Tenon Medical, Inc. Q4 FY2025 earnings call

• Achieved record full year revenue of $3.9 million, up 20% from 2024, with fourth quarter revenue $1.5 million, up 92% from prior year. Driven by growth in surgical procedures across Catamaran and Symmetry Plus platforms, led by new physician users. - Hosted 24 physicians in targeted training sessions for both platforms in fourth quarter. - Received FDA 510 clearance for next generation Symmetry Plus SI joint fusion system, expanding portfolio. - Successfully initiated and completed early clinical cases with Symmetry Plus. - Strengthened balance sheet with $2.85 million at-the-market pipe financing and $4.3 million private placement of senior convertible notes. - Expanded intellectual property portfolio with notices of allowance from USPTO for multiple applications.

Fourth quarter revenue was $1.5 million, a 92% increase over prior year period. Full year revenue was $3.9 million, a 20% increase from 2024. Fourth quarter gross profit was $1 million or 69% of revenue, prior year quarter was $0.4 million or 46% of revenue. Full year 2025 gross profit was $2.4 million or 60% of revenue, previous year period was $1.7 million or 52% of revenue. Operating expenses in fourth quarter 2025 were $3.9 million, up from $3.5 million prior year quarter. Full year 2025 operating expenses were $15.2 million compared to $15.5 million prior year period. Net loss in fourth quarter 2025 was $2.8 million or $0.29 per share, prior year quarter was $3.1 million or $0.98 per share. Full year 2025 net loss was $12.6 million or $1.70 per share, prior year period was $13.7 million or $11.26 per share.

• No specific future projections given, but excited about adoption momentum, engaged pipeline, and products in pipeline like Symmetry Plus and others to have impact in 2026. - Feel good about momentum continuing from back half of 2025 into 2026, with commercial expansion and execution key for revenue growth. - Multi-product portfolio with diverse solutions expected to drive revenue growth in 2026.

Q: On expense line, how representative is Q4 2025 rate for 2026?

A: Kevin said Q4 becomes a better baseline, with higher integration and deal-related costs in Q3 falling out and variable expense around higher revenue, landing at a better run rate moving into 2026.

Q: On revenue side, how to think about 2026 relative to $6 million run rate and first quarter sequentially?

A: Steve said while no future projections, excited about adoption momentum, engaged pipeline, and products in pipeline to have impact in 2026. Kevin added about launching Symmetry Plus in Q4 and products in pipeline as catalysts, feeling good about momentum continuing.

Q: Key driver for 2026 revenue growth?

A: Steve said multi-product portfolio addressing various variables, commercial expansion and execution key, with existing and new products for sacropelvic challenges.

Q: Talk about launch of Symmetry Plus and broader portfolio helping gain access to more physicians?

A: Steve said being multi-solution provider allows offering multiple approaches for patients, Symmetry Plus has positive reaction, and phased launch with more to come.

Q: Balance training with selling and rounding out portfolio?

A: Steve said two buckets of activity, making existing technology sticky and developing new technology, hitting primary, revision, and adjunct cases with existing and new technology