Dynatronics Corporation (DYNT): History, Ownership, Mission, How It Works & Makes Money

How does a long-standing medical device player like Dynatronics Corporation (DYNT) navigate the competitive physical therapy and rehabilitation market, especially with a market capitalization of just over $760 thousand as of late 2025? This company, founded in 1979, is a key provider of therapeutic modalities and orthopedic soft goods, but its latest annual report shows the stark reality of a challenging environment, with fiscal year 2025 net sales dropping to $27.39 million and a net loss of over $10.9 million, including a substantial goodwill impairment charge. You need to understand the mechanics of this business-its core mission, its ownership, and how it makes money-to gauge if its restorative products can finally restore its financial health.

Dynatronics Corporation (DYNT) History

You're looking for the foundational story of Dynatronics Corporation, and honestly, it's a classic tale of a small company evolving through strategic pivots in the medical device sector. The direct takeaway is that Dynatronics started as a family-led technology firm in 1979, but its current form is the result of a series of major acquisitions and a recent, sharp refocusing effort to navigate a challenging market, especially after a tough fiscal year 2025.

Given Company's Founding Timeline

Year established

The company's predecessor, Dynatronics Research Company, was established in 1979, stepping into the burgeoning market for physical medicine devices.

Original location

Operations began near Salt Lake City, Utah, an area that supported its early growth in the medical technology space.

Founding team members

Kelvyn H. Cullimore Jr. and his father founded the company, with Mr. Cullimore Jr. serving as the driving force and holding the President and CEO roles for many years, beginning in 1992.

Initial capital/funding

Specific details on the initial seed capital are not widely documented. However, the company quickly pursued growth capital, notably through its Initial Public Offering (IPO) in 1983, just four years after its founding.

Given Company's Evolution Milestones

Given Company's Transformative Moments

Dynatronics's trajectory has been shaped by three major strategic shifts: going public early, a period of aggressive acquisitions, and a recent, necessary contraction. The decision to go public in 1983, so early in its life, was defintely a pivotal moment, securing crucial growth capital for early product development.

The mid-2010s marked a transformative acquisition phase, driven by the partnership with Provco Group LLC and Prettybrook Partners in 2015. This capital injection allowed for the purchases of Bird & Cronin, Inc. and Hausmann Industries, which fundamentally changed the company from a device manufacturer to a comprehensive provider of therapeutic equipment and soft goods.

The most recent shift, however, reflects market pressures. The company has had to focus its efforts, especially as its fiscal year 2025 results showed a significant downturn. Net sales for the fiscal year ended June 30, 2025, dropped to $27,393,000, a decrease of 15.8% from the prior year, leading to a net loss attributable to common stockholders of $11,604,000. This financial reality forces a clear focus on core, profitable segments.

• Early Capitalization: The 1983 IPO established a public market presence and funded initial expansion.
• Product Diversification: The 2015-2017 acquisitions broadened their market exposure from electrotherapy devices to a full suite of orthopedic and rehabilitation products.
• Operational Streamlining: The 2021 divestiture was a move to improve capital efficiency and concentrate on the most promising product categories.
• Financial Headwinds: The 2025 fiscal year highlighted the need for operational efficiency, with total assets dropping to $15.43 million as of June 30, 2025, from $25.94 million in 2024.

To be fair, the company's ability to adapt over four decades, from a small Utah technology firm to a multi-brand distributor, is a sign of resilience, but the near-term focus is clearly on stabilizing the balance sheet. You can dive deeper into the current ownership structure and market positioning here: Exploring Dynatronics Corporation (DYNT) Investor Profile: Who's Buying and Why?

Dynatronics Corporation (DYNT) Ownership Structure

Dynatronics Corporation's ownership structure is unusual for a public company, characterized by a high concentration of shares held by insiders and private equity/venture capital, meaning a small group of stakeholders holds significant voting power over its strategic direction.

Dynatronics Corporation's Current Status

Dynatronics Corporation (DYNT) is a publicly traded company, but it is not listed on a major exchange. It trades on the OTCQB Venture Market (OTC Markets), a tier for entrepreneurial and development stage companies. This shift occurred after the company transitioned from the NASDAQ in June 2024. The stock's market capitalization is extremely low, hovering around $640.1K as of November 17, 2025, which reflects the financial challenges outlined in its fiscal year 2025 report, including a net loss attributable to common stockholders of $11,604,000.

