KORU Medical Systems Reports 27.2% Revenue Growth in Q3 2025

KORU Medical Systems, Inc. reported a significant increase in financial performance for the third quarter of 2025, with net revenues reaching $10.4 million, a 27.2% rise from $8.2 million in the same period last year. The company's core business revenues also saw a notable increase, with total core revenues amounting to $9.8 million, reflecting a 29.7% growth. This growth was primarily driven by a substantial 229.6% increase in international core revenues, which reached $3.7 million, while domestic core revenues experienced a decline of 5.0% to $6.1 million. The decrease in domestic sales was attributed to lower orders from a U.S. distributor who sourced some products from an international distributor, alongside an inventory reduction.

Gross profit for the quarter was reported at $6.3 million, up 20.8% from $5.2 million in the prior year, although the gross margin decreased to 60.2% from 63.4%. The decline in gross margin was attributed to higher manufacturing costs, a shift in geographic sales mix, and tariff-related charges. Operating expenses increased to $7.1 million from $6.9 million, driven by higher selling, general, and administrative expenses, which rose by 16.9% to $6.0 million. Research and development expenses decreased significantly by 39.2% to $0.9 million, reflecting lower project spending and severance costs from the previous year.

For the nine months ended September 30, 2025, KORU Medical reported total net revenues of $30.2 million, a 21.9% increase compared to $24.8 million in the same period of 2024. Domestic core revenues increased by 8.6% to $20.1 million, while international core revenues surged by 82.9% to $8.3 million. The company’s net loss for the nine-month period was $2.2 million, a significant improvement from a loss of $4.5 million in the prior year, primarily due to increased gross profit and controlled operating expenses.

Operationally, KORU Medical's inventory increased to $4.4 million, reflecting a $1.6 million rise since December 31, 2024. The company ended the third quarter with cash and cash equivalents of approximately $8.5 million. The filing indicated that the company expects its current cash position and operational cash flows to be sufficient to meet its requirements for at least the next twelve months. However, it also noted that future capital requirements may necessitate drawing on its credit facility or seeking additional financing.

Looking ahead, KORU Medical anticipates continued growth driven by new patient starts and market expansion, particularly in the international segment. The company remains focused on executing its strategic plan, which may involve additional debt or equity financing to support its initiatives. The management highlighted potential risks, including market conditions, regulatory compliance, and the impact of tariffs, which could affect future performance.