Neuronetics Stock Earnings Reports

Key points for investors: Neuronetics reported Q1 2026 revenue of $34.5M, up 8% year-over-year, driven primarily by a 15% increase in Greenbrook (clinic) revenue led by SPRAVATO growth and buy-and-bill expansion. NeuroStar system shipments were 34 units (up ~10% YoY) with system revenue up 13% to $3.2M, while NeuroStar treatment session revenue declined modestly due to mix and reduced customer inventory despite a 3.5% increase in utilization. Gross margin was 46.9% (down vs. 49.2% a year ago) largely from a revenue mix shift toward clinics and increased SPRAVATO buy-and-bill. Operating expenses declined ~6% to $25.1M; net loss improved to $10.8M ($0.16/share) from $12.7M last year and adjusted EBITDA improved to negative $6.6M. Cash was $19.0M at quarter end (down from $34.1M at 12/31/25); operating cash use was $9.4M for the quarter. Management amended debt with Perceptive Advisors (one-time $5M principal payment) and expects annualized cost savings of ~$2.5–3.0M (netting beginning in Q3). Guidance is unchanged: revenue $160–166M, gross margin 47–49%, operating expenses $100–105M (including ~$8.5M stock comp), and operating cash flow of negative $13–17M for 2026, with operating cash flow improving each quarter and expected to be flat-to-positive in H2. New CEO Dan Reuvers is on an active listening tour, running pilots to expand NeuroStar go-to-market options (broader commercial models and incentives) and focusing on workflow, revenue-cycle improvements at Greenbrook. He is evaluating the company with an open mind regarding strategic alternatives (including separation) but has not made decisions. Management expects mid-single-digit revenue growth in Q2 and believes the balance sheet provides sufficient headroom to execute the plan for the year.