SANUWAVE reports record Q2 revenue as UltraMist sales soar

EDEN PRAIRIE, MN - SANUWAVE Health, Inc. (OTCQB: SNWV), a medical technology company specializing in wound care, has announced a record-breaking preliminary revenue of $7.0 to $7.2 million for the second quarter of 2024, which ended on June 30. This figure marks a significant increase of 50% to 54% compared to the same period last year.

The company's UltraMist therapy, a key product in their wound care portfolio, has been a major contributor to this growth, with sales surging over 60% from the second quarter of 2023. This product alone accounted for approximately 97% of the total company revenues, with sales of UltraMist applicators setting an all-time quarterly record and comprising about 65% of the overall revenue.

CEO Morgan Frank expressed satisfaction with the results, highlighting the company's commitment to rapid growth and operating profitability. He pointed out that this is the second consecutive quarter where the year-over-year revenue growth exceeded 50%. Frank also mentioned the company's aim to establish a leading position in the wound care market.

The preliminary revenue figures are based on initial management analysis and may be adjusted following the completion of the company's financial closing process for the quarter. SANUWAVE plans to release its full second-quarter results in mid-August, promising a more comprehensive update on performance and future strategies.

SANUWAVE's focus lies in developing non-invasive medical systems for the repair and regeneration of skin, musculoskeletal tissue, and vascular structures. Their patented technology aims to activate biological responses to accelerate healing processes.

This news article is based on a press release statement from SANUWAVE Health, Inc.

In other recent news, SANUWAVE Health, Inc. has terminated its merger agreement with SEP Acquisition Corp. This decision was unanimously approved by the board of directors as they explore alternative strategies for capital structure improvement. CEO Morgan Frank indicated that these opportunities could more effectively bolster SANUWAVE's financial position and business.

The company is now contemplating various options to enhance its market valuation in alignment with its business fundamentals.

In addition, SANUWAVE is considering a proposed reverse stock split and note and warrant exchange to better align with its growth objectives and potential stock exchange listing.

InvestingPro Insights

Amid the promising preliminary revenue announcement from SANUWAVE Health, Inc. (OTCQB: SNWV), the company's financial health and market performance metrics provide a deeper understanding of its current position. According to InvestingPro data, SANUWAVE has achieved a revenue growth of 53.27% in Q1 2024, demonstrating a robust upward trend in its sales figures. This aligns with the company's recent report of a substantial increase in second-quarter revenues, largely driven by the success of their UltraMist therapy product.

Despite these positive developments, SANUWAVE is facing some financial challenges. InvestingPro Tips indicate that the company operates with a significant debt burden and is quickly burning through cash. Additionally, its short-term obligations exceed its liquid assets, which could pose liquidity risks. These factors are crucial for investors to consider, especially when evaluating the company's long-term financial sustainability and growth prospects.

The market cap of SANUWAVE stands at 21.26M USD, reflecting its size within the medical technology sector. The company's price-to-book ratio as of the last twelve months ending Q1 2024 is -0.42, suggesting that the market currently values the company at less than its book value, which may interest value investors. Moreover, SANUWAVE's gross profit margin is an impressive 71.63%, indicating a strong ability to retain earnings from sales after accounting for the cost of goods sold.

For investors seeking to delve further into SANUWAVE's financial metrics and strategic positioning, InvestingPro offers additional insights. There are 6 more InvestingPro Tips available that provide a comprehensive analysis of the company's valuation, profitability, and dividend policy. To explore these tips and make informed investment decisions, use the coupon code PRONEWS24 to get up to 10% off a yearly Pro and a yearly or biyearly Pro+ subscription at https://www.investing.com/pro/SNWV.

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