Venus Concept Announces Second Quarter 2025 Financial Results
Venus Concept (NASDAQ: VERO) reported Q2 2025 financial results showing total revenue of $15.7 million, down 5% year-over-year but up 15% quarter-over-quarter. U.S. revenue increased by $0.4 million (5%), driven by cash systems sales growth of 23%. The company posted a GAAP net loss of $11.7 million, improved from $19.9 million last year.
Key developments include the sale of Venus Hair business to MHG Co. Ltd for $20 million, multiple equity offerings raising $3.9 million, and debt-to-equity exchanges totaling $17.5 million. The company's gross margin declined to 60.1% from 71.5% in Q2 2024, while operating expenses increased by $1.0 million to $18.5 million.
As of June 30, 2025, Venus Concept had cash and equivalents of $4.9 million and total debt of $34.3 million, compared to $4.3 million and $39.7 million respectively at year-end 2024.
Venus Concept (NASDAQ: VERO) ha comunicato i risultati del secondo trimestre 2025 con ricavi totali pari a $15.7 milioni, in calo del 5% su base annua ma in aumento del 15% rispetto al trimestre precedente. I ricavi negli Stati Uniti sono cresciuti di $0.4 milioni (5%), sostenuti da un incremento del 23% nelle vendite di sistemi in contanti. La società ha registrato una perdita netta GAAP di $11.7 milioni, migliorata rispetto ai $19.9 milioni dell'anno precedente.
I principali sviluppi includono la cessione del business Venus Hair a MHG Co. Ltd per $20 milioni, diverse emissioni azionarie che hanno raccolto $3.9 milioni e scambi debito-per-equità per un totale di $17.5 milioni. Il margine lordo è sceso al 60.1% rispetto al 71.5% del secondo trimestre 2024, mentre le spese operative sono aumentate di $1.0 milione, raggiungendo $18.5 milioni.
Al 30 giugno 2025, Venus Concept disponeva di liquidità e equivalenti per $4.9 milioni e di un debito totale di $34.3 milioni, rispetto a $4.3 milioni e $39.7 milioni rispettivamente alla chiusura del 2024.
Venus Concept (NASDAQ: VERO) publicó los resultados del segundo trimestre de 2025 con ingresos totales de $15.7 millones, una disminución del 5% interanual pero un aumento del 15% respecto al trimestre anterior. Los ingresos en EE. UU. aumentaron en $0.4 millones (5%), impulsados por un crecimiento del 23% en ventas de sistemas al contado. La compañía registró una pérdida neta GAAP de $11.7 millones, mejorando frente a los $19.9 millones del año anterior.
Entre los acontecimientos clave se incluye la venta del negocio Venus Hair a MHG Co. Ltd por $20 millones, varias emisiones de acciones que recaudaron $3.9 millones y canjes de deuda por capital por un total de $17.5 millones. El margen bruto descendió hasta el 60.1% desde el 71.5% en el segundo trimestre de 2024, mientras que los gastos operativos aumentaron en $1.0 millón hasta $18.5 millones.
Al 30 de junio de 2025, Venus Concept contaba con efectivo y equivalentes por $4.9 millones y una deuda total de $34.3 millones, en comparación con $4.3 millones y $39.7 millones respectivamente al cierre de 2024.
Venus Concept (NASDAQ: VERO)는 2025년 2분기 실적을 발표하며 총매출이 $15.7백만으로 전년 동기 대비 5% 감소했지만 전분기 대비 15% 증가했다고 밝혔습니다. 미국 매출은 현금 결제 시스템 판매가 23% 증가하면서 $0.4백만(5%) 증가했습니다. 회사는 GAAP 기준 순손실 $11.7백만을 기록했으며, 이는 작년의 $19.9백만에서 개선된 수치입니다.
주요 사항으로는 Venus Hair 사업을 MHG Co. Ltd에 $20백만에 매각한 것, 여러 차례의 주식 발행으로 $3.9백만을 조달한 것, 총 $17.5백만의 부채-지분 전환이 포함됩니다. 총이익률은 2024년 2분기의 71.5%에서 60.1%로 하락했고, 영업비용은 $1.0백만 증가해 $18.5백만이 되었습니다.
2025년 6월 30일 기준 Venus Concept은 현금 및 현금성 자산 $4.9백만과 총부채 $34.3백만을 보유하고 있으며, 이는 2024년 말의 각각 $4.3백만 및 $39.7백만과 비교됩니다.
