NanoVibronix Reports Significant Revenue Decline and Increased Net Losses in Q2 2025

NanoVibronix, Inc. reported its financial results for the second quarter of 2025, revealing a significant decline in revenue and an increase in net losses compared to the same period in 2024. For the three months ended June 30, 2025, the company generated revenues of approximately $494,000, a decrease of 40% from $817,000 in the prior year. The decline was attributed primarily to reduced sales from its largest distributor, although the inclusion of revenues from ENvue, which merged with NanoVibronix in February 2025, partially offset this decrease. For the six-month period, total revenues were approximately $1.52 million, down 13% from $1.74 million in the same period last year.

The company's gross profit for the second quarter turned negative at approximately $(35,000), compared to a positive gross profit of $428,000 in the prior year. This shift was largely due to a $159,000 inventory write-off and $186,000 in amortization costs related to technology. Consequently, gross profit as a percentage of revenue fell from 52% to negative 7%. Operating expenses also surged, with research and development costs increasing by 420% to $972,000, driven by clinical trial expenses and the integration of ENvue's operations. General and administrative expenses rose 215% to $2.25 million, reflecting costs associated with the merger.

The net loss for the second quarter of 2025 was approximately $3.97 million, a substantial increase from a loss of $688,000 in the same quarter of 2024. This increase was primarily due to higher operating expenses and the aforementioned inventory write-off. For the six-month period, the net loss reached approximately $5.84 million, compared to $1.28 million in the prior year. The company reported a basic net loss per share of $(1.03) for the second quarter, compared to $(27.18) in the same quarter of 2024.

In terms of operational developments, NanoVibronix's merger with ENvue has significantly altered its financial landscape. The merger resulted in the addition of $38.63 million in goodwill and $5.52 million in intangible assets to the balance sheet. As of June 30, 2025, total assets increased to approximately $51.48 million, up from $3.63 million at the end of 2024. The company also reported a cash balance of approximately $4.06 million, a notable increase from $752,000 at the end of 2024, primarily due to proceeds from the issuance of Series G Convertible Preferred Stock.

Looking ahead, NanoVibronix faces challenges in achieving profitability, as indicated by its accumulated deficit of $75.99 million. The company plans to continue funding its operations through cash on hand and potential future equity or debt offerings. However, management expressed substantial doubt regarding the company's ability to continue as a going concern without securing additional financial resources. The company is also navigating the complexities of integrating ENvue's operations while addressing the implications of recent geopolitical events and market conditions on its business.