MALVERN, PA — Neuronetics, Inc. (NASDAQ: STIM) delivered a solid second quarter, posting $38.1 million in total revenue—an 18% increase on an adjusted pro forma basis—as the company continues to benefit from its acquisition of Greenbrook TMS Inc. The quarter was highlighted by record clinic revenue, a significant drop in operating cash usage, and new funding support from Perceptive Advisors.
Revenue more than doubled from a year earlier, up 132%, driven by the addition of Greenbrook’s clinical network. Clinic revenue reached $23 million, representing the largest contribution to quarterly results. Neuronetics also reported $10.8 million in treatment session revenue and shipped 41 NeuroStar Advanced Therapy Systems, generating $3.5 million.
Gross margin for the quarter fell to 46.6%, largely due to the inclusion of Greenbrook’s operations, which carry higher operating costs than the company’s traditional business. Net loss for the quarter remained flat year-over-year at $9.8 million, though loss per share narrowed to $0.15, helped by a larger outstanding share count following the Greenbrook acquisition.
“We’re extremely pleased with our second quarter performance, which demonstrated solid revenue growth. Our Greenbrook integration continues to progress well, with record clinic revenue,” said President and CEO Keith Sullivan. “Our strong quarterly results are expected to help us achieve positive cash flow from operations in 2025.”
Operating expenses increased to $25.8 million, reflecting a $6.1 million contribution from Greenbrook’s general and administrative costs. However, the company cut back on sales and marketing, helping offset the rise in overhead.
Cash used in operations dropped to $3.5 million—better than previously forecast. As of June 30, Neuronetics held $17.5 million in total cash and restricted cash. In August, the company received $10 million in additional funding from Perceptive Advisors under its existing debt agreement, having met revenue milestones. The minimum liquidity requirement under the agreement was also extended by one year, to September 2026.
NeuroStar TMS Data Supports Use in Adolescents
Neuronetics also announced new real-world data supporting the use of its NeuroStar transcranial magnetic stimulation (TMS) device for adolescents and young adults with major depressive disorder. The study, published in JAACAP Open, showed nearly 70% of patients aged 12–21 experienced meaningful improvement after treatment. Less than 1% reported worsened symptoms, mirroring adult results and reinforcing NeuroStar’s viability as a non-pharmaceutical option in youth depression treatment.
CFO Transition Completed
On July 15, the company appointed Steven Pfanstiel as Chief Financial Officer, succeeding Stephen Furlong. Pfanstiel brings over 20 years of experience in healthcare finance, including roles at Marinus Pharmaceuticals and Johnson & Johnson.
Outlook Revised for Remainder of 2025
Neuronetics reaffirmed its full-year revenue guidance of $149 million to $155 million and now expects gross margins between 48% and 50%, slightly lower than earlier forecasts due to a shift in product and service mix. Operating expenses are now expected to land between $100 million and $105 million, up from prior guidance, as the company expands critical support teams and adjusts integration timelines.
Cash flow from operations is now expected to turn positive in Q4, a slight delay from the previously projected Q3 breakeven point. Year-end cash is forecasted between $25 million and $28 million, including the latest tranche from Perceptive.
For Q3, Neuronetics projects total revenue in the range of $37 million to $39 million.
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