ECOR — electroCore, Inc.

Summary of electroCore Q4 2025 Earnings Call

1. Key Financial Results and Metrics

• Q4 2025 Revenue: $9.2 million, a 31% increase year-over-year.
• Full Year 2025 Revenue: $32 million, up 27% from 2024.
• VA Revenue: Increased 23% year-over-year to $26 million, with gammaCore and Quell driving growth.
• General Wellness Revenue: $5.5 million for the full year, a 97% increase, primarily from Truvaga sales.
• Net Loss: $14 million or $1.65 per share, compared to a net loss of $11.9 million or $1.59 per share in 2024.
• Adjusted EBITDA: Net loss of $8.7 million, slightly improved from $9 million in the prior year.
• Operating Expenses: Increased to $40.9 million from $33.6 million in 2024, driven by higher sales and marketing costs.

2. Strategic Updates and Business Highlights

• Leadership Transition: CEO Dan Goldberger announced his retirement effective April 1, 2026, with CFO Joshua Lev appointed as Interim President. Michael Fox will join as Chief Operating Officer.
• Product Development: Continued focus on expanding the noninvasive vagal nerve stimulation (nVNS) platform and the wellness product Truvaga, which has gained traction in consumer markets.
• Clinical Validation: Strong scientific backing for gammaCore with over 20 peer-reviewed publications supporting its efficacy for migraines and cluster headaches.
• Sales Strategy: Increased sales presence in the VA system and plans to expand into general wellness markets.

3. Forward Guidance and Outlook

• 2026 Revenue Growth: Expected to continue growing at approximately 30%, although detailed guidance is not provided due to leadership transition.
• New Product Launches: Anticipation for the Quell relief product launch in the first half of 2026, expected to be incremental to revenue forecasts.
• Advertising Efficiency: Aiming for a return on advertising spend (ROAS) of above $2, with potential to reach 2.5x.

4. Bad News, Challenges, or Points of Concern

• Leadership Change Risks: Transitioning leadership may introduce uncertainty and potential disruptions in strategy execution.
• Net Losses: Continued net losses and increasing operating expenses raise concerns about financial sustainability.
• Reimbursement Challenges: Ongoing difficulties in securing broader insurance reimbursement coverage, particularly outside the VA system, with Kaiser being a key focus for future growth.
• Market Penetration: Current penetration in the VA headache market is only about 2%, indicating significant room for growth but also highlighting the challenge of scaling effectively.

5. Notable Q&A Insights

• VA and DTC Channels: The company is optimistic about growth in the VA channel, emphasizing the importance of increasing sales personnel. Direct-to-consumer efforts for Truvaga will focus on enhancing affiliate marketing strategies.
• International Expansion: NHS England remains a primary focus for international revenue, though challenges exist in navigating prescription processes.
• Quell Product Strategy: The Quell relief product will be launched with a soft approach to gauge market response before scaling.
• Advertising Spend: The team is actively managing media spend efficiency, with a goal to maintain a healthy ROAS while exploring new partnerships for growth.

Overall, electroCore is positioned for continued growth with a strong product portfolio and strategic focus, despite facing challenges related to leadership transition and financial performance.