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EDAP Reports Strong Second Quarter 2025 HIFU Results

1. +140% growth in Focal One placements year-over-year indicates strong market demand. 2. EDAP projects 2025 core HIFU growth between 26% and 34%, raising previous guidance. 3. 76.8% year-over-year revenue growth reflects rising adoption and expanded usage of Focal One. 4. Executed a €36 million credit facility with EIB to support strategic growth initiatives. 5. Gross profit margins increased to 42.5%, driven by focus on core HIFU business.

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FAQ

Why Very Bullish?

The significant revenue growth and credit facility execution suggest strong future performance for EDAP, historically reflecting positive stock performance during similar growth phases.

How important is it?

The combination of strong financial results, future growth projections, and strategic partnerships creates a highly impactful scenario for EDAP's market position.

Why Long Term?

Sustained adoption and pipeline strength indicate prolonged growth potential, similar to outcomes seen when companies expand successful product lines.

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+140% Focal One® Net Placement Growth Year over Year+76.8% HIFU Revenue Growth Year over Year 36 million Euro Credit Facility Letter of Intent Executed with European Investment Bank (EIB) to further accelerate HIFU Growth and Strategic Expansion Company raises 2025 HIFU Year over Year Revenue Growth Guidance range to 26% to 34%, up from the prior range of 16% to 25%  Company to Host Conference Call and Webcast Today, August 28th, at 8:30 a.m. EDT  AUSTIN, Texas, August 28, 2025 - EDAP TMS SA (Nasdaq: EDAP), the global leader in robotic energy-based therapies, reported today unaudited consolidated financial results for the second quarter of 2025. “We experienced our strongest second quarter performance in our company’s history, placing a net total of 12 Focal One Robotic HIFU Systems with increased customer demand coming from both U.S. and international markets,” said Ryan Rhodes, Chief Executive Officer. “The strong year over year growth in the second quarter underscores the accelerating momentum of our leading Focal One platform and its increased adoption amongst urologists. To continue to advance the expansion of Focal One, including new indications and further development of focused ultrasound technologies, we executed a letter of intent with the European Investment Bank that will provide a significant source of low interest rate capital. As we enter the second half of 2025, our Focal One pipeline continues to strengthen, and we anticipate demand for Focal One continuing to grow as more prostate cancer patients recognize the advantages of the Focal One treatment. This momentum is further supported by the groundbreaking publication from the large multicenter prospective comparative HIFI study and the compelling Level 1 clinical evidence from the FARP Randomized Controlled Trial, both of which are gaining wider dissemination within the global urology community.” Business Update On August 26, 2025, the Company announced a letter of intent for credit facility with the European Investment Bank (EIB) for 36 million EurosOn July 1, 2025, the Company announced that, effective January 1, 2026, EDAP will become a U.S. domestic filer and will begin complying with corresponding U.S. SEC reporting rules and Nasdaq listing requirementsOn April 29, 2025, the Company announced that the positive final 3-year outcomes of Focal Ablation versus Radical Prostatectomy (FARP) Randomized Controlled Trial (RCT) were presented at the 120th AUA Annual MeetingOn April 24, 2025, the Company announced the launch of the new Focal One i Robotic HIFU System Upcoming Meetings and Events EDAP management will attend and present at the upcoming H.C. Wainwright 27th Annual Global Investment Conference, in New York City from September 8-10, 2025. The Company is scheduled to present on September 9th from 8:30AM - 9:00AM ET and will also conduct 1x1 investor meetings. Click https://journey.ct.events/view/ede7e5df-b6f5-4ffb-a947-50a936dfb93b to register for the EDAP webcast. 