BrainsWay's Q4 2024: Dissecting Growth Aspirations, TMS 360 Hurdles, and Geopolitical Uncertainties

These are the key contradictions discussed in BrainsWay Ltd.'s latest 2024Q4 earnings call, specifically including: International Market Growth, TMS 360 Progress, Accelerated Treatment Protocol Timeline, and Geopolitical Impact:



Revenue Growth and Sales Performance:
- BrainsWay Ltd. reported $11.4 million in revenue for Q4 2024, marking a 27% year-over-year increase.
- This growth was driven by strong sales of its Deep TMS system, successful execution of sales strategy, and growing backlog.

Increased Deep TMS System Shipments and Market Expansion:
- The company shipped 75 Deep TMS systems in Q4 2024, representing a 25% increase compared to the same period last year.
- This was due to expanding market presence, optimizing sales force for larger institutional accounts, and entering key markets such as Canada, Asia, India, and Europe.

Positivity in Financial Indicators:
- Gross margin remained strong at 75% for Q4 and the full year 2024.
- BrainsWay achieved positive net income for the fifth consecutive quarter, and positive adjusted EBITDA and cash flow from operations for the sixth consecutive quarter.
- This success reflects the company's growth strategy and operational efficiency.

Emerging Areas of Growth:
- BrainsWay expects increased sales around OCD in 2025, with over 60% of patients responding to Deep TMS treatment.
- The company noted an increase in utilization of Deep TMS to treat elderly patients with MDD, following the expansion of FDA age limit.
- This growth is supported by FDA approvals and the potential expansion of reimbursement for PTSD in Israel and the US.