Venus Concept (NASDAQ: VERO) a publié ses résultats du deuxième trimestre 2025, affichant un chiffre d'affaires total de 15,7 M$, en baisse de 5% sur un an mais en hausse de 15% par rapport au trimestre précédent. Les revenus aux États-Unis ont augmenté de 0,4 M$ (5%), stimulés par une croissance de 23% des ventes de systèmes au comptant. La société a enregistré une perte nette GAAP de 11,7 M$, en amélioration par rapport aux 19,9 M$ de l'année précédente.
Parmi les faits marquants figurent la cession de l'activité Venus Hair à MHG Co. Ltd pour 20 M$, plusieurs émissions d'actions ayant permis de lever 3,9 M$, et des conversions dette-en-capitaux propres totalisant 17,5 M$. La marge brute a diminué à 60,1% contre 71,5% au T2 2024, tandis que les charges d'exploitation ont augmenté de 1,0 M$ pour atteindre 18,5 M$.
Au 30 juin 2025, Venus Concept disposait de liquidités et équivalents de 4,9 M$ et d'une dette totale de 34,3 M$, contre respectivement 4,3 M$ et 39,7 M$ à la clôture de 2024.
Venus Concept (NASDAQ: VERO) meldete die Finanzergebnisse für Q2 2025 mit einem Gesamtumsatz von $15,7 Millionen, ein Rückgang von 5% gegenüber dem Vorjahr, aber ein Anstieg von 15% gegenüber dem Vorquartal. Die US-Umsätze stiegen um $0,4 Millionen (5%), getrieben durch ein Umsatzwachstum von 23% bei Barzahlsystemen. Das Unternehmen verzeichnete einen GAAP-Nettobetriebsverlust von $11,7 Millionen, verbessert gegenüber $19,9 Millionen im Vorjahr.
Zu den wesentlichen Entwicklungen zählen der Verkauf des Venus Hair-Geschäfts an MHG Co. Ltd für $20 Millionen, mehrere Kapitalerhöhungen, die $3,9 Millionen einbrachten, sowie Schuld-zu-Eigenkapital-Tauschgeschäfte in Höhe von insgesamt $17,5 Millionen. Die Bruttomarge fiel auf 60,1% gegenüber 71,5% im Q2 2024, während die operativen Aufwendungen um $1,0 Million auf $18,5 Millionen stiegen.
Zum 30. Juni 2025 verfügte Venus Concept über Barmittel und Äquivalente in Höhe von $4,9 Millionen und eine Gesamtverschuldung von $34,3 Millionen, gegenüber $4,3 Millionen bzw. $39,7 Millionen zum Jahresende 2024.
- U.S. revenue grew 5% year-over-year with 23% growth in cash systems sales
- Net loss improved to $11.7 million from $19.9 million last year
- Secured $20 million all-cash sale agreement for Venus Hair business
- Successfully executed $17.5 million in debt-to-equity conversions
- Total debt reduced to $34.3 million from $39.7 million at year-end 2024
- 15% quarter-over-quarter revenue growth
- Total revenue declined 5% year-over-year to $15.7 million
- Gross margin deteriorated to 60.1% from 71.5% year-over-year
- Operating expenses increased 6% to $18.5 million
- Adjusted EBITDA loss worsened to $8.8 million from $4.1 million last year
- International revenue decreased 18% year-over-year
- Low cash position of $4.9 million raising going concern issues
Insights
Venus Concept's Q2 showed mixed results: revenue declined 5% YoY but US growth and strategic divestitures indicate restructuring progress.
Venus Concept's Q2 revenue of
However, the company's overall financial health remains concerning. GAAP net loss for the quarter was
The company has taken several strategic actions to strengthen its financial position. Venus Concept raised approximately
Cash position stands at
Management's strategic focus on exiting unprofitable markets, controlling costs, and divesting non-core assets appears to be a rational approach given the circumstances. The decision to sell the Venus Hair business could potentially provide much-needed capital while allowing the company to focus on its core medical aesthetics business. However, the company's withholding of financial guidance signals continued uncertainty and challenges ahead.
TORONTO, Aug. 14, 2025 (GLOBE NEWSWIRE) -- Venus Concept Inc. (“Venus Concept” or the “Company”) (NASDAQ: VERO), a global medical aesthetic technology leader, announced financial results for the three and six months ended June 30, 2025.
