Nanox Announces Second Quarter of 2025 Financial Results and Provides Business Update
Management to host conference call and webcast Tuesday, August 12, 2025 at 8:30 AM ET
Company continued to grow Nanox.ARC installed base and is on track to meet its year-end system deployment target
PETAH TIKVA, Israel, Aug. 12, 2025 (GLOBE NEWSWIRE) -- NANO-X IMAGING LTD (NASDAQ:NNOX) ("Nanox" or the "Company"), an innovative medical imaging technology company, today announced results for the second quarter ended June 30, 2025 and provided a business update.
Recent Highlights:
Generated $3.0 million in revenue in the second quarter of 2025, compared to $2.7 million in the second quarter of 2024.
Grew Nanox.ARC system sales funnel exponentially in the quarter.
The Company notified the FDA of its intent to submit the TAP2D software module to the FDA through the 510(k) program - a 2D view image output for the Nanox.ARC systems, a practical tool for radiologists.
New customers include several medical imaging center chains across the U.S., including one of the largest imaging providers in the country which began training its technicians in July.
Expanded the availability of the Nanox.AI solutions, engaging with AI solution platform providers.
Advanced footprint in EU countries, finalized successful training in Romania and preparing for the first system shipment.
Entered into a multi-year Volume Supply Agreement with Fabrinet, a leading global electronics manufacturing services provider, to support the scalable production of Nanox.ARC X.
"Nanox has made progress advancing the deployment of the Nanox.ARC system in the second quarter, and we are on track to meet our yearly deployment target with revenues expected in the second half of 2025. We're seeing a growing and increasingly robust commercial pipeline, and we're proud to mark a breakthrough in the European market, with the first system ready for shipment. By expanding our system's output with a 2D view image, we reaffirm our commitment to continuous product enhancement in line with evolving market needs. Alongside our commercial efforts, we are executing a robust clinical program designed to produce data supporting the use case for the Nanox.ARC technology, and to engage key opinion leaders who can partner with Nanox to drive behavior change in the medical imaging sector. I am proud of our team's diligent execution of our multi-faceted growth strategy".
Financial results for three months ended June 30, 2025
For the three months ended June 30, 2025 (the "Reported Period"), the Company reported a net loss of $14.7 million, compared to a net loss of $13.6 million for the three months ended June 30, 2024 (which is referred as the "Comparable Period"), representing an increase of $1.1 million. The increase in net loss was mainly due to the increase of $0.4 million in our gross loss and $1.0 million in our finance expense, net which was mitigated by the decrease of $0.4 million in our operating expenses.
The Company reported revenue of $3.0 million in the Reported Period, compared to $2.7 million in the Comparable Period. During the Reported Period, the Company generated revenue through teleradiology services, the sale and deployment of its imaging systems and its AI solutions.
The Company's gross loss during the Reported Period totaled $3.2 million (gross loss margin of (107%)) on a GAAP basis, compared to $2.9 million (gross loss margin of (106%)) in the Comparable Period. Non-GAAP gross loss for the Reported Period was $0.6 million (gross loss margin of approximately (21%)), compared to gross loss of $0.2 million (gross loss margin of approximately (9%)) in the Comparable Period.
The Company's revenue from teleradiology services for the Reported Period was $2.7 million, compared to revenue of $2.5 million in the Comparable Period. The Company's GAAP gross profit from teleradiology services for the Reported Period was $0.5 million (gross profit margin of approximately 18%), compared to $0.4 million (gross profit margin of approximately 15%) in the Comparable Period. Non-GAAP gross profit of the Company's teleradiology services for the Reported Period was $1.0 million (gross profit margin of approximately 38%) compared to $0.9 million (gross profit margin of approximately 37%) in the Comparable Period. The increase in the Company's revenue and gross profit margins from teleradiology services was mainly attributable to customer retention, increased rates and increased volume of the Company's teleradiology reading services during the weekdays, weekends and nights shifts.
During the Reported Period, the Company generated revenue through the sales and deployment of its imaging systems and OEM services which amounted to $221 thousand for the Reported Period, with a gross loss of $1.7 million on a GAAP and non-GAAP basis, compared to revenue of $68 thousand with a gross loss of $1.3 million on a GAAP basis and Non-GAAP basis in the Comparable Period.