The company's small size and trading venue mean the stock can be illiquid and volatile. This structure makes the company highly susceptible to the influence of its largest shareholders. You need to understand this control before making any investment or strategic decisions. The company's focus remains on physical therapy, rehabilitation, and pain management products. For a deeper dive into their long-term strategy, you should review their Mission Statement, Vision, & Core Values of Dynatronics Corporation (DYNT).

Dynatronics Corporation's Ownership Breakdown

As of the 2025 fiscal year, the ownership is heavily skewed toward insiders and strategic investors, which is typical for a micro-cap stock facing operational headwinds. The high insider percentage, in particular, gives the management team and board significant control over voting matters, including the election of directors and major corporate actions.

Here's the quick math: Insiders and strategic investors collectively control over 53% of the company. That level of concentration means management decisions are rarely challenged by the public float.

Dynatronics Corporation's Leadership

The current leadership team is a lean group focused on navigating the company's financial turnaround following a challenging fiscal year 2025, where net sales declined to $27,393,000. The executive team is notably small, with the CEO also holding the CFO role, a common structure in smaller companies looking to reduce Selling, General, and Administrative (SG&A) expenses, which were reduced to $8,464,000 in 2025.

• Brian Baker: Chief Executive Officer (CEO) and Chief Financial Officer (CFO). He handles both the strategic and financial steering of the company.
• Ryan Staats: Chief Operating Officer (COO). He oversees the day-to-day operations and supply chain, having been appointed to this role in May 2025.
• Mike Withers: Chief Information Officer & Human Resources Leader. He manages the company's technology infrastructure and human capital.
• Erin Enright: Independent Chairman of the Board. As Chairman, she leads the board of directors, providing oversight from an independent perspective.

The dual role of CEO and CFO for Brian Baker is a key risk factor; a single person controls both the operational strategy and the financial reporting, which can strain internal controls. Still, it saves money.

Dynatronics Corporation (DYNT) Mission and Values

Dynatronics Corporation's mission centers on accelerating patient recovery by providing specialized, high-quality restorative medical devices, a purpose that remains critical even as the company navigates significant financial headwinds.

You see a company whose core values are tested when the bottom line is under pressure; for the fiscal year 2025, Dynatronics reported a net loss of $10,902,000, a sharp increase from the previous year, so their commitment to quality over profit is defintely under the microscope. Breaking Down Dynatronics Corporation (DYNT) Financial Health: Key Insights for Investors

Dynatronics Corporation's Core Purpose

The company's core purpose is rooted in the rehabilitation and physical therapy markets, focusing on products that directly improve patient outcomes. This focus on restorative health is the cultural DNA that guides product development and market strategy.

Here's the quick math: Dynatronics' net sales for the fiscal year 2025 were $27,393,000, with $15.15 million coming from Physical Therapy and Rehabilitation Products, showing where their commitment is most heavily invested.

Official Mission Statement

Dynatronics Corporation defines its mission clearly, positioning itself as a key player in the medical device space committed to quality and health acceleration. This is a plain English statement-no corporate fluff here.

• Be a leading medical device company.
• Provide high-quality restorative products.
• Accelerate achieving optimal health for patients.

Vision Statement

While a single, formal vision statement isn't always public, the company's long-term aspiration is to be the recognized leader in restorative product innovation, driving better patient outcomes across diverse clinical settings. This vision is supported by their strategy to focus on innovation and quality to support healthcare professionals.

Their vision is about expanding their influence through trusted brands like Bird & Cronin and Hausmann, and honestly, the goal is to stabilize their finances to fund that innovation. Their gross profit for FY 2025 was $6,011,000, representing 21.9% of net sales, which shows the tight margin they are working with to invest in the future.

Dynatronics Corporation Slogan/Tagline

Dynatronics uses a powerful, action-oriented phrase to capture its competitive spirit and commitment to its market niche, which they call 'The Dynatronics Difference.'

• Doing what others won't do.

That one-liner tells you everything you need to know about their approach to product development and market differentiation. It's a bold statement for a company that reported a net loss attributable to common stockholders of $11,604,000 for the fiscal year, but still, it frames their long-term aspiration.

