Sanuwave Health (SNWV) investor relations material

Executive summary

• Achieved record Q3 2025 revenue of $11.5 million, up 22% year-over-year and 13% sequentially, with strong UltraMIST system and consumable sales; 155 systems sold, bringing total field units to 1,416.

• Net income for Q3 2025 was $10.3 million, reversing a $20.7 million loss in Q3 2024, driven by a $6.1 million non-cash gain from derivative liabilities and a $5 million patent sale.

• Operating income for Q3 2025 was $1.5 million, down from $2.0 million in Q3 2024, mainly due to higher non-cash stock-based compensation.

• Applicator/consumable revenue reached $6.8 million, up 26% year-over-year and 6% sequentially, representing 59% of total revenue.

• Earnings per share (diluted) was $1.20, compared to a loss of $6.49 per share in Q3 2024.

Financial highlights

• Gross margin improved to 77.9% in Q3 2025 from 75.5% a year ago, reflecting cost reductions and pricing initiatives.

• Adjusted EBITDA for Q3 2025 was $3.5 million, up from $2.1 million in Q3 2024.

• Cash and cash equivalents at quarter-end were $9.6 million; total current assets were $22.6 million.

• Operating expenses increased year-over-year, mainly due to $1.4 million in stock-based compensation and higher headcount.

• Interest expense declined 53% in Q3 2025, reflecting debt refinancing and note conversion to equity.

Outlook and guidance

• Q4 2025 revenue guidance is $13–$14 million, representing 26–36% year-over-year growth; full-year 2025 revenue expected at $44–$45 million, up 35–39% over 2024.

• Management believes recent debt refinancing and capital initiatives have alleviated substantial doubt about going concern for at least 12 months.

• Plans to grow sales rep headcount and refine the mix between direct and distributor channels.