2025 Financial Guidance The Company is updating its 2025 financial guidance. Core HIFU business revenue is now expected to grow within the range of 26% to 34% year over year, and combined non-core ESWL and Distribution business revenue is expected to decline within the range of 25% to 30% year over year. This compares to previous revenue guidance issued at the beginning of the calendar year 2025 of year over year revenue growth between 16% and 25% in core HIFU business, and year over year revenue decline between 20% and 25% in non-core ESWL and Distribution business. Second Quarter 2025 Results Total revenue in the HIFU business for the second quarter of 2025 was EUR 8.5 million (USD 9.7 million), as compared to EUR 4.8 million (USD 5.2 million) for the second quarter of 2024, representing growth of +76.8% on a year over year basis. The increase in year over year growth of the HIFU division was driven by nine Focal One capital sales in the second quarter of 2025 versus three systems sales in the second quarter of 2024. The Company recorded a 23.9% year over year growth in worldwide disposable revenue. Focal One procedures grew 4.8% in the U.S. on a year over year basis. Total revenue in the Company’s non-core business (ESWL and Distribution) for the second quarter of 2025 was EUR 7.6 million (USD 8.7 million), as compared to EUR 11.0 (USD 11.8 million) for the second quarter of 2024. The decline in non-core business revenue was expected based on the Company’s strategic decision to focus exclusively on the high growth opportunity in focal therapy with the Focal One Robotic HIFU platform. Total worldwide revenue for the second quarter of 2025 was EUR 16.0 million (USD 18.4 million), an increase of 1.6% as compared to worldwide revenue of EUR 15.8 million (USD 17.0 million) for the same period in 2024. Gross profit for the second quarter of 2025 was EUR 6.8 million (USD 7.8 million), compared to gross profit of EUR 5.9 million (USD 6.4 million) for the year-ago period. Gross profit margin on net sales was 42.5% in the second quarter of 2025, compared to 37.5% for the comparable period in Q2 2024. The increase in gross profit margin on a year over year basis was primarily due to Company’s strategic focus on its core HIFU business segment, which drives higher gross margins. Operating expenses were EUR 12.6 million (USD 14.5 million) for the second quarter, compared to EUR 12.1 million (USD 13.0 million) for the same period in 2024. The increase in operating expenses was primarily due to focused investments in our HIFU business. Operating loss for the second quarter of 2025 was EUR 5.8 million (USD 6.6 million), compared to an operating loss of EUR 6.1 million (USD 6.6 million) in the second quarter of 2024. Net loss for the second quarter of 2025 was EUR 5.6 million (USD 6.4 million), or EUR (0.15) per share, as compared to net loss of EUR 6.1 million (USD 6.6 million), or EUR (0.16) per share in the second quarter of 2024. First Half 2025 Results Total revenue in the HIFU business for the six months ended June 30, 2025, was EUR 14.7 million (USD 16.1 million), an increase of 38.5% as compared to EUR 10.6 million (USD 11.4 million) for the six months ended June 30, 2024. Total revenue in the Company’s non-core business (ESWL and Distribution) business for the six months ended June 30, 2025, was EUR 15.0 million (USD 16.5 million), a 25.7% decrease compared to EUR 20.1 million (USD 21.7 million) for the six months ended June 30, 2024. Total worldwide revenue for the six months ended June 30, 2025, was EUR 29.6 million (USD 32.6 million), a decrease of 3.6% from total worldwide revenue of EUR 30.7 million (USD 33.1 million) for the same period in 2024. Gross profit for the six months ended June 30, 2025, was EUR 12.5 million (USD 13.8 million), compared to EUR 12.3 million (USD 13.3 million), for the six months ended June 30, 2024. Gross profit margin on net sales was 42.3% for the six months ended June 30, 2025, compared to 40.1% for the comparable period in 2024. Operating expenses were EUR 24.3 million (USD 26.7 million) for the six months ended June 30, 2025, compared to EUR 23.3 million (USD 25.1 million) for the same period in 2024. Operating loss for the six months ended June 30, 