Profound Medical revises financials, corrects revenue overstatement

Published 10/03/2025, 11:04
Profound Medical revises financials, corrects revenue overstatement

Profound Medical (TASE:BLWV) Corp., a medical technology company with a market capitalization of approximately $207 million and trailing twelve-month revenue of $10.68 million, has issued an amended report to correct a previously overstated revenue figure and to transition its financial statements from International Financial Reporting Standards (IFRS) to U.S. Generally Accepted Accounting Principles (GAAP). The adjustment pertains to the company’s financial results for the first quarter of 2024, where revenue was overstated by $472,000. According to InvestingPro data, the company has demonstrated strong revenue growth of 48.35% over the last twelve months.

The adjustment was disclosed in an amended 6-K filing with the U.S. Securities and Exchange Commission (SEC) today, which provided unaudited interim condensed consolidated financial statements for the three and nine months ended September 30, 2024. The original report was filed on November 7, 2024, and this amendment serves to rectify the accounting error. Despite the reporting adjustment, InvestingPro analysis shows the company maintains strong liquidity with a current ratio of 10.52 and holds more cash than debt on its balance sheet.

Profound Medical, known for its medical instruments and apparatus, is incorporated in Ontario, Canada, and trades under the SEC file number 001-39032. The company’s principal executive office is located at 2400 Skymark Avenue, Unit 6, Mississauga, Ontario.

The amended report includes certifications from the Chief Executive Officer and Chief Financial Officer, ensuring the accuracy and completeness of the financial statements and related disclosures. The revised financial statements and management’s discussion and analysis are now available for public review, providing a transparent and corrected view of the company’s financial performance during the specified period.

The corrected financial information is also incorporated by reference into Profound Medical Corp.’s registration statement on Form F-10, demonstrating the company’s commitment to maintaining compliance and upholding the integrity of its financial reporting.

This corrective measure ensures that investors and stakeholders have access to accurate financial data, which is crucial for informed decision-making. Profound Medical Corp. has taken the necessary steps to address the discrepancy and reaffirms its dedication to financial transparency and adherence to regulatory standards. Looking ahead, analysts have revised their earnings expectations downward, with consensus forecasts showing continued losses in the upcoming period. For deeper insights into Profound Medical’s financial health and detailed analysis, investors can access comprehensive research reports and additional ProTips through InvestingPro. The information for this article is based on a press release statement and InvestingPro data.

In other recent news, Profound Medical Corp reported a significant improvement in its financial performance for the fourth quarter of 2024. The company achieved revenues of $4.2 million, representing a 108% increase from the previous year, driven by capital sales and recurring revenues. Profound Medical also reported an earnings per share of $0.20, surpassing the forecasted EPS of -$0.35. The company’s gross margin improved to 71%, up from 52% in the previous year, indicating enhanced operational efficiency. Stifel analysts maintained a Buy rating with a $12.00 price target for Profound Medical, highlighting the positive financial results. The company anticipates high double-digit growth in 2025, with further expansion expected from initiatives like the launch of the BPH Tulsa AI module and collaboration with Siemens (ETR:SIEGn) MRI. Management has also focused on expanding its sales force and targeting top U.S. cancer centers to support growth. These recent developments underscore Profound Medical’s strategic focus and growth trajectory.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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