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Dec 31, 2024

Sanara MedTech Q4 2024 Earnings Report

Sanara MedTech reported robust Q4 2024 results with significant revenue growth, though profitability was impacted by increased investments and higher expenses.

Key Takeaways

Sanara MedTech achieved net revenue of $26.3 million in Q4 2024, representing a 49% increase compared to the prior year. Gross profit rose to $24.1 million with a strong margin of 91%. Despite these gains, the company recorded a net loss of $1.7 million, influenced by higher SG&A and R&D costs, as well as increased interest expenses.

Q4 2024 net revenue rose 49% year-over-year to $26.3 million.

Gross profit reached $24.1 million, with a 91% gross margin.

Net loss widened to $1.7 million, impacted by increased SG&A, R&D, and interest expenses.

Soft tissue repair products sales increased 56%, driving overall revenue growth.

Total Revenue
$26.3M
Previous year: $17.7M
+48.7%
EPS
-$0.18
Previous year: -$0.03
+500.0%
Field Sales Managers
11
Gross Profit
$24.1M
Previous year: $14.8M
+62.5%
Cash and Equivalents
$15.9M
Previous year: $5.15M
+208.5%

Sanara MedTech

Sanara MedTech

Sanara MedTech Revenue by Segment

Forward Guidance

Sanara MedTech plans to continue investing in its Tissue Health Plus platform in 2025, with a pilot program launch expected in Q2, while focusing on profitability improvements in the Sanara Surgical segment.

Positive Outlook

  • Continued investment in Tissue Health Plus platform development.
  • Planned pilot launch of Tissue Health Plus with a wound care provider group in Q2 2025.
  • Focus on expanding sales and product penetration.
  • Ongoing R&D to enhance antimicrobial technologies and collagen-based products.
  • Pursuit of financial partnerships to support strategic initiatives.

Challenges Ahead

  • Expected increased SG&A and R&D expenses related to new platform buildout.
  • Interest expenses remain elevated due to term loan obligations.
  • Higher depreciation from software asset write-offs.
  • Continued net losses expected in the short term from Tissue Health Plus investments.
  • Uncertainty in supply chain conditions may impact sales growth stability.

Revenue & Expenses

Visualization of income flow from segment revenue to net income