2025, was EUR 11.8 million (USD 13.0 million), compared to an operating loss of EUR 11.0 million (USD 11.8 million) for the six months ended June 30, 2024. Net loss for the six months ended June 30, 2025, was EUR 12.7 million (USD 14.0 million), or EUR (0.34) per share, as compared to a net loss of EUR 10.7 million (USD 11.5 million), or EUR (0.29) per share for the six months ended June 30, 2024. As of June 30, 2025, the Company held cash and cash equivalents of EUR 16.3 million (USD 19.1 million) as compared to EUR 22.8 million (USD 24.6 million) as of March 31, 2025. Conference Call Information A conference call and webcast to discuss the second quarter 2025 financial results will be hosted by Ryan Rhodes, Chief Executive Officer, Ken Mobeck, Chief Financial Officer, and François Dietsch, Chief Accounting Officer. Please refer to the information below for conference call dial-in information and webcast registration. Date:                        Thursday, August 28th @ 8:30am Eastern TimeDomestic:                  1-800-274-8461International:              1-203-518-9814Passcode (Conf ID):    EDAP                Webcast:                 https://viavid.webcasts.com/starthere.jsp?ei=1726716&tp_key=220919ac3d About EDAP TMS SA A recognized leader in robotic energy-based therapies, EDAP TMS develops, manufactures, promotes and distributes worldwide minimally invasive medical devices for various conditions using ultrasound technology. By combining the latest technologies in imaging, robotics and precise non-invasive energy delivery, EDAP introduced the Focal One® in Europe and in the U.S. as the leading prostate focal therapy controlled by urologists with the potential to expand to multiple indications beyond prostate cancer. For more information on the Company, please visit https://focalone.com/. Forward-Looking Statements In addition to historical information, this press release contains forward-looking statements within the meaning of applicable federal securities laws, including Section 27A of the U.S. Securities Act of 1933 (the “Securities Act”) or Section 21E of the U.S. Securities Exchange Act of 1934, which may be identified by words such as “believe,” “can,” “contemplate,” “could,” “plan,” “intend,” “is designed to,” “may,” “might,” “potential,” “objective,” “target,” “project,” “predict,” “forecast,” “ambition,” “guideline,” “should,” “will,” “estimate,” “expect” and “anticipate,” or the negative of these and similar expressions, which reflect our views about future events and financial performance. Such statements include our expectations to enter into a credit facility with EIB, the size thereof, the timing thereof and the use of proceeds from such credit facility. Such statements are based on management's current expectations and are subject to a number of risks and uncertainties, including matters not yet known to us or not currently considered material by us, and there can be no assurance that anticipated events will occur or that the objectives set out will actually be achieved. Important factors that could cause actual results to differ materially from the results anticipated in the forward-looking statements include, among others, the clinical status and market acceptance of our HIFU devices and the continued market potential for our lithotripsy and distribution divisions, as well as risks associated with the current worldwide inflationary environment, the uncertain worldwide economic, political and financial environment, geopolitical instability, climate change and pandemics like the COVID 19 pandemic, or other public health crises, and their related impact on our business operations, including their impacts across our businesses or demand for our devices and services. Other factors that may cause such a difference may also include, but are not limited to, those described in the Company's filings with the Securities and Exchange Commission and in particular, in the sections "Cautionary Statement on Forward-Looking Information" and "Risk Factors" in the Company's Annual Report on Form 20-F. Forward-looking statements speak only as of the date they are made. Other than required by law, we do not undertake any obligation to update them in light of new