Picard Medical (PMI) shares surged over 50% on Monday following its second-quarter financial report.
The artificial heart maker reported revenue of $2.95 million, representing a 39% year-over-year increase. This result significantly exceeded the analyst consensus estimate of $1.55 million. Strong U.S. sales drove the growth and generated a gross profit of approximately $0.6 million. This performance reversed a gross loss recorded during the same period last year.
However, the company reported a wider-than-expected quarterly loss of $3.05 per share. Picard Medical ended June with only $38,000 in cash and restricted cash. This liquidity position raised substantial doubt about the company's ability to continue as a going concern. The firm requires additional financing to fund its operations and future growth initiatives.