Neuronetics Reports Fourth Quarter and Full Year 2024 Financial and Operating Results MALVERN, PA.

Neuronetics Reports Fourth Quarter and Full Year 2024 Financial and Operating Results

MALVERN, PA., March 4, 2025 Neuronetics, Inc. (NASDAQ: STIM) (the Company or Neuronetics ) a vertically integrated,

commercial stage, medical technology and healthcare company with a strategic vision of transforming the lives of patients whenever and wherever they need help, with the leading neurohealth therapies in the world, today announced its financial and

operating results for the fourth quarter and full year of 2024.

Fourth Quarter 2024 Highlights

Full Year 2024 Highlights

Recent Operational Highlights

2024 was a defining year for Neuronetics as we ve strategically transformed our business model and market

position, said Keith J. Sullivan, President and Chief Executive Officer of Neuronetics. By expanding our Better Me Provider network and acquiring Greenbrook, we ve created an unparalleled TMS treatment platform while rapidly

improving our financial position.

Keith J. Sullivan continued, The early results speak for themselves Better Me Provider

( BMP ) participants are treating more patients than non-participants as a result of complying with our five patient responsiveness standards. As we apply these proven methods across our expanded

network and execute on our Greenbrook integration, we re building momentum toward our dual objectives of double-digit revenue growth for the year and becoming cash flow positive in Q3 2025. Neuronetics now stands as the clear leader in TMS

therapy, uniquely positioned to expand mental health access while delivering shareholder value through operational excellence and sustainable growth.

Fourth Quarter 2024 Financial and Operating Results for the Three Months Ended December 31, 2024

These results reflect Neuronetics standalone performance through December 8, 2024, and combined performance with Greenbrook TMS for the

remainder of the year.

Total revenue for the three months ended December 31, 2024 was $22.5 million, an increase of 11% compared to the

revenue of $20.3 million in the fourth quarter of 2023. During the quarter, total U.S. revenue increased by 9% and international revenue increased by 93% over the fourth quarter of 2023. The increase in U.S. revenue was primarily attributable

to U.S. clinic revenue, added as a result of the acquisition of Greenbrook.

U.S. NeuroStar Advanced Therapy System revenue for the three months ended December 31, 2024 was $3.8 million, a

decrease of 15% compared to $4.5 million in the fourth quarter of 2023. For the three months ended December 31, 2024, and 2023, the Company shipped 46 and 59 systems, respectively. While the number of systems decreased, the average selling

price per system increased by 6%.

U.S. treatment session revenue for the three months ended December 31, 2024 was $12.9 million, a decrease of

14% compared to $14.9 million in the fourth quarter of 2023.The decline was primarily driven by the elimination of $1.1million in treatment session revenue to Greenbrook subsequent to the acquisition U.S. clinic revenue, which represents

revenue generated by Greenbrook, was $4.4 million for the three months ended December 31, 2024.

U.S. clinic revenue, which represents revenue

generated by Greenbrook, was $4.4 million for the three months ended December 31, 2024.

Gross margin for the fourth quarter of 2024 was 66.2%,

a decrease of approximately 1,140 basis points from the fourth quarter of 2023 gross margin of 77.6%. The decrease in gross margin was primarily a result of the inclusion of Greenbrook s clinic business and reduction in Treatment session

Operating expenses during the fourth quarter of 2024 were $25.8 million, an increase of $5.6 million, or 28%, compared to

$20.2 million in the fourth quarter of 2023, mainly attributable to professional fees incurred related to the Greenbrook acquisition, and the inclusion of Greenbrook s expenses subsequent to the acquisition.

Net loss for the fourth quarter of 2024 was $(12.2) million, or $(0.33) per share, as compared to $(5.4) million, or $(0.19) per share, in the fourth quarter

of 2023. Net loss per share was based on 36,673,505 and 29,048,367 weighted average common shares outstanding for the fourth quarters of 2024 and 2023, respectively.