The Company's revenue from its AI solutions for the Reported Period was $96 thousand with a gross loss of $2.0 million on a GAAP basis, compared to revenue of $113 thousand with a gross loss of $2.0 million in the Comparable Period. Non-GAAP gross profit of the Company's AI solutions for the Reported Period was $19 thousand, compared to Non-GAAP gross profit of $57 thousand in the Comparable Period.
Research and development expenses, net, for the Reported and Comparable Periods were $4.8 million, reflecting no change. There was a decrease of $0.4 million in share-based compensation and $0.3 million in expenses related to our development activities which were mitigated by an increase of $0.3 million in salaries and wages and a decrease of $0.4 million in grants received.
Sales and marketing expenses for the Reported Period were $1.2 million compared to $0.8 million in the Comparable Period which represents an increase of $0.4 million, mainly due to increase of $0.3 million in salaries and wages and $0.1 million in marketing activities with connection to the commercialization in the U.S. market.
General and administrative expenses for the Reported Period were $5.1 million, compared to $5.9 million in the Comparable Period. The decrease of $0.8 million was mainly due to a decrease of $0.5 million in share based compensation, decrease of $0.5 million in the Company's legal expenses and a decrease of $0.2 million in D&O insurance expenses which was mitigated by an increase of $0.2 million in salaries and wages.
Non-GAAP net loss attributable to ordinary shares for the Reported Period was $10.9 million, compared to $8.4 million in the Comparable Period. The increase of $2.5 million was mainly due to an increase of $0.4 million in the Non-GAAP gross loss, increase of $1.0 million in the Non-GAAP operating expenses and increase of $1.0 million in the Non-GAAP financial expenses.
Non-GAAP gross loss for the Reported Period was $0.6 million, compared to a non-GAAP gross loss of $0.2 million in the Comparable Period. Non-GAAP research and development expenses, net for the Reported Period, were $4.5 million, compared to $4.1 million in the Comparable Period. Non-GAAP sales and marketing expenses for the Reported Period were $1.1 million, compared to $0.5 million in the Comparable Period. Non-GAAP general and administrative expenses for the Reported Period were $4.5 million, compared to $4.3 million in the Comparable Period.
The difference between the GAAP and non-GAAP financial measures above is mainly attributable to amortization of intangible assets, share-based compensation, expenses related to an offering and legal fees in connection with the class-action litigation. A reconciliation between GAAP and non-GAAP financial measures for the three and six months periods ended June 30, 2025, and 2024 is provided in the financial results that are part of this press release.
Limited Guidance
Based on current market conditions and assuming that macroeconomic trends, including tariff policy, inflation, interest rate levels and supply chain costs do not materially impede activity in the medical technology industry generally, or for the Company specifically, the Company anticipates that the number of clinical, demo, and commercial units in various stages of deployment will grow to over 100 units by the end of 2025, on a worldwide basis.
Liquidity and Capital Resources
As of June 30, 2025, the Company had total cash, cash equivalents, short-term and long-term deposits, restricted deposits and marketable securities of $62.6 million, compared to $83.5 million as of December 31, 2024. During the reported period the Company experienced negative cash flow from operations of $19.6 million.
Other Assets
As of June 30, 2025 the Company had property and equipment of $46.1 million, compared to $45.4 million as of December 31, 2024.
As of June 30, 2025, the Company had intangible assets of $64.7 million compared to $70.0 million as of December 31, 2024. The decrease was attributable to the periodic amortization of intangible assets in the amount of $5.3 million.
Shareholders' Equity
As of June 30, 2025 the Company had approximately 63.9 million shares outstanding compared to 63.8 million shares outstanding as of December 31, 2024.
Conference Call and Webcast Details
Tuesday, August 12, 2025 @ 8:30am ET
Individuals interested in listening to the conference call may do so by joining the live webcast on the Investors section of the Nanox website under Events and Presentations. Alternatively, individuals can register online to receive a dial-in number and personalized PIN to participate in the call. An archived webcast of the event will be available for replay following the event.
About Nanox:
Nanox (NASDAQ:NNOX) is focused on driving the world's transition to preventive health care by bringing a full solution of affordable medical imaging technologies based on advanced AI and proprietary digital X-ray source.
