Venus Concept Inc (VERO) 2025 Q3 法說會逐字稿

Good day, ladies and gentlemen, and welcome to the third quarter 2025 Earnings Conference Call for Venus Concept Inc.

各位女士、先生，大家好，歡迎參加 Venus Concept Inc. 2025 年第三季財報電話會議。

(Operator Instructions)

（操作說明）

Before we begin, I would like to remind everyone that our remarks and responses to your questions may contain forward-looking statements that are based on the current expectations of management and involve inherent risks and uncertainties that could cause actual results to differ materially from those indicated, including those identified in the risk factors section of our most recent annual report on Form 10K filed with the Securities and Exchange Commission. Such factors may be updated from time to time in our filings with the SEC, which are available on our website. We undertake no obligation to publicly update or revise our forward-looking statements as a result of new information, future events, or otherwise.

在開始之前，我想提醒大家，我們的發言和對你們問題的回答可能包含前瞻性陳述，這些陳述基於管理層目前的預期，並涉及固有的風險和不確定性，這些風險和不確定性可能導致實際結果與所示結果存在重大差異，包括我們在最近向美國證券交易委員會提交的 10-K 表格年度報告的風險因素部分中確定的風險和不確定性。這些因素可能會不時更新，我們會在提交給美國證券交易委員會的文件中進行說明，這些文件可在我們的網站上查閱。我們不承擔因新資訊、未來事件或其他原因而公開更新或修改前瞻性聲明的義務。

This call will also include references to certain financial measures that are not calculated in accordance with generally accepted accounting principles or GAAP. We generally refer to these non-GAAP financial measures. Reconciliations of those non-GAAP financial measures to the most comparable measures calculated and presented in accordance with GAAP are available in our earnings press release issued today on the investor relations portion of our website. I would now like to turn the call over to Mr. Rajiv De Silva, Chief Executive Officer of Venus Concept. Please go ahead, sir.

本次電話會議也將提及一些不符合公認會計原則（GAAP）計算的財務指標。我們通常會參考這些非GAAP財務指標。這些非GAAP財務指標與根據GAAP計算和列報的最可比較指標的調節表，可在我們今天發布的盈利新聞稿中找到，該新聞稿可在我們網站的投資者關係部分查閱。現在我將把電話交給 Venus Concept 的執行長 Rajiv De Silva 先生。請繼續，先生。

Thank you, operator, and welcome everyone to Venus Concepts third quarter 2025 Earnings Conference Call. I'm joined on the call today by our Chief Financial Officer Domenic Della Penna. Let me start with an agenda of what we will cover during our prepared remarks. I will begin with a brief review of our third quarter results and operating developments in the recent months. Following that, Domenic will provide you with an in-depth review of our third quarter financial results, as well as an update on our balance sheet and financial condition. With that agenda in mind, let's get started. Detailed in our press release issued today, we delivered 2% growth in sales of energy-based devices or EBD on a year over year basis in Q3, driven by strong execution from the team in a continued challenging environment.

謝謝接線員，歡迎各位參加 Venus Concepts 2025 年第三季財報電話會議。今天和我一起參加電話會議的還有我們的財務長多米尼克·德拉·佩納。首先，讓我介紹一下我們將在準備好的演講中涵蓋的內容。我將首先簡要回顧我們第三季的業績以及近幾個月的營運發展。接下來，Domenic 將為您深入回顧我們第三季的財務業績，並更新我們的資產負債表和財務狀況。有了這些目標，我們就開始吧。正如我們今天發布的新聞稿中詳細介紹的那樣，在第三季度，在持續充滿挑戰的環境中，團隊的出色執行力推動了能源型設備（EBD）銷售額年增 2%。

We are encouraged by the team's continued focus on customer engagement and support, as well as improving sales efficiency by prioritizing core products in the U.S. including Bliss MAX and Versa PRO. While we were pleased to see signs of stabilization in EBD revenue trends, our total revenue results declined high single-digits year over year in the third quarter, driven by softness in the hair restoration side of the business. Customer financing pressures, economic uncertainty, and tight credit markets continue to present challenges for robotic system adoption in the Venus hair business. However, third quarter sales trends were further impacted by an additional level of uncertainty related to time to close the definitive agreement to sell the Venus hair business to MHG Co Limited, which we announced on June 6. Turning to a review of key developments in our, since our last earnings call. On November 10, we announced 510k clearance for the Venus NOVA. The first product clearance from the company's new focused R&D strategy discussed on our earnings calls over the last year.

