Executive Summary
Encision Inc delivered QQ1 2025 results reflecting a modest YoY revenue decline but meaningful sequential improvement and a favorable margin trajectory driven by a lean operating structure and ongoing contribution from the active electrode monitoring (AEM) product suite. Revenue for the quarter was $1.631 million, down 1.34% from the prior-year period, yet up 6.95% QoQ. Gross profit reached $0.943 million with a gross margin of 57.8%, and operating income was $0.028 million, yielding an EBITDA of $0.048 million (margin ~2.93% of revenue). Net income stood at $0.022 million, translating to an EPS of $0.0019. The company generated $0.1175 million in cash from operations and $0.0982 million in free cash flow, supporting a cash balance of $0.270 million at period end and a net debt position of approximately $1.109 million.
Key Performance Indicators
QoQ: 107.05% | YoY:122.14%
QoQ: 105.39% | YoY:115.74%
QoQ: 105.48% | YoY:115.97%
Key Insights
Revenue: $1,630.9k; YoY -1.34%; QoQ +6.95%
Gross Profit: $942.7k; Margin 57.8%; YoY +9.24%; QoQ +45.92%
Operating Income: $28.3k; Margin 1.74%; YoY +122.14%; QoQ +107.05%
Net Income: $22.0k; Margin 1.35%; YoY +115.74%; QoQ +105.39%
EPS: $0.0019; YoY +115.97%; QoQ +105.48%
EBITDA: $47.7k; Margin 2.93%
EBITDA Margin: 2.93%
EPS Diluted: $0.0019
Cash Flow: NCF from ops $117.5k; CapEx $19.3k; Free Cash Flow $98.2k
Liquidity: Cash $270.4k; Net Debt $1,109.3k; Total Debt $1,379.7k
Balance Sheet Ratios:...
Financial Highlights
Revenue: $1,630.9k; YoY -1.34%; QoQ +6.95%
Gross Profit: $942.7k; Margin 57.8%; YoY +9.24%; QoQ +45.92%
Operating Income: $28.3k; Margin 1.74%; YoY +122.14%; QoQ +107.05%
Net Income: $22.0k; Margin 1.35%; YoY +115.74%; QoQ +105.39%
EPS: $0.0019; YoY +115.97%; QoQ +105.48%
EBITDA: $47.7k; Margin 2.93%
EBITDA Margin: 2.93%
EPS Diluted: $0.0019
Cash Flow: NCF from ops $117.5k; CapEx $19.3k; Free Cash Flow $98.2k
Liquidity: Cash $270.4k; Net Debt $1,109.3k; Total Debt $1,379.7k
Balance Sheet Ratios: Current Ratio 2.11; Quick Ratio 1.01; Cash Ratio 0.23; DSO 45.0d; DIO 172.4d; DPO 35.3d; CCC 182.1d
Valuation / Multiples: P/S ~3.06; P/B ~2.68; P/E ~56.57; Enterprise Value Multiple ~127.72
Income Statement
| Metric |
Value |
YoY Change |
QoQ Change |
| Revenue |
1.63M |
-1.34% |
6.95% |
| Gross Profit |
942.66K |
9.23% |
45.92% |
| Operating Income |
28.34K |
122.14% |
107.05% |
| Net Income |
22.04K |
115.74% |
105.39% |
| EPS |
0.00 |
115.97% |
105.48% |
Key Financial Ratios
operatingProfitMargin
1.74%
operatingCashFlowPerShare
$0.01
freeCashFlowPerShare
$0.01
Management Commentary
Not available in the provided data. Earnings call transcript is not included; no management quotes or thematic highlights can be drawn from transcripts.
Forward Guidance
The dataset does not contain formal forward-looking guidance from Encision management for QQ2/2025 or full-year 2025. Given the quarter’s modest revenue trajectory and lean cost structure, a base-case view would anticipate continued margin stability around the mid- to high-50% gross margin and low-single-digit operating margins as the company scales. Key variability will hinge on (i) adoption pace of the AEM instrument ecosystem and EndoShield burn protection systems, (ii) hospital capital expenditure cycles and procurement in laparoscopic surgery, (iii) potential product mix shifts toward higher-margin devices or complexity instruments, and (iv) working capital management as inventory levels respond to demand signals. Investors should monitor management commentary on pipeline activity, field deployments, and any runway for international sales expansion or new product introductions that could lift revenue productivity.