Neuronetics Q1 2025: Unraveling Contradictions in Growth Drivers, Merger Insights, and Financial Expectations

Greenbrook revenue and growth drivers, SPRAVATO revenue and impact on Greenbrook, cash flow breakeven and financial management, Greenbrook merger and financial impact, Change Healthcare issue and its impact on revenue are the key contradictions discussed in Neuronetics' latest 2025Q1 earnings call.



Revenue and Greenbrook Integration:
- Neuronetics reported total revenue of $32 million for Q1 2025, up 84% year-over-year, with pro forma revenue growth of 7% compared to the same period in 2024.
- The significant revenue growth was due to the acquisition and integration of Greenbrook, which contributed $18.7 million in clinic revenue.

SPRAVATO Rollout and Revenue Impact:
- Neuronetics achieved 75% implementation of SPRAVATO across Greenbrook's 95 clinics, with 42 clinics already treating patients using the Buy & Bill model.
- This rollout is expected to generate approximately 3x the revenue compared to the administer and observe model, contributing positively to future growth.

Cost Synergy and Efficiency:
- Neuronetics realized 95% of expected synergies from the Greenbrook integration by the end of 2024, with the total realized synergies now exceeding $23 million.
- These efficiencies are part of the company's strategy to achieve cash flow positivity in Q3 2025.

Adolescent Treatment Expansion:
- The number of adolescent patients receiving treatment increased by 38% year-over-year in Q1 2025.
- This growth is attributed to expanded insurance coverage and enhanced adoption rates across the provider network.