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INTERIM REPORT TABLE OF CONTENTS I. INTERIM MANAGEMENT REPORT 2 II. INTERIM CONDENSED UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS MDXHEALTH SA 5 1. CONDENSED UNAUDITED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER C

Key Takeaway: I. INTERIM MANAGEMENT REPORT 2 II. INTERIM CONDENSED UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS MDXHEALTH SA 5 1. CONDENSED UNAUDITED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME 5 2. CONDENSED UNAUDITED CONSOLIDATED STATEMENT OF FINANCIAL POSITION

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I. INTERIM MANAGEMENT REPORT 2
II. INTERIM CONDENSED UNAUDITED CONSOLIDATED FINANCIAL STATEMENTS MDXHEALTH SA 5
1. CONDENSED UNAUDITED CONSOLIDATED STATEMENT OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME 5
2. CONDENSED UNAUDITED CONSOLIDATED STATEMENT OF FINANCIAL POSITION 6
3. CONDENSED UNAUDITED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY 7
4. CONDENSED UNAUDITED CONSOLIDATED STATEMENT OF CASH FLOWS 8
5. EXPLANATORY NOTES 9
III. CORPORATE INFORMATION 19
This Interim Report contains forward-looking statements
and estimates with respect to the anticipated future performance of MDxHealth SA and its wholly-owned subsidiaries (hereinafter "MDxHealth"
or the "Company") and the market in which it operates. Such statements and estimates are based on assumptions and assessments
of known and unknown risks, uncertainties and other factors, which were deemed reasonable but may not prove to be correct. Actual events
are difficult to predict, may depend upon factors that are beyond the company's control, and may turn out to be materially different.
Important factors that could cause actual results, conditions and events to differ materially from those indicated in the forward-looking
statements include, among others, the following: the Company's plans relating to commercializing its tests and related diagnostic
products and services (collectively "tests", "testing solutions" or "solutions") and the rate and
degree of market acceptance of its solutions; the size of the market opportunity for the Company's Confirm mdx, Select mdx, Resolve
mdx, Monitor mdx and Genomic Prostate Score ("GPS") tests and other future tests and solutions it may commercialize or develop;
the acceptance of the Company's testing solutions by healthcare providers; the willingness of health insurance companies and other
payers to cover the Company's testing solutions and adequately reimburse the Company for such solutions; the Company's plans
relating to the further development of testing solutions; existing regulations and regulatory developments in the United States, Europe
and other jurisdictions; the Company's ability to obtain and maintain regulatory approvals and comply with applicable regulations;
timing, progress and results of the Company's research and development programs; the period over which the Company estimates its
existing cash will be sufficient to fund future operating expenses and capital expenditure requirements; our ability to remain in compliance
with financial covenants made to and make scheduled payments to our creditors; the Company's ability to attract and retain qualified
employees and key personnel; the scope of protection the Company is able to establish and maintain for intellectual property rights covering
its testing solutions and technology; the Company's ability to operate its business without infringing the intellectual property
rights and proprietary technology of third parties; the possibility that the anticipated benefits from the Company's business acquisitions
will not be realized in full or at all or may take longer to realize than expected; costs associated with defending intellectual property
infringement, product liability and other claims; and uncertainties associated with global macroeconomic conditions. The risks included
above are not exhaustive. Other important risks and uncertainties are described in the Risk Factors section of the 2024 Annual Report
on Form 20-F and under the heading "Principal risks related to the business activities" in "Section I. Interim Management
Report" below. You are further cautioned not to place undue reliance upon any such forward-looking statements, which speak only
as of the date made. MDxHealth expressly disclaims any obligation to update any such forward-looking statements in this Interim Report
to reflect any change in its expectations with regard thereto or any change in events, conditions or circumstances on which any such statement
is based unless required by law or regulation. This Interim Report does not constitute an offer or invitation for the sale or purchase
of securities or assets of MDxHealth in any jurisdiction. No securities of MDxHealth may be offered or sold within the United States without
registration under the U.S. Securities Act of 1933, as amended, or in compliance with an exemption therefrom, and in accordance with any
applicable U.S. securities laws.
I. INTERIM MANAGEMENT REPORT
Key non-audited financials, as of June 30,
Key unaudited consolidated figures for the six
months ended June 30, 2025 and 2024 (thousands of U.S. dollars, except per share data):
For the six months ended June 30, 2025 June 30, 2024 $ Change % Change
Revenue 50,897 41,993 8,904 21 %
Gross Profit 33,071 25,349 7,722 30 %
Operating expenses (39,575 ) (39,371 ) (204 ) 1 %
Operating loss (6,504 ) (14,022 ) 7,518 (54 )%
Net loss (16,581 ) (20,039 ) 3,458 (17 )%
Basic and diluted loss per share (0.33 ) (0.73 ) 0.40 (55 )%
Revenue increased 21% to $50.9 million compared to $42.0 million for
the prior year. The revenue in the first six months of 2025 was comprised of 85% from tissue-based tests.
Gross profit increased 30% to $33.1 million compared to $25.3 million
for the prior year. Gross margins were 65% as compared to 60.4% for the prior year, an improvement of 4.6 percentage points.
