Zynex Inc ( (ZYXI) ) has released its Q4 earnings. Here is a breakdown of the information Zynex Inc presented to its investors.
Zynex Inc. is a medical technology company that specializes in the development and sale of non-invasive medical devices for pain management, rehabilitation, and patient monitoring, operating primarily in the healthcare sector.
Zynex Inc. has reported its financial results for the fourth quarter and full year of 2024, highlighting a 4% increase in net revenue to $192.4 million and a net income of $3.0 million for the year. The company also announced FDA clearance for its new TensWave device.
Key financial metrics for Zynex in 2024 included a 16% increase in orders year-over-year, a gross profit of $152.9 million representing 80% of revenue, and cash flow from operations totaling $12.7 million. However, the fourth quarter saw a net loss of $0.6 million due to slower payments from certain payers, including a temporary suspension from Tricare, which accounts for 20-25% of annual revenue.
In response to these challenges, Zynex is restructuring its staff by reducing headcount by 15% and implementing cost-saving measures expected to save approximately $35 million annually. The company is also focusing on expanding its payer network to mitigate near-term revenue challenges and has completed a successful clinical trial for its NiCO laser pulse oximeter.
Looking ahead, Zynex anticipates continued growth in its pain management business and expects its payer expansion efforts to yield results in 2025. The company remains committed to maintaining a strong balance sheet and pursuing additional revenue lines to enhance patient outcomes and overall health.
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