Summary of Financial Results & Recent Progress:
- Total revenue for the second quarter of
$15.7 million , down5% year-over-year and up15% quarter-over-quarter- U.S. revenue up
$0.4 million , or5% , year-over-year driven by growth in cash systems sales of$1.0 million , or23% , year-over-year
- U.S. revenue up
- Second quarter GAAP net loss of
$11.7 million , compared to$19.9 million last year - Second quarter Adjusted EBITDA loss of
$8.8 million , compared to$4.1 million last year - On April 10, 2025, the Company announced the closing of a registered direct offering priced at-the-market under Nasdaq rules for the purchase and sale of 328,573 shares of common stock at a purchase price of
$3.50 per share. The gross proceeds to the Company from the offering were approximately$1.1 million , before deducting placement agent fees and other offering expenses payable by the Company. - On April 14, 2025, the Company announced the closing of a registered direct offering priced at-the-market under Nasdaq rules for the purchase and sale of 386,700 shares of common stock at a purchase price of
$4.06 per share. The gross proceeds to the Company from the offering were approximately$1.57 million , before deducting placement agent fees and other offering expenses payable by the Company. - On June 6, 2025, the Company announced it had entered into a definitive agreement to sell its Venus Hair business to MHG Co. Ltd in an all-cash transaction valued at
$20 million . - On June 9, 2025, the Company announced the closing of a registered direct offering priced at-the-market under Nasdaq rules for the purchase and sale of 434,720 shares of common stock at a purchase price of
$2.65 per share. The gross proceeds to the Company from the offering were approximately$1.15 million , before deducting placement agent fees and other offering expenses payable by the Company. - On July 1, 2025, the Company announced that, on June 30, 2025, the Company exchanged
$6.5 million of its subordinated convertible notes held by affiliates of Madryn Asset Management, LP for 325,651 shares of its Series Y preferred stock.
Management Commentary:
“Our second quarter revenue results reflect strong execution in a continued challenging environment,” said Rajiv De Silva, Chief Executive Officer of Venus Concept. “We delivered solid sequential growth in the second quarter, driven by
Mr. De Silva continued: “We have made considerable progress this year towards our strategic initiative to position the Company for long-term success. We have enhanced our balance sheet and improved our capital structure through multiple transactions including amendments to increase available financing capacity under our existing bridge loan facility, debt-to-equity exchange transactions totaling
| Second Quarter 2025 Financial Results: | ||||||||
| Three Months Ended June 30, | ||||||||
| 2025 | 2024 | |||||||
| (dollars in thousands) | ||||||||
| Revenues by region: | ||||||||
| United States | $ | 9,727 | $ | 9,280 | ||||
| International | 5,965 | 7,302 | ||||||
| Total revenue | $ | 15,692 | $ | 16,582 | ||||
| Three Months Ended June 30, | ||||||||||||||||||||||||
| 2025 | 2024 | Change | ||||||||||||||||||||||
| (in thousands, except percentages) | $ | % of Total | $ | % of Total | $ | % | ||||||||||||||||||
| Revenues by product: | ||||||||||||||||||||||||
| Venus Prime / Subscription—Systems | $ | 4,681 | 29.8 | $ | 4,517 | 27.2 | $ | 164 | 3.6 | |||||||||||||||
| Products—Systems | 7,939 | 50.6 | 8,588 | 51.8 | (649 | ) | (7.6 | ) | ||||||||||||||||
| Products—Other | 2,444 | 15.6 | 2,647 | 16.0 | (203 | ) | (7.7 | ) | ||||||||||||||||
| Services | 628 | 4.0 | 830 | 5.0 | (202 | ) | (24.3 | ) | ||||||||||||||||
| Total | $ | 15,692 | 100.0 | $ | 16,582 | 100.0 | $ | (890 | ) | (5.4 | ) | |||||||||||||
Total revenue for the second quarter of 2025 decreased
The decrease in total revenue, by product category, was driven by a
Gross profit for the second quarter of 2025 decreased
Operating expenses for the second quarter of 2025 increased
Operating loss for the second quarter of 2025 was
Net loss attributable to stockholders for the second quarter of 2025 was
As of June 30, 2025, the Company had cash and cash equivalents of
Fiscal Year 2025 Financial Outlook:
Given the Company’s active dialogue with existing lenders and investors, ongoing evaluation of strategic alternatives with various interested parties to maximize shareholder value, and assessment of potential trade disruptions, the Company is not providing financial guidance at this time.
