SpineGuard: Revenue Down 32% in H1 2026, Europe Up by 17%
SpineGuard reported a revenue of €1.448 million in the first half of 2026, a 32% decrease from the same period in 2025 (€2.120 million). This decline is largely due to the transition of its US subsidiary to a distribution model in partnership with Omnia Medical, a deliberate shift that impacts short-term revenues but is justified by the expected improvement in unit margin. The company states that this restructuring should enable a recovery in volumes in the second half and maintains its goal of achieving operational breakeven by the end of 2026. The challenge for investors lies in SpineGuard's ability to realize this recovery scenario, as available cash stands at €763K and growth in Europe (+17%) must offset the American decline.
US in Retreat, Europe on the Rise
The overall 32% decrease in revenue masks contrasting dynamics across geographic regions. In the United States, the shift to a distribution model led to a 47% drop in revenue ($776K versus $1.476 million in the first half of 2025). This contraction is attributed by management to transitional effects: stockpiling in preparation for the subsidiary transfer and pricing adjustments related to the change in business model. Conversely, the rest of the world shows relative stability: €785K in the first half of 2026 compared to €769K a year earlier. Europe, in particular, recorded a 17% growth, driven by the performance of long-established distributors and the launch of new commercial areas. Meanwhile, DSG sales stood at 2,544 units (down from 3,068 a year earlier), a decline of 17%, largely explained by American stock effects (598 units in the US, 24% of the total).
Improved Unit Margin but Tight Schedule
The American transition aims to improve profitability per unit sold, which constitutes the strategic trade-off for the observed revenue declines. According to management, this improvement should contribute to a better operating result by the end of the year, while the partnership with Omnia Medical is expected to gradually increase volumes thanks to its commercial presence, implant portfolio, and access to ambulatory surgery centers. However, the cash situation remains tight. SpineGuard has €763K in cash as of June 30, 2026, and can access bond financing of up to €1 million to cover its financial needs until the second quarter of 2027. Management asserts that the reduction in expenses, combined with expected synergies and the continuation of strategic partnerships, will allow navigating this period.
China and Saudi Arabia: New Windows of Growth
Beyond the American restructuring and European growth, SpineGuard identifies China and the Middle East as future growth relays. In China, several firm orders have already been received for billing in the second half of 2026. In Saudi Arabia, a contract won in 2026 generated a first order in June, with more expected in the following months. The company is also actively discussing with industrial partners interested in the motorized, robotic, and dental applications of its DSG technology. The path to operational breakeven by the end of 2026 remains the absolute priority goal to ensure long-term viability while limiting the need for external financing.
