Financial Data and Key Metrics Changes - Total revenue for Q3 2025 was $13.8 million, down $1.2 million, or 8% year-over-year [12] - Gross profit decreased by $1.1 million, or 11%, to $8.8 million compared to Q3 2024 [14] - Net loss attributable to stockholders for Q3 2025 was $22.6 million, or $12.14 per share, compared to a net loss of $9.3 million, or $13.10 per share for Q3 2024 [17] Business Line Data and Key Metrics Changes - Revenue from energy-based devices (EBD) increased 2% year-over-year to $9.5 million [12] - Revenue from product systems decreased by 12%, products other revenue decreased by 15%, and services revenue decreased by 5% [12] - The percentage of total systems revenue from internal lease programs was approximately 27%, up from 23% in the prior year [13] Market Data and Key Metrics Changes - U.S. revenue decreased by $1.1 million, or 12% year-over-year, while international revenue decreased by $0.2 million, or 3% year-over-year [12] - The company anticipates GLP-1 usage to grow to more than 32 million patients globally by 2030, which is expected to drive demand for its technologies [6] Company Strategy and Development Direction - The company is focusing on a turnaround strategy initiated in 2023, emphasizing the launch of the Venus Nova product as part of its strategic initiative [5][6] - The pending sale of the Venus hair business is seen as a strategic move to concentrate on the global medical aesthetics business [10] - The company aims to enhance its product portfolio to focus on total practice performance, integrating patient management from entry to post-treatment [8] Management's Comments on Operating Environment and Future Outlook - Management noted challenges in the hair restoration business due to economic uncertainty and tight credit markets affecting robotic system adoption [4] - The company is managing cash burn through disciplined cost management and is evaluating strategic alternatives to maximize shareholder value [11][19] - The company is not providing full-year 2025 financial guidance due to ongoing market conditions and strategic evaluations [19] Other Important Information - The company has made significant progress in improving its balance sheet, with cash and cash equivalents of $5.9 million and total debt obligations reduced to approximately $30.1 million [18] - The company has engaged in multiple transactions to enhance its financial profile, including a debt-to-equity exchange totaling $11.4 million [8][19] Q&A Session Summary Question: What is the outlook for the Venus hair business sale? - The company is facing challenges in closing the sale of the Venus hair business to MHG Coal Limited and is seeking assistance from the Delaware Court to meet closing conditions [9]

Financial Data and Key Metrics Changes - The company reported total revenue of $15.7 million, a decrease of $900,000 or 5% year over year [14] - Gross profit decreased by $2.4 million or 20% to $9.4 million compared to the previous year [15] - Gross margin was 60.1% of revenue, down from 71.5% in the previous year [17] - Net loss attributable to stockholders was $11.7 million or $8.03 per share, compared to a net loss of $20 million or $30.93 per share for the previous year [18] - Adjusted EBITDA loss was $8.8 million compared to an adjusted EBITDA loss of $4.1 million for the previous year [18] Business Line Data and Key Metrics Changes - Total systems and subscription revenue grew by 20% in the second quarter [5] - Cash system sales in the U.S. represented 65% of total U.S. system sales, up from 58% the previous year [9] - Revenue from the company's internal lease program, Venus Prime, accounted for approximately 37% of total systems revenue, compared to 34% in the prior year [15] Market Data and Key Metrics Changes - U.S. revenue increased by 5% year over year, while international sales declined by 18% [6] - The company noted that customer financing pressures and economic uncertainty are impacting system adoption [7] - The international business is particularly exposed to macroeconomic headwinds, including tariffs affecting distributor demand [8] Company Strategy and Development Direction - The company announced a definitive agreement to sell the Venus Hair business for $20 million, allowing a focus on the global medical aesthetics business [10] - The strategic transaction is expected to improve revenue growth, lower operating expenses, and enhance cash flow [10] - The company aims to transition to higher quality cash revenues and is focused on launching a new body device by early 2026 [12][13] Management's Comments on Operating Environment and Future Outlook - Management expressed that the year-over-year results indicate potential revenue stabilization despite a challenging capital equipment environment [6] - The company is managing cash burn through disciplined cost management and targeted investments for long-term growth [13] - Due to ongoing market conditions and trade disruptions, the company is not providing full-year 2025 financial guidance [20] Other Important Information - The company has made significant progress in improving its balance sheet, with cash and cash equivalents of $4.9 million and total debt obligations reduced to approximately $34.3 million [19] - The company exchanged $17.5 million of subordinated convertible notes for preferred stock, enhancing its financial profile [20] Summary of Q&A Session - There was no live Q&A session due to international travel conflicts, and all follow-up questions were directed to the investor inquiries email address [21]