Company: SNWV
Filing Date: 2025-08-07
Form Type: 10-Q
Source: 0001628280-25-038937
Chunk: 2

Company: SANUWAVE Health, Inc.
Filing Date: 2025-08-07
Form: 10-Q
Item: Part I, Item 2
Chunk 2
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 their limitations as analytical tools, and you should not consider them in isolation or as a substitute for analysis of our results as reported under U.S. GAAP. Some of these limitations are that EBITDA and Adjusted EBITDA:

•Do not reflect every expenditure, future requirements for capital expenditures or contractual commitments.

•Do not reflect all changes in our working capital needs.

•Do not reflect interest expense, or the amount necessary to service our outstanding debt.

As presented in the U.S. GAAP to Non-GAAP Reconciliations section below, our non-GAAP financial measure excludes the impact of certain charges that contribute to our net income (loss).

Three Months Ended June 30,Six Months Ended June 30,(in thousands)2025202420252024Net Income (Loss)$1,055 $6,561 $(4,621)$2,033 Non-GAAP Adjustments:Interest expense1,874 3,783 3,726 7,343 Depreciation and amortization299 262 573 480 EBITDA3,228 10,606 (322)9,856 Non-GAAP Adjustments for Adjusted EBITDA:Change in fair value of derivative liabilities(990)(3,717)3,911 (1,216)Other non-cash or infrequent charges:Stock-based compensation1,132 - 2,116 - Gain on extinguishment of debt- (5,310)- (5,205)Severance agreement and legal settlement- - - 585 Release of historical accrued expenses- (579)- (579)License and option agreement- - - (2,500)Prepaid legal fees expensed from termination of Merger Agreement$- $457 $- $457 Adjusted EBITDA$3,370 $1,457 $5,705 $1,398 

24

Results of Operations

Three Months Ended June 30,ChangeSix Months Ended June 30,Change(in thousands)20252024$%20252024$%Revenue$10,164 $7,162 $3,002 42%$19,506 $12,948 $6,558 51%Cost of revenue2,206 1,922 284 15%4,164 3,506 658 19%Gross margin7,958 5