Tenon Medical 2025 Q3 Earnings Strong Revenue Growth Amid Ongoing Losses

Tenon Medical (TNON) reported fiscal 2025 Q3 earnings on Nov 14, 2025, delivering a 32.2% year-over-year revenue increase to $1.17 million but continuing its five-year streak of net losses. While revenue exceeded estimates by $80,000 and gross margin improved to 66%, the company’s net loss widened to $3.34 million, and GAAP EPS of -$0.40 missed expectations by $0.03. Despite these challenges, management highlighted strategic progress, including the SImmetry+ launch and a $2.85 million PIPE financing to fund growth.

Revenue

Revenue surged 32.2% year-over-year to $1.17 million in Q3 2025, driven by record Catamaran procedure volumes and the integration of the SImmetry+ platform. The Catamaran SI Joint Fusion System alone contributed approximately $1.1 million in revenue, while early sales from the newly acquired SImmetry+ portfolio added incremental growth. Management noted sequential expansion in Catamaran procedures and anticipates further revenue acceleration from the SImmetry+ alpha launch in Q4.

Earnings/Net Income

Tenon narrowed its per-share loss to $0.40 in Q3 2025, a 89% improvement from a $3.63 loss in the prior-year period. However, the company’s net loss expanded to $3.34 million, up 4.9% from $3.18 million in Q3 2024. Operating expenses rose to $4.2 million, reflecting integration costs and commercial expansion. The EPS performance, while showing progress, remains a concern given the company’s sustained losses over five consecutive years.

Price Action

Following the earnings release, Tenon’s stock climbed 3.51% in the latest trading day, with a 1.72% gain over the previous week. However, the share price declined 4.07% month-to-date. The post-earnings rally coincided with the completion of a $2.85 million PIPE financing, which bolstered investor confidence despite the mixed financial results.

Post-Earnings Price Action Review

The stock’s post-earnings performance reflected a blend of optimism and caution. While the 3.51% intraday gain aligned with the positive revenue beat and new capital infusion, the broader month-to-date decline suggested lingering skepticism about the company’s path to profitability. Analysts noted that the market is closely watching whether the SImmetry+ launch and SiVantage integration can drive sustainable revenue growth.

CEO Commentary

CEO Steven Foster emphasized Q3 as a pivotal quarter, highlighting record revenue, the SImmetry+ acquisition, and the FDA clearance of SImmetry+. He expressed confidence in the Catamaran platform’s clinical data and the company’s ability to scale operations. Foster also underscored the importance of physician education and a lean cost structure, stating, “We are confident in our ability to scale operations and deliver sustained growth.”

Guidance

Management outlined sequential growth in Catamaran procedures and expanded SiVantage revenue contribution, with the SImmetry+ alpha launch expected to drive incremental sales. Kevin Williamson noted that Q3 operating expenses of $4.2 million reflected near-term trends, with slight reductions anticipated as fixed costs are absorbed. The recent $2.85 million PIPE financing is expected to fund growth initiatives while maintaining a debt-free balance sheet.

Additional News

Tenon Medical’s recent $2.85 million PIPE financing, completed on Nov 14, 2025, marked a significant capital infusion to support its expansion. The transaction involved 2.2 million shares and warrants, with proceeds earmarked for product launches, clinical development, and commercial operations. Additionally, the company announced the FDA 510(k) clearance for SImmetry+ in late Q3, advancing its multiproduct strategy. The acquisition of CyVantage’s SImmetry portfolio in August 2025 further diversified its offerings, positioning Tenon to address a broader range of sacropelvic fixation needs.

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