ONWARD MEDICAL – FY25 results: commercial execution continues

According to KBC Securities, Onward Medical’s FY25 results reflect continued solid commercial execution, albeit slightly below expectations. The company sold 117 ARC-EX devices (vs. 128 expected) and generated €5.4m in revenue (vs. €6.7m expected).

ARC-EX is now available in more than 80 rehabilitation centers across the US, representing approximately 25% of specialized centers. This indicates strong market penetration within its first year of commercialization. KBC Securities expects a meaningful acceleration in ARC-EX adoption in 2026, supported by the anticipated home-use label, with particular momentum expected in VA centers.

Beyond ARC-EX, Onward has updated the timeline for its Empower BP trial, now expecting an initial readout in early 2027 (previously 2H26). According to KBC Securities, this delay does not impact the planned FDA submission or potential commercial launch.

With a cash position of €68.1m, KBC Securities believes the company is well-funded to support further commercial traction of ARC-EX.

KBC Securities, through analyst Mathijs Geerts Danau, reiterates the BUY rating and maintains a target price of €8.9.