Financial Data and Key Metrics Changes - The company reported record revenue of $19.2 million for Q4 2025, a 35% increase from $14.2 million in the same period last year [7][26] - Gross profit for Q4 2025 increased to $12 million, with a gross profit margin of 62.6%, slightly down from 63% in the prior year [30] - Net loss attributable to stockholders was $1.3 million or $0.03 per share for Q4 2025, compared to a net loss of $4.6 million or $0.12 per share in the prior year [32] Business Line Data and Key Metrics Changes - Revenue from the surgical aesthetics segment increased 38% to $16.7 million in Q4 2025, driven by sales of the AYON body contouring system [27][28] - OEM segment sales increased 16% to $2.5 million in Q4 2025, attributed to increased sales volume to existing customers [29] Market Data and Key Metrics Changes - Domestic revenue increased 42% year-over-year to $15 million, while international revenue increased 15% year-over-year to $4.2 million [29] - The company noted a significant shift in the market driven by the adoption of GLP-1 drugs for weight loss, leading to increased demand for aesthetic treatments [17][19] Company Strategy and Development Direction - The company is focused on expanding the AYON platform and enhancing its market position by submitting a follow-up application for power liposuction, expected to receive clearance in mid-2026 [14][15] - Apyx Medical is strengthening its commercial organization by acquiring high-caliber sales talent to support growth and market share [21][68] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the market's reaction to AYON, indicating that the adoption curve is still in the early stages and that the company is well-positioned to capitalize on market shifts [11][20] - The company anticipates total revenue for 2026 to be in the range of $57.5 million to $58.5 million, reflecting a 9%-11% increase compared to 2025 [36] Other Important Information - Cash used in operating activities decreased to $2.5 million in Q4 2025 from $2.9 million in the prior year, with total cash burn for the year decreasing to $8 million from $18.7 million [33][34] - The company had cash and cash equivalents of $31.7 million as of December 31, 2025, and expects to maintain cash flow through 2027 [35] Q&A Session Summary Question: Can you provide more details on handpiece and capital equipment sales? - Management indicated that growth in Q4 was driven by AYON, with domestic sales growing almost 50% [50] Question: What is the pricing strategy for AYON? - The list price of AYON is approximately $360,000, which includes the Apyx One generator and complementary components [53] Question: What feedback have you received from customers regarding AYON? - Customers have expressed strong satisfaction with AYON, with requests for the power-assisted handpiece expected in the first half of the year [58] Question: What are the plans for AYON's international expansion? - Currently, AYON is approved only in the U.S., with plans to register in key countries like Europe and Brazil [74] Question: What is the expected cash flow situation moving forward? - The company plans to be cash flow positive no later than Q4 2026 [83]

Financial Data and Key Metrics Changes - The company reported record revenue of $19.2 million for Q4 2025, a 35% increase from $14.2 million in the same period last year [5][16] - Gross profit for Q4 2025 increased to $12 million compared to $9 million in the prior year, while gross profit margin slightly decreased to 62.6% from 63% [18] - Net loss attributable to stockholders was $1.3 million or $0.03 per share for Q4 2025, compared to a net loss of $4.6 million or $0.12 per share in the prior year [19] Business Line Data and Key Metrics Changes - Revenue from the surgical aesthetics segment increased by 38% to $16.7 million in Q4 2025, driven primarily by sales of the AYON body contouring system [6][16] - The OEM segment saw a 16% increase in sales to $2.5 million for Q4 2025, attributed to increased sales volume to existing customers [17] Market Data and Key Metrics Changes - Domestic revenue increased by 42% year-over-year to $15 million, while international revenue increased by 15% year-over-year to $4.2 million [17] - The company noted a significant shift in the aesthetics market driven by the adoption of GLP-1 drugs for weight loss, leading to increased demand for body contouring treatments [12][13] Company Strategy and Development Direction - The company plans to focus resources on the surgical aesthetics segment, expecting revenue in this segment to reach $53 million-$54 million in 2026, reflecting a 17%-19% increase compared to 2025 [21] - The company is actively strengthening its commercial organization by acquiring high-caliber sales talent to support growth and market share [14][43] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the market reception of AYON, indicating that the adoption curve is still in the early stages and that the product has exceeded expectations [8][36] - The company anticipates achieving market clearance for power liposuction in mid-2026, which is expected to further enhance AYON's market position [10] Other Important Information - Cash used in operating activities decreased to $2.5 million in Q4 2025 from $2.9 million in the prior year, and for the full year, cash used decreased to $8 million from $18.7 million [19][20] - The company expects to be cash flow positive no later than Q4 2026, with cash projected to last through 2027 [20][55] Q&A Session Summary Question: Can you provide more color on handpiece and CapEx sales? - The growth in Q4 was driven by AYON, with domestic sales increasing nearly 50% [24][29] Question: Any pricing commentary on AYON? - The list price of AYON is approximately $360,000, providing a value proposition for doctors [32] Question: What has been going well with AYON six months into the launch? - Customer feedback has been overwhelmingly positive, with requests for the power-assisted handpiece expected in the first half of the year [35][36] Question: How are territories divided for new salespeople? - The company is leveraging the strength of AYON to attract top talent in the industry [42][43] Question: What countries is AYON approved in? - Currently, AYON is approved only in the United States, with plans for registration in key countries like Europe and Brazil [48]

Financial Data and Key Metrics Changes - Total revenue for Q4 2024 was $14.2 million, a decrease of 3% compared to $14.7 million in Q4 2023 [7][23] - Gross profit for Q4 2024 increased to $9 million, with a gross profit margin of 63.0%, up from 60.9% in the prior year [25] - Net loss attributable to stockholders was $4.6 million or $0.12 per share for Q4 2024, compared to a net loss of $9.6 million or $0.28 per share in Q4 2023 [28] Business Segment Data and Key Metrics Changes - Advanced Energy segment revenue was flat at approximately $12.1 million, with a 30% increase compared to Q3 2024 [8][24] - OEM segment sales decreased by 16% to approximately $1.6 million in Q4 2024 compared to Q4 2023 [24] - Domestic revenue increased by 1% year-over-year to $10.6 million, while international revenue decreased by 8% to $3.7 million [25] Market Data and Key Metrics Changes - The aesthetic market has faced challenges due to the macroeconomic environment and the adoption of GLP-1 drugs, which have diverted discretionary spending [9][10] - The company believes that patients who have lost weight due to GLP-1 drugs will seek surgical solutions, positioning the Renuvion system favorably [11][12] Company Strategy and Development Direction - The company is focusing on the launch of the AYON Body Contouring System, expected in the second half of 2025, which integrates multiple surgical technologies [16][18] - Apyx Medical aims to capitalize on the growing demand for surgical aesthetics, particularly for patients experiencing skin laxity after significant weight loss [12][60] - A restructuring program was implemented to reduce U.S. workforce by nearly 25%, aiming for annualized cost savings of approximately $4.3 million [20][21] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism about the momentum in the Advanced Energy segment and the potential for growth in 2025 [8][9] - The company anticipates total revenue for 2025 to be in the range of $47.6 million to $49.0 million, reflecting a slight increase from 2024 [30] - Management noted that the aesthetic space is experiencing disruption due to the impact of GLP-1 drugs, which could benefit companies with the right technologies [62] Other Important Information - The company completed a registered direct offering with net proceeds of approximately $6.8 million to strengthen its balance sheet [21] - Cash and cash equivalents as of December 31, 2024, were $31.7 million, down from $43.7 million a year earlier [29] Q&A Session Summary Question: Confirmation of gross margin for 2025 - Management confirmed that they expect gross margins to be around 60% for 2025 [34][35] Question: Timing and revenue expectations for AYON - Management indicated that the guidance for AYON has not been updated despite the