Inspira Technologies Reports First Half 2025 Financial Results and Issues Business Update

Rhea-AI Summary

Inspira Technologies (NASDAQ:IINN) reported significant achievements for H1 2025, highlighted by $49.5 million in binding purchase orders for its ART100 system. The company generated its first commercial revenue of $289,000 with initial product sales.

Key developments include successful human treatment validation at Westchester Medical Center, 97.35% accuracy for the HYLA blood sensor, and strategic patent protection until 2043. The company targets a $70 million annual revenue run rate by 2026.

Financial results show increased operating expenses to $7.2 million, up from $5.8 million in H1 2024, with a net loss of $6.4 million. Cash position stood at $2.1 million as of June 30, 2025, with an additional $4.7 million raised through ATM offerings by October 2025.

Positive

• Secured $49.5 million in binding purchase orders for ART100 system
• Achieved 97.35% accuracy for HYLA blood sensor, advancing FDA submission prospects
• Received strategic U.S. patent protection until 2043 for ART500 technology
• Generated first commercial revenue of $289,000 from FDA-cleared ART100 sales
• Successfully completed first human treatment validating technology effectiveness
• Achieved above 99% gas exchange efficiency in VORTX technology testing

Negative

• Operating expenses increased 24.6% to $7.2 million in H1 2025
• Net loss widened to $6.4 million from $6.2 million year-over-year
• Cash position decreased to $2.1 million from $5.8 million in December 2024
• Initial sales had minimal gross profit due to first deployment discounts

Insights

Financial Analyst

Inspira secures $49.5M in orders but faces challenging cash position with increasing losses amid commercial transition.

Inspira Technologies is at a pivotal inflection point, transitioning from R&D to commercialization with their respiratory support technology. The company has secured $49.5 million in binding purchase orders expected to convert to revenue in 2026, demonstrating significant commercial validation. Their HYLA blood sensor achieved 97.35% accuracy, positioning them well for FDA submission.

However, the financials reveal concerning trends. With only $2.1 million in cash (down from $5.8 million in December 2024), Inspira faces a precarious liquidity situation against a $6.4 million six-month loss. The company recognized minimal revenue ($289,000) with essentially zero gross profit after accounting for introductory discounts. Operating expenses increased 24.6% year-over-year to $7.2 million, primarily due to higher G&A costs, including severance packages.

While the $49.5 million in purchase orders represents potential validation, investors should note these are from a single African ministry of health rather than diverse revenue sources, creating concentration risk. Additionally, the company's cash runway appears extremely limited, necessitating continued capital raises through their recently expanded at-the-market offering facility.

The company's ambitious $70 million revenue target for 2026 would represent a dramatic transformation, but execution risks remain significant given manufacturing scale-up requirements, limited working capital, and the company's history as a development-stage enterprise with minimal commercial experience.

Medical Technology Specialist

Inspira's respiratory technology shows clinical promise with 97.35% blood sensor accuracy and successful hospital deployments.

Inspira's ART100 respiratory support system has achieved several significant clinical milestones that validate its technology platform. The successful first human treatment at Westchester Medical Center in April 2025 represents a crucial proof-of-concept for this novel respiratory support approach. More impressively, the technology has been adopted for lung transplantation procedures at a top-ranked U.S. hospital, suggesting clinician confidence in its performance for complex, high-risk procedures.

The HYLA blood sensor achieving 97.35% accuracy is particularly noteworthy from a medical technology perspective. Continuous, accurate blood monitoring without invasive procedures represents a potential breakthrough in critical care settings, where treatment decisions often depend on rapid access to blood parameter data. This accuracy level likely positions the technology well for FDA submission.

The company's VORTX technology demonstrating 99% gas exchange efficiency in animal testing represents another promising development. Efficient gas exchange is the cornerstone of respiratory support technologies, and this high efficiency could translate to better clinical outcomes and potentially reduced treatment durations.

