), are encoura ...

Core Viewpoint - A class action lawsuit has been filed against Zynex, Inc. for allegedly making false and misleading statements regarding its business practices and financial performance during the specified Class Period [1][3]. Summary by Relevant Sections Class Action Details - The lawsuit is filed on behalf of all individuals and entities who purchased Zynex securities between March 13, 2023, and March 11, 2025, with a deadline of May 19, 2025, for investors to apply as lead plaintiffs [1]. Allegations Against Zynex - The complaint alleges that Zynex shipped products, including electrodes, in excess of actual need, leading to inflated revenue figures [3]. - It is claimed that Zynex's practice of filing false claims attracted scrutiny from insurers, including Tricare, which could result in adverse consequences such as removal from insurer networks and federal penalties [3]. - The lawsuit asserts that the positive statements made by Zynex regarding its business and prospects were materially misleading and lacked a reasonable basis due to the undisclosed practices [3].

NEW YORK, March 24, 2025 /PRNewswire/ --Why: Rosen Law Firm, a global investor rights law firm, announces that an investor filed a class action on behalf of persons or entities who purchased or otherwise acquired Zynex, Inc. (NASDAQ: ZYXI) securities between March 13, 2023 and March 11, 2025, both dates inclusive (the "Class Period"). A class action lawsuit has already been filed. If you wish to serve as lead plaintiff, you must move the Court no later than May 19, 2025.So What: If you purchased Zynex secur ...

SAN DIEGO, March 21, 2025 /PRNewswire/ -- Robbins LLP informs stockholders that a class action was filed on behalf of persons and entities that purchased or otherwise acquired Zynex, Inc. (NASDAQ: ZYXI) securities between March 13, 2023 to March 11, 2025. Zynex is a medical device manufacturer that produces and markets electrotherapy devices for use in pain management and physical rehabilitation.For more information, submit a form, email attorney Aaron Dumas, Jr., or give us a call at (800) 350-6003.The All ...

Core Viewpoint - Zynex, Inc. is under investigation for potential securities fraud and unlawful business practices following a significant revenue shortfall and a major drop in stock price due to payment issues from key payers [1][2]. Financial Performance - Zynex reported a revenue shortfall in Q4 2024 attributed to slower than normal payments from certain payers [2]. - The company disclosed that Tricare, which accounts for approximately 20-25% of its annual revenue, has temporarily suspended payments while reviewing prior claims [2]. - Following this announcement, Zynex's stock price plummeted by $3.59 per share, or 51.3%, closing at $3.41 per share on March 12, 2025 [2]. Legal Context - Pomerantz LLP is investigating claims on behalf of Zynex investors regarding possible securities fraud or other unlawful business practices by the company and its officers/directors [1]. - Pomerantz LLP is recognized for its expertise in corporate, securities, and antitrust class litigation, having a long history of fighting for victims of securities fraud [3].

NEW YORK, March 14, 2025 (GLOBE NEWSWIRE) -- The law firm of Kirby McInerney LLP is investigating potential claims against Zynex, Inc. ("Zynex" or the "Company") (NASDAQ:ZYXI). The investigation concerns whether Zynex and/or certain of its officers have violated the federal securities laws and/or engaged in other unlawful business practices. [LEARN MORE ABOUT THE INVESTIGATION] On March 11, 2025, after market hours, Zynex released its fourth quarter and full year 2024 financial results, revealing a revenue ...

Core Insights - Zynex, Inc. reported lower than expected revenue for the fourth quarter and full year ended December 31, 2024, primarily due to slower payments from certain payers and a temporary suspension of payments by Tricare as they review prior claims [1] Company Summary - Zynex, Inc. is currently under investigation by Holzer & Holzer, LLC to determine if the company complied with federal securities laws following the disappointing financial results announcement [1] - The announcement of the revenue shortfall led to a decline in Zynex's stock price [1] Legal Context - Holzer & Holzer, LLC is a law firm specializing in representing shareholders and investors in securities litigation, including class action and derivative litigation [3] - The firm has a history of recovering significant amounts for shareholders affected by corporate misconduct [3]

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Financial Data and Key Metrics Changes - Net revenue for Q4 2024 was $46 million, a decrease from $47.3 million in Q4 2023 [33] - Device revenue decreased to $14.8 million from $16.3 million year-over-year, while supplies revenue increased slightly to $31.2 million from $31 million [33] - Gross profit remained stable at $36 million, representing 78% of revenue, consistent with the previous year [34] - Net loss for Q4 2024 was $615,000, compared to a net income of $1.2 million in Q4 2023 [35] - Adjusted EBITDA fell to $584,000 from $9.9 million in the same quarter last year [35] Business Line Data and Key Metrics Changes - Revenue increased by 4% in 2024, with order growth at 16% [24] - Average revenue per sales representative increased by 22% to $490,000 in 2024, despite a reduction in the total number of sales representatives from approximately 475 to 330 [24] Market Data and Key Metrics Changes - The patient monitoring business is expected to enter a multi-billion dollar market with the anticipated FDA clearance of the NiCO pulse oximeter [32] - The company is optimistic about capturing identified sales opportunities within its designated sales territories, estimated at $800 million [13] Company Strategy and Development Direction - The company is diversifying its revenue streams by adding new products, including private label products in bracing and compression [7] - Focus on expanding the sales force to new prescribers, including national workers' compensation chains and the VA [7] - The company aims to maintain a long-term growth vision despite short-term disruptions, emphasizing the importance of product diversification [14] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the long-term prospects of the company, despite challenges related to Tricare's temporary payment suspension [12][37] - The company is restructuring to optimize its cost structure and has implemented measures to ensure long-term growth and profitability [11][15] - Revenue guidance for 2025 remains uncertain due to the lack of visibility surrounding Tricare payments, with an anticipated Q1 revenue of approximately $30 million [39] Other Important Information - Tricare's temporary suspension of payments could significantly impact revenue, as it represents 20% to 25% of total revenue [19] - The company is undergoing a staff reduction of 15%, primarily affecting corporate office employees, which is expected to result in annual savings of approximately $35 million [23] Q&A Session Summary Question: What was accomplished in the fourth quarter regarding staff reductions? - The company achieved about $30 million in annual savings, with less than half realized in 2024, and expects further reductions in sales and G&A expenses [46][47] Question: What is the commercial path to market for the NiCO pulse oximeter? - The strategy includes direct sales, partnerships with distributors, and an indirect sales force to penetrate the market upon FDA clearance [52][54] Question: What was the nature of the 2022 audit by Tricare? - The audit was a routine post-payment audit with standard adjustments suggested, and no major issues were identified [58] Question: Why is there a lack of visibility into sales for 2025? - The uncertainty is primarily due to Tricare's significant role in revenue, and the company is cautious about providing guidance until more clarity is obtained [61] Question: What is the plan for the upcoming meeting with Tricare? - The company will present data from the 2022 audit and highlight compliance with previous adjustments during the appeal meeting [64] Question: Could other payers follow Tricare's lead in reviewing claims? - Management does not foresee a connection between Tricare's actions and other payers, emphasizing that each operates independently [70]