STRATA Skin Sciences(SSKN) - 2025 Q3 - Quarterly Results

Revenue Performance - Revenue for Q3 2025 was $6.9 million, a decrease of 21% compared to Q3 2024[6] - Total revenues for the three months ended September 30, 2025, decreased by 21.2% to $6.929 million from $8.797 million in the same period of 2024[28] - Global recurring revenue increased by 3% year-over-year to $5.5 million, while equipment revenue decreased by 60% to $1.4 million[6] Profitability and Loss - Net loss for Q3 2025 was $1.6 million, or EPS of negative $0.36, an improvement from a net loss of $2.1 million, or EPS of negative $0.51, in Q3 2024[7] - Net loss for the three months ended September 30, 2025, was $1.622 million, compared to a net loss of $2.074 million in the same period of 2024, representing a 22% improvement[28] - Gross profit for the nine months ended September 30, 2025, was $12.267 million, down 8.9% from $13.459 million in 2024[28] Operating Expenses - Total operating expenses decreased to $5.4 million from $6.9 million in the prior-year period[7] - Operating expenses for the nine months ended September 30, 2025, totaled $17.455 million, a decrease of 5.3% from $18.429 million in 2024[28] - The company recorded a stock-based compensation expense of $469,000 for the nine months ended September 30, 2025, compared to $301,000 in 2024[31] Cash and Assets - Cash and cash equivalents at September 30, 2025, were $7.1 million[8] - Cash and cash equivalents at the end of the period were $7.076 million, down from $8.396 million at the end of September 2024[30] - Total current assets decreased by 14% to $14.272 million as of September 30, 2025, from $16.595 million at December 31, 2024[26] Liabilities - Total liabilities decreased slightly by 1.8% to $29.403 million as of September 30, 2025, from $29.956 million at December 31, 2024[26] Market and Growth Potential - Positive developments in ongoing litigation are expected to translate to increased revenue in the coming quarters[3] - The company anticipates growth from newly approved reimbursement codes for XTRAC treatments, potentially tripling the covered patient population in the U.S.[5] Device Install Base - The U.S. install base of XTRAC devices declined by 6 to 838, while the install base of TheraClearX was 161[5] Billing Metrics - Average gross billings per device increased by 8.5% to $5,981, the highest since Q4 2022[5] Shareholder Information - The weighted average shares of common stock outstanding for the three months ended September 30, 2025, increased to 4,481,337 from 4,038,988 in 2024[28]