團隊持續專注於客戶互動和支持，並透過優先發展美國核心產品（包括 Bliss MAX 和 Versa PRO）來提高銷售效率，這讓我們倍感鼓舞。儘管我們很高興看到 EBD 收入趨勢趨於穩定的跡象，但由於毛髮修復業務疲軟，第三季我們的總收入比去年同期下降了近兩位數。客戶融資壓力、經濟不確定性和信貸市場緊張繼續為維納斯美髮行業的機器人系統採用帶來挑戰。然而，第三季的銷售趨勢也受到與完成將 Venus 美髮業務出售給 MHG Co Limited 的最終協議所需時間相關的額外不確定性的影響，我們在 6 月 6 日宣布了這一消息。接下來，我們回顧自上次財報電話會議以來公司的關鍵進展。11月10日，我們宣布Venus NOVA獲得510k許可。這是公司在過去一年財報電話會議上討論的全新聚焦研發策略的首個核准產品。

Importantly, the development and introduction of a new Venus NOVA is consistent with the company's turnaround strategy implemented in 2023 and our Venus AI strategic initiative, which reflects our strong commitment to growing our global brand, focusing on emerging technologies and services, and partnering with customers to build smarter practices and customizable treatments.

重要的是，新 Venus NOVA 的開發和推出與公司在 2023 年實施的轉型策略和我們的 Venus AI 戰略計劃相一致，這體現了我們對發展全球品牌、專注於新興技術和服務以及與客戶合作構建更智能的實踐和可定制治療方案的堅定承諾。

Venus NOVA is a next generation multi-application platform designed to redefine non-invasive treatments for the body, face, and skin through integrating our best-in-class technologies of adaptive electrical muscle stimulation or EMS, our proprietary MP2, combining multipolar radiofrequency with pulse magnetic fields. And advanced very pulse technology. Together, it delivers a powerful comprehensive solution for body contouring, muscle conditioning, skin treatments, and wrinkle and cellulite reduction.

Venus NOVA 是一個新一代多應用平台，旨在透過整合我們一流的自適應電肌肉刺激 (EMS) 技術、我們專有的 MP2 技術以及多極射頻與脈衝磁場相結合的技術，重新定義身體、臉部和皮膚的非侵入性治療。以及先進的脈衝技術。它共同提供了一套強大的綜合解決方案，可用於塑形、肌肉鍛鍊、皮膚護理以及減少皺紋和橘皮組織。

Venus NOVA is uniquely positioned to enhance body transformation journeys, including for those taking GLP-1 medications and experiencing skin laxity, facial volume loss, and body contour irregularities. We expect GLP-1 usage to grow to more than $32 million patients globally by 2030, and we are excited to offer our innovative, comprehensive technologies to support and address the unmet needs of our existing and future customers. We anticipate the U.S commercial introduction of Venus NOVA to contribute to the company's long-term growth profile as we further penetrate the multi-billion-dollar body and skin market in the years to come. We are targeting sequential growth in the fourth quarter fueled in part by a limited commercial launch of this innovative new body and skin system in December.

