# Kestra Medical Technologies (KMTS) Reports Fourth Quarter and Fiscal Year 2025 Financial Results on July 15, 2025
Kestra Medical Technologies, Ltd. (Nasdaq: KMTS), a wearable medical device and digital healthcare company, announced its financial results for the fourth quarter and fiscal year ended April 30, 2025, on July 15, 2025.
## Financial Highlights
– **Q4 FY25 Revenue**: $17.2 million, a **71% increase** compared to Q4 FY24’s $10.1 million.
– **FY25 Revenue**: $59.8 million, a **115% increase** compared to FY24’s $27.8 million.
– **Q4 FY25 Gross Margin**: 44.3%, up from **13.9%** in Q4 FY24.
– **FY25 Gross Margin**: 40.5%, up from **1.3%** in FY24.
– **FY26 Revenue Guidance**: Projected at $85 million, a **42% increase** compared to FY25.
## Fourth Quarter Fiscal 2025 Financial Results
– **Total Revenue**: $17.2 million, up **71%** year-over-year.
– **Prescriptions for ASSURE® System**: 3,903 prescriptions written, a **43% increase** compared to the prior year.
– **Revenue Drivers**: Growth driven by:
– Higher share of wallet with existing customers.
– Activation of new accounts.
– Increased in-network patients.
– Improvements in revenue cycle management.
– **Gross Profit**: $7.6 million compared to $1.4 million in Q4 FY24.
– **Gross Margin Expansion**: To 44.3% from 13.9%, driven by volume leverage and in-network patient mix.
– **GAAP Operating Expenses**: $55.8 million in Q4 versus $21.7 million in the year-ago period.
– Included $22.3 million in share-based compensation and $3.8 million for professional services related to IPO.
– **Adjusted Operating Expenses**: Excluding IPO-related costs, operating expenses totaled $29.7 million, compared to $21.4 million in Q4 FY24.
– **GAAP Net Loss**: $51.1 million in Q4, an increase from a loss of $22.3 million year-over-year.
– **Adjusted EBITDA Loss**: $20.3 million, an increase from a loss of $16.5 million in the same quarter last year.
– **Cash Position**: $237.6 million as of April 30, 2025.
## Fiscal Year 2025 Financial Results
– **Total Revenue**: $59.8 million, a **115% increase** compared to FY24’s revenue of $27.8 million.
– **Prescriptions for ASSURE® System**: 13,193 prescriptions written, a **72% increase** compared to FY24.
– **Gross Profit**: $24.2 million compared to $0.4 million in FY24.
– **Gross Margin**: Expanded to 40.5% from 1.3% in FY24.
– **GAAP Operating Expenses**: $130.6 million compared to $85.4 million in FY24.
– **Adjusted Operating Expenses**: Excluding share-based compensation and IPO costs, expenses reached $100.6 million compared to $83.9 million in the prior fiscal year.
– **GAAP Net Loss**: $113.8 million, up from $94.1 million in FY24.
– **Adjusted EBITDA Loss**: $68.4 million compared to a loss of $72.0 million in FY24.
## Other Information
– **Dividend Declaration**: No quarterly dividend was declared during this period.
– **Share Repurchase**: No share repurchase program was mentioned in the report.
## Conclusion
Kestra Medical Technologies showcased significant growth in both revenue and gross margins in Q4 FY25 and FY25 overall, significantly improving its financial performance compared to the previous year. The company also projected a positive outlook for FY26.
