InMode Ltd. Q3 FY2025 earnings call

• Third quarter progressed in line with expectations despite complex economic environment, reflecting strength in diversified portfolio and disciplined execution of strategy. • Expanded global footprint with opening a new subsidiary in Argentina and building strong local team in Thailand. • Soft launch of men wellness platforms in Q2, full commercial rollout in Q3 with expected revenue contribution by end of 2025. • Appointed Michael Dennison as President of North America, an entrepreneur-driven and award-winning sales leader with extensive experience at InMode.

InMode generated revenues of $93.2 million in Q3 2025. Consumables and service revenues were $19.9 million, up 26% year-over-year. Minimally invasive platforms accounted for 75% of total revenues this quarter. Sales outside of the U.S. increased slightly to $40 million or 43% of overall sales, a 10% increase year-over-year. The United States was the largest geographical revenue contributor, reaching $53.2 million. GAAP and non-GAAP gross margins in Q3 were 78%, down from 82% in Q3 2024 due to anticipated impact of tariffs.

• 2025 revenues to remain between $365 million to $375 million. • Non-GAAP gross margins to remain between 78% to 80%. • Non-GAAP income from operations to remain between $93 million and $98 million. • Non-GAAP diluted earnings per share to remain between $1.55 to $1.59. • Too early to discuss 2026 guidance, will be conservative due to uncertainties and will wait to see how Q4 plays out.

• Economic environment uncertainties affecting sales growth. • Impact of tariffs on gross margins. • Lingering uncertainties regarding financing of capital equipment purchases affecting sales momentum.

Q: Congrats on a good quarter. Curious about Q4 and 2026 sales growth given uncertainties.

A: Too early to discuss 2026 guidance, will be conservative and wait to see Q4 play out.

Q: Question on ophthalmology initiative and broader aesthetics business.

A: Separating salespeople for Envision, making progress with American Optometrists Association, still awaiting FDA clearance for dry eye treatment, and having new aesthetic products launching early next year.

Q: Question on noninvasive growth lumpiness.

A: Noninvasive growth affected by large orders in prior quarter, with company developing new noninvasive lasers and focusing on being one-stop shop for doctors.

Q: Question on OUS business strength and future.

A: Currently selling in 88 - 90 countries, with direct operations in certain regions, considering going direct in Israel in 2026 and exploring other opportunities.