Nanox's vision encompasses expanding the reach of Nanox technology both within and beyond hospital settings, providing a seamless end-to-end solution from scan to diagnosis, leveraging AI to enhance the efficiency of routine medical imaging technology and processes, in order to improve early detection and treatment and maintaining a clinically driven approach. The Nanox ecosystem includes Nanox.ARC, a multi-source digital tomosynthesis system that is cost-effective and user-friendly; an AI-based suite of algorithms that augment the readings of routine CT imaging to highlight early signs often related to chronic diseases, through Nanox's subsidiary, Nanox.AI Ltd; Nanox.CLOUD, a cloud-based software platform that manages and stores data collected by Nanox devices, and provides users with tools for in-depth imaging analysis; Nanox.MARKETPLACE, a proprietary decentralized marketplace through Nanox's subsidiary, USARAD Holdings Inc., that provides remote access to radiology and cardiology experts, and a comprehensive teleradiology services platform. By improving early detection and treatment, Nanox aims to enhance better health outcomes worldwide. For more information, please visit www.nanox.vision
Forward-Looking Statements
This press release may contain forward-looking statements that are subject to risks and uncertainties. All statements that are not historical facts contained in this press release are forward-looking statements. Such statements include, but are not limited to, any statements relating to: guidance with respect to the number of units that the Company will have deployed and operational by the end of the 2025 year; the initiation, timing, progress and results of the Company's research and development, manufacturing, and commercialization activities with respect to its X-ray source technology and the Nanox.ARC; and the ability of the Company to realize the expected benefits of its recent acquisitions and the projected business prospects of the Company and the acquired companies. In some cases, you can identify forward-looking statements by terminology such as "can," "might," "believe," "may," "estimate," "continue," "anticipate," "intend," "should," "plan," "should," "could," "expect," "predict," "potential," or the negative of these terms or other similar expressions. Forward-looking statements are based on information the Company has when those statements are made or management's good faith belief as of that time with respect to future events and are subject to risks and uncertainties that could cause actual performance or results to differ materially from those expressed in or suggested by the forward-looking statements. Factors that could cause actual results to differ materially from those currently anticipated include: risks related to (i) Nanox's ability to complete development of the Nanox System; (ii) Nanox's ability to successfully demonstrate the feasibility of its technology for commercial applications; (iii) Nanox's expectations regarding the necessity of, timing of filing for, and receipt and maintenance of, regulatory clearances or approvals regarding its technology, the Nanox.ARC and Nanox.CLOUD from regulatory agencies worldwide and its ongoing compliance with applicable quality standards and regulatory requirements; (iv) Nanox's ability to realize the anticipated benefits of its recent acquisitions, which may be affected by, among other things, competition, brand recognition, the ability of the acquired companies to grow and manage growth profitably and retain their key employees; (v) Nanox's ability to enter into and maintain commercially reasonable arrangements with third-party manufacturers and suppliers to manufacture the Nanox.ARC; (vi) the market acceptance of the Nanox System and the proposed pay-per-scan business model; (vii) Nanox's expectations regarding collaborations with third-parties and their potential benefits; (viii) Nanox's ability to conduct business globally; (ix) changes in global, political, economic, business, competitive, market and regulatory forces; (x) risks related to the current war between Israel and Hamas and any worsening of the situation in Israel; (xi) risks relating to macroeconomic factors, including tariff policy, inflation, interest rate levels and supply chain costs; and (xi) potential litigation associated with our transactions.
For a discussion of other risks and uncertainties, and other important factors, any of which could cause Nanox's actual results to differ from those contained in the Forward-Looking Statements, see the section titled "Risk Factors" in Nanox's Annual Report on Form 20-F for the year ended December 31, 2024, and subsequent filings with the U.S. Securities and Exchange Commission. The reader should not place undue reliance on any forward-looking statements included in this press release. Except as required by law, Nanox undertakes no obligation to update publicly any forward-looking statements after the date of this press release to conform these statements to actual results or to changes in the Company's expectations.
