Stereotaxis Reports 2025 First Quarter Financial Results

Rhea-AI Summary

Stereotaxis (NYSE: STXS) reported Q1 2025 financial results with total revenue of $7.5 million, up 9% year-over-year. Recurring revenue grew 29% to $5.5 million, while system revenue decreased to $2.0 million from $2.6 million. The company reported a net loss of $5.8 million and ended the quarter with $10.7 million in cash and no debt. Key highlights include initial MAGiC commercialization in Europe, successful GenesisX demonstrations, and progress on regulatory efforts. Management reiterated expectations for double-digit revenue growth in 2025, projecting system revenue of $2-3 million per quarter and recurring revenue scaling to $7 million by Q4. The company maintains six active regulatory reviews and anticipates significant adoption of GenesisX pending regulatory approval.

Positive

• Recurring revenue grew significantly by 29% YoY to $5.5 million
• Total revenue increased 9% YoY to $7.5 million
• Initial commercialization of MAGiC in Europe and first GenesisX order received
• Strong balance sheet with $10.7 million cash and no debt
• Reduced negative free cash flow to -$1.8 million from -$2.3 million YoY

Negative

• Net loss increased to $5.8 million from $4.5 million YoY
• System revenue declined to $2.0 million from $2.6 million YoY
• Gross margin impacted by acquisition-related accounting and low system production
• Operating expenses increased with $10.0 million vs $8.7 million YoY
• Cash position decreased from $12.2 million to $10.6 million since December 2024

Insights

Medical Technology Financial Analyst

Stereotaxis shows mixed Q1 results with strong recurring revenue growth but widening losses as it invests in new robotic systems commercialization.

Stereotaxis' Q1 2025 results reveal a company in transition, with revenue of $7.5 million representing a 9% year-over-year increase, primarily driven by impressive recurring revenue growth of 29% reaching $5.5 million. This recurring revenue strength, largely from Map-iT catheter sales, demonstrates solid adoption of their consumable technology.

However, the financial picture has concerning elements. System revenue declined to $2.0 million from $2.6 million in Q1 2024, and operating losses widened to $5.9 million from $4.7 million. The gross margin of 54% shows pressure from acquisition-related accounting impacts and fixed overhead costs spread across low production volumes.

The cash position of $10.7 million with no debt provides some runway, but with negative free cash flow of $1.8 million for the quarter, this represents approximately 6 quarters of operating capacity at current burn rates. While this is an improvement from $2.3 million cash burn in the previous year, it's still substantial.

The company's guidance for double-digit revenue growth in 2025 hinges on consistent system sales of $2-3 million per quarter and scaled recurring revenue reaching $7 million by Q4. This strategy relies heavily on new product commercialization, particularly GenesisX in Europe, while notably excluding potential China revenue—suggesting possible regulatory or market access challenges in that region.

With six active regulatory reviews and the first GenesisX clinical installation planned for summer, Stereotaxis is positioning 2025 as a foundation year for "breakout growth" in 2026. This indicates the current financial performance should be viewed in context of its product transition strategy, but investors should monitor whether commercial traction materializes as projected in the coming quarters.

ST. LOUIS, May 12, 2025 (GLOBE NEWSWIRE) -- Stereotaxis (NYSE: STXS), a pioneer and global leader in surgical robotics for minimally invasive endovascular intervention, today reported financial results for the first quarter ended March 31, 2025.

“We’ve started the year with solid execution on key commercial and innovation efforts,” said David Fischel, Chairman and CEO. “This is a milestone rich year in which we are beginning to demonstrate the tangible reality and commercial impact of our comprehensive innovation strategy.”

“Key commercial advances include recurring revenue growth, initial commercialization of MAGiC in Europe, successful demonstrations of GenesisX as a rapidly-installed and fully-capable robot at major global conferences, and our first GenesisX order. Successful demonstrations of GenesisX at the recent EHRA and HRS conferences give us confidence in significant adoption pending regulatory availability in the United States and following successful installation of the first clinical system this summer. While initiating commercialization of GenesisX, we continue to advance a robust pipeline for Genesis and were pleased to receive an additional Genesis order in the first quarter.”

“We are advancing multiple development and regulatory efforts in parallel, with six active regulatory reviews ongoing and preparations for additional near-term regulatory submissions. Regulatory reviews continue with approval timelines remaining consistent with previous expectations. This year we will demonstrate the tangible reality of our overall strategic transformation into a company with an easily adopted robot that can navigate a proprietary set of catheters in EP and broadly across endovascular procedures. These milestones will increasingly contribute to commercial results as we progress through the year and set us up for breakout growth as we look towards 2026.”

