Revenue continues to contract, evidenced by an 8.2% year-over-year decline in 2025Q3, while high SG&A expenses relative to a 64.0% gross margin result in deep operating losses.
| Sales/Revenue | 58.88M | 64.83M | 76.35M | 99.5M | 105.62M | 78.01M | 110.41M | 21.96M | 21.3M | 15.6M | 17.23M |
| Revenue Growth % | -12.39% | -15.09% | -23.26% | -5.8% | 35.39% | -29.34% | 402.85% | 3.09% | 36.52% | -9.46% | - |
| Cost of Goods Sold | 20.98M | 20.53M | 24.19M | 33.53M | 31.53M | 26.62M | 33.75M | 12.45M | 12.15M | 10.43M | 12.51M |
| COGS % of Revenue | - | 31.66% | 31.68% | 33.7% | 29.85% | 34.13% | 30.57% | 56.7% | 57.05% | 66.87% | 72.62% |
| Gross Profit | 37.89M | 44.31M | 52.17M | 65.97M | 74.09M | 51.39M | 76.65M | 9.51M | 9.15M | 5.17M | 4.72M |
| Gross Margin % | 64.36% | 68.34% | 68.32% | 66.3% | 70.15% | 65.87% | 69.43% | 43.3% | 42.95% | 33.13% | 27.38% |
| Gross Profit Growth % | - | -15.07% | -20.92% | -10.96% | 44.18% | -32.96% | 706.36% | 3.92% | 76.96% | 9.58% | - |
| Operating Expenses | 72.63M | 71.49M | 80.48M | 100.85M | 88.86M | 119.29M | 106.93M | 35.41M | 26.43M | 24.1M | 25.24M |
| OpEx % of Revenue | - | 110.27% | 105.4% | 101.36% | 84.13% | 152.91% | 96.85% | 161.29% | 124.1% | 154.49% | 146.5% |
| Selling, General & Admin | 66.96M | 64.8M | 72.28M | 89.89M | 81.99M | 84.08M | 98.9M | 27.04M | 19.29M | 16.63M | 17.84M |
| SG&A % of Revenue | - | 99.95% | 94.66% | 90.35% | 77.63% | 107.78% | 89.58% | 123.15% | 90.59% | 106.58% | 103.56% |
| Research & Development | 5.66M | 6.69M | 8.2M | 10.95M | 9.65M | 7.75M | 8.03M | 8.37M | 7.13M | 7.47M | 7.4M |
| R&D % of Revenue | - | 10.32% | 10.74% | 11.01% | 9.13% | 9.94% | 7.28% | 38.14% | 33.5% | 47.91% | 42.94% |
| Other Operating Expenses | 0 | 0 | 0 | 0 | -2.77M | 27.45M | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -34.74M | -27.18M | -28.31M | -34.88M | -14.77M | -67.9M | -30.28M | -25.91M | -17.28M | -18.93M | -20.52M |
| Operating Margin % | -59% | -41.93% | -37.08% | -35.05% | -13.98% | -87.03% | -27.42% | -117.99% | -81.15% | -121.36% | -119.12% |
| Operating Income Growth % | - | 3.97% | 18.83% | -136.18% | 78.25% | -124.25% | -16.88% | -49.9% | 8.72% | 7.76% | - |
| EBITDA | -30.89M | -23.3M | -24.19M | -30.41M | -9.91M | -63.09M | -28.24M | -24.57M | -16.71M | -18.28M | -19.66M |
| EBITDA Margin % | -52.47% | -35.93% | -31.69% | -30.57% | -9.39% | -80.88% | -25.58% | -111.89% | -78.45% | -117.17% | -114.13% |
| EBITDA Growth % | -27.92% | 3.72% | 20.45% | -206.8% | 84.29% | -123.44% | -14.95% | -47.03% | 8.59% | 7.05% | - |
| D&A (Non-Cash Add-back) | 3.84M | 3.89M | 4.12M | 4.46M | 4.85M | 4.8M | 2.04M | 1.34M | 574K | 654K | 860K |
| EBIT | -49.26M | -39.93M | -30.23M | -39.74M | -17.89M | -73.29M | -32.59M | -26.45M | -15.76M | -19.36M | -20.08M |
| Net Interest Income | -5.08M | -7.66M | -6.89M | -4.56M | -4.96M | -8.34M | -7.85M | -2.22M | -2.03M | -2.48M | -2.89M |
| Interest Income | 0 | 0 | 0 | 0 | 0 | 0 | -297K | 0 | 0 | 0 | 0 |
| Interest Expense | 5.08M | 7.66M | 6.89M | 4.56M | 4.96M | 8.34M | 7.55M | 2.22M | 2.03M | 2.48M | 2.89M |
| Other Income/Expense | -19.61M | -20.4M | -8.81M | -9.43M | -8.08M | -13.74M | -10.16M | -2.77M | -504K | -2.91M | -2.45M |
| Pretax Income | -54.35M | -47.58M | -37.12M | -44.31M | -22.85M | -81.64M | -40.44M | -28.68M | -17.79M | -21.85M | -22.97M |
| Pretax Margin % | -92.31% | -73.39% | -48.62% | -44.53% | -21.63% | -104.64% | -36.63% | -130.62% | -83.51% | -140.04% | -133.32% |
| Income Tax | 325K | -611K | -71K | -722K | -707K | 1.18M | 1.86M | 47K | 56K | 0 | 0 |
| Effective Tax Rate % | -0.6% | 1.28% | 0.19% | 1.63% | 3.09% | -1.45% | -4.59% | -0.16% | -0.31% | 0% | 0% |
| Net Income | -54.61M | -47M | -37.25M | -43.7M | -23.01M | -81.71M | -40.62M | -28.73M | -17.84M | -21.85M | -22.97M |
| Net Margin % | -92.76% | -72.49% | -48.79% | -43.92% | -21.79% | -104.73% | -36.79% | -130.83% | -83.78% | -140.04% | -133.32% |
| Net Income Growth % | -8.91% | -26.16% | 14.76% | -89.89% | 71.83% | -101.15% | -41.4% | -61% | 18.33% | 4.9% | - |
| Net Income (Continuing) | -54.67M | -46.97M | -37.05M | -43.58M | -22.14M | -82.82M | -42.3M | -28.73M | -17.84M | -21.85M | -22.97M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 461K | 469K | 570K | 645K | 653K | -471K | 2.5M | 4.02M | 0 | 0 | 0 |
| EPS (Diluted) | -29.38 | -66.28 | -6.84 | -9.91 | -6.34 | -33.92 | -74.49 | -192.87 | -152.86 | -213.23 | -224.21 |
