SANUWAVE Health Reports 60% Revenue Growth to $32.6 Million in 2024

SANUWAVE Health, Inc. reported significant financial growth in its recent 10-K filing for the fiscal year ending December 31, 2024. The company achieved total revenues of $32.6 million, marking a 60% increase from $20.4 million in 2023. This growth was primarily driven by a substantial rise in sales of its UltraMIST systems and consumables, which accounted for approximately 98% of total revenues in 2024, up from 90% in the previous year. The gross margin also improved to 75%, compared to 70% in 2023, reflecting enhanced pricing strategies and operational efficiencies.

Despite the revenue increase, SANUWAVE reported a net loss of $31.4 million for 2024, an increase from a net loss of $25.8 million in 2023. This rise in losses was largely attributed to a non-cash change in the fair value of derivative liabilities. Operating income, however, saw a significant turnaround, increasing to $5.4 million from an operating loss of $0.5 million in the prior year, indicating a positive shift in the company's operational performance.

Strategically, SANUWAVE has focused on expanding its market presence and enhancing its product offerings. The company has been actively building a direct sales force and distribution network to promote its UltraMIST product in the U.S. and is exploring potential international expansion. As of December 31, 2024, the company had over 1,000 UltraMIST systems in the field, with a 37% increase in the quantity of disposables sold compared to the previous year. The average selling price for disposables rose by 21%, while the price for systems increased by 10%.

Operationally, SANUWAVE's workforce consisted of 46 full-time employees as of the end of 2024, with a focus on research and development, clinical, regulatory, and quality assurance roles. The company has also been addressing material weaknesses in its internal controls over financial reporting, which were identified in the filing. Management is implementing a remediation plan that includes hiring additional personnel and enhancing IT controls to ensure compliance with U.S. GAAP.

Looking ahead, SANUWAVE's management is optimistic about the company's growth trajectory, emphasizing the importance of securing additional capital to support ongoing operations and strategic initiatives. The company is actively engaged in discussions with financial institutions to refinance its debt, which is due in September 2025. While the company has made strides in improving its financial performance, it acknowledges the need for continued execution of its strategic plans to ensure long-term viability.