Sofwave Medical Reports First Quarter Fiscal 2026 Financial Results and Business Highlights

First quarter revenue of $24.4M, +46% year-over-year growth; IFRS gross margin of 75.0%
First quarter usage fee revenue of $11.0M, +56% year-over-year growth

IFRS and non-IFRS net income of $1.3M and $1.7M versus IFRS and non-IFRS net losses of $1.1M and $0.4M in the prior year ago period
Approximately 2,900 Sofwave systems sold to date and more than 865,000 Sofwave treatments administered since commercialization

SAN CLEMENTE, Calif., May 05, 2026 (GLOBE NEWSWIRE) -- Sofwave Medical Ltd (TASE: SOFW), an emerging leader in energy-based non-invasive, aesthetic medical devices for practitioners worldwide, reported financial results for the three-month period ended March 31, 2026, and recent business highlights.

First Quarter 2026 Financial Highlights

First Quarter 2026 Revenue of $24.4M; representing 46% year-over-year growth
- Recurring Usage Fee of $11.0M, a year-over-year increase of 56%, representing 45% of total revenue
- Gross Profit was $18.3M, a year-over-year increase of 44%
- IFRS and Non-IFRS Gross Margin: 75.0%
- IFRS Operating Income: $1.6M, compared to a loss of $1.0M for the first quarter of 2025; Non-IFRS Operating Income: $2.0M
- IFRS and non-IFRS net income: $1.3M and $1.7M respectively, versus net losses of $1.1M and $0.4M, respectively, for the prior year period
Cash and Cash Equivalents as of March 31, 2026: *$35.1M, cash used in the first quarter of 2026 was $0.1M, vs. $1.2M used in the comparable prior year period.

(*) including $520K restricted short term bank deposit

Management Commentary
Mr. Louis Scafuri, Sofwave CEO, commented, “Sofwave delivered another outstanding quarter, with first-quarter revenue increasing 46% year-over-year to $24.4 million for the three months ended March 31, 2026. We continue to see strong momentum across both system placements and utilization, as recurring usage fees grew 56%, reflecting increasing treatment adoption and frequency across our installed base.

“We are seeing growing patient acceptance of Sofwave’s technology as a core solution for regenerative aesthetic needs, particularly among patients taking GLP-1 therapies, where skin laxity and muscle loss are driving demand for effective, non-invasive treatments.

“Provider adoption continues to accelerate, supported by consistent clinical outcomes and the ability to deliver consistent outcomes and repeatable treatments that enable a utilization-driven economic model.

“Sofwave believes it is redefining the category from episodic treatments to a utilization-driven platform built on repeat long-term patient engagement. Additionally, we are working diligently to maximize efficiencies within our business as we continue to grow and have reduced operating expenses as a percentage of revenue from 78% for the three months ended March 31, 2025 to 67% for the three months ended March 31, 2026. With a strong cash position and increasing operating leverage, Sofwave is executing across all strategic initiatives to capitalize on the growing global demand for effective, non-invasive regenerative aesthetic solutions,” Mr. Scafuri concluded.

Dr. Shimon Eckhouse, Chairman of the Board, added, “We believe Sofwave is uniquely positioned at the forefront of the emerging global regenerative aesthetics market. As the industry shifts toward solutions that support natural regeneration and long-term outcomes, the durability of treatment results and strength of clinical validation become increasingly important.

“Sofwave’s SUPERB™ technology, supported by extensive clinical evidence, delivers consistent and durable outcomes across a broad range of patients, enabling repeatable treatments and long-term engagement.

“Together with our Pure Impact VIP platform, we offer a differentiated total body solution addressing both skin and muscle, aligned with growing global demand for aesthetics, performance, and longevity.

Mr. Eckhouse concluded, “We continue to see strong provider adoption as clinicians recognize both the clinical effectiveness of our platform and its ability to drive sustained utilization and practice growth, further reinforced by the expanding use of GLP-1 therapies.”

Recent Operational Highlights

Approximately 2,900 Sofwave systems sold to date and over 865,000 treatments have been conducted since initial market approval
Significant and growing brand awareness; over 1.2M social media followers to date
Installed base utilization continues to expand, supporting utilization usage fee growth
Strong demand driven by increasing adoption of regenerative aesthetic treatments, including GLP-1–related patient need

Financial Summary (Q1 FY’26)

IFRS Results (U.S. dollars in thousands)
	Q1 2026			Q1 2025
Revenues	$24,408			$16,671
Gross Profit	$18,300			$12,722
Gross Margin		75.0	%		76.3	%
Operating Income (Loss)	$1,627			($956		)
Net Income (Loss)	$1,261			($1,112		)
*Non-IFRS Results (U.S. dollars in thousands)
	Q1 2026			Q1 2025
Gross Profit	$18,295			$12,730
Gross Margin		75.0	%		76.4	%
Operating Income (Loss)	$2,023			($199		)
Net Income (Loss)	$1,657			($355		)

(*) Excluding stock-based compensation expense.

Non-IFRS Financial Measures
This press release includes information about certain financial measures that are not prepared in accordance with International Financial Reporting Standards (“IFRS”), including non-IFRS gross profit, non-IFRS gross margin, non-IFRS operating income (loss), and non-IFRS net income (loss). These non-IFRS measures adjust for non-cash share-based compensation expense. Management believes that these non-IFRS measures provide useful supplemental information to investors by excluding items that are not directly attributable to the Company’s core operating performance. Non-IFRS measures should be considered in addition to, not as a substitute for, financial measures prepared in accordance with IFRS. A reconciliation of IFRS to non-IFRS measures is provided in the table included in this press release above.

About Sofwave Medical Ltd.
Sofwave Medical Ltd. has implemented an innovative approach to wrinkle reduction lifting and cellulite using its proprietary breakthrough technology. SUPERB™, Synchronous Ultrasound Parallel Beam technology, is FDA-cleared to improve facial lines and wrinkles, lifting the eyebrow and lifting lax submental tissue (beneath the chin), lifting lax skin in the arms, as well as the short-term improvement in the appearance of cellulite and treatment of acne scars. The Company’s Pure Impact™ module uses EMS technology and is cleared for muscle toning. Sofwave’s products provide physicians with smart yet simple, effective, and safe aesthetic solutions for their patients.
Contact: Info@sofwave.com

Forward-Looking Statements

This press release contains “forward-looking statements” as defined in the Israeli Securities Law 5728-1968. These forward-looking statements are based on the Company’s current expectations, estimates, forecasts and projections about future events and are not guarantees of future performance. Words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “estimate,” “will,” “should,” “would,” “could,” “may,” and similar expressions are intended to identify such forward-looking statements. These forward-looking statements involve risks and uncertainties, and actual results may differ materially from those expressed or implied in such statements due to various factors, including but not limited to: risks inherent to the Company’s activities; third-party decisions, including by regulatory authorities; changes in economic conditions; and other external factors beyond the Company’s control. The Company undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Investor Contact:
Brian Ritchie
LifeSci Advisors LLC
(212) 915-2578
britchie@lifesciadvisors.com

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