Brainsway continues to grow: revenues jumped by 35% and the annual forecast was raised
Brainsway finished the second quarter of 2026 with record results, reporting a 35% revenue increase to $17 million. Following these strong figures, the company has raised its annual guidance.
Brainsway finished the second quarter with improved performance and record results, and is raising its forecast for the year. The stock, which has already risen by 117% in the last 12 months, compared to a 35% rise in the TA-125 index, the representative index of the Tel Aviv Stock Exchange, added another 4% following the reports.
The company, managed by Hadar Levi, develops and markets medical equipment intended for the treatment of brain function disorders, and mainly mental disorders and addictions. The company finished the second quarter of 2026 with a 35% jump in revenues compared to the corresponding quarter in 2025, reaching a quarterly record of 17 million dollars. The growth in revenues also trickled down to the profit lines: the quarterly operating profit jumped from approximately 600 thousand dollars to 2.4 million dollars, and at the same time, the operating profitability rose from 5% to 14%. The adjusted EBITDA rose by 141% to 3.5 million dollars. As a result, the bottom line net profit rose by 34% to 2.7 million dollars.
Following the improvement, the company updated its forecast for the year upwards. Instead of an expected revenue of 66-68 million dollars, it is now preparing for revenues of 68-70 million dollars, an improvement of up to 34% compared to their volume in 2025. The lower bound of the adjusted EBITDA forecast was raised from 12 million dollars to 13 million dollars, while the upper bound of 14 million dollars remained unchanged.
The technology developed by the company is based on deep transcranial magnetic stimulation. The treatment, which is non-invasive, is performed using a helmet-like system placed on the patient's head that transmits magnetic pulses to the brain according to the desired treatment plan. Brainsway operates mainly in the USA, and last year received FDA (US Food and Drug Administration) approval for providing a shortened and accelerated series of treatments, which lasts only a few days, for patients suffering from Major Depressive Disorder (MDD, clinical depression), including those with accompanying anxiety symptoms. This is instead of a series of treatments lasting several weeks, as was required until then, and thus made the treatment using the Brainsway system more accessible. At the same time, it received approvals allowing it to provide the treatment to younger audiences as well.
After a long period of losses, Brainsway moved to a net profit in the fourth quarter of 2023, and since then it has maintained a streak of positive bottom lines. 2024 was the first full profitable year in its history, and in 2025 its performance even improved. The data for the first and second quarters of 2026 indicate a continuation of the trend. The company's performance did not go unnoticed by investors, and from a low value of 92 million shekels in May 2023, the company's value today has reached 1.9 billion shekels.
