Spectral AI 2025 Q3 Earnings Net Loss Widens 136.2% to $3.55M

Spectral AI (MDAI) reported Q3 2025 earnings on Nov 13, 2025, with a net loss of $3.55 million (EPS -$0.13), a 136.2% increase from $1.50 million in Q3 2024. Revenue plummeted 53.6% to $3.79 million, missing expectations. The company cut full-year revenue guidance from $21.5 million to $18.5 million, citing delays in BARDA contract work and U.S. government shutdown impacts.

Revenue

Research and Development revenue declined sharply to $3.79 million in Q3 2025, a 53.6% drop from $8.17 million a year earlier. The reduction stemmed from reduced reimbursements under the BARDA Project BioShield contract following the June 2025 FDA De Novo submission. Total revenue remained flat at $3.79 million, with no other segments contributing.

Earnings/Net Income

The company’s net loss widened to $3.55 million in Q3 2025, a 136.2% increase from $1.50 million in Q3 2024. EPS fell to -$0.13, a 62.5% wider loss compared to -$0.08 in 2024. Despite a 54% decline in R&D revenue, the company maintained a strong cash balance of $10.5 million. The EPS reflects a significant deterioration in profitability.

Post-Earnings Price Action Review

The stock price of Spectral AI edged up 0.61% during the latest trading day but tumbled 14.95% over the previous full week and plummeted 34.26% month-to-date. While short-term volatility persisted, the company’s post-quarter financing of $7.6 million and progress toward FDA clearance could stabilize investor sentiment.

CEO Commentary

Dr. Michael DiMaio, Chairman, emphasized maintaining operational efficiency and strengthening cash reserves as the company advances toward commercialization. “Our results support our work on the De Novo application submitted in June 2025 to the FDA,” he stated. The CEO highlighted the DeepView System’s potential to revolutionize burn care by providing clinicians with AI-driven diagnostic insights.

Guidance

The company revised FY 2025 revenue guidance downward from $21.5 million to $18.5 million. The adjustment reflects timing delays in BARDA contract execution and the U.S. government shutdown. Management anticipates these impacts will be recaptured in FY 2026, with 2026 revenue expected to remain flat or slightly lower compared to 2025 as commercialization efforts begin.

Additional News

Spectral AI secured $7.6 million in gross proceeds through a registered direct offering and private placement on Oct 22, 2025, excluding the amount from its Q3 2025 financials. The Spectral IP and SEM IP transaction is under SEC review, with expected closure in Q1 2026. Additionally, the company plans to hire four new commercialization-focused employees in 2026 to support U.S. market entry.

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