FocalTherics (NASDAQ:FOCL) Issues Quarterly Earnings Results, Beats Expectations By $0.08 EPS

FocalTherics (NASDAQ:FOCL) posted its quarterly earnings data on Thursday. The company reported ($0.10) EPS for the quarter, beating analysts’ consensus estimates of ($0.18) by $0.08, FiscalAI reports. FocalTherics had a negative net margin of 56.26% and a negative return on equity of 248.00%. The firm had revenue of $9.83 million for the quarter.

Here are the key takeaways from FocalTherics’ conference call:

• Third-quarter HIFU revenue rose 26% to $9.8 million, but three expected system sales slipped because of hospital approval and financing delays. The company narrowed 2026 revenue guidance to $50 million–$52 million, from $50 million–$54 million, while saying the delayed sales are expected to close in Q4.
• U.S. Focal One procedure volumes grew 32% year over year, and treatment-driven revenue increased 24%; the worldwide installed base reached 192 systems. Management said utilization growth should continue as established programs expand, while noting new centers take time to ramp.
• Access and reimbursement advanced: France has universal national coverage for Focal One, and several major U.S. commercial payers now cover HIFU as salvage treatment after radiation failure, following an NCCN recommendation upgrade.
• Gross margin improved to 51.4% from 46.6%, but operating expenses rose to $12.8 million and operating loss widened to $7.8 million. Cash and equivalents increased to $56.3 million after the August equity offering.
• FocalTherics is extending Focal One into other indications: three European centers are treating commercial patients for endometriosis, while its BPH program remains in clinical development. The company expects data from the HIFUSA randomized trial early next year.

FocalTherics Trading Down 21.9%

FocalTherics stock traded down $0.93 during mid-day trading on Friday, reaching $3.32. The company’s stock had a trading volume of 376,391 shares, compared to its average volume of 41,107. The company has a market capitalization of $124.60 million, a price-to-earnings ratio of -3.39 and a beta of -0.02. The firm’s 50 day moving average is $4.23. The company has a current ratio of 1.60, a quick ratio of 1.38 and a debt-to-equity ratio of 1.79. FocalTherics has a twelve month low of $1.82 and a twelve month high of $6.40.

Insider Activity

In other FocalTherics news, Director Lance Willsey bought 50,000 shares of the company’s stock in a transaction on Friday, August 14th. The shares were bought at an average cost of $4.75 per share, with a total value of $237,500.00. Following the completion of the acquisition, the director owned 1,291,780 shares of the company’s stock, valued at approximately $6,135,955. This trade represents a 4.03% increase in their ownership of the stock. The acquisition was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CEO Ryan Rhodes purchased 21,000 shares of FocalTherics stock in a transaction dated Friday, August 14th. The stock was acquired at an average price of $4.75 per share, for a total transaction of $99,750.00. Following the completion of the transaction, the chief executive officer owned 626,649 shares in the company, valued at approximately $2,976,582.75. The trade was a 3.47% increase in their position. Additional details regarding this purchase are available in the official SEC disclosure. Insiders have purchased 116,000 shares of company stock valued at $551,000 over the last quarter. 10.10% of the stock is owned by company insiders.

Institutional Investors Weigh In On FocalTherics

A hedge fund recently raised its position in FocalTherics stock. Rock Springs Capital Management LP boosted its holdings in FocalTherics (NASDAQ:FOCL) by 7.1% during the first quarter, according to its most recent Form 13F filing with the Securities & Exchange Commission. The fund owned 1,378,000 shares of the company’s stock after acquiring an additional 91,500 shares during the period. Rock Springs Capital Management LP owned about 3.68% of FocalTherics worth $5,126,000 at the end of the most recent quarter. 62.74% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

Several equities research analysts have recently weighed in on FOCL shares. Piper Sandler reissued a “neutral” rating and issued a $4.00 target price on shares of FocalTherics in a research report on Friday, August 14th. HC Wainwright reaffirmed a “buy” rating and set a $10.00 price target on shares of FocalTherics in a research report on Tuesday, August 25th. Wall Street Zen upgraded FocalTherics from a “sell” rating to a “hold” rating in a research note on Saturday. Weiss Ratings reiterated a “sell (d-)” rating on shares of FocalTherics in a research note on Monday, August 17th. Finally, Mizuho assumed coverage on FocalTherics in a report on Friday, July 17th. They issued an “outperform” rating and a $15.00 price objective for the company. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, one has issued a Hold rating and one has given a Sell rating to the stock. Based on data from MarketBeat.com, FocalTherics currently has an average rating of “Moderate Buy” and an average price target of $9.67.

FocalTherics Company Profile

EDAP TMS SA, together with its subsidiaries, develops, produces, markets, distributes, and maintains a portfolio of minimally invasive medical devices for the treatment of urological diseases in Asia, France, the United States, and internationally. It operates in three segments: High Intensity Focused Ultrasound (HIFU), Extracorporeal ShockWave Lithotripsy (ESWL), and Distribution Services (DIST). The HIFU segment develops, manufactures, and markets medical devices based on HIFU technology for the minimally invasive treatment of urological and other clinical indications.