Non-GAAP Financial Measures
This press release includes information about certain financial measures that are not prepared in accordance with generally accepted accounting principles in the United States ("GAAP"), including non-GAAP net loss attributable to ordinary shares, non-GAAP cost of revenue, non-GAAP gross profit, non-GAAP gross profit margin, non-GAAP research and development expenses, non-GAAP sales and marketing expenses, non-GAAP general and administrative expenses and non-GAAP basic and diluted loss per share. These non-GAAP measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies. These non-GAAP measures are adjusted for (as applicable) amortization of intangible assets, share-based compensation expenses, expenses relating to an offering and legal fees in connection with class-action litigation. The Company's management and board of directors utilize these non-GAAP financial measures to evaluate the Company's performance. The Company provides these non-GAAP measures of the Company's performance to investors because management believes that these non-GAAP financial measures, when viewed with the Company's results under GAAP and the accompanying reconciliations, are useful in identifying underlying trends in ongoing operations. However, these non-GAAP measures are not measures of financial performance under GAAP and, accordingly, should not be considered as alternatives to GAAP measures as indicators of operating performance. Further, these non-GAAP measures should not be considered measures of the Company's liquidity. A reconciliation of certain GAAP to non-GAAP financial measures has been provided in the tables included in this press release.
Investors Mike Cavanaugh ICR Healthcare
Media ICR Healthcare
NANO-X IMAGING LTD.UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS(U.S. dollars in thousands except share and per share data)
June 30, 2025
December 31, 2024
U.S. Dollars in thousands
Assets
CURRENT ASSETS:
Cash and cash equivalents
49,904
39,304
Short-term deposits
-
15,500
Marketable securities
2,045
18,402
Accounts receivables net of allowance for credit losses of $168 as of June 30, 2025, and $112 December 31,2024, respectively.
1,880
1,805
Inventories
2,251
1,493
Prepaid expenses
605
827
Other current assets
795
1,349
TOTAL CURRENT ASSETS
57,480
78,680
NON-CURRENT ASSETS:
Restricted deposit
364
337
Long-term deposits
10,243
10,000
Property and equipment, net
46,119
45,355
Operating lease right-of-use asset
3,714
3,843
Intangible assets
64,689
69,995
Other non-current assets
1,623
1,792
TOTAL NON-CURRENT ASSETS
126,752
131,322
TOTAL ASSETS
184,232
210,002
Liabilities and Shareholders' Equity
CURRENT LIABILITIES:
Short-term loan
3,317
3,061
Accounts payable
2,286
2,209
Accrued expenses
2,977
3,968
Deferred revenue
224
140
Current maturities of operating lease liabilities
908
745
Other current liabilities
4,000
3,849
TOTAL CURRENT LIABILITIES
13,712
13,972
NON-CURRENT LIABILITIES:
Non-current operating lease liabilities
3,729
3,640
Deferred tax liability
2,388
2,576
Other long-term liabilities
845
695
TOTAL NON-CURRENT LIABILITIES
6,962
6,911
TOTAL LIABILITIES
20,674
20,883
SHAREHOLDERS' EQUITY:
Ordinary Shares, par value NIS 0.01 per share 100,000,000 authorized at June 30, 2025 and December 31, 2024, 63,939,620 and 63,762,001 issued and outstanding at June 30, 2025 and December 31, 2024, respectively
181
181
Additional paid-in capital
565,086
562,688
Accumulated other comprehensive gain (loss)
1
(1
)
Accumulated deficit
(401,710
)
(373,749
)
TOTAL SHAREHOLDERS' EQUITY
163,558
189,119
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
184,232
210,002
NANO-X IMAGING LTD.UNAUDITED CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS ANDCOMPREHENSIVE LOSS(U.S. dollars in thousands except share and per share data)
Six Months Ended June 30,
Three Months Ended June 30,
2025
2024
2025
2024
REVENUE
5,855
5,252
3,040
2,699
COST OF REVENUE
12,144
10,159
6,280
5,552
GROSS LOSS
(6,289
)
(4,907
)
(3,240
)
(2,853
)
OPERATING EXPENSES:
Research and development, net
9,812
10,032
4,834
4,812
Sales and marketing
2,178
1,634
1,239
834
General and administrative
10,265
10,958
5,127
5,916
Other expenses, net
37
101
51
92
TOTAL OPERATING EXPENSES
22,292
22,725
11,251
11,654
OPERATING LOSS
(28,581
)
(27,632
)
(14,491
)
(14,507
)
FINANCIAL INCOME (EXPENSE), net
616
1,646
(149
)
856
OPERATING LOSS BEFORE INCOME TAXES
(27,965
)
(25,986
)
(14,640
)
(13,651
)