From a patent perspective, securing protection until 2043 for their ART500 technology provides a substantial competitive moat. The successful clinical deployments in premier medical centers serve as powerful validation for a medical technology transitioning from concept to clinical practice. The technology appears to be gaining traction in real-world settings, though widespread adoption will depend on continued demonstration of clinical efficacy, cost-effectiveness, and ease of integration into existing hospital workflows.

Inspira delivered major milestones throughout and following the six months ended June 30, 2025, including the receipt of $49.5 million in binding purchase orders, clinical validation in leading hospitals, 97.35% accuracy for its HYLA blood sensor, and strategic patent protection, underscoring accelerating commercial momentum.

RA'ANANA, Israel, Oct. 01, 2025 (GLOBE NEWSWIRE) -- Inspira™ Technologies OXY B.H.N. Ltd. (Nasdaq: IINN, IINNW) (“Inspira” or the “Company”), a pioneer in innovative life-support and diagnostic technologies, today announced its financial results for the six-month period ended June 30, 2025, and issued a business update.

“The first half of 2025 represents a pivotal transformation for Inspira as we have successfully transitioned from being a development-stage company to commencing commercial execution. Our technology is now saving lives in premier U.S. hospitals while generating growing commercial interest globally,” said Dagi Ben-Noon, Chief Executive Officer of Inspira. “With $49.5 million in binding purchase orders secured and clinical validation at leading medical institutions, including for complex lung transplant procedures, we are witnessing the accelerated adoption of our breakthrough platform. Our HYLA blood sensor’s 97.35% accuracy results position us well for our planned U.S. Food & Drug Administration (“FDA”) submission and further strengthens our outlook. As we are in position to scale manufacturing to meet this confirmed global demand, driven by the fulfillment of these orders and our expanding pipeline, we are targeting an annual revenue run rate of at least $70 million in 2026. To ensure we fully capitalize on this momentum, we have also engaged a leading strategic advisory firm to help guide our execution and unlock further avenues for growth, reinforcing our position as a transformative force in advanced respiratory care.”
  
Recent Business and Operational Updates:

• Generated first commercial revenue commitments in April 2025 and subsequently secured binding purchase orders totaling $49.5 million for the INSPIRA™ ART100 (“ART100”) system in July and August 2025, including a $22.5 million order and a $27 million order from a national ministry of health in Africa. The Company expects to recognize these revenues during 2026.
  
  
• Successfully completed the first human treatment using the ART100 system at the Westchester Medical Center in April 2025, validating the technology’s performance in a real-world clinical environment.
  
  
• Expanded the use of the ART100 system to lung transplantation procedures at a top U.S. News & World Report Honor Roll hospital in September 2025.
  
  
• Achieved 97.35% accuracy for the HYLA™ blood sensor in September 2025, advancing towards FDA submission.
  
  
• Received U.S. patent approval in August 2025 for the INSPIRA™ ART500 core technology, with protection until at least 2043.
  
  
• Engaged a U.S.-based strategic consulting firm in July 2025 to accelerate transformational initiatives, including strategic partnerships and corporate development pathways, aimed at maximizing enterprise value.
  
  
• Achieved above 99% gas exchange efficiency in VORTX™ technology during in-vivo animal testing in April 2025.
  
  
• Regained compliance with Nasdaq’s minimum bid price requirement in July 2025.
  
  

Financial Results for the Six Months Ended June 30, 2025

• Gross profit: As of June 30, 2025, the Company recognized revenues of $289,000 from sales of the FDA-cleared Inspira ART100 and carts, with a corresponding cost of revenues of $287,000, which includes discounts in connection with first deployment. The Company anticipates substantial revenue recognition from the $49.5 million in binding purchase orders to begin in the first half of 2026 and continue through the second half of 2026, with expected gross margins significantly higher than those recognized during initial deployments.
  
  
• Operating Expenses: Total operating expenses increased to $7,235,000 for the six months ended June 30, 2025, compared to $5,806,000 during the same period in 2024. The reason for the increase in operating expenses is attributable mainly to General and Administrative expenses as we describe below.
  
