InMode (NasdaqGS:INMD) FY Conference Summary Company Overview - **Company**: InMode - **Industry**: Aesthetic medical devices - **Conference Date**: March 11, 2026 Key Points Market Outlook - After two years of declining business, InMode expects 2026 to be flat on the top line, with hopes for improvement thereafter [5][7] - There are signs of recovery in end markets, although caution is advised regarding optimism [2][5] - Demand for aesthetic procedures is anticipated to return, despite recent declines across various segments, including energy-based devices and injectables [7][10] Organizational Changes - InMode has restructured its U.S. team, appointing a new president and two new VPs to enhance leadership and execution [10][12] - A dedicated sales team has been established to focus on non-aesthetic wellness devices, including eye care and women's health products [12][13] Strategic Focus - The company is expanding into non-aesthetic markets, including women's health and ophthalmology, with plans to enter ENT next year [22][23] - InMode is working on obtaining U.S. indications for dry eye treatment, which is expected to boost sales once achieved [22][24] Product Development - InMode has introduced new laser products, including a CO2 laser and a Pico laser, to complement its existing offerings [27][28] - The strategy aims to create a one-stop shop for customers, reducing reliance on competitors for energy-based devices [27][28] Financial Considerations - Margins are under pressure due to the competitive nature of the laser market, which is considered a commodity [31][32] - The company is exploring various options for capital allocation, including share buybacks, dividends, and potential M&A opportunities [46][47] Future Growth Potential - Growth in the U.S. market is crucial for margin improvement, as it has historically been the most profitable region for InMode [55][56] - The company is monitoring tariffs closely, as their removal could positively impact margins [56][58] New Product Launches - The Pico laser was launched in Q1 2026, with additional products, including a new version of Morpheus8 and an Erbium laser, expected later in the year [68][72][80] Business Model - InMode maintains a business model that avoids the "razor and razor blade" approach, focusing on device sales without relying heavily on consumables [52][53] Additional Insights - The company is optimistic about the potential for growth in new markets, particularly in women's health, which is projected to be larger than ophthalmology [23] - The focus on bundling products, such as combining RF devices with lasers, is seen as a lucrative strategy to enhance sales [41][42] This summary encapsulates the key insights and strategic directions discussed during the InMode FY Conference, highlighting the company's outlook, organizational changes, product development, and financial strategies.