electroCore Reports 23% Revenue Growth to $6.7 Million in Q1 2025

electroCore, Inc. reported its financial results for the first quarter of 2025, revealing a net sales increase of 23% to $6.7 million, compared to $5.4 million in the same period last year. The growth was primarily driven by increased sales of its prescription gammaCore products to the U.S. Department of Veterans Affairs (VA) and the introduction of its non-prescription wellness product, Truvaga. The company’s gross profit also rose to $5.7 million, reflecting a gross margin of 85%, up from 84% in the prior year.

Despite the revenue growth, electroCore continued to experience net losses, reporting a net loss of $3.9 million for the quarter, compared to a loss of $3.5 million in Q1 2024. The increase in losses was attributed to higher operating expenses, which rose to $9.5 million from $8.4 million year-over-year. This increase was driven by elevated selling, general, and administrative expenses, as well as research and development costs, which were impacted by increased headcount and the discontinuation of certain clinical trials in the previous year.

In terms of operational developments, electroCore's customer base remains heavily reliant on government contracts, with sales to the VA accounting for 70.3% of total revenue in the first quarter. The company has also expanded its distribution channels, including a new Federal Supply Schedule (FSS) contract effective June 15, 2025, which is expected to enhance sales through government procurement channels. Additionally, electroCore completed the acquisition of NeuroMetrix, Inc. on May 1, 2025, which is anticipated to bolster its product offerings in the chronic pain market.

As of March 31, 2025, electroCore reported total assets of $16.0 million, down from $20.5 million at the end of 2024, with cash and cash equivalents increasing to $3.8 million. The company’s total liabilities decreased to $11.7 million from $12.9 million, reflecting a reduction in accrued expenses. The total number of shares outstanding increased to 7,420,618, following stock sales and employee compensation plans.

Looking ahead, electroCore plans to continue investing in sales and marketing to drive commercial activities, particularly for its gammaCore and Truvaga products. The company remains focused on achieving market acceptance and expanding its product lines, while also navigating the challenges of ongoing net losses and the need for additional funding. The management believes that its current cash position, along with expected cash flows, will support operations for at least the next 12 months, although significant risks and uncertainties remain regarding future profitability and operational sustainability.