| EPS Growth % | -209.73% | -869.01% | 30.98% | -56.31% | 81.31% | 54.46% | 61.38% | -26.17% | 28.31% | 4.9% | - |
| EPS (Basic) | - | -66.28 | -6.84 | -9.91 | -6.34 | -33.92 | -74.49 | -192.87 | -152.86 | -213.23 | -224.21 |
| Diluted Shares Outstanding | 1.86M | 709K | 5.44M | 4.4M | 3.63M | 2.44M | 567.8K | 148.94K | 116.72K | 102.45K | 102.45K |
| Basic Shares Outstanding | 1.86M | 709K | 5.44M | 4.4M | 3.63M | 2.44M | 567.8K | 148.94K | 116.72K | 102.45K | 102.45K |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - |
Imminent liquidity crisis
As indicated by the latest quarterly data, VERO's revenue has consistently declined, with the most recent period showing an 8.2% year-over-year contraction, reflecting a broader trend of diminishing market demand for its high-ticket robotic hair restoration and aesthetic device platforms across its primary sales channels.
The consistent negative growth trajectory suggests that the company's subscription-based model is failing to offset the decline in new system placements. This persistent revenue erosion implies that the firm is struggling to maintain its competitive position in a tightening credit environment where aesthetic clinics are deferring capital expenditures.
According to the provided financial statements, VERO maintains a relatively robust gross margin of 64.0%, which suggests that the underlying manufacturing cost of its specialized medical hardware remains well-controlled despite the significant top-line pressure and the broader operational challenges facing the company's aesthetic device portfolio.
While the gross margin remains healthy, it is insufficient to cover the company's heavy fixed-cost structure. This disparity indicates that the firm's pricing power is likely intact for its core technology, but the current volume of sales is far below the level required to achieve operational break-even.
Based on reported figures, VERO's operating margin of -68.9% highlights a severe lack of operating leverage, as the company's substantial SG&A expenses continue to overwhelm gross profits, indicating that the current sales and clinical training infrastructure is not scaling efficiently with the declining revenue base.
The inability to reduce SG&A in proportion to the revenue decline suggests a rigid cost structure that may be unsustainable. Investors should monitor whether management can implement meaningful cost-cutting measures, as the current operating loss trajectory appears to be accelerating rather than stabilizing.
As shown in the income statement, VERO reported a net margin of -163.8% in the most recent quarter, a figure that appears heavily impacted by non-operating items and potential asset impairments that obscure the underlying cash-generating capability of the core medical device business operations.
The extreme volatility in net income, including a massive -120.3% margin in 2024Q2, suggests that the bottom line is frequently distorted by accounting charges. This makes it difficult to assess the true operational health of the company without adjusting for these non-recurring or non-cash items.
With a cash balance of only $4.27 million against persistent quarterly operating losses, the company's financial position appears increasingly precarious, suggesting that VERO may face an imminent liquidity crisis that could necessitate highly dilutive equity financing or a forced liquidation of its intellectual property assets.
The combination of shrinking revenue and a thin cash cushion leaves little room for operational error. If the company cannot secure additional funding or achieve a rapid turnaround in system placements, the risk of a going concern event appears to be rising significantly.
Quick answers to the most common questions about buying VERO stock.
For fiscal year 2024, Venus Concept Inc. (VERO) reported total revenue of $64.8M. This represents a 276.3% increase compared to $17.2M in 2015.
Venus Concept Inc. (VERO) reported a net loss of $47.0M for the fiscal year ending 2024.
Venus Concept Inc. (VERO) reported an operating income of $-27.2M, resulting in an operating profit margin of -41.9%. This margin reflects the operational efficiency of the business before interest and taxes.
Venus Concept Inc. (VERO) generated $44.3M in gross profit for the year, representing a gross profit margin of 68.3%. This demonstrates the company's core pricing power and production efficiency.