Venus NOVA 的獨特優勢在於能夠增強身體改造之旅，包括服用 GLP-1 藥物並出現皮膚鬆弛、臉部容量減少和身體輪廓不規則等問題的人。我們預計到 2030 年，全球使用 GLP-1 的患者將超過 3,200 萬，我們很高興能夠提供我們創新、全面的技術來支援和滿足我們現有和未來客戶尚未滿足的需求。我們預計，隨著 Venus NOVA 在美國的商業化推出，該公司將在未來幾年進一步打入價值數十億美元的身體和皮膚市場，從而促進公司的長期成長。我們預計第四季將實現環比成長，部分原因是12月將有限地推出這款創新身體和皮膚系統。

Our portfolio will continue to evolve and deliver more than just leading device performance, shifting towards a focus on total practice performance from the moment the patient enters the clinic to post treatment management. Its new product launch, along with the improving balance sheet and financial support from Madryn Asset Management LP further enhances the company's foundation and brings us closer to achieving our longer-term goals. Two other notable items I wanted to discuss before I turned the call over to Domenic. Our balance sheet and capital structure transformation carried on in the third quarter through multiple transactions, including amendments to increase available financing capacity under our existing bridge loan facility and a debt-to-equity exchange transaction totaling $11.5 million in converted debt.

我們的產品組合將持續發展，不僅提供領先的設備性能，還將更加重視從患者進入診所到治療後管理的整個診療流程。新產品的推出，加上資產負債表的改善以及 Madryn Asset Management LP 的財務支持，進一步鞏固了公司的基礎，使我們離實現長期目標更近了一步。在把電話交給多明尼克之前，我還想討論另外兩件值得注意的事情。第三季度，我們透過多項交易繼續推動資產負債表和資本結構轉型，包括修改現有過渡貸款安排以增加可用融資能力，以及將債務轉換為股權，總計轉換債務 1,150 萬美元。

We continue to appreciate the support of Madryn as we continue our turnaround. Finally, with respect to the pending sale of Venus hair to MHG Co Limited. As announced on June 6, the transaction was expected to close in the third quarter of 2025, subject to the satisfaction or waiver of certain closing conditions, including an internal reorganization of the hair business into Metal Robotics LLC.

在我們繼續扭轉局面的過程中，我們仍然非常感謝 Madryn 的支持。最後，關於 Venus hair 出售給 MHG Co Limited 的待決交易。正如 6 月 6 日宣布的那樣，該交易預計將於 2025 年第三季完成，但需滿足或豁免某些交割條件，包括將美髮業務內部重組為 Metal Robotics LLC。

Since we announced the signed definitive agreement, we have worked steadfastly to meet the closing conditions of the transaction. Unfortunately, we have experienced challenges with our counterparty in bringing this transaction to a conclusion and have sought the assistance of the Delaware court to aid in this respect. We will continue our dedicated pursuit of closing this important strategic transaction and look forward to sharing updates with our investment community as appropriate.

自從我們宣布簽署最終協議以來，我們一直堅定不移地努力滿足交易的交割條件。遺憾的是，我們在與交易對手完成這筆交易的過程中遇到了一些困難，因此我們尋求特拉華州法院的幫助來解決這個問題。我們將繼續全力推動這項重要的策略交易，並期待在適當的時候與我們的投資界分享最新進展。

We continue to believe this transaction strengthens Venus Concept by allowing us to focus on our global medical aesthetics business and continue to believe that MHG represents an ideal acquirer of the Venus hair business, given their capabilities in the aesthetic medical field, including a presence in the hair transplant market, as well as the strategic investments in next generation medical industries. In closing, we delivered solid results in Q3 and were encouraged to see stabilization in sales of our energy-based devices.

我們仍然相信，此交易將增強 Venus Concept 的實力，使我們能夠專注於全球醫療美容業務；並且我們仍然相信，鑑於 MHG 在醫療美容領域的實力，包括在植髮市場的地位，以及對下一代醫療行業的戰略投資，MHG 是 Venus 毛髮業務的理想收購方。總而言之，我們在第三季取得了穩健的業績，令人鼓舞的是，我們基於能源的設備的銷售額趨於穩定。

We made material progress towards improving our balance sheet and financial conditions, which Domenic will review in detail shortly. We also expect that the proceeds from the sale of the Venus hair business will further enhance the balance sheet and financial condition and provide valuable capital to fund strategic growth initiatives. Our priority remains in ensuring that we are well positioned as possible to return to growth. We are actively working on evolving our portfolio and look forward to improving growth fueled in part by the launch of Venus NOVA in December.