Adjusted EBITDA excludes certain adjustments, including acquisition related expenses, software impairment,

loss on extinguishment of debt and inventory impairment, to provide a more accurate reflection of the company s core operational performance. Adjusted EBITDA for the fourth quarter of 2024 was $0.1 million as compared to the fourth quarter

of 2023 Adjusted EBITDA of $(3.0) million. See the accompanying financial table that reconciles Adjusted EBITDA, which is a non-GAAP financial measure, to net loss.

Full year Financial and Operating Results

reflect Neuronetics standalone performance through December 8, 2024, and combined performance with Greenbrook TMS for the remainder of the year.

Total revenue increased by $3.6 million or 5%, from $71.3 million of the year ended December 31, 2023 to

$74.9 million for the year ended December 31, 2024. For the year ended December 31, 2024, U.S. revenue increased by 5% and international revenue increased by 19% over the comparative prior year period. The U.S. revenue growth was

primarily due to the addition of U.S. clinic revenue and the international revenue growth was primarily driven by an increase in NeuroStar Advanced Therapy System revenue.

U.S. NeuroStar Advanced Therapy System revenue decreased by $1.2 million or 7%, in the year ended December 31, 2024

compared to the year ended December 31, 2023. For the periods ended December 31, 2024 and 2023, the Company shipped 185 and 205 systems, respectively.

U.S. treatment session revenues were essentially flat compared to the year ended December 31, 2023.

U.S. clinic revenue, which represents revenue generated by Greenbrook, was $4.4 million.

Gross margin for the full year 2024 was 72.3%, a decrease of approximately 20 basis points from the full year 2023 gross margin of 72.5%.

Operating expenses during the full year 2024 were $88.2 million, an increase of $5.9 million, or 7% compared to $82.3 million in the full year

2023. The increase was mainly attributable to professional fees incurred related to the Greenbrook acquisition, and the inclusion of Greenbrook s expenses subsequent to the acquisition.

Net loss for the full year 2024 was $(43.2) million, or $(1.37) per share, as compared to full year 2023 net

loss of $(30.2) million, or $(1.05) per share. Net loss per share was based on 31,626,135 and 28,657,819 weighted-average common shares outstanding for the years ended 2024 and 2023, respectively. There were 55,679,501 shares outstanding as of

Adjusted EBITDA excludes certain adjustments, including acquisition related expenses, software impairment, loss on extinguishment

of debt and inventory impairment, to provide a more accurate reflection of the company s core operational performance. For the full year 2024, Adjusted EBITDA was $(21.4) million compared to $(21.0) million for the full year 2023. See the

accompanying financial table that reconciles Adjusted EBITDA, which is a non-GAAP financial measure, to net loss.

Cash and cash equivalents were $18.5 million as of December 31, 2024. This compares to cash and cash equivalents of $59.7 million as of

Neuronetics and Greenbrook TMS Transaction Closed

Effective as of December 9, 2024, Neuronetics successfully completed its acquisition of Greenbrook TMS Inc., creating a transformative combination in

mental health therapy delivery. The transaction united Neuronetics NeuroStar technology platform with Greenbrook s network of 95 treatment clinics across the United States. Concurrent with closing, Neuronetics secured an additional

$10 million tranche from its Perceptive credit facility to support the combined enterprise operations. The integration planning teams have already made significant progress in implementing strategic initiatives aimed at driving profitable

growth and recognizing operational cost synergies, of which the actions to realize over $21 million of the targeted $22 million in expected annualized cost synergies have been executed. The remaining synergies are expected to be fully

acted upon and captured during 2025.

FDA Clearance as a First-Line Add-On Treatment for Adolescents with

In March 2024, Neuronetics received U.S. Food and Drug Administration ( FDA ) clearance for its NeuroStar Advanced Therapy as the

first and only transcranial magnetic stimulation ( TMS ) treatment cleared as a first line, adjunct for major depressive disorder ( MDD ) in adolescents aged 15-21. The FDA clearance was

supported by real-world data from the Company s TrakStar database showing 78% of adolescent patients treated with NeuroStar achieved clinically meaningful improvement in their depression severity. This clearance opened up a new treatment option

for the large adolescent MDD patient population that had extremely limited FDA-approved treatment options available previously. With the addition of the adolescent indication, Neuronetics total

addressable market for MDD increased by approximately 35% to 29.3 million patients.

