8-K: Neuronetics Reports Strong Q4, Full Year 2025 Preliminary Results

Neuronetics, Inc. announced selected preliminary unaudited financial results for the fourth quarter and full year 2025, showcasing significant revenue growth and positive operating cash flow.

Summary

• Fourth quarter 2025 revenue was $41.8 million, representing 86% year-over-year growth on an as reported basis and 23% year-over-year growth on an adjusted pro forma basis.
• Full year 2025 revenue reached $149.2 million, marking 99% year-over-year growth on an as reported basis and 15% year-over-year growth on an adjusted pro forma basis.
• The company achieved positive operating cash flow of $0.9 million in the fourth quarter 2025.
• Neuronetics ended 2025 with a total cash balance of $34.1 million, including cash, cash equivalents, and restricted cash.
• During the fourth quarter, 49 NeuroStar Advanced Therapy systems were shipped.
• Fourth quarter 2025 NeuroStar revenue was $18.3 million, up 9% on a pro-forma basis compared to the same period in 2024.
• Fourth quarter 2025 clinic revenue was $23.5 million, an increase of 37% on an adjusted pro-forma basis compared to the same period in 2024.
• Full year 2025 NeuroStar revenue was $62.2 million, up 0.9% on a pro-forma basis compared to 2024.
• Full year 2025 clinic revenue was $87.0 million, an increase of 28% on an adjusted pro-forma basis compared to 2024.

Sentiment

Score: 8

Explanation: StockSavvy.ai views this as a strong report, demonstrating significant revenue growth, positive operating cash flow, and a solid cash position, indicating effective execution of its business strategy.

Positives

• Strong commercial execution was observed across both business segments during the fourth quarter of 2025.
• Significant year-over-year revenue growth was achieved, with 86% as reported for Q4 2025 and 99% as reported for full year 2025.
• Positive operating cash flow of $0.9 million was generated in Q4 2025, aligning with previously issued guidance.
• A strong balance sheet was maintained, with $34.1 million in total cash at the end of 2025.
• Solid demand for NeuroStar systems resulted in 49 units shipped in Q4 2025.
• The clinic business demonstrated significant revenue growth, increasing 37% on an adjusted pro-forma basis in Q4 2025 and 28% for the full year 2025.

Risks

• The effect of the transaction with Greenbrook TMS Inc. on business relationships.
• General operating results and business performance.
• Ability to execute the business strategy effectively.
• Ability to achieve or sustain profitable operations due to a history of losses.
• Reliance on the sale and usage of the NeuroStar Advanced Therapy System to generate revenues.
• The scale and efficacy of the salesforce.
• Ability to retain key talent.
• Availability of coverage and reimbursement from third-party payors for treatments using products.
• Physician and patient demand for treatments using products.
• Developments in competing technologies and therapies for the indications that products treat.
• Potential for product defects.
• Developments in clinical trials or regulatory review of the NeuroStar Advanced Therapy System for additional indications.
• Developments in regulation in the U.S. and other applicable jurisdictions.
• Potential effects of evolving and/or extensive government regulation.
• The terms and conditions of the credit facility.
• Ability to successfully roll-out the Better Me Provider Program on the planned timeline.
• Self-sustainability and existing cash balances.
• Ability to maintain positive cash flow.

Future Outlook

The company's business outlook and current expectations for upcoming quarters and fiscal year 2026 include continued focus on revenue, expenses, and growth, along with the successful roll-out of the Better Me Provider Program.

Management Comments

• "We wrapped up 2025 with strong commercial execution during the fourth quarter across both segments of the business."
• "We continue to see solid demand for NeuroStar systems and are proud to see our NeuroStar customers helping more patients in need."
• "Our clinic business had another exciting quarter as we continue to optimize our operations while also driving significant revenue growth."
• "Importantly, we translated this strong revenue performance into positive operating cash flow during the quarter and maintained the strength of our balance sheet as we move into 2026."

Industry Context

StockSavvy.ai notes that Neuronetics operates in the growing neurohealth and mental health technology sector, offering non-invasive treatments like NeuroStar Therapy. The strong revenue growth, particularly in the clinic segment, suggests effective market penetration and increasing demand for alternative depression and OCD treatments, aligning with broader trends towards diversified mental healthcare solutions. The integration of Greenbrook TMS Inc. centers positions Neuronetics to capitalize on both device sales and direct patient care.

Comparison to Industry Standards

• The filing does not provide specific comparable company or project data to assess against global benchmarks. Therefore, a direct comparison is not possible based solely on this document.

Stakeholder Impact

• Shareholders: Positive preliminary financial results, including significant revenue growth and positive operating cash flow, could lead to increased investor confidence and potential share price appreciation.
• Customers (Clinics/Providers): Continued demand for NeuroStar systems and growth in clinic revenue suggest strong adoption and satisfaction with Neuronetics' offerings.
• Patients: The company's mission to provide more treatment options for neurohealth conditions, including MDD and OCD, indicates a positive impact on patient access to care.
• Employees: Strong commercial execution and business growth may lead to job stability and potential opportunities within the company.

Next Steps

• Release full fourth quarter 2025 financial and operating results prior to market open on Tuesday, March 17, 2026.
• Host a conference call to review results at 8:30 a.m. Eastern Time on March 17, 2026.
• Continue to roll-out the Better Me Provider Program.

Key Dates

Recommendation

The preliminary unaudited results indicate robust performance with substantial year-over-year revenue growth on both an as-reported and adjusted pro-forma basis, coupled with the achievement of positive operating cash flow and a healthy cash balance. The strong demand for NeuroStar systems and significant growth in the clinic segment suggest effective market penetration and operational efficiency. While risks are present, the current trajectory points to strong execution and potential for continued growth in the neurohealth market, making it an attractive investment.

Keywords

Neuronetics, STIM, NeuroStar, TMS, Greenbrook, mental health, medical technology, financial results, Q4 2025, full year 2025, revenue, operating cash flow, cash balance, medical devices, depression treatment, OCD treatment