Sensus Healthcare (NASDAQ:SRTS) Posts Earnings Results, Misses Expectations By $0.03 EPS

Sensus Healthcare (NASDAQ:SRTS) issued its quarterly earnings results on Thursday. The company reported ($0.09) earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of ($0.06) by ($0.03), FiscalAI reports. The company had revenue of $6.00 million during the quarter, compared to the consensus estimate of $6.61 million. Sensus Healthcare had a negative return on equity of 21.57% and a negative net margin of 88.45%.

Here are the key takeaways from Sensus Healthcare’s conference call:

• Sensus said physician conversations are shifting from explaining reimbursement to discussing adoption, following the Jan. 1 launch of dedicated CPT codes. Management also expects a proposed 26% increase in certain hospital-based SRT delivery codes to take effect Jan. 1, 2027, though that remains a forward-looking expectation.
• The company shipped 26 systems in Q3, including eight delayed from Q2, and secured initial purchases or Fair Deal agreements with two private equity-backed dermatology groups whose combined footprint is about 450 practices. Management sees potential to expand within those groups, but noted that converting the pipeline remains the priority.
• Q3 revenue fell 13% year over year to $6.0 million, reflecting a mix shift toward lower-priced SRT-100 systems and no sales to the historically largest customer. Cash, restricted cash, and equivalents declined to $12.9 million from $15.2 million at June-end.
• Profitability measures were mixed: gross margin improved to about 55% from 39%, and adjusted EBITDA loss narrowed to $1.5 million from $2.4 million, while net loss widened to $1.5 million from $0.9 million; the prior-year quarter included a $1.5 million tax benefit. Sensus is also developing recurring revenue through Fair Deal, Sensus Link, software, and services, but did not quantify their current contribution.

Sensus Healthcare Stock Down 5.6%

Shares of SRTS traded down $0.19 during mid-day trading on Thursday, hitting $3.22. The stock had a trading volume of 82,747 shares, compared to its average volume of 104,947. The company has a market cap of $53.00 million, a PE ratio of -3.43 and a beta of 1.18. The company’s fifty day simple moving average is $3.00 and its two-hundred day simple moving average is $3.46. Sensus Healthcare has a fifty-two week low of $2.66 and a fifty-two week high of $5.49.

Insider Activity

In other news, Director Eric Sachetta purchased 27,304 shares of the company’s stock in a transaction that occurred on Monday, August 31st. The shares were acquired at an average cost of $3.54 per share, with a total value of $96,656.16. Following the transaction, the director owned 294,784 shares in the company, valued at approximately $1,043,535.36. The trade was a 10.21% increase in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Over the last quarter, insiders purchased 120,171 shares of company stock worth $405,230. Corporate insiders own 10.20% of the company’s stock.

Analyst Upgrades and Downgrades

Several analysts recently issued reports on the stock. Lake Street Capital cut their price target on shares of Sensus Healthcare from $4.50 to $4.00 and set a “buy” rating on the stock in a report on Friday, August 14th. Weiss Ratings lowered shares of Sensus Healthcare from a “sell (d)” rating to a “sell (d-)” rating in a report on Tuesday, August 18th. Finally, Alliance Global Partners reissued a “buy” rating on shares of Sensus Healthcare in a research report on Monday, August 17th. Four analysts have rated the stock with a Buy rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of “Moderate Buy” and a consensus price target of $5.83.

About Sensus Healthcare

Sensus Healthcare, Inc. is a medical device company focused on non-invasive treatment technologies for dermatologic and oncologic conditions. The company develops and commercializes superficial radiotherapy systems designed to deliver low-energy X-rays to targeted areas of the skin. Its principal products include the SRT-100 and SRT-100 Vision systems, which are used by physicians to treat non-melanoma skin cancers, including basal cell and squamous cell carcinomas, as well as keloids. The systems are intended to provide an alternative to certain surgical procedures and are used in dermatology, radiation oncology and other clinical settings.