Stereotaxis (STXS) Earnings Call Recap - Some Great Stuff and...

According to David Fischel, CEO of Stereotaxis, The TAM for the robotic endovascular market is expected to grow to over $40 billion in 2030. Going beyond endovascular Stereotaxis plans to have their systems used in neurological intervention as well. A quick update on device regulatory approval:

• Genesis surgical robotic system – Approved (U.S./Europe/China), requires permanent installation in a hospital operating room. This system would also be used for neurological procedures in the future.

• GenesisX surgical robotic system – Approved (U.S./Europe), smaller mobile robot without requirement for renovation and permanent placement into a room in the hospital. Most likely will not be used for neurological procedures.

• Synchrony & SYNX – Expecting U.S. and European approval in 2026.

• MAGIC Ablation & MAGIC Mapping Catheters, Approved (U.S./Europe)

• Stereotaxis Cronus Guide Wires, submission pending

Outlook:

• The TAM for the robotic endovascular market is expected to grow to over $40 billion in 2030

• Scaling Sales: Adding sales staff as operating expenses organically decrease. Each time a device or system is approved by the FDA (or a CE Mark in Europe) the revenue from the new system/device will be used to both increase the sales team and manufacturing/production capacity. There is more demand that supply for the MAGIC catheter which is a problem but not the worst problem to have as Stereotaxis has over $13M cash on hand and no plans for dilution (secondary).

• There is ecosystem now has multiple FDA approvals as well as pending approvals and planned submissions.

• Average Analyst 12-month price target of $4.20 would be a 102.9% return over the next year. We believe this is a current BUY and long-term core growth investment.

Impressed:

• Additional $20m from MAGIC catheter sales but what is needed is expansion of internal manufacturing and rely less on 3^rd party Ospyka who has its own manufacturing constraints.

• Double digit revenue expansion.

• Potential to be profitable in 2026; something the street (and myself) has been patiently awaiting for years.

• FDA approvals and ecosystem of products have now happened and will be continuing for the next 24-months at which time this company will have a suite of products rivaling names such as Sieman’s Healthineers, Intuitive Surgical…

• Profitability in sight

• No planned dilution due to cash burn planning

Not impressed:

• Employee stock allocations are very high at this point in comparison to revenues. It was stated that these stock allocations are planned and not dilutive to current shareholders.

• More demand than supply and still relying on a 3^rd party for catheter manufacturer after Stereotaxis already a acquired their own manufacturer…

Financial Summary:

• Q4 2025 Revenue: $8.6M (+36% YoY)

• FY 2025 Revenue: $32.4M (+20% YoY)

• Gross Margin: ~50% (Q4) | ~53% (FY 2025)

• Net Loss (Q4 2025): ~$5.5M

• Free Cash Flow (FY 2025): ~-$13.8M

• Cash (Year-End 2025): ~$13.4M | Debt: None

• 2026 Outlook: Management indicated potential revenue >$40M with continued adoption