  
• R&D Investments: Research and development (“R&D”) expenses increased to $3,638,000 for the six months ended June 30, 2025, from $3,270,000 in the same period in 2024. The increase is attributable mainly to the increase in personnel and salaries, exchange rate differences between NIS and USD, and an increase in share-based compensation.
  
  
• G&A Expenses: General and administrative (“G&A”) expenses increased to $3,150,000 for the six months ended June 30, 2025, from $2,182,000 in the same period in 2024. The increase is primarily attributable to share based compensation expenses related to (i) the accelerated vesting of our former president’s restricted share units and (ii) salary expenses as part of our former president’s termination package, pursuant to his employment agreement. The increase is also attributable to a general increase in salaries, in part due to the other officer’s and employee’s share-based compensation expenses.
  
  
• Sales and Marketing: Sales and marketing (“S&M”) expenses increased to $442,000 for the six months ended June 30, 2025, from $349,000 in the same period in 2024. The increase is attributable to the increase in share-based compensation expenses and commercialization expenses.
  
  
• Cash Position: As of June 30, 2025, the Company had cash, cash equivalents and deposits of $2,126,000 compared to $5,779,000 as of December 31, 2024. On September 16, 2025, the Company increased the aggregate offering price under the at-the-market offering facility to $14,686,641, of which an aggregate of $4,701,062 of shares were sold as of October 01, 2025.
  
  
• Financial Liabilities: As of June 30, 2025, financial liabilities at fair value totaled $886,000 compared to $1,575,000 as of December 31, 2024. The financial liabilities represent the fair value of the Company’s equity liabilities.
  
  
• Net Loss: Net loss was $6,398,000 for the six months ended June 30, 2025, compared to a net loss of $6,240,000 for the six months ended June 30, 2024.

About Inspira Technologies
Inspira Technologies is a commercial-stage medical device company specializing in advanced respiratory support and real-time blood monitoring solutions. The Company’s U.S. Food and Drug Administration -cleared INSPIRA™ ART100 system is approved for cardiopulmonary bypass in the U.S. and ECMO (Extracorporeal Membrane Oxygenation) procedures outside the U.S and serves as a foundation for the development of the INSPIRA ART500, a next-generation system designed to deliver oxygenation while patients remain awake and spontaneously breathing. Inspira Technologies is also advancing HYLA™, a proprietary blood sensor platform offering continuous, non-invasive monitoring. With multiple cleared products, a growing IP portfolio, and strategic streamlining of its operations, Inspira Technologies is increasingly positioned as an attractive platform within the life-support and MedTech landscape. The Company’s recent internal shifts may reflect broader alignment with long-term industry trends, including consolidation, cross-sector collaboration, and potential strategic partnerships. For more information, visit: https://inspira-technologies.com

For more information, visit: https://inspira-technologies.com

Forward-Looking Statement Disclaimer
This press release contains express or implied forward-looking statements pursuant to U.S. Federal securities laws. These forward-looking statements are based on the current expectations of the management of the Company only and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. For example, the Company is using forward-looking statements when it discusses the benefits and advantages of its technology and devices, its belief that its HYLA blood sensor’s accuracy results position it well for its FDA submission and strengthens its outlook, its targeted annual revenue run rate and timing thereof, its expectation to recognize revenues and timing thereof, and the belief that its engagement with a strategic advisory firm will unlock further avenues for growth and reinforce its position as a transformative force in advanced respiratory care. These forward-looking statements and their implications are based solely on the current expectations of the Company’s management and are subject to a number of factors and uncertainties that could cause actual results to differ materially from those described in the forward-looking statements. Except as otherwise required by law, the Company undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events. More detailed information about the risks and uncertainties affecting the Company is contained under the heading “Risk Factors” in the Company’s annual report on Form 20-F for the fiscal year ended December 31, 2024, filed with the U.S. Securities and Exchange Commission (the “SEC”), which is available on the SEC’s website at www.sec.gov.

