InMode Reports Q2 2025 Revenue of $95.6 Million, 80% Gross Margins, Lowers 2025 Guidance to $365-375 Million

InMode reported Q2 2025 revenue of $95.6 million, a 10.6% YoY increase, with GAAP net income rising to $26.7 million and 80% gross margins maintained. However, the company revised its 2025 revenue guidance downward to $365-375 million due to ongoing macroeconomic challenges, particularly affecting US operations. InMode's international business showed strong performance, reaching record high sales in Q2 2025.

InMode Ltd. (Nasdaq: INMD), a leading global provider of innovative medical technologies, has reported its financial results for the second quarter ended June 30, 2025. The company reported a quarterly revenue of $95.6 million, representing a 10.6% year-over-year (YoY) increase, with gross margins remaining steady at 80%. GAAP net income rose to $26.7 million.

Despite the positive financial performance, InMode revised its 2025 revenue guidance downward to $365-375 million, citing ongoing macroeconomic challenges, particularly in the U.S. market. The company noted that broader economic headwinds, including macroeconomic uncertainty and cautious consumer behavior, have impacted overall performance. However, international sales, particularly from Europe, reached a record high in the second quarter, offsetting some of the U.S. impact.

InMode's Chief Executive Officer, Moshe Mizrahy, commented on the second quarter, stating, "The second quarter reflects the broader trends we've seen in recent months, with persistent external headwinds... While these factors have impacted our results, we remain disciplined in our execution and committed to investing in the capabilities and growth drivers that will enable us to emerge stronger and deliver sustainable long-term value."

The company's Chief Financial Officer, Yair Malca, highlighted the strong balance sheet, which provides flexibility for global expansion and investment in cutting-edge technologies. Malca also mentioned that the company is evaluating options to mitigate the effects of U.S. tariffs, which are expected to impact gross margins by approximately 2% to 3%.

Looking ahead, InMode expects non-GAAP gross margins to remain between 78% and 80%, and non-GAAP income from operations to be between $93 million and $98 million for the full year of 2025. Non-GAAP earnings per diluted share are expected to be between $1.55 and $1.59.

InMode's operations have not been materially affected by the current volatile situation in Israel, but the company continues to monitor political and military developments closely.

References:
[1] https://www.morningstar.com/news/pr-newswire/20250730ln38804/inmode-reports-second-quarter-2025-financial-results-quarterly-revenue-of-956-million-80-gross-margins