Dynatronics Corporation (DYNT) How It Works

Dynatronics Corporation operates as a specialized medical device company, designing, manufacturing, and selling a broad portfolio of restorative products used primarily in physical therapy, rehabilitation, and pain management settings. The company makes money by selling its proprietary products-like therapeutic modalities and orthopedic bracing-to a network of healthcare practitioners and institutions across the United States.

In the fiscal year 2025, the company's net sales were $27,393,000, a 15.8% decrease from the prior year, signaling a tough market, but still showing where their core revenue lies: $15.15 million from Physical Therapy and Rehabilitation Products and $12.14 million from Orthopedic Soft Bracing Products. To be fair, a net loss of $10,902,000 shows the immediate challenge you'd need to map out. Exploring Dynatronics Corporation (DYNT) Investor Profile: Who's Buying and Why?

Dynatronics Corporation's Product/Service Portfolio

Dynatronics Corporation's Operational Framework

The company's operational model centers on a hybrid approach to manufacturing and a focused distribution strategy to reach its specialized customer base. They have manufacturing facilities in Northvale, New Jersey, Eagan, Minnesota, and Cottonwood Heights, Utah, which is defintely a key asset.

Value creation is driven by controlling the product life cycle from design to delivery, but they still rely on third-party suppliers for custom components and raw materials. Here's the quick math on their cost control: they reduced Selling, General, and Administrative (SG&A) expenses by 14.6% in FY 2025 to $8,464,000, showing a clear effort to streamline operations amidst falling revenue. Still, gross profit dropped to $6,011,000, or 21.9% of sales. This tells you the problem is revenue volume and cost of goods, not just overhead.

• Manufacture products in-house at three US facilities.
• Source custom components from third-party suppliers.
• Distribute through a network of over 300 independent dealers and direct sales representatives.
• Transitioning production of therapeutic modalities from contract manufacturers to internal operations to reduce costs and enhance quality control.

Dynatronics Corporation's Strategic Advantages

In a competitive medical device market, Dynatronics' primary strategic advantage is its established presence and portfolio of trusted, high-quality brands that practitioners already know and rely on. This is critical because in medical equipment, brand recognition translates directly to perceived reliability and lower sales friction.

However, the near-term risk is real; the company has disclosed 'substantial doubt' about its ability to continue as a going concern due to recurring operating losses and negative cash flows. So, their strategic actions are now survival-focused:

• Brand Equity: Leveraging well-known industry brands like Bird & Cronin and Hausmann to maintain market share against larger competitors.
• Customer Focus: Differentiating through superior customer care and reliable, on-time product delivery, which is essential for busy clinics and hospitals.
• Cost Realignment: Implementing cost reduction initiatives and streamlining operational processes to improve the gross profit margin, which was 21.9% in FY 2025.
• Acquisition Strategy: Actively pursuing an acquisition strategy to consolidate smaller manufacturers in its core physical therapy and rehabilitation markets, aiming for immediate scale and new revenue streams.

Dynatronics Corporation (DYNT) How It Makes Money

Dynatronics Corporation generates its revenue by manufacturing and selling specialized medical devices and supplies used in physical therapy, rehabilitation, and pain management. The company primarily makes money through the sale of its Physical Therapy and Rehabilitation Products and its Orthopedic Soft Bracing Products to clinics, hospitals, and Original Equipment Manufacturer (OEM) customers.

Dynatronics Corporation's Revenue Breakdown

For the fiscal year ended June 30, 2025, Dynatronics reported total net sales of $27,393,000, a significant decrease of 15.8% from the prior year. This revenue is segmented across three primary streams:

The core of the business is in the Physical Therapy and Rehabilitation Products, which brought in approximately $15.15 million, while the Orthopedic Soft Bracing segment contributed about $12.14 million in sales. The overall decrease in revenue was largely tied to reduced volume from OEM customers and a general drop in demand for soft bracing products. That's a tough environment to navigate.

Business Economics

The economic fundamentals of Dynatronics are currently defined by a challenging demand environment and a strategic shift in its operating model to counter rising costs and declining sales. The gross profit margin for FY 2025 fell to 21.9% of net sales, down from 23.5% in the prior year, indicating pricing pressure, higher input costs, or a less favorable product mix.

