Max Kruszeski's questions to Neuronetics Inc (STIM) leadership • Q4 2024
Question
Max Kruszeski inquired about the post-acquisition gross margin profile, potential levers for improvement, the productivity of the remaining Greenbrook clinics, and the status of the SPRAVATO rollout.
Answer
CFO Steve Furlong explained that the consolidated 55% gross margin guidance for 2025 results from blending Neuronetics' ~77% margin with Greenbrook's clinic margin, which is expected to improve from the high 20s to 35%. CEO Keith Sullivan added that the 95 Greenbrook clinics are their most profitable, with no plans for further reductions, and noted that 63 clinics offer SPRAVATO, with 35 already on the higher-revenue buy-and-bill model.