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ReShape Lifesciences Inc. (RSLS-16.70%) has submitted its 10-K filing for the fiscal year ended December 31, 2024.
The filing includes financial statements showing revenue of $8.0 million for the year, a decrease from $8.7 million in the previous year. The decrease is attributed to the growing popularity of GLP-1 pharmaceuticals, which impacted sales of the company's Lap-Band products.
Gross profit for the year was $5.1 million, down from $5.5 million the previous year, with a gross margin of 63.2% compared to 63.9% in 2023.
Operating expenses totaled $12.8 million, a decrease from $20.9 million in 2023, primarily due to reductions in sales and marketing expenses and general and administrative costs.
The company reported a net loss of $7.1 million for the year, compared to a net loss of $11.4 million in 2023.
ReShape Lifesciences is pursuing a merger with Vyome Therapeutics, Inc. and an asset sale to Ninjour Health International Limited, which are expected to close in the second quarter of 2025, subject to conditions including stockholder approval.
The company effected a 1-for-58 reverse stock split on September 23, 2024, to regain compliance with Nasdaq's minimum bid price requirement.
ReShape Lifesciences continues to focus on its Lap-Band product line and the development of its Diabetes Bloc-Stim Neuromodulation device, while managing cash resources to support operations through planned transactions.
The company raised $4.5 million in a public offering in February 2025 and had $0.7 million in cash and cash equivalents as of December 31, 2024.
ReShape acknowledges substantial doubt about its ability to continue as a going concern due to insufficient cash resources to fund operations for more than 12 months, highlighting the importance of the pending merger and asset sale.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the ReShape Lifesciences Inc. annual 10-K report dated April 4, 2025. To report an error, please email earnings@qz.com.