FocalTherics (NASDAQ:FOCL) Announces Quarterly Earnings Results

FocalTherics (NASDAQ:FOCL) announced its quarterly earnings results on Thursday. The company reported ($0.10) EPS for the quarter, beating the consensus estimate of ($0.18) by $0.08, FiscalAI reports. The firm had revenue of $9.83 million during the quarter. FocalTherics had a negative net margin of 56.26% and a negative return on equity of 248.00%.

Here are the key takeaways from FocalTherics’ conference call:

• Third-quarter HIFU revenue rose 26% to $9.8 million, but three expected system sales slipped because of hospital approval and financing delays. The company narrowed 2026 revenue guidance to $50 million–$52 million, from $50 million–$54 million, while saying the delayed sales are expected to close in Q4.
• U.S. Focal One procedure volumes grew 32% year over year, and treatment-driven revenue increased 24%; the worldwide installed base reached 192 systems. Management said utilization growth should continue as established programs expand, while noting new centers take time to ramp.
• Access and reimbursement advanced: France has universal national coverage for Focal One, and several major U.S. commercial payers now cover HIFU as salvage treatment after radiation failure, following an NCCN recommendation upgrade.
• Gross margin improved to 51.4% from 46.6%, but operating expenses rose to $12.8 million and operating loss widened to $7.8 million. Cash and equivalents increased to $56.3 million after the August equity offering.
• FocalTherics is extending Focal One into other indications: three European centers are treating commercial patients for endometriosis, while its BPH program remains in clinical development. The company expects data from the HIFUSA randomized trial early next year.

FocalTherics Stock Down 2.1%

FOCL traded down $0.09 during trading on Thursday, reaching $4.25. The stock had a trading volume of 50,989 shares, compared to its average volume of 39,437. The company has a quick ratio of 1.38, a current ratio of 1.60 and a debt-to-equity ratio of 1.79. FocalTherics has a one year low of $1.82 and a one year high of $6.40. The firm’s 50-day moving average is $4.25.

Analysts Set New Price Targets

A number of brokerages recently issued reports on FOCL. HC Wainwright reiterated a “buy” rating and issued a $10.00 price objective on shares of FocalTherics in a research report on Tuesday, August 25th. Piper Sandler restated a “neutral” rating and set a $4.00 target price on shares of FocalTherics in a research report on Friday, August 14th. Mizuho began coverage on FocalTherics in a research report on Friday, July 17th. They set an “outperform” rating and a $15.00 target price for the company. Weiss Ratings restated a “sell (d-)” rating on shares of FocalTherics in a research note on Monday, August 17th. Finally, Wall Street Zen lowered FocalTherics from a “hold” rating to a “sell” rating in a research note on Saturday, August 15th. One investment analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, two have issued a Hold rating and one has given a Sell rating to the company. Based on data from MarketBeat, the stock presently has a consensus rating of “Hold” and a consensus target price of $7.75.

Insider Buying and Selling at FocalTherics

In other news, CEO Ryan Rhodes acquired 21,000 shares of the business’s stock in a transaction dated Friday, August 14th. The stock was purchased at an average cost of $4.75 per share, for a total transaction of $99,750.00. Following the acquisition, the chief executive officer owned 626,649 shares of the company’s stock, valued at $2,976,582.75. This trade represents a 3.47% increase in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this link. Also, Director Joshua Levine acquired 10,000 shares of the business’s stock in a transaction dated Friday, August 14th. The stock was purchased at an average price of $4.75 per share, with a total value of $47,500.00. Following the completion of the acquisition, the director directly owned 45,000 shares in the company, valued at approximately $213,750. This represents a 28.57% increase in their position. The disclosure for this purchase is available in the SEC filing. Over the last ninety days, insiders have bought 116,000 shares of company stock valued at $551,000. 10.10% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On FocalTherics

A hedge fund recently raised its stake in FocalTherics stock. Rock Springs Capital Management LP increased its position in FocalTherics (NASDAQ:FOCL) by 7.1% in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 1,378,000 shares of the company’s stock after buying an additional 91,500 shares during the quarter. Rock Springs Capital Management LP owned 3.68% of FocalTherics worth $5,126,000 as of its most recent filing with the Securities and Exchange Commission (SEC). 62.74% of the stock is currently owned by institutional investors and hedge funds.

FocalTherics Company Profile

EDAP TMS SA, together with its subsidiaries, develops, produces, markets, distributes, and maintains a portfolio of minimally invasive medical devices for the treatment of urological diseases in Asia, France, the United States, and internationally. It operates in three segments: High Intensity Focused Ultrasound (HIFU), Extracorporeal ShockWave Lithotripsy (ESWL), and Distribution Services (DIST). The HIFU segment develops, manufactures, and markets medical devices based on HIFU technology for the minimally invasive treatment of urological and other clinical indications.