Sanuwave (SNWV) Q4 2025 Earnings Transcript

Motley Fool Transcribing, The Motley Fool

Mon, June 1, 2026 astatine 9:37 AM CDT 31 min read

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DATE

Wednesday, May 13, 2026 astatine 8:30 a.m. ET

CALL PARTICIPANTS

• Chief Executive Officer — Morgan Frank

• Chief Financial Officer — Peter Sorensen

Full Conference Call Transcript

Let's excavation into what was a good, somewhat analyzable quarter. Q4 was an all-time grounds for SANUWAVE with revenues of $13.4 million, up 30% versus the aforesaid 4th past twelvemonth and adjusted EBITDA of $4.8 million, up from $3.7 cardinal successful the anterior twelvemonth and comprising 36% of revenues. Revs for the twelvemonth were $44.1 million, up 35% versus 2024 and afloat twelvemonth adjusted EBITDA roseate to $13.6 million, up 89% versus $7.2 cardinal the twelvemonth before. We sold 624 UltraMIST systems successful the twelvemonth arsenic compared to 374 successful the anterior year. And the 255 fig successful Q4 was by acold the highest fig successful institution past beating our anterior record, which was successful Q3 by 100 systems.

We sunset the dermaPACE and Profile merchandise lines successful Q4. And this, on with taking a reserve for income and usage taxes to definite customers resulted successful immoderate charges successful Q4 that accrued outgo of goods sold and OpEx, which Peter volition locomotion you done successful a bit. Okay. So that was 2025. Let's code the Pachyderm successful the Parlor, which is truthful what astir 2026? Obviously, the changes successful CMS reimbursement for tegument subs and for allografts person had immoderate beauteous wide-ranging effects. And I'm definite galore of you person heard a fig of the different companies successful this abstraction talk to that, seen the changes successful estimates and the results they've announced.

As we've discussed successful the past, nary of those changes to reimbursement pertain to UltraMIST oregon to the 97610 code. which got a small, similar a mates of dollar bump up from 2026. But nary institution is an land and thing that affects the practitioners successful this abstraction affects everyone. There seems to beryllium a just spot of disorder astir precisely however this winds up impacting SANUWAVE. So fto maine spot if I tin supply a small clarity here. The simplification successful reimbursement terms for tegument substitutes to astir $127 a quadrate centimeter was a 90% to 95% terms chopped successful an astir $15 cardinal category.

Adding to that, the caller CMS argumentation of you tin lone measure what you apply, wastage is conscionable not covered. This has enactment adjacent much unit connected the modality. And arsenic I'm definite you tin imagine, precise fewer wounds are perfectly rectangular. So connected apical of this, CMS adopted a precise assertive stance connected audits for practitioners utilizing tegument substitutes. Seeking retired improper billing, overuse oregon usage of products that were priced beyond what they deem to person been aesculapian necessity. A batch of the practitioners that usage these products are besides our customers. So UltraMIST is simply a utile attraction successful conjunction with allograft.