Neuronetics, Inc. (NASDAQ: STIM) announced that Executive Vice President, Chief Financial Officer, and Treasurer Steven E. Pfanstiel will leave the company effective May 1, 2026, and will remain through the transition period to ensure an orderly handover of responsibilities.
Pfanstiel has overseen the company’s financial strategy and capital management during its transformation into a vertically integrated mental‑health platform. The board will appoint an interim CFO while a search for a permanent replacement continues.
The company’s most recent quarterly results, for the fourth quarter of 2025, showed revenue of $41.8 million—an 86% year‑over‑year increase and a 23% rise on an adjusted pro‑forma basis—thanks largely to $23.5 million of clinic revenue generated by the Greenbrook acquisition. However, earnings per share were –$0.10, missing the consensus estimate of –$0.09, and gross margin fell to 52.0% from 66.2% in Q4 2024, reflecting the lower‑margin clinic business that was added through the acquisition.
The Greenbrook acquisition has accelerated revenue growth but compressed margins. While the acquisition added $23.5 million in clinic revenue, the clinic’s lower operating margin dragged the overall gross margin down to 52.0% in Q4 2025 from 66.2% in the prior year. For the full year 2025, gross margin was 45.9% versus 72.3% in 2024, underscoring the integration cost of the new business unit.
Neuronetics is pursuing a cost‑optimization program that includes a workforce reduction of up to 5% of employees, projected to generate annualized savings of $2.5 million to $3.0 million. The company also continues to focus on improving operational efficiency across both the Greenbrook clinic network and its core NeuroStar Advanced Therapy System.
Management reaffirmed its fiscal‑year 2026 revenue guidance of $160 million to $166 million, signaling confidence in the company’s growth trajectory despite the CFO transition and ongoing integration challenges. The guidance reflects expectations of continued revenue acceleration from the expanded clinic network and the NeuroStar platform, while acknowledging margin compression as a short‑term effect of the acquisition.
The leadership transition extends beyond the CFO. In March 2026, the board appointed Dan Reuvers as President and CEO, effective March 23, 2026. "After a comprehensive search, the Board is pleased to appoint Dan Reuvers as our next President and CEO," said Rob Cascella, Neuronetics' Chairman of the Board. "Dan is a proven public company CEO with more than three decades of experience building and scaling medical technology businesses. His passion for meaningfully impacting underserved patient populations, combined with his demonstrated track record of delivering profitable growth, make him the ideal leader to drive the next stage of growth for the Company."
Investors reacted cautiously to the CFO announcement, citing concerns about the company’s negative EBITDA and cash burn rate, while the reaffirmation of guidance provided some reassurance. "Our third quarter results reflect continued progress as we integrate and optimize our combined operations," said Keith Sullivan, President and Chief Executive Officer of Neuronetics. "We are finding opportunities to improve efficiency across both the Greenbrook clinic network and NeuroStar business, taking advantage of our combined scale, which is driving meaningful progress toward cash flow positivity."
The CFO departure is part of a broader leadership realignment aimed at supporting Neuronetics’ strategy to become a fully integrated mental‑health platform. With a new CEO at the helm and a clear focus on cost optimization and margin improvement, the company remains positioned to capitalize on the growth opportunities created by the Greenbrook acquisition while addressing the short‑term financial headwinds that accompany such a transformation.
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