Conference Call Details:
Management will host a conference call at 5:00 p.m. Eastern Time on August 14, 2025 to discuss the results of the quarter. Those who would like to participate may dial 877-407-2991 (201-389-0925 for international callers) and provide access code 13754867. A live webcast of the call will also be provided on the investor relations section of the Company's website at ir.venusconcept.com.
For those unable to participate, a replay of the call will be available for two weeks at: 877-660-6853 (201-612-7415 for international callers); access code 13754867. The webcast will be archived at ir.venusconcept.com.
About Venus Concept
Venus Concept is an innovative global medical aesthetic technology leader with a broad product portfolio of minimally invasive and non-invasive medical aesthetic and hair restoration technologies and reaches over 60 countries and 9 direct markets. Venus Concept's product portfolio consists of aesthetic device platforms, including Venus Versa, Venus Versa PRO, Venus Legacy, Venus Velocity, Venus Viva, Venus Glow, Venus Bliss, Venus Bliss MAX, Venus Epileve, Venus Viva MD and AI.ME. Venus Concept's hair restoration systems include NeoGraft® and the ARTAS iX® Robotic Hair Restoration system. Venus Concept has been backed by leading healthcare industry growth equity investors including EW Healthcare Partners (formerly Essex Woodlands), HealthQuest Capital, Longitude Capital Management, Aperture Venture Partners, Masters Special Situations, and Madryn Asset Management, L.P.
Cautionary Statement Regarding Forward-Looking Statements
This communication contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended and Section 21E of the Securities Exchange Act of 1934, as amended. Any statements contained herein that are not of historical facts may be deemed to be forward-looking statements. In some cases, you can identify these statements by words such as such as “anticipates,” “believes,” “plans,” “expects,” “projects,” “future,” “intends,” “may,” “should,” “could,” “estimates,” “predicts,” “potential,” “continue,” “guidance,” and other similar expressions that are predictions of or indicate future events and future trends. These forward-looking statements include, but are not limited to, statements about our financial performance and metrics; the growth in demand for our systems and other products; the efficacy of the restructuring plan; the identification and efficacy of strategic alternatives to maximize shareholder value; the reduction in our cash burn; and the continued implementation of turnaround plans, including debt restructurings and financings. These forward-looking statements are based on current expectations, estimates, forecasts, and projections about our business and the industry in which the Company operates and management's beliefs and assumptions and are not guarantees of future performance or developments and involve known and unknown risks, uncertainties, and other factors that are in some cases beyond our control. As a result, any or all of our forward-looking statements in this communication may turn out to be inaccurate. Factors that could materially affect our business operations and financial performance and condition include, but are not limited to, those risks and uncertainties described under Part II Item 1A—“Risk Factors” in our Quarterly Reports on Form 10-Q and Part I Item 1A—“Risk Factors” in our Annual Report on Form 10-K for the fiscal year ended December 31, 2024. You are urged to consider these factors carefully in evaluating the forward-looking statements and are cautioned not to place undue reliance on the forward-looking statements. The forward-looking statements are based on information available to us as of the date of this communication. Unless required by law, the Company does not intend to publicly update or revise any forward-looking statements to reflect new information or future events or otherwise.