earlier submission for FDA approval, and revenue expectations remain conservative [40][41] Question: Changes in direct-to-consumer campaign and future outlook - Management highlighted the success of the DTC campaign and the importance of addressing the needs of patients experiencing skin laxity due to weight loss [50][52] Question: Domestic vs. international market performance - Management noted that the U.S. market is performing better due to early adoption of GLP-1 drugs, with expectations for similar trends internationally [56][58] Question: Adoption of GLP-1s and utilization of Renuvion - Management reported growth in handpiece sales in the U.S. and noted that surgical practices are adapting to treat patients with skin laxity effectively [66][70] Question: Upgrades for the Apyx One Console - Management stated that there is still a significant number of customers who need to upgrade to the Apyx One Console before AYON's launch [72][75]

Financial Data and Key Metrics Changes - Total revenue for Q4 2024 was $14.2 million, a slight decrease of 3% compared to $14.7 million in Q4 2023 [7][23] - Gross profit for Q4 2024 increased to $9 million, with a gross profit margin of 63.0%, up from 60.9% in the prior year [25] - Net loss attributable to stockholders was $4.6 million or $0.12 per share for Q4 2024, compared to $9.6 million or $0.28 per share in Q4 2023 [28] Business Segment Data and Key Metrics Changes - Advanced Energy segment revenue was flat at approximately $12.1 million, with a 30% growth compared to Q3 2024 [8][24] - OEM segment sales decreased by 16% to approximately $1.6 million in Q4 2024 compared to Q4 2023 [24] - Domestic revenue increased by 1% year-over-year to $10.6 million, while international revenue decreased by 8% to $3.7 million [25] Market Data and Key Metrics Changes - The aesthetic market has faced softness due to macroeconomic factors and the adoption of GLP-1 drugs, which have diverted discretionary spending [9][10] - The company anticipates a surge in demand for surgical solutions as patients who have lost weight from GLP-1 drugs seek treatments for loose skin [11][12] Company Strategy and Development Direction - The company is focusing on the launch of the AYON Body Contouring System, expected in the second half of 2025, which integrates multiple surgical technologies [16][18] - Apyx Medical aims to position itself as a leader in surgical aesthetics, leveraging its proprietary technology and direct-to-consumer marketing strategies [12][15] Management's Comments on Operating Environment and Future Outlook - Management noted that the aesthetic space is undergoing significant changes due to the impact of GLP-1 drugs, which have disrupted traditional non-invasive procedures [61][62] - The company believes that its Renuvion system is uniquely positioned to meet the needs of patients post-weight loss, and it expects to see growth in surgical procedures as a result [11][12] Other Important Information - A restructuring program was implemented, reducing the U.S. workforce by nearly 25%, expected to yield annualized cost savings of approximately $4.3 million [20][21] - The company completed a registered direct offering with net proceeds of approximately $6.8 million to strengthen its balance sheet [21] Q&A Session Summary Question: Confirmation of gross margin for 2025 - Management confirmed that they expect gross margins to be around 60% for 2025, similar to 2024 [35][37] Question: Timing and revenue expectations for AYON - Management indicated that the guidance for AYON has not been updated despite the earlier submission for FDA approval, and revenue expectations remain conservative [40][42] Question: Success of direct-to-consumer campaign - Management highlighted that the direct-to-consumer campaign has significantly exceeded expectations, driven by the unique needs of patients experiencing skin laxity post-weight loss [52][53] Question: Domestic vs. international market performance - Management noted that the U.S. market is performing better due to early adoption of GLP-1 drugs, and they expect similar trends to emerge internationally [56][58] Question: Adoption of GLP-1s and utilization of Renuvion - Management reported growth in handpiece sales in the U.S. and noted that surgical practices are adapting to meet the needs of patients with skin laxity [67][70] Question: Upgrades for the Apyx One Console - Management stated that there is still a significant number of customers who need to upgrade to the Apyx One Console, and they plan to offer special pricing for existing customers [75]