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    APYX
    Earnings call· Jun 2026(Q2 FY26)

    Apyx Medical Q2 FY26 earnings call APYX

    Aug 6, 2026 Source

    Executive summary

    Apyx Medical Q2 FY26 — AYON Platform Drives Strong Growth and Expanded Capabilities

    Apyx Medical delivered robust second-quarter results, primarily fueled by the strong performance of its Surgical Aesthetics segment and the growing adoption of the AYON platform. The company expanded AYON's capabilities with FDA clearance for power liposuction, which is expected to further enhance its market position. Management reaffirmed full-year revenue and margin guidance, expressing confidence in continued growth and liquidity into 2028, despite ongoing OEM segment decline and increased cash usage in operations.

    Highlights

    5

    • Total revenue increased 22% year-over-year to $13.9 million.

    • Surgical Aesthetics segment revenue grew 28% to $12.4 million, driven by AYON sales and Renuvion handpieces.

    • Gross profit margin expanded to 63.9% from 62.3% in the prior year period.

    • Adjusted EBITDA loss improved significantly to $0.7 million from $2.0 million in Q2 FY25.

    • FDA 510(k) clearance for power liposuction on the AYON platform, with positive initial commercial shipments.

    Concerns

    3

    • OEM segment revenue decreased 12% to $1.5 million due to lower sales volume to existing customers.

    • Net cash used in operating activities increased to $3.5 million compared to $1.2 million in the prior year.

    • Tariffs partially offset gross margin expansion, impacting the second half of 2025 and continuing into 2026.

    Guidance & targets

    5
    CategoryTargetConfidence
    Full-year Total Revenue
    $59.0 million to $60.0 million
    high materiality
    High
    Full-year Surgical Aesthetics Segment Revenue
    $54.0 million to $55.0 million
    high materiality
    High
    Full-year OEM Segment Revenue
    $5.0 million
    medium materiality
    High
    Full-year Gross Margins
    62% to 63%
    high materiality
    High
    Full-year Total Operating Expenses
    not to exceed $45.0 million
    medium materiality
    High

    Segment performance

    4
    SegmentRevenueYoYQoQMargin
    Surgical Aesthetics
    Revenue increased by $2.7 million compared to $9.7 million in the prior year period. Growth was driven by sales of the AYON Body Contouring System, increased Renuvion generator sales internationally, and increased volume of single-use handpieces domestically.
    		$12.4 million28%——
    OEM
    Revenue decreased by approximately $0.2 million compared to $1.7 million in the prior year period. The decrease was due to lower sales volume to existing customers. The company expects this segment's revenue to decrease for the full year and over time due to an increased focus on surgical aesthetics.
    		$1.5 million-12%——
    Domestic Revenue
    Year-over-year growth.
    		$9.4 million21%——
    International Revenue
    Year-over-year growth.
    		$4.5 million24%——

    Operational metrics

    8
    Adjusted EBITDA Loss
    $0.7 millionvs $2.0 million Q2 FY25
    Q2 FY26

    Improved from prior year period.

    Gross Profit Margin
    63.9%vs 62.3% Q2 FY25
    Q2 FY26

    Increased from prior year period.

    Net Cash Used in Operating Activities
    $3.5 millionvs $1.2 million Q2 FY25
    Q2 FY26

    Increased from prior year period.

    Cash and Cash Equivalents
    $27.6 million
    as of June 30, 2026

    Current cash balance.

    Liquidity Runway
    into 2028
    Future

    Management expects to maintain sufficient liquidity.

    Power Lipo Handpiece Replacement Cycle
    2-4
    per year

    Indicates recurring revenue potential from Power Lipo handpieces.

    AYON Recurring Consumables per Case
    $100
    per case

    Additional recurring revenue generated by the AYON system.

    Power Lipo Attachment Rate for New AYON Systems
    North of 95%
    Future

    Expected attachment rate for new AYON purchases.

    Industry KPIs

    7
    MetricValueDetails
    Tariff impactPartially offset
    New product launch rampPower Liposuction for AYON
    FCF conversion leverage guidanceReaffirmed
    Installed base system placementsNot disclosed
    Segment franchise organic growth22%%
    Consumables recurring revenue mixIncreased volume
    Indicated addressable patient populationMeaningful long-term opportunity

    Product announcements

    1
    ProductTypeDetails
    Power Liposuction for AYON Body Contouring Systemexpansion

    Risks & headwinds

    3
    TariffsBegan affecting in H2 2025, continuing into 2026.

    Partially offset gross margin expansion.

