InspireMD Reports Q1 2025 Financial Results with Increased Revenue but Higher Net Loss

InspireMD, Inc. reported its financial results for the first quarter of 2025, revealing a revenue of $1.529 million, a slight increase from $1.511 million in the same period of 2024. The company’s cost of revenues also rose marginally, leading to a gross profit of $292,000, unchanged from the previous year. However, operating expenses surged to $11.752 million, up from $7.706 million in the prior year, primarily driven by increased research and development costs, which rose to $4.059 million from $2.625 million, and higher selling and marketing expenses, which increased to $2.750 million from $1.237 million. This resulted in a net loss of $11.166 million for the quarter, compared to a net loss of $7.032 million in the first quarter of 2024.

The company’s balance sheet as of March 31, 2025, showed total assets of $38.672 million, a decrease from $46.807 million at the end of 2024. Current assets fell to $32.144 million from $40.521 million, largely due to a decline in cash and cash equivalents, which dropped to $12.383 million from $18.916 million. Total liabilities decreased slightly to $10.327 million from $10.721 million, while total equity fell to $28.345 million from $36.086 million, reflecting the impact of the net loss during the quarter.

In terms of strategic developments, InspireMD continues to focus on the commercialization of its proprietary MicroNet™ stent platform technology, particularly the CGuard™ EPS product for treating carotid artery disease. The company is actively seeking FDA approval for its CGuard Prime carotid stent system to enter the U.S. market. InspireMD's operations remain primarily based in Israel, where the company has reported that its activities have largely been unaffected by the ongoing regional conflict, although the situation remains fluid.

Operationally, InspireMD's employee headcount has increased, with 29.753 million shares outstanding as of March 31, 2025, up from 26.611 million shares at the end of 2024. The company has indicated that it expects to continue incurring losses and negative cash flows until its products achieve commercial profitability. Management plans to raise capital through equity sales, debt, or strategic partnerships to support ongoing operations. However, there is significant uncertainty regarding the company’s ability to secure the necessary financing.

Looking ahead, InspireMD acknowledges the challenges posed by its accumulated deficit and the need for additional funding to sustain operations over the next 12 months. The company has expressed that while it aims to continue the commercialization of its products, the potential for future growth is contingent upon successful capital raising efforts and the eventual market acceptance of its stent technologies. The ongoing geopolitical tensions in the region, particularly the conflict in Israel, may also pose risks to the company's operational stability and financial performance.