Here's the quick math on their cost structure and strategy:

• Pricing Power: The gross margin contraction suggests limited pricing power in the face of competitive pressures and a general reduction in demand, particularly for the orthopedic soft bracing category.
• Cost Control: Despite the revenue drop, the company reduced Selling, General, and Administrative (SG&A) expenses by 14.6% to $8,464,000, primarily through cuts in salaries and professional fees. This shows a defintely necessary focus on operational efficiency.
• Operational Shift: A key strategic action is moving the production of most therapeutic modalities from a contract manufacturer to internal, in-house operations. This aims to eliminate third-party markups, which should improve the cost of goods sold (COGS) and, consequently, the gross margin over the long term.

The reliance on OEM customers for a portion of the business introduces volatility, as a reduction in their order volume-as seen in FY 2025-can immediately and significantly impact the top line. For a deeper dive into the company's long-term vision, you can review their Mission Statement, Vision, & Core Values of Dynatronics Corporation (DYNT).

Dynatronics Corporation's Financial Performance

The financial health indicators for Dynatronics Corporation as of the end of the 2025 fiscal year reflect significant operational and financial stress. The company's net sales were $27,393,000, but the year concluded with a substantial net loss of $10,902,000.

Key metrics for the fiscal year ended June 30, 2025:

• Net Loss: The net loss of $10,902,000 was a drastic increase from the previous year, largely driven by non-cash impairment charges.
• Impairment Charges: The loss included a significant $7,117,000 in goodwill impairment charges and $950,000 in intangible impairment charges, which are non-cash write-downs reflecting a reassessment of the value of past acquisitions and assets.
• Liquidity: Working capital stood at just $718,000, down from $2,853,000 in 2024, and the current ratio decreased to 1.1 to 1. This tight liquidity profile is why the company's auditor raised a "going concern" doubt.

What this estimate hides is the true cash burn rate, which is less than the net loss due to the non-cash impairment charges, but the low working capital and current ratio still point to immediate cash flow challenges. The next step for any analyst is to track the success of the internal production transition to see if it can materially improve the 21.9% gross margin.

Dynatronics Corporation (DYNT) Market Position & Future Outlook

Dynatronics Corporation is in a critical transition, facing significant financial headwinds despite operating in a growing market. The company reported a challenging fiscal year 2025 (FY 2025) with Net Sales declining 15.8% to $27.39 million and a substantial Net Loss of $10.90 million, which included goodwill and intangible asset impairment charges. The immediate outlook hinges on the success of its strategic initiatives to restore profitability and address the 'Going Concern' doubt raised by its auditor.

Competitive Landscape

In the highly fragmented US physical therapy equipment market, which was valued at approximately $3.58 billion in 2024, Dynatronics is a small, specialized player. Its core strength lies in its established, trusted brands like Hausmann and Bird & Cronin, which provide a comprehensive range of traditional restorative products, but it struggles against larger, more technologically advanced competitors.

Opportunities & Challenges

You need to see the clear map of where the company can win and where it can lose. The global physiotherapy equipment market is projected to reach $22.37 billion in 2025, expanding at a 6.79% Compound Annual Growth Rate (CAGR) through 2030, so the macro environment is defintely favorable. Dynatronics' challenge is to capture this growth while stabilizing its core business.

Industry Position

Dynatronics is positioned as a niche, traditional manufacturer within the broader medical device and rehabilitation sector. Its competitive edge is focused on the reliability of its legacy brands and a strong distribution channel to physical therapy clinics and athletic training centers.

• Core Focus: Manufacturing and distributing restorative products like orthopedic soft bracing, treatment tables, and therapeutic modalities.
• Financial Reality: The company's small scale (Market Cap of only $576K as of October 2025) limits its ability to invest heavily in the high-cost, high-tech areas like surgical robotics, which is where competitors like Globus Medical are seeing their fastest growth.
• Strategic Move: Management's focus on cost control, evidenced by a 14.6% reduction in Selling, General, and Administrative (SG&A) expenses in FY 2025, is a necessary step to stop the bleeding.

The company must execute flawlessly on its new, higher-margin product lines to leverage its existing customer base. To dig deeper into the company's backing, you should read Exploring Dynatronics Corporation (DYNT) Investor Profile: Who's Buying and Why?