InspireMD Reports Revenue Increase but Significant Rise in Net Losses for Q2 2025

InspireMD, Inc. reported its financial results for the second quarter of 2025, revealing a modest increase in revenue but a significant rise in net losses compared to the same period last year. For the three months ended June 30, 2025, the company generated revenues of $1.778 million, a 2.3% increase from $1.739 million in the same quarter of 2024. However, the net loss for the quarter escalated to $13.151 million, up 66.3% from a loss of $7.909 million in the prior year. The increase in losses was attributed primarily to a rise in operating expenses, which surged by 55.1% to $13.332 million, driven by higher research and development, selling, and marketing costs.

In terms of operational metrics, InspireMD's gross profit for the quarter decreased by 5.4% to $313,000, resulting in a gross margin of 17.6%, down from 19.0% a year earlier. The company reported increased research and development expenses of $3.834 million, reflecting a 12.7% rise due to hiring for its U.S. expansion. Selling and marketing expenses saw a dramatic increase of 188.7%, totaling $4.172 million, as the company built its commercial infrastructure in anticipation of the U.S. launch of its CGuard Prime carotid stent system.

InspireMD's balance sheet as of June 30, 2025, showed total assets of $33.342 million, a decrease from $46.807 million at the end of 2024. Cash and cash equivalents fell to $11.509 million from $18.916 million, while marketable securities also declined to $7.865 million from $15.721 million. The company's accumulated deficit increased to $277.823 million, raising concerns about its ability to continue as a going concern without additional financing. The company has indicated that it does not have sufficient resources to fund operations for at least the next 12 months.

Strategically, InspireMD achieved significant milestones with the FDA granting premarket application approval for the CGuard Prime Carotid Stent System on June 23, 2025, followed by its commercial launch in July 2025. The company also received CE Mark approval for the same product under the European Medical Device Regulation. These developments are expected to enhance the company's market presence, particularly in the U.S. and European markets. However, the company faces challenges, including geopolitical risks associated with its operations in Israel and the need for ongoing capital to support its growth initiatives.

Looking ahead, InspireMD plans to continue its commercialization efforts and is exploring additional capital-raising opportunities through equity sales and strategic partnerships. The company remains focused on expanding its product offerings and market reach, particularly with the CGuard technology, which it believes has significant growth potential in the vascular treatment market. However, the ongoing geopolitical tensions in the region and the company's financial position present substantial risks to its operational and financial stability.