Operating loss decreased 54% to $6.5 million compared to $14.0 million
for the prior year, driven by higher revenues and gross profit.
Net loss decreased 17% to $16.6 million compared
to $20.0 million for the prior year, primarily driven by the decrease in operating loss, partially offset by net non-cash fair value adjustments
Justification to continue using the accounting
rules on the basis of going concern
The Company has experienced net losses and significant
cash used in operating activities since its inception in 2003, and as of and for the period ended June 30, 2025, had an accumulated deficit
of $386.1 million, a net loss of $16.6 million, and net cash used in operating activities of $4.2 million. Management expects the Company
to continue to incur net losses and have significant cash outflows for at least the next twelve months.
While these conditions, among others, could raise
substantial doubt about its ability to continue as a going concern, these consolidated financial statements have been prepared assuming
that the Company will continue as a going concern. This basis of accounting contemplates the recovery of its assets and the satisfaction
of liabilities in the normal course of business. A successful transition to attaining profitable operations is dependent upon achieving
a level of positive cash flows adequate to support the Company's cost structure.
As of June 30, 2025, the Company had cash and
cash equivalents of $32.8 million. Taking into account the above financial situation and on the basis of the most recent business plan,
including the Company's expected ability to access additional cash through debt, equity, or other means, the Company believes that
it has sufficient cash to be able to continue its operations for at least the next twelve months from the date of issuance of these financial
statements, and accordingly has prepared the consolidated financial statements assuming that it will continue as a going concern. This
assessment is based on forecasts and projections within management's most recent business plan as well as the Company's expected
ability to maintain adequate levels of cash as required by certain financial covenants present in the OrbiMed Loan Facility (described
in Note 9), and to access additional cash through debt, equity or other means, for which at this moment, a material uncertainty exists
that casts doubt on the Company's ability to continue as a going concern.
Principal risks related to the business
MDxHealth operates in a rapidly changing environment
that involves a number of risks that could materially affect its business, financial condition or future results, some of which are beyond
the Company's control. In addition to the other information set forth in this section and elsewhere in this Interim Report, the
risks and uncertainties that the Company believes are most important for you to consider have been outlined in the 2024 Annual Report
on Form 20-F, which is available on the Securities and Exchange Commission's website as well as the Company's website at www.mdxhealth.com/investors/financials.
Our credit facility contains restrictions
that limit our flexibility in operating our business, and if we fail to comply with the covenants and other obligations under our credit
facility, the lenders may be able to accelerate amounts owed under the facility and may foreclose upon the assets securing our obligations.
2024, the Company entered into a $100 million Credit Agreement (the "Credit Agreement") with certain funds managed by OrbiMed
Advisors LLC ("OrbiMed"). The Company and OrbiMed entered into amendments to the Credit Agreement in July and August 2024,
pursuant to which certain financial covenants were amended and certain amendment fees became payable. The Credit Agreement provides for
a five-year senior secured credit facility in an aggregate principal amount of up to $100 million (the "Loan Facility"), of
which (i) $55 million was advanced on May 1, 2024, (ii) $25 million was advanced on March 10, 2025, and (iii) $20 million will be made
available, at the Company's discretion, on or prior to March 31, 2026, subject to certain net revenue requirements and other customary
conditions. All obligations under the credit agreement are secured by substantially all of the Company's assets, including intellectual
The Company is subject to a number of affirmative
and restrictive covenants pursuant to the Credit Agreement, which limit or restrict its ability to (subject to certain qualifications
and exceptions): create liens and encumbrances; incur additional indebtedness; merge, dissolve, liquidate or consolidate; make acquisitions,
investments, advances or loans; dispose of or transfer assets; pay dividends or make other payments in respect of their capital stock;
amend certain material documents; redeem or repurchase certain debt; engage in certain transactions with affiliates; enter into certain
restrictive agreements; and engage in certain other activities customary for a senior secured credit facility. In addition, if, for any
quarter beginning on June 30, 2025 and until the maturity date of the Loan Facility, the Company's net revenue does not meet certain
minimum amounts, then, subject to certain cure rights specified in the Credit Agreement, MDxHealth shall be required to begin to repay
the outstanding principal amount of the Loan Facility in equal monthly installments, together with accrued interest on the principal repaid
and a repayment premium and other fees, until the maturity date of the Loan Facility. In addition, the Company will be required to maintain
certain levels of unrestricted cash and cash equivalents during various time periods, including monthly assessments thereof, initially
at a minimum level of $20 million and subsequently reducing to a $5 million minimum level following the achievement of certain milestones,
as further described in the Credit Agreement filed as exhibit 4.1 to Form 6-K, dated May 1, 2024.
The Company's obligations under the Credit
Agreement are subject to acceleration upon the occurrence of an event of default (subject to applicable notice and grace periods). The
Company may also enter into other debt agreements in the future which may contain similar or more restrictive terms.
The Company's ability to remain in compliance
with financial covenants contained in the Credit Agreement, and to make scheduled payments required under the Credit Agreement depends
on numerous factors, including the Company's financial and operating performance, as well as its ability to secure additional operating
Last updated: Aug 14, 2025