How did SRDX's revenue and expenses shift in Q1 2025?

Surmodics, Inc. (SRDX) experienced a slight decline in total revenue and an increase in net loss in Q1 2025 compared to the previous year, primarily due to challenges in the Medical Device and In Vitro Diagnostics (IVD) segments and higher operating expenses.

1. **Revenue Shift**:
- SRDX's total revenue decreased by 2% year-over-year, amounting to $29.9 million in Q1 2025, falling short of the estimated $33.37 million. This decline was primarily attributed to weak year-over-year revenues from both the Medical Device and IVD businesses.
- Excluding SurVeil drug-coated balloon (DCB) license fee revenues, total revenues decreased by 3% year-over-year to $28.7 million.
2. **Expense Shift**:
- Net loss for the quarter was $3.7 million, a significant increase from the $0.8 million loss in the prior-year period.
- Adjusted EBITDA decreased to $3.6 million from $3.9 million in the same quarter last year.
- Operating expenses increased by 13% to $25.0 million, primarily due to $2.3 million in merger-related charges.
- Product gross margin improved to 55.1% from 53.2% in the prior-year quarter, driven by a favorable product mix.

|code|Ticker|Name|Date|Selling, General, and Administrative Expenses|R&D Expenses|Total Revenue|Net Income|Advertising and Marketing Expenses|market_code|
|---|---|---|---|---|---|---|---|---|---|
|SRDX|SRDX.O|Surmodics|2024 Q2|1.3093E7|1.0229E7|3.1958E7|247000||185|
|SRDX|SRDX.O|Surmodics|2024 Q3|1.6627E7|9765000|3.0341E7|-7554000||185|
|SRDX|SRDX.O|Surmodics|2024 Q4|1.4579E7|9702000|3.3227E7|-3449000||185|
|SRDX|SRDX.O|Surmodics|2025 Q1|1.6037E7|8941000|2.9922E7|-3651000||185|

In summary, Surmodics faced challenges in revenue growth, especially in its Medical Device and IVD segments, while experiencing increased expenses leading to a higher net loss in Q1 2025.