Strategic Financing Strengthens Balance Sheet

Subsequent to quarter end, Neuronetics successfully completed an $18.9 million public offering of common stock, strengthening the Company s financial

position and providing additional flexibility to execute on key growth initiatives. This financing enhances the Company s ability to potentially accelerate high-return programs such as the SPRAVATO buy-and-bill expansion, accelerate BMP implementation across the broader network, and enhance capabilities - all while maintaining the Company s projected timeline to be cash flow positive in the third

quarter of 2025, the Company expects total worldwide revenue between $28.0 million and $30.0 million.

For the full year 2025, the Company

expects total worldwide revenue to be between $145.0 million and $155.0 million.

For the full year 2025, the Company expects gross margin to be

For the full year 2025, the Company expects total operating expenses to be between $90.0 million and

Webcast and Conference Call Information

Neuronetics management team will host a conference call on March 4, 2025, beginning at 8:30 a.m. Eastern Time.

The conference call will be broadcast live in listen-only mode via webcast at https://edge.media-server.com/mmc/p/a3eb5opb. To listen to the conference

call on your telephone, you may register for the call here. While it is not required, it is recommended you join 10 minutes prior to the event start.

Neuronetics, Inc. believes that mental

health is as important as physical health. As a global leader in neuroscience, Neuronetics is delivering more treatment options to patients and physicians by offering exceptional in-office treatments that

produce extraordinary results. NeuroStar Advanced Therapy ( NeuroStar Therapy ) is a non-drug, noninvasive treatment that can improve the quality of life for people suffering from neurohealth

conditions when traditional medication has not helped. In addition to selling the NeuroStar Advanced Therapy System (the NeuroStar System ) and associated treatment sessions to customers, Neuronetics operates Greenbrook TMS Inc.

( Greenbrook ) treatment centers across the United States, offering NeuroStar Therapy for the treatment of MDD and other mental health disorders.

NeuroStar Therapy is indicated for the treatment of depressive episodes and for decreasing anxiety symptoms for those who may exhibit comorbid anxiety

symptoms in adult patients suffering from MDD and who failed to achieve satisfactory improvement from previous antidepressant medication treatment in the current episode. It is also cleared by the U.S. Food and Drug Administration, as an adjunct for

adults with obsessive-compulsive disorder and for adolescent patients aged 15 to 21 with MDD. Neuronetics is committed to transforming lives by offering an exceptional treatment that produces extraordinary results.

Safe harbor statement under the Private Securities Litigation Reform Act of 1995:

Certain statements in this press release, including the documents incorporated by reference herein, include forward-looking statements within the

meaning of Section 27A of the Securities Act of 1933, as amended (the Securities Act ), Section 21E of the Securities Exchange Act of 1934, as amended, which are intended to be covered by the safe harbors created by those laws

and other applicable laws and forward-looking information within the meaning of applicable Canadian securities laws. Statements in this press release that are not historical facts constitute forward-looking statements within

the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may be identified by terms such as outlook, potential, believe, expect, plan,

anticipate, predict, may, will, could, would and should as well as the negative of these terms and similar expressions. These statements are subject to significant

risks and uncertainties and actual results could differ materially from those projected. The Company cautions investors not to place undue reliance on the forward-looking statements contained in this press release. These risks and uncertainties

include, without limitation, risks and uncertainties related to: the effect of the transaction with Greenbrook, on the Company s business relationships, operating results and business generally; the Company s ability to execute its

business strategy; the Company s ability to achieve or sustain profitable operations due to its history of losses; the Company s ability to successfully complete the announced restructuring plans; the Company s reliance on the sale