KORU Medical Systems Reports 17.5% Revenue Growth to $9.6 Million in Q1 2025

KORU Medical Systems, Inc. reported a net revenue of $9.6 million for the first quarter of 2025, reflecting a 17.5% increase from $8.2 million in the same period last year. This growth was primarily driven by a 16.4% rise in domestic core revenues, which reached $6.9 million, and a significant 35.6% increase in international core revenues, totaling $2.4 million. However, the company experienced a decline of 38.6% in its pharma services and clinical trials segment, which generated $0.3 million in revenue. The gross profit for the quarter was $6.0 million, an 18.5% increase compared to $5.1 million in the prior year, resulting in a gross margin of 62.8%, up from 62.3%.

Operating expenses for KORU Medical increased to $7.3 million, up from $7.1 million in the previous year, largely due to a rise in selling, general, and administrative expenses, which grew by 11.2% to $6.0 million. This increase was attributed to higher compensation-related expenses and legal fees. Conversely, research and development expenses decreased by 24.5% to $1.1 million, reflecting a shift in project spending. The company reported a net loss of $1.2 million for the quarter, a significant improvement from the $1.9 million loss recorded in the same period last year.

In terms of operational metrics, KORU Medical's inventory increased to $3.3 million, up by $0.5 million from the end of 2024. The company ended the quarter with cash and cash equivalents of $8.7 million, down from $9.6 million at the end of the previous year. The total liabilities stood at $10.9 million, an increase from $10.4 million, while stockholders' equity decreased to $16.3 million from $16.8 million. The company had 46,140,996 shares of common stock outstanding as of March 31, 2025.

Looking ahead, KORU Medical is focused on expanding its market presence and product offerings, particularly in the subcutaneous drug delivery market. The company is evaluating the potential impacts of recently announced tariffs on imported products, which could affect its cost structure. Despite these uncertainties, KORU Medical expects that its current cash position and operational cash flows will be sufficient to meet its requirements for at least the next twelve months. Future capital needs may necessitate drawing on its credit facility or seeking additional financing, depending on various factors including sales growth and market conditions.