NPCEMEDIUM SIGNALOPPORTUNITY10-K

NPCE shows strong operational momentum with 33% patient growth, 25% revenue increase, and a major regulatory filing to expand their RNS System indication to generalized epilepsy.

The company demonstrated significant progress across multiple fronts, including expanding their addressable market through regulatory filings and growing their healthcare provider network by 15%. The shift from "begun to target" to actively targeting physicians outside Level 4 centers since 2023 indicates successful market expansion execution.

Comparing 2026-03-03 vs 2025-03-04View on EDGAR →
FINANCIAL ANALYSIS

NPCE delivered robust financial performance with revenue growing 25% to $100M and gross profit increasing 31% to $77.2M, indicating improving operational efficiency. The company strengthened its balance sheet with stockholders' equity more than doubling to $19M and cash increasing 62% to $21.7M, while simultaneously reducing operating losses by 25% and improving operating cash flow by 39%. This combination of top-line growth, margin expansion, and loss reduction demonstrates the company is scaling effectively while moving toward profitability.

FINANCIAL STATEMENT CHANGES
Stockholders Equity
Balance Sheet
+137.5%
$8.0M$19.0M

Equity base grew 137.5% — retained earnings accumulation or equity issuance strengthening the balance sheet.

Cash & Equivalents
Balance Sheet
+61.5%
$13.4M$21.7M

Cash position surged 61.5% — strong cash generation or capital raise providing significant financial cushion.

Operating Cash Flow
Cash Flow
+38.7%
-$17.9M-$11.0M

Operating cash flow surged 38.7% — exceptional cash generation, highest quality earnings signal.

Gross Profit
P&L
+30.7%
$59.1M$77.2M

Gross profit expanding — improving pricing power or product mix shift toward higher-margin offerings.

Inventory
Balance Sheet
+26.3%
$13.4M$16.9M

Inventory built 26.3% — monitor whether demand supports this build or if write-downs may follow.

Revenue
P&L
+25.1%
$79.9M$100.0M

Revenue growing 25.1% — solid top-line momentum, watch margins for quality of growth.

Operating Income
P&L
+24.6%
-$21.7M-$16.3M

Operating income improving — cost discipline or growing revenue base absorbing fixed costs.

Net Income
P&L
+20.9%
-$27.1M-$21.5M

Net income grew 20.9% — bottom-line growth signals improving overall business health.

R&D Expense
P&L
+17.9%
$23.7M$27.9M

R&D investment increased 17.9% — signals commitment to future product development, though near-term margin impact.

Current Liabilities
Balance Sheet
+17.5%
$15.2M$17.8M

Current liabilities rose 17.5% — increased short-term obligations, watch current ratio.

LANGUAGE CHANGES
NEW — 2026-03-03
PRIOR — 2025-03-04
ADDED
As of December 31, 2025, over 8,000 patients have received our RNS System.
We are using the remaining net proceeds from the offering for general corporate purposes, including, but not limited to, sales and marketing, clinical trial, and other research and development expenses, general and administrative expenses, debt reduction and working capital.
In 2025 there were over 230 Level 4 CECs in the United States.
Since 2023, our sales team has targeted epileptologists and functional neurosurgeons practicing outside of Level 4 CECs to expand access to RNS therapy, both in the community and through referral of patients to Level 4 CECs.
Of the patients with generalized epilepsy, approximately 50% of those patients have idiopathic generalized epilepsy.
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REMOVED
As of December 31, 2024, over 6,000 patients have received our RNS System.
We intend to use the remaining net proceeds from the offering for general corporate purposes, which may include clinical trial and other research and development expenses, selling, general and administrative expenses, debt reduction and working capital.
In 2024 there were approximately 200 Level 4 CECs in the United States.
9 Our partnership with DIXI Medical further enhances our ability to drive adoption and utilization by giving our representatives access to epilepsy monitoring units in Level 4 CECs, generating earlier opportunities to provide education and awareness about the RNS System.
Our sales team has begun to target epileptologists and functional neurosurgeons practicing outside of Level 4 CECs to expand access to RNS therapy, both in the community and through referral of patients to Level 4 CECs.
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