information or future developments. These forward-looking statements are based upon information, assumptions and estimates available to us as of the date of this press release, and while we believe such information forms a reasonable basis for such statements, such information may be limited or incomplete. Company ContactBlandine ConfortInvestor Relations / Legal AffairsEDAP TMS SA+33 4 72 15 31 50bconfort@edap-tms.com Investor ContactJohn FrauncesLifeSci Advisors, LLC(917) 355-2395jfraunces@lifesciadvisors.com EDAP TMS S.A.UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(Amounts in thousands of Euros and U.S. Dollars, except per share data)                       Three Months Ended:   Three Months Ended:        June 30,       June 30,       June 30,       June 30,      2025   2024   2025   2024     Euros   Euros   $US   $US Sales of medical equipment   11,221   11,118   12,891   11,948 Net sales of RPP and leases   2,246   1,886   2,580   2,027 Sales of spare parts, supplies and services   2,576   2,787   2,960   2,995 TOTAL REVENUES   16,043   15,791   18,431   16,970 Cost of sales   (9,221)   (9,872)   (10,594)   (10,609) GROSS PROFIT   6,822   5,919   7,838   6,361 Research & development expenses   (2,208)   (2,077)   (2,537)   (2,232) Selling, general & administrative expenses   (10,382)   (9,989)   (11,928)   (10,736) Total operating expenses   (12,591)   (12,066)   (14,465)   (12,967) OPERATING LOSS   (5,769)   (6,147)   (6,628)   (6,606) Interest (expense) income, net   (57)   190   (66)   204 Currency exchange gains (loss), net   319   (49)   367   (52) LOSS BEFORE INCOME TAXES   (5,507)   (6,005)   (6,327)   (6,454) Income tax (expense) credit, net   (93)   (127)   (107)   (136) NET LOSS   (5,600)   (6,132)   (6,434)   (6,590) Earning per share – basic and diluted   (0.15)   (0.16)   (0.17)   (0.18) Average number of shares used in computation of basic and diluted EPS   37,420,318   37,205,307   37,420,318   37,205,307 NOTE: Translated for convenience of the reader to U.S. dollars at the 2025 average three months’ exchange rate of 1 Euro = 1.1489 USD, and 2024 average three months’ exchange rate of 1 Euro = 1.0747 USD EDAP TMS S.A.UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(Amounts in thousands of Euros and U.S. Dollars, except per share data)                       Six Months Ended:   Six Months Ended:        June 30,       June 30,       June 30,       June 30,      2025   2024   2025   2024     Euros   Euros   $US   $US Sales of medical equipment   20,184   21,085   22,224   22,735 Net sales of RPP and leases   4,406   3,661   4,851   3,948 Sales of spare parts, supplies and services   5,011   5,952   5,518   6,418 TOTAL REVENUES   29,601   30,698   32,593   33,102 Cost of sales   (17,084)   (18,394)   (18,811)   (19,834) GROSS PROFIT   12,517   12,304   13,782   13,267 Research & development expenses   (4,663)   (4,146)   (5,134)   (4,470) Selling, general & administrative expenses   (19,619)   (19,121)   (21,602)   (20,618) Total operating expenses   (24,282)   (23,267)   (26,736)   (25,088) OPERATING LOSS   (11,765)   (10,963)   (12,954)   (11,821) Interest (expense) income, net   (43)   335   (47)   361 Currency exchange gains (loss), net   (637)   187   (701)   202 LOSS BEFORE INCOME TAXES   (12,444)   (10,440)   (13,702)   (11,258) Income tax (expense) credit, net   (230)   (238)   (253)   (257) NET LOSS   (12,674)   (10,678)   (13,955)   (11,514) Earning per share – basic and diluted   (0.34)   (0.29)   (0.37)   (0.31) Average number of shares used in computation of basic and diluted EPS   37,406,202   37,104,348   37,406,202   37,104,348 NOTE: Translated for convenience of the reader to U.S. dollars at the 2025 average six months’ exchange rate of 1 Euro = 1.1011 USD, and 2024 average six months’ exchange rate of 1 Euro = 1.0783 USD EDAP TMS S.A.UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Amounts in thousands of Euros and U.S. Dollars)                          June 30,       December 31,       June 30,       December 31,      2025   2024   2025   2024     Euros   Euros   $US   $US Cash, cash equivalents and short-term investments   16,265   29,836   19,144   30,883 Accounts receivable, net   18,527   20,288   21,806   