Company Contact
Inspira Technologies – Media Relations
Email: info@inspirao2.com
Phone: +972-9-9664485

IR Contact
Arx Investor Relations
North American Equities Desk
inspira@arxhq.com

STATEMENTS OF BALANCE SHEETS
(US dollars in thousands)

		June 30,				December 31,
		2025				2024
ASSETS
Current Assets:
Cash and cash equivalents			2,126				5,111
Cash deposits			-				668
Other accounts receivable			418				587
Inventory			711				444
Total current assets			3,255				6,810
Non-Current Assets:
Right of use assets, net			670				761
Property, plant and equipment, net			527				499
Total non-current assets			1,197				1,260
Total Assets			4,452				8,070

                                                                                                                                                           

		June 30,				December 31,
		2025				2024
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current Liabilities:
Trade accounts payables			170				154
Other accounts payable			1,478				1,364
Lease liabilities			292				277
Financial Liabilities at Fair Value			886				1,575
Total current liabilities			2,826				3,370
Non-Current Liabilities:
Lease liabilities			348				378
Total non-current liabilities			348				378
Shareholders’ Equity:
Share capital and additional paid in capital			74,250				70,896
Accumulated deficit			(72,972	)			(66,574	)
Total equity			1,278				4,322
Total Liabilities and Shareholders’ Equity			4,452				8,070

STATEMENTS OF COMPREHENSIVE LOSS
(US dollars in thousands)

		Six months June 30, 2025				Six months June 30, 2024
Revenues			289				-
Cost of revenues			287				-
Gross Profit			2				-
Research and development expenses			3,638				3,270
General and administrative expenses			3,150				2,182
Sales and marketing expenses			442				349
Other expenses (income)			7				5
Operating loss			7,235				5,806
Interest Income from deposits			(37	)			(83	)
Finance expenses (income), net			(800	)			517
Loss before tax			6,398				6,240
Taxes on income			-				-
Total comprehensive loss for the period			6,398				6,240

STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY
(US dollars in thousands)

For the six months ended June 30, 2025:

		Number of shares				Share capital and additional paid in capital				Accumulated deficit				Total
Balance on January 1, 2025			24,252,096				70,896				(66,574	)			4,322
Changes during the period:
Issuance of ordinary shares and Pre-funded warrants, net			2,575,753				1,508				-				1,508
Exercise of options			81,633				8				-				8
Exercise of Pre-funded warrants			658,372				*				-				-
Restricted share unit vesting			1,083,443				-				-				-
Share-based compensation			-				1,838				-				1,838
Comprehensive and net loss			-				-				(6,398	)			(6,398	)
Balance on June 30, 2025			28,651,297				74,250				(72,972	)			1,278

*

Less than one thousand

For More Financial Information:
For a comprehensive understanding of the Company’s financial reports and related management’s discussion and analysis for applicable periods, please review the Company’s annual report on Form 20-F for the fiscal year ended December 31, 2024, and the Company’s Form 6-K containing the unaudited condensed consolidated financial statements for the six months ended June 30, 2025, both available on the Company’s EDGAR profile at https://www.sec.gov/edgar

FAQ

What were Inspira Technologies (IINN) key financial results for H1 2025?

Inspira reported revenue of $289,000, operating expenses of $7.2 million, and a net loss of $6.4 million. The company had $2.1 million in cash as of June 30, 2025.

How much in purchase orders did Inspira Technologies secure in 2025?

Inspira secured $49.5 million in binding purchase orders for the ART100 system in July and August 2025, including orders of $22.5 million and $27 million from an African ministry of health.

What is the accuracy rate of Inspira's HYLA blood sensor?

The HYLA blood sensor achieved 97.35% accuracy in September 2025, positioning the company for FDA submission.

What is Inspira Technologies' revenue target for 2026?

Inspira is targeting an annual revenue run rate of at least $70 million in 2026, driven by fulfillment of current orders and expanding pipeline.

When will Inspira recognize revenue from the $49.5M in purchase orders?

The company expects to recognize the $49.5 million in revenues during 2026, starting in the first half of the year.