Edap Tms (NASDAQ:EDAP) Announces Quarterly Earnings Results, Misses Estimates By $0.09 EPS

Edap Tms (NASDAQ:EDAP) released its earnings results on Wednesday. The medical equipment provider reported ($0.25) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.16) by ($0.09), Zacks reports. The firm had revenue of $22.22 million during the quarter, compared to analyst estimates of $21.28 million. Edap Tms had a negative net margin of 41.24% and a negative return on equity of 90.03%.

Here are the key takeaways from Edap Tms’ conference call:

• Record HIFU momentum: Full?year HIFU revenue rose 39% to EUR 33.1M and Q4 HIFU was up 34%, driven by a record 15 Focal One placements (14 cash sales) with the U.S. market leading the strength.
• Growing recurring-revenue runway: Installed base (~165 units) and a 28% rise in U.S. procedures in Q4 are driving higher treatment, service and consumable revenue over time.
• Regulatory and reimbursement tailwinds: FDA cleared the next?gen Focal One (advanced imaging/AI enablement) and CMS finalized higher 2026 outpatient payments ($9,671 average) and increased physician RVUs versus alternative ablative treatments.
• Profitability and margin pressures: Q4 gross margin fell to 42.6% partly due to tariffs and an inventory reserve; operating loss widened to EUR 5.2M and net loss to EUR 8.2M (EUR 0.22/share), including non?cash warrant and currency charges.
• 2026 guidance and key risks: Management reiterated HIFU revenue guidance of $50–54M (34–45% growth) and non?core $22–26M, but results remain exposed to capital?sale lumpiness, Section 232 tariffs (budgeted ~€2.5M) and currency fluctuations.

Edap Tms Stock Up 1.6%

Shares of NASDAQ EDAP opened at $3.77 on Friday. The firm has a market cap of $140.96 million, a PE ratio of -4.90 and a beta of -0.19. Edap Tms has a 12-month low of $1.21 and a 12-month high of $5.05. The company’s fifty day simple moving average is $4.21 and its 200 day simple moving average is $3.15. The company has a quick ratio of 0.97, a current ratio of 1.41 and a debt-to-equity ratio of 0.04.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on the company. Wall Street Zen raised Edap Tms to a “hold” rating in a research report on Saturday, February 7th. Weiss Ratings restated a “sell (d-)” rating on shares of Edap Tms in a research report on Monday, December 29th. One investment analyst has rated the stock with a Buy rating, two have issued a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat, the stock currently has a consensus rating of “Hold” and a consensus price target of $8.50.

Trending Headlines about Edap Tms

Here are the key news stories impacting Edap Tms this week:

• Positive Sentiment: Record HIFU momentum — EDAP reported record fourth-quarter and full?year 2025 HIFU revenue with 39% full?year HIFU growth, driven by higher Focal One system sales and more U.S. procedures; management highlighted placements in academic centers and larger health systems, indicating durable demand. EDAP Reports Record Fourth Quarter and Full-Year 2025 HIFU Revenue
• Positive Sentiment: 2026 HIFU revenue target and reiterated guidance — EDAP is targeting $50M–$54M in HIFU revenue for 2026 (management reiterated prior 2026 revenue guidance and expects 34%–45% YoY HIFU growth), which supports a bullish revenue trajectory for the core business. Edap targets $50M–$54M HIFU revenue for 2026
• Neutral Sentiment: Top-line beat but mixed signals — Revenue of $22.22M modestly exceeded the ~$21.28M consensus, showing healthy sales growth even as profitability remains a concern. Edap Q4 2025 Earnings Call Highlights
• Negative Sentiment: EPS miss and continued unprofitability — EDAP reported roughly ($0.25)–($0.26) EPS for the quarter, missing estimates (~($0.16)). The company remains unprofitable with negative net margins and negative return on equity, and analysts model further losses for the year. Q4 2025 Earnings Call Transcript
• Negative Sentiment: Technical/volume context — Trading picked up (higher-than-average volume today) but the stock remains below its 50?day moving average, which may limit near?term upside for technical traders. MarketBeat EDAP Summary

Hedge Funds Weigh In On Edap Tms

A hedge fund recently bought a new stake in Edap Tms stock. Kovack Advisors Inc. acquired a new position in shares of Edap Tms S.A. (NASDAQ:EDAP) during the fourth quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission. The institutional investor acquired 16,000 shares of the medical equipment provider’s stock, valued at approximately $53,000. Institutional investors and hedge funds own 62.74% of the company’s stock.

About Edap Tms

Edap Tms SA (NASDAQ: EDAP) is a Lyon, France–based medical device company that develops and markets noninvasive therapeutic systems for urological applications. The firm’s core focus lies in high-intensity focused ultrasound (HIFU) for localized prostate tissue ablation and extracorporeal shock-wave lithotripsy for kidney stone fragmentation. Edap Tms’s Ablatherm HIFU platform delivers targeted ultrasound energy to treat prostate cancer without incisions, while its Sonolith line offers pulse-focused shock waves designed to break down urinary calculi.

Since its founding in 1989, Edap Tms has pursued regulatory clearances in multiple markets, including CE marking in Europe and FDA clearance for its HIFU system in the United States.