我們在改善資產負債表和財務狀況方面取得了實質進展，Domenic 很快就會對此進行詳細審查。我們也預計，出售 Venus 美髮業務所得將進一步改善資產負債表和財務狀況，並為策略性成長計畫提供寶貴的資金。我們的首要任務仍然是確保我們做好充分準備，以恢復成長。我們正在積極改進我們的產品組合，並期待在 12 月 Venus NOVA 的推出等因素的推動下，實現更好的成長。

Longer-term, we believe that the increase of GLP-1 usage by consumers is an exciting catalyst for the industry and a chance for Venus to highlight the complementary benefits of our body technology, specifically skin tightening to our customers that are on weight loss medications. We're managing our cash burn through discipline, cost management and making targeted investments to support our long-term growth. We intend to continue the ongoing evaluation of strategic alternatives to maximize shareholder value. With that, let me turn the call over to Domenic for a review of our third quarter financial results and balance sheet. Domenic.

從長遠來看，我們相信消費者對 GLP-1 的使用增加，是該行業令人興奮的催化劑，也是 Venus 向正在服用減肥藥的顧客突出我們身體技術的補充優勢（特別是皮膚緊緻）的機會。我們透過嚴格的紀律、成本控制和有針對性的投資來管理現金消耗，以支持我們的長期成長。我們將繼續對各種策略方案進行持續評估，以最大限度地提高股東價值。接下來，我將把電話交給多明尼克，讓他來回顧我們第三季的財務表現和資產負債表。多米尼克。

Thank you, Rajiv. For the avoidance of doubt, unless otherwise noted, my prepared remarks will focus on the company's reported results for the third quarter of 2025 on a GAAP basis and all growth-related items are on a year over year basis. We reported total revenue of $13.8 million, down $1.2 million or 8% year over year. The decrease in total revenue by region was driven by a $1.1 million or 12% decrease year over year in United States revenue and by a $0.2 million or 3% decrease year over year in international revenue.

謝謝你，拉吉夫。為避免疑義，除非另有說明，我準備的發言將重點關注公司 2025 年第三季度按美國通用會計準則 (GAAP) 報告的業績，所有與增長相關的項目均按同比計算。我們公佈的總收入為 1,380 萬美元，年減 120 萬美元，降幅為 8%。各地區總收入下降的主要原因是美國收入年減 110 萬美元（12%），以及國際收入較去年同期下降 20 萬美元（3%）。

The decrease in total revenue by product category was driven by a 12% decrease in products systems revenue, a 15% decrease in products, other revenue, and a 5% decrease in services revenue offset partially by a 9% increase in lease systems revenue. Total revenue from the sale of energy-based devices or EBD increased 2% year over year to $9.5 million. For the avoidance of doubt, EBD sales exclude system sales from the Venus hair restoration business. The percent of total systems revenue derived from the company's internal lease programs, Venus Prime, and our legacy subscription model was approximately 27% in the third quarter of 2025 compared to 23% in the prior year period. Cash sales represented approximately 73% of total systems and subscription revenue in the third quarter, of which cash sales in the U.S. were 82% of U.S. systems and subscription revenue compared to 76% last year. Turning to a review of our third quarter financial results across the rest of the P&L. Gross profit for the third quarter of 2025 decreased $1.1 million or 11% to $8.8 million compared to the third quarter of 2024. The decrease in gross profit is primarily attributed to lower revenue in the Venus hair business impacted by a delay in the pending sale and the effects of customer uncertainty about economic environment and tighter third-party lending practices which negatively impacted capital equipment sales.

