InfuSystem Holdings reported Q2 earnings with record revenue of $36mln, a 7% increase, and gross margins expanding by 574 basis points to 55.2%. Net income increased 262%, and cash flows from operations more than doubled. The company highlighted operational efficiency and shareholder returns, but faced challenges in Advanced Wound Care volume rollout and uncertainty in ChemoMouthpiece reimbursement.
InfuSystem Holdings, Inc. (NYSE American: INFU) reported robust financial results for the second quarter of 2025, demonstrating significant growth and improved operational efficiency. The company's net revenues reached $36.0 million, representing a 7% increase compared to the prior year. Gross margins expanded by 574 basis points to 55.2%, contributing to a 262% increase in net income to $2.6 million. Additionally, cash flows from operations more than doubled to $8.8 million, reflecting the company's strong financial performance.
The Patient Services segment saw net revenue grow by 6% to $21.5 million, driven by increased treatment volume and improved collections in Oncology and Wound Care. Device Solutions segment revenue increased by 8% to $14.5 million, primarily due to higher medical equipment sales and rental revenue. The company's gross profit increased by 19% to $19.9 million, with gross margins expanding across both segments.
Chief Executive Officer Carrie Lachance highlighted the company's focus on margin expansion and profitability. She noted that the company's Adjusted EBITDA margin increased by 4.3% to 22.3%, and the company revised its full-year 2025 outlook for Adjusted EBITDA margin to 20% or higher. Lachance also mentioned that the company is addressing challenges in Advanced Wound Care volume rollout and ChemoMouthpiece reimbursement, and has made a small acquisition to improve processing costs in Advanced Wound Care.
Despite the challenges, InfuSystem's strong financial performance and operational efficiency indicate a promising outlook for the remainder of 2025. The company's focus on disciplined execution and continuous process improvement is likely to drive further growth and value creation for shareholders.
References:
[1] https://ir.infusystem.com/news-events/press-releases/detail/1391/infusystem-reports-second-quarter-2025-financial-results
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