Senseonics Holdings Inc. (SENS), a medical technology company, experienced a significant 25.48% plummet in its stock price during the pre-market trading session on Tuesday. This sharp decline followed the release of the company's fourth quarter and full-year 2024 financial results, which revealed widening net losses despite modest revenue growth.
For the full year 2024, Senseonics reported revenue of $22.5 million, an increase from the previous year. However, the company's net loss for the year ballooned to $78.6 million, or $0.12 per share, up substantially from the $60.4 million net loss, or $0.11 per share, recorded in 2023. Senseonics attributed the larger losses to factors such as a reduction in gains from the exchange of outstanding convertible notes and changes in the fair value of derivatives.
Despite the positive revenue growth, investors appeared to be more concerned with the company's mounting losses, leading to the steep sell-off in pre-market trading. This reaction underscores the importance of profitability and cost control for companies, even those experiencing top-line growth.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.