按產品類別劃分的總收入下降，主要原因是產品系統收入下降了 12%，產品和其他收入下降了 15%，服務收入下降了 5%，但租賃系統收入增加了 9%，部分抵消了上述下降。能源設備或 EBD 的銷售總收入年增 2%，達到 950 萬美元。為避免歧義，EBD 銷售額不包括 Venus 植髮業務的系統銷售。2025 年第三季度，公司內部租賃計畫 Venus Prime 和我們傳統的訂閱模式所佔系統總收入的百分比約為 27%，而去年同期為 23%。第三季現金銷售額約佔系統和訂閱總收入的 73%，其中美國現金銷售額占美國系統和訂閱收入的 82%，而去年同期為 76%。接下來，我們將回顧第三季損益表中其他項目的財務表現。2025 年第三季毛利較 2024 年第三季減少 110 萬美元，降幅 11%，至 880 萬美元。毛利下降的主要原因是維納斯美髮業務收入減少，這是由於待售商品延遲出售造成的，以及客戶對經濟環境的不確定性和第三方貸款政策收緊，這些因素都對資本設備銷售產生了負面影響。

Gross margin was 64% of revenue and the three months ended September 30, 2025, compared to 66.1% of revenue in the three months ended September 30, 2024. The decrease in gross margin is primarily attributable to the impact of U.S. tariffs on our devices imported into the U.S. market and to a lesser extent higher device system costs of goods sold tracing to manufacturing overheads spread over a lower volume base. Total operating expenses increased $1.2 million or 7% to $18.3 million.

截至 2025 年 9 月 30 日止三個月，毛利率為營收的 64%，而截至 2024 年 9 月 30 日止三個月，毛利率為營收的 66.1%。毛利率下降的主要原因是美國對我們進口到美國市場的設備徵收關稅的影響，其次是由於製造費用分攤到較低的銷售基數上，導致設備系統銷售成本較高。總營運支出增加 120 萬美元，成長 7%，達到 1,830 萬美元。

Approximately one third of the year over year increase in operating expenses was driven by legal and other professional fees incurred to support the sale of the Venus hair business, which did not impact the prior year period results. Excluding these expenses, third quarter operating expenses increased 4%. The modest increase in operating expense reflects our continued progress in cost containment and streamlining of our operations in the face of an inflationary economy. Operating loss was $9.5 million compared to $7.2 million in the third quarter of 2024. Net interest and other expenses were $12.5 million compared to $2.2 million in the third quarter of 2024.

營運費用年增約三分之一是由於為支持出售 Venus 美髮業務而產生的法律和其他專業費用所致，但這並未影響上一年的業績。剔除這些費用後，第三季營運費用增加了 4%。營運費用的小幅成長反映了我們在通貨膨脹的經濟環境下，在成本控制和營運精簡方面取得的持續進展。營業虧損為 950 萬美元，而 2024 年第三季為 720 萬美元。淨利息和其他支出為 1,250 萬美元，而 2024 年第三季為 220 萬美元。

The year over year change in net interest and other expenses was primarily driven by an $11.3 million non-cash loss on debt extinguishment compared to $0.5 million last year and a $0.2 million non-cash loss on disposal of the subsidiary. Offset partially by lower interest expense on outstanding borrowings which totaled $1 million in the third quarter compared to $1.7 million last year, buoyed by our progress on debt extinguishment. Net loss attributable to stockholders for the third quarter of 2025 was $22.6 million or $0.1214 per share compared to a net loss of $9.3 million or $0.131 per share for the third quarter of 2024. Weighted average shares outstanding for the third quarter of 2025 and 2024 gives effect for the company's 1-for-11 reverse stock split effective March 3, 2025.