| Venus Concept Inc. Condensed Consolidated Balance Sheets (In thousands of U.S. dollars, except share and per share data) | ||||||||
| June 30, | December 31, | |||||||
| 2025 | 2024 | |||||||
| ASSETS | ||||||||
| CURRENT ASSETS: | ||||||||
| Cash and cash equivalents | $ | 3,878 | $ | 4,271 | ||||
| Restricted cash | 987 | — | ||||||
| Accounts receivable, net of allowance of | 15,767 | 18,721 | ||||||
| Inventories | 15,860 | 17,561 | ||||||
| Prepaid expenses | 779 | 828 | ||||||
| Advances to suppliers | 6,050 | 6,027 | ||||||
| Other current assets | 1,787 | 1,104 | ||||||
| Total current assets | 45,108 | 48,512 | ||||||
| LONG-TERM ASSETS: | ||||||||
| Long-term receivables, net of allowance of | 9,641 | 8,534 | ||||||
| Deferred tax assets | 950 | 1,459 | ||||||
| Severance pay funds | 512 | 488 | ||||||
| Property and equipment, net | 940 | 936 | ||||||
| Operating right-of-use assets, net | 2,684 | 3,282 | ||||||
| Intangible assets | 3,250 | 4,973 | ||||||
| Total long-term assets | 17,977 | 19,672 | ||||||
| TOTAL ASSETS | $ | 63,085 | $ | 68,184 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| CURRENT LIABILITIES: | ||||||||
| Trade payables | $ | 5,848 | $ | 6,484 | ||||
| Accrued expenses and other current liabilities | 13,011 | 11,433 | ||||||
| Note payable | 18,419 | 8,271 | ||||||
| Unearned interest income | 885 | 907 | ||||||
| Warranty accrual | 803 | 917 | ||||||
| Deferred revenues | 914 | 953 | ||||||
| Operating lease liabilities | 1,238 | 1,322 | ||||||
| Total current liabilities | 41,118 | 30,287 | ||||||
| LONG-TERM LIABILITIES: | ||||||||
| Long-term debt | 15,866 | 31,437 | ||||||
| Accrued severance pay | 543 | 528 | ||||||
| Unearned interest income | 401 | 364 | ||||||
| Warranty accrual | 174 | 222 | ||||||
| Operating lease liabilities | 1,538 | 1,997 | ||||||
| Other long-term liabilities | 673 | 511 | ||||||
| Total long-term liabilities | 19,195 | 35,059 | ||||||
| TOTAL LIABILITIES | 60,313 | 65,346 | ||||||
| Commitments and Contingencies (Note 9) | ||||||||
| STOCKHOLDERS’ EQUITY (Note 14): | ||||||||
| Common Stock, | 31 | 30 | ||||||
| Additional paid-in capital | 335,279 | 311,238 | ||||||
| Accumulated deficit | (332,983 | ) | (308,899 | ) | ||||
| TOTAL STOCKHOLDERS’ EQUITY | 2,327 | 2,369 | ||||||
| Non-controlling interests | 445 | 469 | ||||||
| 2,772 | 2,838 | |||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 63,085 | $ | 68,184 | ||||
| Venus Concept Inc. Condensed Consolidated Statements of Operations (In thousands of U.S. dollars, except per share data) | ||||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Revenue | ||||||||||||||||
| Leases | $ | 4,681 | $ | 4,455 | $ | 7,330 | $ | 8,048 | ||||||||
| Products and services | 11,011 | 12,127 | 22,005 | 26,013 | ||||||||||||
| 15,692 | 16,582 | 29,335 | 34,061 | |||||||||||||
| Cost of goods sold: | ||||||||||||||||
| Leases | 1,269 | 410 | 2,113 | 1,887 | ||||||||||||
| Products and services | 4,992 | 4,323 | 9,036 | 8,678 | ||||||||||||
| 6,261 | 4,733 | 11,149 | 10,565 | |||||||||||||
| Gross profit | 9,431 | 11,849 | 18,186 | 23,496 | ||||||||||||
| Operating expenses: | ||||||||||||||||
| Selling and marketing | 7,685 | 7,048 | 14,677 | 14,422 | ||||||||||||
| General and administrative | 9,433 | 8,660 | 19,168 | 18,908 | ||||||||||||
| Research and development | 1,354 | 1,737 | 2,910 | 3,522 | ||||||||||||
| Total operating expenses | 18,472 | 17,445 | 36,755 | 36,852 | ||||||||||||
| Loss from operations | (9,041 | ) | (5,596 | ) | (18,569 | ) | (13,356 | ) | ||||||||
| Other expenses: | ||||||||||||||||
| Foreign exchange (gain) loss | (545 | ) | 774 | (664 | ) | 1,098 | ||||||||||
| Finance expenses | 1,167 | 2,452 | 2,737 | 4,120 | ||||||||||||
| Loss on debt extinguishment | 1,865 | 10,901 | 2,914 | 10,901 | ||||||||||||
| Loss before income taxes | (11,528 | ) | (19,723 | ) | (23,556 | ) | (29,475 | ) | ||||||||
| Income tax expense | 214 | 141 | 552 | 178 | ||||||||||||
| Net loss | $ | (11,742 | ) | $ | (19,864 | ) | $ | (24,108 | ) | $ | (29,653 | ) | ||||
| Net loss attributable to stockholders of the Company | $ | (11,721 | ) | $ | (19,951 | ) | $ | (24,084 | ) | $ | (29,745 | ) | ||||
| Net (loss) income attributable to non-controlling interest | $ | (21 | ) | $ | 87 | $ | (24 | ) | $ | 92 | ||||||
| Net loss per share: | ||||||||||||||||
| Basic | $ | (8.03 | ) | $ | (30.93 | ) | $ | (22.18 | ) | $ | (48.60 | ) | ||||
| Diluted | $ | (8.03 | ) | $ | (30.93 | ) | $ | (22.18 | ) | $ | (48.60 | ) | ||||
| Weighted-average number of shares used in per share calculation: | ||||||||||||||||
| Basic | 1,459 | 645 | 1,086 | 612 | ||||||||||||
