Paxman Group AB posted second-quarter revenue of SEK 105.1 million, a 40% increase from the same period last year, marking the company’s first quarterly sales exceeding SEK 100 million. U.S. revenue rose 77.5% to $7.1 million, while EBITDA reached SEK 14 million, including SEK 5.2 million from the Dignitana acquisition. Adjusted EBITDA margin stood at 18.5%, excluding commercialization costs, compared with a reported margin of 13%. The company ended the quarter with SEK 105 million in cash.
Insurance-based billing revenue grew 110% quarter-over-quarter, with 1,326 caps sold under the model. The company’s order book totaled 190 systems, including 80 for the U.S., while 56 systems were deployed during the quarter. Paxman’s market capitalization reached $1.83 billion, with a trailing-twelve-month revenue of $428 million and a gross profit margin of 56.82%.
Shares of Paxman surged 15.35% in premarket trading to $54.10, up from a prior close of $46.90. The stock has traded between a 52-week low of $41 and a high of $80.80. CEO Richard Paxman highlighted the milestone, noting the 40% year-over-year growth and strong adoption of the insurance-based billing model, which he described as a key driver of utilization.
Regulatory progress for Paxman’s chemotherapy-induced peripheral neuropathy device remains on track. The company plans to submit a 510(k) De Novo application this month, following FDA feedback that no suitable predicate device exists. The submission will seek Class II classification for the novel device, with a review timeline of 150 days. Clinical data includes results from a 150-patient Singapore study and prospective readouts from Dana-Farber expected by year-end. U.S. commercialization is targeted for Q2 2027, pending FDA clearance between April and August 2027.
Manufacturing of Version 2 units will begin in Q4 2026, with 50 units already deployed in real-world pilots. European sales will precede a controlled U.S. launch in 2027. Paxman is also in discussions with U.S. clinical sites, including Memorial Sloan Kettering Cancer Center and a Michigan-based oncology aggregator, to expand pilot programs.