2025 First Quarter Financial Results
Revenue for the first quarter of 2025 totaled $7.5 million, a 9% increase compared to $6.9 million in the prior year first quarter. System revenue for the first quarter was $2.0 million, compared to $2.6 million in the prior year first quarter, reflecting revenue recognition on the installation of a Genesis system. Recurring revenue was $5.5 million, growing 29% compared to $4.3 million in the prior year first quarter, predominantly reflecting contributions of Map-iT catheter revenue.

Gross margin for the first quarter was 54% of revenue. Recurring revenue gross margin was 68% and system gross margin was 15%. Gross margins remain impacted by acquisition-related accounting that temporarily reduces disposable margin and by fixed overhead allocated over low system production levels.

Operating expenses in the first quarter of $10.0 million include $3.2 million of non-cash charges for stock compensation expense, acquisition related contingent earnout consideration and amortization of acquired intangible assets. Excluding these non-cash charges, adjusted operating expenses in the quarter were $6.8 million, compared to $6.1 million for adjusted operating expenses in the prior year first quarter. Increased operating expenses are primarily related to additional expenses from the operations of Access Point Technologies.

Operating loss and net loss in the first quarter of 2025 were ($5.9) million and ($5.8) million, respectively, compared to ($4.7) million and ($4.5) million in the previous year. Adjusted operating loss and adjusted net loss for the quarter, excluding non-cash charges, were ($2.7) million and ($2.6) million, respectively, compared to ($2.2) million and ($1.9) million in the previous year. Negative free cash flow for the first quarter was ($1.8) million, compared to ($2.3) million in the previous year.

Cash Balance and Liquidity
At March 31, 2025, Stereotaxis had cash and cash equivalents of $10.7 million and no debt.

Forward Looking Expectations
Stereotaxis reiterates its expectation of double-digit revenue growth for the full year 2025, with system revenue of $2-3 million per quarter and recurring revenue scaling throughout the year to $7 million in the fourth quarter. These revenue expectations assume only modest contributions from GenesisX in Europe and no system revenue from China. Anticipated regulatory milestones and initial commercial launches in 2025 support substantial growth in 2026.

Growing recurring revenue and stable operating expenses support Stereotaxis’ expectation for reduced cash use in 2025 compared to 2024. Stereotaxis expects its balance sheet to allow it to advance its transformative product ecosystem to market, fund its commercialization, and profitably grow.

Conference Call and Webcast
Stereotaxis will host a conference call and webcast today, May 12, 2025, at 4:30 p.m. Eastern Time. To access the conference call, dial 800-715-9871 (US and Canada) or 1-646-307-1963 (International) and give the participant pass code 4794777. To access the live and replay webcast, please visit the investor relations section of the Stereotaxis website at www.Stereotaxis.com.

About Stereotaxis
Stereotaxis (NYSE: STXS) is a pioneer and global leader in innovative surgical robotics for minimally invasive endovascular intervention. Its mission is the discovery, development and delivery of robotic systems, instruments, and information solutions for the interventional laboratory. These innovations help physicians provide unsurpassed patient care with robotic precision and safety, expand access to minimally invasive therapy, and enhance the productivity, connectivity, and intelligence in the operating room. Stereotaxis technology has been used to treat over 150,000 patients across the United States, Europe, Asia, and elsewhere. For more information, please visit www.Stereotaxis.com.

This press release includes statements that may constitute "forward-looking" statements, usually containing the words "believe”, "estimate”, "project”, "expect" or similar expressions. Forward-looking statements inherently involve risks and uncertainties that could cause actual results to differ materially. Factors that would cause or contribute to such differences include, but are not limited to, the Company's ability to manage expenses at sustainable levels, acceptance of the Company's products in the marketplace, the effect of global economic conditions, including tariffs, on the ability and willingness of customers to purchase its technology, competitive factors, changes resulting from healthcare policy, dependence upon third-party vendors, timing of regulatory approvals, the impact of pandemics or other disasters, statements relating to our recent acquisition of APT, including any benefits expected from the acquisition, and other risks discussed in the Company's periodic and other filings with the Securities and Exchange Commission. By making these forward-looking statements, the Company undertakes no obligation to update these statements for revisions or changes after the date of this release. There can be no assurance that the Company will recognize revenue related to its purchase orders and other commitments because some of these purchase orders and other commitments are subject to contingencies that are outside of the Company's control and may be revised, modified, delayed, or canceled.