21,000 Inventory   15,531   18,495   18,281   19,143 Other current assets   1,157   1,258   1,362   1,302 TOTAL CURRENT ASSETS   51,480   69,876   60,593   72,328 Property, plant and equipment, net   10,202   10,336   12,009   10,699 Goodwill   2,412   2,412   2,839   2,496 Other non-current assets   4,248   3,439   5,000   3,560 TOTAL ASSETS   68,343   86,063   80,441   89,083 Accounts payable & other accrued liabilities   18,549   21,350   21,833   22,099 Deferred revenues, current portion   5,898   6,641   6,942   6,874 Short term borrowing   6,276   6,243   7,387   6,462 Other current liabilities   3,392   3,577   3,993   3,702 TOTAL CURRENT LIABILITIES   34,115   37,811   40,154   39,138 Obligations under operating and finance leases non-current   1,660   1,939   1,954   2,007 Long-term debt, non-current   1,022   2,162   1,203   2,238 Deferred revenues, non-current   718   358   845   370 Other long-term liabilities   3,006   2,897   3,538   2,999 TOTAL LIABILITIES   40,521   45,167   47,694   46,752 TOTAL SHAREHOLDERS’EQUITY   27,822   40,896   32,747   42,331 TOTAL LIABILITIES & SHAREHOLDERS’ EQUITY   68,343   86,063   80,441   89,083 NOTE: Translated for convenience of the reader to U.S. dollars at the exchange rate of 1 Euro = 1.1770 USD, on June 30, 2025 and at the exchange rate of 1 Euro = 1.0351 USD, on December 31, 2024. EDAP TMS S.A.UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS(Amounts in thousands of Euros and U.S. Dollars)                          Six Months Ended      Twelve Months Ended      Six Months Ended      Twelve Months Ended     June 30,    December 31,    June 30,    December 31,      2025   2024   2025   2024     (Euros)   (Euros)   ($US)   ($US) NET INCOME (LOSS)   (12,674)   (19,018)   (13,955)   (20,520) Adjustments to reconcile net income (loss) to net cash generated by (used in) operating activities(1)   2,767   7,395   3,046   7,979 OPERATING CASH FLOW   (9,907)   (11,623)   (10,909)   (12,541) Increase/Decrease in operating assets and liabilities   713   (1,961)   785   (2,116) NET CASH GENERATED BY (USED IN) OPERATING ACTIVITIES   (9,194)   (13,584)   (10,123)   (14,657) Additions to capitalized assets produced by the company and other capital expenditures   (2,669)   (4,120)   (2,939)   (4,445) NET CASH GENERATED BY (USED IN) INVESTING ACTIVITIES   (2,669)   (4,120)   (2,939)   (4,445) NET CASH GENERATED BY (USED IN) FINANCING ACTIVITIES   (1,096)   4,635   (1,207)   5,001 NET EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS   (611)   (566)   2,531   (3,103) NET INCREASE (DECREASE) IN CASH AND CASH EQUIVALENTS   (13,571)   (13,635)   (11,738)   (17,204) (1) including share based compensation expenses for 775 thousand of Euros for the six months ended June 30, 2025 and 3,283 thousand of Euros for the full year ended December 31, 2024. NOTE: Translated for convenience of the reader to U.S. dollars at the 2025 average six months’ exchange rate of 1 Euro = 1.1011 USD, and 2024 average twelve months exchange rate of 1 Euro = 1.0790 USD EDAP TMS S.A.UNAUDITED CONDENSED STATEMENTS OF OPERATIONS BY DIVISIONsix months ended June 30, 2025(Amounts in thousands of Euros)                                                HIFU                ESWL                Distribution                Reconciling      Total After                 Division       Division       Division       Items   Consolidation       Sales of medical equipment   9,321        681        10,181        —   20,184        Net sales of RPP and leases   3,752        538        117        —   4,406        Sales of spare parts, supplies and services   1,578        2,069        1,365        —   5,011        TOTAL REVENUES   14,650        3,288        11,663        —   29,601        GROSS PROFIT (% of Net Sales)   7,339   50.1 %   1,468   44.6 %   3,710   31.8 %   —   12,517   42.3 % Research & development expenses   (4,254)        (84)        (325)        —   (4,663)        Selling, general & administrative expenses   (13,248)        (507)        (4,035)        (1,828)   (19,619)        OPERATING PROFIT (LOSS)   (10,163)        876        (650)        (1,828)   (11,765)        EDAP Q2 2025 Financial Results

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