淨利息和其他費用同比變化的主要原因是債務清償產生的非現金損失為 1,130 萬美元（去年為 50 萬美元），以及出售子公司產生的非現金損失為 20 萬美元。部分抵銷因素是未償借款利息支出減少，第三季未償借款利息支出總額為 100 萬美元，而去年同期為 170 萬美元，這得益於我們在債務清償方面取得的進展。2025 年第三季歸屬於股東的淨虧損為 2,260 萬美元，即每股虧損 0.1214 美元，而 2024 年第三季淨虧損為 930 萬美元，即每股虧損 0.131 美元。2025 年和 2024 年第三季的加權平均流通股數反映了公司自 2025 年 3 月 3 日起實施的 1 比 11 反向股票分割的影響。

Adjusted EBITDA loss for the third quarter of 2025 was $7.8 million compared to adjusted EBITDA loss of $5.9 million for the third quarter of 2024. As a reminder, we have provided a full reconciliation of our GAAP net loss to adjusted EBITDA loss in the earnings press release. Turning to the balance sheet, as of September 30, 2025, the company had cash and cash equivalents of $5.9 million and total debt obligations of approximately $30.1 million compared to $4.3 million and total debt obligations of approximately $39.7 million respectively as of December 31, 2024. We have made significant progress towards improving our balance sheet and financial condition over the first nine months of 2025. We announced amendments with our primary lender, Madryn Asset Management, which increased our financing capacity under our existing bridge loan facility. We appreciate the support of Madryn as we continue to enhance the financial profile of the business. We exchanged a total of $29 million of subordinated convertible notes held by affiliates of Madryn Asset Management LP for shares of its Series Y preferred stock, including $6.5 million exchanged in the first quarter. And second quarter and $11.5 million exchanged in the third quarter. We also raised gross proceeds of $3.9 million in multiple. Equity capital market transactions from existing and new investors.

2025 年第三季調整後 EBITDA 虧損為 780 萬美元，而 2024 年第三季調整後 EBITDA 虧損為 590 萬美元。再次提醒，我們在獲利新聞稿中提供了 GAAP 淨虧損與調整後 EBITDA 虧損的完整調整表。從資產負債表來看，截至 2025 年 9 月 30 日，該公司擁有現金及現金等價物 590 萬美元，總債務約為 3,010 萬美元；而截至 2024 年 12 月 31 日，該公司擁有現金及現金等價物 430 萬美元，總債務約為 3,970 萬美元。2025 年前九個月，我們在改善資產負債表和財務狀況方面取得了顯著進展。我們宣布與主要貸款方 Madryn Asset Management 達成修訂協議，提高了我們在現有過渡貸款安排下的融資能力。我們感謝 Madryn 的支持，我們將繼續提升公司的財務狀況。我們以 Madryn Asset Management LP 的關聯公司持有的 2,900 萬美元次級可轉換票據換取了其 Y 系列優先股，其中第一季換取了 650 萬美元。第二季交易額為 1,150 萬美元，第三季交易額為 1,150 萬美元。我們也透過多種方式籌集了 390 萬美元的總收益。來自現有和新投資者的股權資本市場交易。

Lastly, with respect to our financial outlook for 2025, Given the company's active dialogue with existing lenders and investors, ongoing evaluation of strategic alternatives with various interested parties to maximize shareholder value, and current market conditions impacted by trade disruptions, the company is not providing full year 2025 financial guidance at this time. We are targeting sequential growth in the fourth quarter fueled in part by a limited commercial launch of our Venus NOVA Innovative body and skin system in December.

最後，關於我們對 2025 年的財務展望，鑑於公司正在與現有貸款人和投資者積極對話，與各利益相關方持續評估戰略選擇以最大限度地提高股東價值，以及當前市場狀況受到貿易中斷的影響，公司目前不提供 2025 年全年財務指引。我們預計第四季度將實現環比成長，部分原因是我們的 Venus NOVA 創新身體和皮膚系統將於 12 月進行有限的商業推廣。

With that, I'll turn the call over to the Operator to open the call for your questions. Operator.

接下來，我將把電話轉交給接線員，由她來回答您的問題。操作員。

Thank you.

謝謝。

The floor is now open for questions.

現在開始接受提問。

We are currently showing no additional questions in the queue. This does conclude today's teleconference.

目前隊列中沒有其他問題。今天的電話會議到此結束。

Thank you for your participation. You may now disconnect your lines or log off the webcast and enjoy the rest of your day.

感謝您的參與。現在您可以斷開線路或退出網路直播，享受一天剩下的時光了。