Shoulder Innovations 2025 Q3 Earnings Revenue Surpasses Estimates, Guidance Raised

Shoulder Innovations (SI) reported third-quarter 2025 earnings on Nov 13, 2025, with revenue surging 57.7% year-over-year to $11.76 million, exceeding Wall Street estimates by $1.89 million. While the company narrowed its per-share loss to $0.64 from $68.31, its net loss widened to $8.73 million. SI raised its full-year 2025 revenue guidance to $45–46 million, up from prior expectations of $42–44 million, reflecting accelerated growth momentum.

Revenue

Shoulder Innovations’ total revenue for Q3 2025 reached $11.76 million, a 57.7% increase compared to $7.45 million in Q3 2024. This robust growth was driven by a 53% year-over-year rise in implant system sales and expanding surgeon adoption.

Earnings/Net Income

The company’s net loss widened to $8.73 million in Q3 2025, reflecting a 115.3% increase from the $4.05 million loss in the prior-year period. However, the loss per share improved significantly, narrowing to $0.64 from $68.31, marking a 99.1% reduction. This per-share improvement highlights progress in operational efficiency, though the absolute net loss expansion signals ongoing challenges in achieving profitability.

Post-Earnings Price Action Review

Shoulder Innovations’ stock experienced a sharp post-earnings rally, climbing 3.45% during the latest trading day and surging 32.86% over the past week. Month-to-date gains reached 23.36%, driven by the revenue beat, raised guidance, and renewed analyst optimism. The market’s positive reaction underscores confidence in the company’s growth trajectory despite persistent losses.

CEO Commentary

CEO Rob Ball on Strategic Momentum

Chief Executive Officer Rob Ball emphasized the company’s accelerating momentum, noting first-half 2025 revenue growth of 37% expanded to 58% in Q3. He highlighted the successful commercialization of the InSet 70 Humeral Stem and the addition of new surgeon customers as key drivers. Ball stated, “We see substantial opportunities for further growth within our $2.8 billion global market opportunity,” reaffirming the company’s commitment to innovation and market expansion.

Guidance

Shoulder Innovations raised its full-year 2025 revenue guidance to $45–46 million, representing 42%–45% year-over-year growth. This exceeds the previous $42–44 million range and the $43.2 million consensus estimate. The updated outlook reflects stronger-than-expected implant sales and improved gross margins of 76.2%.

Additional News

Jefferies upgraded its price target for SI to $20, maintaining a Buy rating following the Q3 results. The company also launched its InSet 70 Humeral Stem, expanding its I-Series product line for shoulder replacement. Analysts from Morgan Stanley, Piper Sandler, and Jefferies initiated or reaffirmed Overweight/Buy ratings, citing the company’s innovative technology and growth potential in the orthopedic sector.