Company Contacts:                                                        
David L. Fischel
Chairman and Chief Executive Officer

Kimberly R. Peery                                                        
Chief Financial Officer

314-678-6100
Investors@Stereotaxis.com

STEREOTAXIS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
(in thousands, except share and per share amounts)	Three Months Ended March 31,
	2025				2024
Revenue:
Systems	$	1,964			$	2,612
Disposables, service and accessories		5,508				4,268
Total revenue		7,472				6,880
Cost of revenue:
Systems		1,667				1,900
Disposables, service and accessories		1,741				1,014
Total cost of revenue		3,408				2,914
Gross margin		4,064				3,966
Operating expenses:
Research and development		2,350				2,243
Sales and marketing		3,148				3,003
General and administrative		4,495				3,466
Total operating expenses		9,993				8,712
Operating loss		(5,929	)			(4,746	)
Interest income, net		106				239
Net loss	$	(5,823	)		$	(4,507	)
Cumulative dividend on convertible preferred stock		(314	)			(331	)
Net loss attributable to common stockholders	$	(6,137	)		$	(4,838	)
Net loss per share attributed to common stockholders:
Basic	$	(0.07	)		$	(0.06	)
Diluted	$	(0.07	)		$	(0.06	)
Weighted average number of common shares and equivalents:
Basic		87,769,366				83,476,498
Diluted		87,769,366				83,476,498

STEREOTAXIS, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands, except share amounts)	March 31, 2025				December 31, 2024
	(Unaudited)
Assets
Current assets:
Cash and cash equivalents	$	10,601			$	12,217
Restricted cash - current		88				219
Accounts receivable, net of allowance of $556 and $582 at 2025 and 2024, respectively		4,324				3,824
Inventories, net		9,812				8,331
Prepaid expenses and other current assets		1,088				1,848
Total current assets		25,913				26,439
Property and equipment, net		3,441				3,573
Goodwill		3,764				3,764
Intangible assets		7,144				7,358
Operating lease right-of-use assets		5,345				5,483
Prepaid and other non-current assets		98				107
Total assets	$	45,705			$	46,724
Liabilities and stockholders' equity
Current liabilities:
Accounts payable	$	6,544			$	5,668
Accrued liabilities		2,926				2,922
Deferred revenue		8,163				6,804
Current contingent consideration		6,008				5,638
Current portion of operating lease liabilities		588				570
Total current liabilities		24,229				21,602
Long-term deferred revenue		1,698				2,064
Long-term contingent consideration		6,258				6,126
Operating lease liabilities		5,280				5,436
Other liabilities		64				64
Total liabilities		37,529				35,292
Series A - Convertible preferred stock:
Convertible preferred stock, Series A, par value $0.001; 10,000,000 shares authorized, 21,233 and 21,458 shares outstanding at 2025 and 2024, respectively		5,296				5,352
Stockholders' equity:
Common stock, par value $0.001; 300,000,000 shares authorized, 85,983,677 and 85,326,557 shares issued at 2025 and 2024, respectively		86				85
Additional paid-in capital		570,548				567,926
Treasury stock, 4,015 shares at 2025 and 2024		(206	)			(206	)
Accumulated deficit		(567,548	)			(561,725	)
Total stockholders' equity		2,880				6,080
Total liabilities and stockholders' equity	$	45,705			$	46,724

FAQ

What were Stereotaxis (STXS) key financial results for Q1 2025?

Stereotaxis reported Q1 2025 revenue of $7.5 million (+9% YoY), with recurring revenue of $5.5 million (+29% YoY) and system revenue of $2.0 million. The company posted a net loss of $5.8 million and had $10.7 million in cash with no debt.

What is Stereotaxis (STXS) revenue guidance for 2025?

Stereotaxis expects double-digit revenue growth for 2025, with system revenue of $2-3 million per quarter and recurring revenue scaling to $7 million in Q4 2025.

What are the major product developments for Stereotaxis (STXS) in 2025?

Key developments include initial MAGiC commercialization in Europe, successful GenesisX demonstrations at EHRA and HRS conferences, and six active regulatory reviews ongoing. The first clinical GenesisX system installation is expected this summer.

How much cash does Stereotaxis (STXS) have as of Q1 2025?

As of March 31, 2025, Stereotaxis had $10.7 million in cash and cash equivalents with no debt.

What was Stereotaxis (STXS) recurring revenue performance in Q1 2025?

Recurring revenue grew 29% year-over-year to $5.5 million, primarily driven by contributions from Map-iT catheter revenue.