| Diluted | 1,459 | 645 | 1,086 | 612 | ||||||||||||
| Venus Concept Inc. Condensed Consolidated Statements of Cash Flows (in thousands) | ||||||||
| Six Months Ended June 30, | ||||||||
| 2025 | 2024 | |||||||
| CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||||
| Net loss | $ | (24,108 | ) | $ | (29,653 | ) | ||
| Adjustments to reconcile net loss to net cash used in operating activities: | ||||||||
| Depreciation and amortization | 1,904 | 1,952 | ||||||
| Stock-based compensation | 344 | 578 | ||||||
| Provision for expected credit losses | 2,330 | 444 | ||||||
| Provision for inventory obsolescence | 886 | 723 | ||||||
| Finance expenses and accretion | 2,737 | 2,526 | ||||||
| Deferred tax expense (recovery) | 509 | (176 | ) | |||||
| Loss on extinguishment of debt | 2,914 | 10,901 | ||||||
| Loss on disposal of property and equipment | 11 | 19 | ||||||
| Changes in operating assets and liabilities: | ||||||||
| Accounts receivable short-term and long-term | (163 | ) | 5,962 | |||||
| Inventories | 815 | 2,567 | ||||||
| Prepaid expenses | 49 | 289 | ||||||
| Advances to suppliers | (23 | ) | 1,064 | |||||
| Other current assets | (504 | ) | 669 | |||||
| Operating right-of-use assets, net | 598 | 610 | ||||||
| Other long-term assets | (320 | ) | (2 | ) | ||||
| Trade payables | (601 | ) | (1,611 | ) | ||||
| Accrued expenses and other current liabilities | 1,423 | 225 | ||||||
| Current operating lease liabilities | (84 | ) | (158 | ) | ||||
| Severance pay funds | (24 | ) | 152 | |||||
| Unearned interest income | 15 | (503 | ) | |||||
| Long-term operating lease liabilities | (459 | ) | (549 | ) | ||||
| Other long-term liabilities | (7 | ) | (239 | ) | ||||
| Net cash used in operating activities | (11,758 | ) | (4,210 | ) | ||||
| CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||||
| Purchases of property and equipment | (197 | ) | (47 | ) | ||||
| Net cash used in investing activities | (197 | ) | (47 | ) | ||||
| CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||||
| Proceeds from issuance of common stock | 1 | 10 | ||||||
| 2024 Registered Direct Offering shares and warrants, net of costs of | — | 976 | ||||||
| 2024 Convertible Notes issued to EW, net of costs of | — | 1,607 | ||||||
| 2025 Registered Direct Offering shares and warrants, net of costs | 3,283 | — | ||||||
| Proceeds from Short-term Bridge Financing by Madryn, net of costs of | 9,265 | 2,000 | ||||||
| Net cash provided by financing activities | 12,549 | 4,593 | ||||||
| NET DECREASE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH | 594 | 336 | ||||||
| CASH, CASH EQUIVALENTS AND RESTRICTED CASH — Beginning of period | 4,271 | 5,396 | ||||||
| CASH, CASH EQUIVALENTS AND RESTRICTED CASH — End of period | $ | 4,865 | $ | 5,732 | ||||
| SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION: | ||||||||
| Cash paid for income taxes, net of refunds received | $ | (17 | ) | $ | 69 | |||
| Cash paid for interest | $ | — | $ | 1,594 | ||||
Use of Non-GAAP Financial Measures
Adjusted EBITDA is a non-GAAP measure defined as net income (loss) before foreign exchange (gain) loss, financial expenses, income tax expense (benefit), depreciation and amortization, stock-based compensation and non-recurring items for a given period. Adjusted EBITDA is not a measure of our financial performance under U.S. GAAP and should not be considered an alternative to net income or any other performance measures derived in accordance with U.S. GAAP. Accordingly, you should consider Adjusted EBITDA along with other financial performance measures, including net income, and our financial results presented in accordance with U.S. GAAP. Other companies, including companies in our industry, may calculate Adjusted EBITDA differently or not at all, which reduces its usefulness as a comparative measure. We understand that although Adjusted EBITDA is frequently used by securities analysts, lenders and others in their evaluation of companies, Adjusted EBITDA has limitations as an analytical tool, and you should not consider it in isolation, or as a substitute for analysis of our results as reported under U.S. GAAP. Some of these limitations are: Adjusted EBITDA does not reflect our cash expenditures or future requirements for capital expenditures or contractual commitments; Adjusted EBITDA does not reflect changes in, or cash requirements for, our working capital needs; and although depreciation and amortization are non-cash charges, the assets being depreciated will often have to be replaced in the future, and Adjusted EBITDA does not reflect any cash requirements for such replacements.
