Electromed Achieves Record Q4 Earnings Growth, Completes $5M Stock Repurchase Program, and Enhances Bronchiectasis Awareness.

Electromed reported record Q4 revenue of $17.4 million, a 17% YoY increase, with growth across key markets, including a 15% increase in the core home care segment and a 60% surge in hospitals. The company's operating income reached $3 million, a 30% increase YoY, and net income rose to $2.2 million, a 21% increase YoY. Electromed completed a $5 million stock repurchase program and was recognized as the seventh fastest-growing public company in Minnesota.

Electromed, Inc. reported record Q4 revenue of $17.4 million, a 17% year-over-year (YoY) increase, with growth across key markets, including a 15% increase in the core home care segment and a 60% surge in hospitals. The company's operating income reached $3 million, a 30% increase YoY, and net income rose to $2.2 million, a 21% increase YoY. Electromed completed a $5 million stock repurchase program and was recognized as the seventh fastest-growing public company in Minnesota.

The growth was driven by increased demand across all key markets, including Core Home Care, Hospital, and Distributor Channel segments, due to strategic investments in sales and marketing. Home Care and Direct Sales Expansion: Revenue in the direct Home Care market increased by 15.7% to $57.3 million from $49.5 million in the prior year. The increase was due to an increase in direct sales representatives and higher net revenues per approval, with the annualized Home Care revenue per weighted average direct sales representative reaching $1,058,000.

Hospital and DME Revenue Surge: Non-Home Care business revenue grew by 28.8% to $6.7 million, with Hospital revenue up 23.9% and Distributor revenue up 58.1%. The surge was attributed to increased hospital and DME sales, bolstered by investments in hospital-focused sales representatives and strategic partnerships.

Operational Efficiency and CRM System: Electromed maintained 0 back orders and a first pass yield of 99%, while implementing a new CRM system in July. The new CRM system aimed to enhance sales productivity and provide incremental market insights, contributing to improved operational efficiency.

Bronchiectasis Awareness and Market Penetration: Electromed's Triple Down on Bronchiectasis campaign generated over 31,000 views, raising awareness about the disease and the role of HFCWO therapy. This initiative is part of Electromed's strategy to penetrate the large unrecognized market for bronchiectasis treatment, potentially expanding its patient opportunity.

References:
[1] https://www.ainvest.com/news/electromed-2025-q4-earnings-call-contradictions-emerge-hospital-revenue-growth-crm-plans-gross-margins-2508/