Shoulder Innovations Reports Third Quarter 2025 Financial Results and Increases Full-Year Revenue Guidance

Core Insights - Shoulder Innovations, Inc. reported a significant revenue growth of 58% in Q3 2025, reaching $11.8 million compared to $7.5 million in Q3 2024, driven by an increase in implant systems sold and new customer acquisitions [2][14] - The company anticipates a full-year revenue of $45 million to $46 million for 2025, representing a growth of approximately 42% to 45% over 2024, an increase from previous guidance of $42 million to $44 million [8] - The company is focused on expanding its market share in the $2.8 billion global shoulder surgical care market, leveraging its innovative product ecosystem and strong clinical results [2][12] Financial Performance - Net revenue for Q3 2025 was $11.8 million, a 58% increase from $7.5 million in Q3 2024 [2][18] - Gross margin for Q3 2025 was 76.2%, slightly down from 76.5% in Q3 2024 [3] - Selling, general, and administrative expenses rose 78% to $15.1 million in Q3 2025, primarily due to increased headcount and legal costs [3] - Research and development expenses increased by 40% to $1.5 million in Q3 2025, reflecting investment in new product development [4] - Operating loss for Q3 2025 was $7.6 million, compared to a loss of $3.9 million in Q3 2024, with a net loss of $8.7 million compared to $4.1 million in the prior year [5][6] Market Position and Strategy - The company is expanding its I-Series humeral stem product line, including the full commercial launch of the InSet™ 70 and receiving FDA 510(k) clearance for certain fracture indications [14] - Shoulder Innovations aims to address challenges in shoulder arthroplasty through its ecosystem of products, digital solutions, and a differentiated commercial model [2][12] - The company emphasizes the importance of the number of implant systems sold as a key business metric to drive demand and revenue [11]