We believe that Adjusted EBITDA is a useful measure for analyzing the performance of our core business because it facilitates operating performance comparisons from period to period and company to company by backing out potential differences caused by changes in foreign exchange rates that impact financial assets and liabilities denominated in currencies other than the U.S. dollar, tax positions (such as the impact on periods or companies of changes in effective tax rates), the age and book depreciation of fixed assets (affecting relative depreciation expense), amortization of intangible assets, stock-based compensation expense (because it is a non-cash expense) and non-recurring items as explained below.
The following is a reconciliation of net loss to Adjusted EBITDA for the periods presented:
| Venus Concept Inc. Reconciliation of Net loss to Non-GAAP Adjusted EBITDA | ||||||||||||||||
| Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
| 2025 | 2024 | 2025 | 2024 | |||||||||||||
| Reconciliation of net loss to adjusted EBITDA | (in thousands) | (in thousands) | ||||||||||||||
| Net loss | $ | (11,742 | ) | $ | (19,864 | ) | $ | (24,108 | ) | $ | (29,653 | ) | ||||
| Foreign exchange (gain) loss | (545 | ) | 774 | (664 | ) | 1,098 | ||||||||||
| Loss on debt extinguishment | 1,865 | 10,901 | 2,914 | 10,901 | ||||||||||||
| Finance expenses | 1,167 | 2,452 | 2,737 | 4,120 | ||||||||||||
| Income tax expense | 214 | 141 | 552 | 178 | ||||||||||||
| Depreciation and amortization | 955 | 977 | 1,904 | 1,952 | ||||||||||||
| Stock-based compensation expense | 137 | 239 | 344 | 578 | ||||||||||||
| ERC Claim recovery(4) | (1,505 | ) | — | (1,505 | ) | — | ||||||||||
| Top up to 401(k) under the Voluntary Correction Plan(3) | 516 | — | 516 | — | ||||||||||||
| CEWS(1) | — | — | — | 418 | ||||||||||||
| Other adjustments(2) | 93 | 238 | 120 | 1,148 | ||||||||||||
| Adjusted EBITDA | $ | (8,845 | ) | $ | (4,142 | ) | $ | (17,190 | ) | $ | (9,260 | ) | ||||
(1) In April 2022, the Canada Revenue Agency (“CRA”) initiated an audit of the Canada Emergency Wage Subsidy Claim (“CEWS”) that the Company filed between 2020-2021. The CRA has currently assessed a denial of CEWS claims made by the Company in 2020 and is requesting repayment of
(2) For the three and six months ended June 30, 2025 and June 30, 2024 the other adjustments are represented by restructuring activities designed to improve the Company's operations and cost structure.
(3) A provision has been made under the Voluntary Correction Plan to account for a discrepancy noted by the IRS upon review of the Company’s 401(K) plan.
(4) Represents funds received or accrued under the IRS Employee Retention Tax Credit (ERC) program providing relief to eligible businesses impacted by the COVID-19 pandemic.
Investor Relations Contact: ICR Healthcare on behalf of Venus Concept: Mike Piccinino, CFA VenusConceptIR@ICRHealthcare.com
FAQ
What were Venus Concept's (VERO) key financial results for Q2 2025?
How much is Venus Concept selling its Hair business for and why?
What is Venus Concept's (VERO) current debt and cash position as of Q2 2025?
How did Venus Concept's gross margin perform in Q2 2025?
What capital raising activities did Venus Concept complete in Q2 2025?