    Mitigation: Company is seeking tariff refunds, but these are not included in current guidance.

    OEM segment declineOngoing trend, expected to continue over time.

    Decreased 12% YoY to $1.5 million in Q2 FY26. Expected to decrease for the full year (to $5.0 million from $7.5 million in FY25).

    Mitigation: Increased focus on Surgical Aesthetics segment.

    Increased cash usage in operating activitiesQ2 FY26.

    $3.5 million used in Q2 FY26 vs $1.2 million in Q2 FY25.

    Mitigation: Management focused on growing sales, managing expenses, and getting to cash flow positive as quickly as possible; projects sufficient liquidity into 2028.

    What to watch in Q3 FY26

    4

    Power Liposuction Commercial Launch

    Q3 FY26
    CurrentInitial commercial shipments in June 2026
    TargetSuccessful full commercial launch and ramp-up in Q3 FY26

    Why it matters

    Power Lipo is expected to significantly enhance the AYON platform's competitiveness and drive recurring revenue, impacting future growth and margins.

    We look forward to the full commercial launch of power liposuction in the third quarter as the next step in building our AYON platform.

    Q&A highlights

    7

    Are new AYON users typically existing Renuvion users or new customers? Are they primarily plastic surgeons?

    Yes, Apyx is acquiring new customers who have never used Renuvion before through AYON. The primary users are plastic or cosmetic surgeons focused on body contouring and GLP-1 patients.

    “Yes. So the answer to the first part of the question is yes. We are getting people that have never used Renuvion before that are buying the AYON platform.”

    asked by Dave Turkaly · answered by Charles Goodwin

    2 min read6 chapters

    Detailed Narrative

    01

    AYON Platform Traction and Expansion

    The AYON Body Contouring System, following its full commercial launch in September 2025, continues to gain traction in the U.S. market. Surgeons are increasingly recognizing its value as an integrated all-in-one platform combining core technologies. The company received expanded 510(k) clearance from the FDA to add power liposuction to AYON, which commenced initial commercial shipments in June 2026 after positive limited commercial launch feedback. This enhancement allows for more efficient fat removal and body sculpting.

    02

    GLP-1 Opportunity

    The rapid adoption of GLP-1 medications is creating a significant long-term opportunity for Apyx. As patients achieve substantial weight loss, many are left with loose or lax skin, which AYON's comprehensive body contouring capabilities, combining fat removal, Renuvion tissue contraction, and electrosurgical features, are well-positioned to address. This trend is expected to drive future demand for the company's offerings.

    03

    Clinical Evidence and Awareness

    Apyx continues to build its clinical foundation with new peer-reviewed publications. A retrospective study showed Renuvion combined with liposuction led to higher patient satisfaction and reduced need for more invasive procedures compared to liposuction alone, with comparable complication rates. A prospective study also demonstrated visible improvements in cellulite and skin laxity with Avéli and Renuvion, showing progressive tissue remodeling. The company also showcased its platform at Miami Swim Week, highlighting aesthetic outcomes.

    04

    Executive Leadership Appointment

    Stavros Vizirgianakis has been appointed Executive Chairman of the Board of Directors. This formalizes his already significant involvement in shaping strategic priorities, supporting financing initiatives, and strengthening operational focus, leveraging his decades of leadership experience and industry network to drive long-term shareholder value.

    05

    OEM Segment Strategy

    The OEM segment experienced a 12% decrease in sales, reflecting a continued trend. The company expects OEM revenue to decrease for the full year and over time⏳, as it maintains an increased focus on the higher-growth Surgical Aesthetics segment.

    06

    Liquidity and Cash Flow

    The company reported $27.6 million in cash and cash equivalents as of June 30, 2026. Despite an increase in net cash used in operating activities to $3.5 million, management projects sufficient liquidity into 2028, based on AYON uptake, working capital management, and strict cost controls, with a focus on achieving cash flow positive status.

    AI-generated summary of the company’s earnings call. Not investment advice.