Sensus Healthcare, Inc. Q3 FY2025 earnings call

• CMS published first-ever dedicated CPT codes for superficial radiotherapy in nonmelanoma skin cancer and keloids, validating SRT and increasing reimbursement per fraction by over 300%.
• Shipped 16 SRT systems in Q3, with over 900 systems sold globally since launch, expecting to reach 1,000 systems in 2026.
• Fair Deal Agreement program FDA treatment volumes increased 20% Q3 over Q2, 52% YTD Q3 over Q1, and 157% since program launch.
• Awaiting FDA feedback on Transdermal Infusion system, validating training pathways and refining support models.
• Sentinel software platform enables secure data storage, remote diagnostics, etc., with Sentinel 2.0 R&D program underway, expecting initial results in 2026.
• Shipped 3 systems to China, building foundation for international expansion with MDSAP certification.

Third quarter 2025 revenues were $6.9 million, down from $8.8 million in the third quarter of 2024. Units sold in Q3 2025 were 16 compared to 27 in Q3 2024. Gross profit was $2.7 million in Q3 2025, down from $5.2 million in Q3 2024, with a gross margin of 39.1% vs. 59.1% in the prior year. Year-to-date 2025 revenues were $22.5 million vs. $28.7 million in the prior year period. Units sold YTD 2025 were 56 vs. 76 in the prior year. Year-to-date gross profit was $10 million, or 44.4% of revenues, down from $17.3 million, or 60.3% of revenue in the prior year period.

• Expect to reach 1,000 SRT systems globally in 2026.
• International sales to ramp gradually, with initial results from Sentinel 2.0 R&D program expected in 2026.

• Uncertainty regarding FDA feedback on Transdermal Infusion system.
• Risks associated with international expansion such as regulatory and market acceptance challenges.
• Potential impact of changes in reimbursement policies on business.

Q: On LCD reimbursement for ultrasound guided SRT system, impact this quarter and update on impact? Any utilization trend metrics?

A: The new delivery code has significantly increased reimbursement. Utilization saw 20% Q3 over Q2 increase and 152% YTD increase, expected to continue.

Q: On reimbursement codes, shift between SRT-100 and Visions?

A: Anticipate an uptick in SRT-100, with Sentinel 2.0 program developing to give SRT-100 capabilities similar to Vision.

Q: On CPT code impact on deal flow, utilization, international sales ramp?

A: New codes will increase deal flow and utilization, international sales to ramp gradually with MDSAP certification, expecting international sales to reach ~20% of total revenue over 12-24 months.