Sanuwave Health (SNWV) investor relations material

Executive summary

• Q1 2026 revenue reached a record $9.6 million, up 3–3.1% year-over-year, despite a market freeze in January due to new CMS pricing for skin substitutes.

• Net loss improved to $1.4 million from $6.1 million in Q1 2025, mainly due to the absence of a prior non-cash loss and lower interest expense.

• Operating loss was $1.1 million, a $1.7 million swing from operating income of $0.6 million in Q1 2025.

• Achieved strong consumables utilization growth, with UltraMIST®/UltramistⓇ consumables revenue up 15–22% year-over-year and 3–4% sequentially.

• Maintained focus on expanding presence in hospitals, wound centers, and long-term care facilities, and positioned to benefit from industry shift to evidence-based medicine.

Financial highlights

• Gross margin was 77–77.3% in Q1 2026, down from 79% year-over-year, due to increased reseller sales and pricing pressure.

• Operating expenses rose to $8.6 million, up $1.8 million or 33% year-over-year, driven by higher headcount, R&D, and non-recurring legal/tax costs.

• Adjusted EBITDA was $1.1 million, down from $2.3 million in Q1 2025.

• Cash and cash equivalents were $10.8 million as of March 31, 2026.

• Weighted average shares outstanding for the quarter were 8.6 million.

Outlook and guidance

• Q2 2026 revenue guidance is $11.1–$11.6 million, representing 10–15% year-over-year growth.

• Full-year 2026 revenue guidance is $51–$55 million, implying 16–25% annual growth.

• Management expects a stronger second half of 2026 due to seasonality, increased engagement with large accounts, and a robust sales pipeline.

• Management expects sufficient liquidity for at least the next twelve months, supported by cash, operating cash flows, and credit availability.