Brainsway ((BWAY)) has held its Q3 earnings call. Read on for the main highlights of the call.
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BrainsWay’s Q3 2025 earnings call painted a picture of robust growth and positive momentum, highlighted by record revenue figures, increased shipments, and strategic investments. Despite some challenges, such as rising operating expenses and a delay in FDA clearance for Neurolief, the overall sentiment was optimistic, with the company raising its financial guidance for the year.
Record Quarterly Revenue
BrainsWay reported a record quarterly revenue of $13.5 million for Q3 2025, marking a significant 29% increase compared to the same period last year. This achievement underscores the company’s strong market position and growing demand for its innovative solutions.
Increased Deep TMS Shipments
The company shipped 90 Deep TMS systems during the quarter, representing a 43% increase from the previous year. This expansion brings the total installed base to over 1,600 systems globally, highlighting BrainsWay’s expanding footprint in the mental health technology market.
Raised Financial Guidance
Reflecting its strong performance, BrainsWay raised its full-year 2025 revenue guidance to a range of $51 million to $52 million, up from the previous $50 million to $52 million. The company also increased its operating profit guidance to 6% to 7% of revenue, signaling confidence in its financial trajectory.
FDA Approval for Accelerated Protocol
In a significant regulatory development, the U.S. FDA granted an expansion for the Deep TMS system to include an accelerated protocol for major depressive disorder. This approval is expected to significantly shorten the treatment phase, potentially enhancing patient outcomes and satisfaction.
Successful Strategic Investments
BrainsWay’s strategic investments in mental health providers have paid off, with utilization of Deep TMS systems increasing by over 50% in some clinics. These investments are part of the company’s broader strategy to enhance its market presence and drive growth.
Strong Financial Performance
The company’s financial performance was robust, with a gross profit of $10.2 million, up from $7.7 million in the previous year. The strong gross margin of 75% reflects efficient cost management and a favorable product mix.
Increased Operating Expenses
BrainsWay reported increased sales and marketing expenses of $4.7 million, up from $4.1 million, and research and development expenses of $2.4 million, up from $1.8 million. These increases are attributed to the company’s investment in commercial expansion and ongoing clinical trials.
Pending FDA Clearance for Neurolief
The anticipated FDA clearance for Neurolief’s device has been delayed, impacting BrainsWay’s market rollout strategy. This delay presents a challenge but also an opportunity for the company to refine its approach and ensure a successful launch.
Forward-Looking Guidance
Looking ahead, BrainsWay has raised its full-year revenue guidance to a range of $51 million to $52 million, reflecting its strong performance and positive outlook. The company expects operating profit to be between 6% and 7% of revenue, with adjusted EBITDA projected to be in the range of 13% to 14%. These forecasts underscore BrainsWay’s confidence in its strategic direction and growth potential.
In conclusion, BrainsWay’s Q3 2025 earnings call highlighted a period of strong growth and strategic progress. The company achieved record revenue and increased shipments, while also making significant investments in its future. Despite some challenges, the overall sentiment was optimistic, with raised financial guidance reflecting confidence in continued success.