TMCI TREACE MEDICAL CONCEPTS, INC.

Overview and Growth

TREACE MEDICAL CONCEPTS, INC. generated $212.69M of revenue in fiscal 2025, with net loss of $59.00M and an operating cash outflow of $15.97M. The $212.69M revenue base provides substantial context for the company’s earnings, cash generation, and capital requirements. Revenue was 1.6% above fiscal 2024 revenue of $209.36M, marking a year-over-year increase. On a per-share basis, diluted EPS was -$0.93, which connects the reported earnings outcome with the company’s diluted share count. Total assets stood at $190.58M, showing the scale of resources supporting revenue, earnings, liquidity, and financing. Asset turnover was 1.12x, relating the company’s annual revenue directly to the total assets reported at the period end.

Profitability

Gross profit was $169.75M, representing the portion of revenue remaining after the reported cost of revenue and before operating expenses. Gross margin was 79.8%, so that share of each revenue unit remained after the cost of revenue reported for the period. The company recorded an operating loss of $54.15M after the reported operating expense base. The operating loss equaled 25.5% of revenue, showing the scale of the operating deficit relative to sales. The company ended the period with a net loss of $59.00M, extending the operating result through all remaining items. Net margin was -27.7%, reflecting a loss equal to 27.7% of reported revenue. The company recognized $0.00 of income tax for the period, completing the transition from pretax income to net income. The loss-to-equity relationship was 67.6%, placing the bottom-line deficit against shareholder capital. The net loss equaled 31.0% of period-end assets, showing the deficit relative to the asset base. The net loss widened to $59.00M from $55.74M in fiscal 2024.

Liquidity and Capital Structure

The company held $190.58M of assets against $103.25M of liabilities and $87.33M of equity, revealing how the asset base was financed. The near-term balance sheet paired $132.05M of current assets with $30.64M of current liabilities at the reporting date. The current ratio was 4.31x, with current assets exceeding current liabilities and providing a short-term liquidity cushion. Reported cash and equivalents were $10.71M, separating immediately recognizable cash resources from the rest of the current-asset base. Cash and equivalents represented 35.0% of current liabilities, showing the portion of near-term obligations matched by reported cash alone. Total debt was $57.33M, establishing the amount of borrowing carried within the company’s capital structure. The debt-to-equity relationship was 0.66x, showing how much debt the company carried for each unit of book equity. Debt represented 30.1% of total assets, placing borrowing in the context of the company’s full resource base. Relative to total assets, liabilities measured 54.2%, complementing the separate equity-based view of the company’s capital structure. The cash-to-assets relationship was 5.6%, comparing reported cash and equivalents with the full positive asset balance. Compared with $217.09M in fiscal 2024, the current asset base moved 12.2% and finished lower. Book equity was 22.6% lower than fiscal 2024 equity of $112.89M, showing how shareholder capital changed year over year. The reported cash balance changed 5.7% from $11.35M in fiscal 2024, ending lower year over year.

Cash Flow and Earnings Quality

The company reported an operating cash outflow of $15.97M, rather than cash generation from operations. Capital spending of $13.52M added to the period’s operating cash use, reinforcing the overall cash deficit after investment for the year. The company recorded a $29.49M cash deficit after capital spending for the period. Free-cash-flow margin was -13.9%, reflecting a cash deficit equal to 13.9% of revenue after capital spending. The free-cash-flow deficit equaled 15.5% of total assets, placing the cash shortfall against the company’s resource base.

Based on the annual report for the fiscal year ending Dec 31, 2025. Analysis generated Sep 24, 2026.