Profound Medical Corp. (PROF): History, Ownership, Mission, How It Works & Makes Money

Ever wondered about the innovative companies revolutionizing medical treatments? Profound Medical Corp. (PROF) is one such company, making waves with its incision-free therapies. With a market cap of $139 million and a stock price of $4.64 as of April 11, 2025, Profound Medical is focused on developing and marketing customizable solutions for ablating diseased tissue using MRI-guided ultrasound. How exactly does Profound Medical operate, and what makes its approach unique? Keep reading to find out about its history, ownership structure, mission, and how it generates revenue.

Profound Medical Corp. (PROF) History

Profound Medical Corp.'s Founding Timeline

Year established

The company was established in 2008.

Original location

The company is headquartered in Mississauga, Ontario, Canada.

Founding team members

While specific founding team members are not readily available, the company has been led by key executives who have shaped its direction and growth. As of April 2025, Arun Menawat serves as the Chief Executive Officer.

Initial capital/funding

Information regarding the initial capital and funding of the company is not available in the provided search results.

Profound Medical Corp.'s Evolution Milestones

Profound Medical Corp.'s Transformative Moments

The company has experienced several transformative moments that have significantly shaped its trajectory:

• FDA Clearance of TULSA-PRO®: Receiving FDA clearance for the TULSA-PRO® system was a pivotal moment, enabling the company to enter the U.S. market and marking a major milestone in its commercialization efforts.
• Positive Clinical Trial Data: The publication of favorable clinical trial data for TULSA-PRO® played a crucial role in building confidence among healthcare professionals and patients, driving adoption and market acceptance.
• Strategic Partnerships: Forming strategic partnerships with key healthcare providers and institutions has expanded the company's reach and facilitated the integration of TULSA-PRO® into standard clinical practice.

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Profound Medical Corp. (PROF) Ownership Structure

Profound Medical Corp. features a mixed ownership structure comprising institutional and retail investors, influencing its governance and strategic direction.

Profound Medical Corp.'s Current Status

Profound Medical Corp. is a public company, trading on the NASDAQ and the Toronto Stock Exchange (TSX) under the ticker symbol PROF. This status allows it to raise capital through public offerings and subjects it to regulatory oversight, ensuring transparency and accountability to shareholders.

Profound Medical Corp.'s Ownership Breakdown

The ownership of Profound Medical Corp. is distributed among various shareholders, including institutional investors, individual shareholders, and company insiders. The following table provides an overview of the ownership breakdown:

Profound Medical Corp.'s Leadership

Profound Medical Corp. is guided by a team of experienced leaders who oversee the company's strategic direction and operations. Key members of the leadership team include:

• Arun Menawat, Ph.D., MBA: Chief Executive Officer
• Ravi Yalamanchi, MBA: Chief Financial Officer
• Jean-Michel Picher, P.Eng.: Chief Technology Officer

For more insights into the values and goals that drive the company, explore Mission Statement, Vision, & Core Values of Profound Medical Corp. (PROF).

Profound Medical Corp. (PROF) Mission and Values

Profound Medical Corp. is dedicated to transforming the standard of care in tissue ablation through precision and safety, ensuring patients have access to effective treatments that allow them to quickly resume their daily lives.

Profound Medical Corp.'s Core Purpose

Official mission statement

The company's mission is to profoundly change the standard of care by creating a tomorrow where clinicians can confidently ablate tissue with precision; a tomorrow where patients have access to safe and effective treatment options, so they can quickly return to their daily lives.

• The Profound Medical team is committed to the effort to achieve a new therapeutic standard in prostate cancer.
• For the millions of men currently living with prostate cancer, and the thousands more who are diagnosed with it every year, current treatment options often mean having to make difficult choices based on potential side effects that can significantly impact quality of life.
• The company aspires to develop healthy, resilient communities through its dedication to social, economic, and environmental sustainability.

Vision statement

While a specific 'vision statement' is not explicitly provided, inferences from various sources point to a vision of leading the way in customizable, incision-free therapies. This vision includes leveraging existing imaging infrastructure to position itself as a leader in the medical devices and instruments industry.

• Creating a total magnetic resonance (MR) solution to support the Modern Treatment Pathway that allows for more accurate and precise prostate disease diagnosis.
• Expanding physician and patient access to the TULSA procedure.

Company slogan/tagline

• Unleashing the Benefit of Precision and Accuracy.

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Profound Medical Corp. (PROF) How It Works

Profound Medical Corp. focuses on developing and commercializing innovative, incision-free therapies that precisely ablate diseased tissue while preserving healthy tissue, aiming to improve the standard of care for patients.

Profound Medical Corp.'s Product/Service Portfolio

Profound Medical Corp.'s Operational Framework

Profound Medical operates through a focused strategy centered on the development, clinical validation, and commercialization of its two core technology platforms: TULSA-PRO and Sonalleve. The company's operational framework includes:

• Research and Development: Continuous investment in improving the precision and expanding the applications of TULSA-PRO and Sonalleve.
• Clinical Trials: Conducting clinical trials to demonstrate the safety and efficacy of its technologies and to secure regulatory approvals.
• Regulatory Approvals: Obtaining regulatory approvals from bodies such as the FDA in the United States and other international regulatory agencies to market and sell its products.
• Manufacturing: Overseeing the manufacturing of its systems and related disposables, ensuring quality and reliability.
• Commercialization: Marketing and selling TULSA-PRO and Sonalleve systems to hospitals, clinics, and medical professionals. This includes training and support for users.
• Reimbursement: Working to secure reimbursement coverage from insurance providers to ensure patient access to its therapies.

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Profound Medical Corp.'s Strategic Advantages

Profound Medical's strategic advantages stem from its innovative technology and unique market positioning:

• Minimally Invasive Procedures: TULSA-PRO offers a less invasive alternative to traditional prostate cancer treatments like surgery or radiation, potentially leading to fewer side effects and a faster recovery.
• MRI Guidance: The use of real-time MRI guidance allows for precise targeting of diseased tissue, minimizing damage to surrounding healthy tissue.
• Expanding Applications: Potential to expand the use of TULSA-PRO and Sonalleve to treat other types of tumors and medical conditions.
• Strong Intellectual Property: A portfolio of patents protecting its technologies and methods.
• Experienced Management Team: A management team with experience in medical device development, commercialization, and healthcare reimbursement.

Profound Medical Corp. (PROF) How It Makes Money

Profound Medical Corp. generates revenue primarily through the sale and support of its medical devices, particularly the TULSA-PRO system, and related services for treating prostate disease.

Profound Medical Corp.'s Revenue Breakdown

As of the fiscal year 2024, the revenue streams and their approximate contributions are detailed below. These figures reflect the company's focus on expanding its commercial presence and service offerings related to the TULSA-PRO system.

Profound Medical Corp.'s Business Economics

Profound Medical operates in the medical device industry, specifically focusing on minimally invasive therapies for prostate disease. Its business economics are influenced by several factors:

• Pricing Strategy: The TULSA-PRO system is a high-value capital equipment sale, typically priced to reflect its advanced technology and clinical benefits. Procedure revenue depends on the number of TULSA procedures performed, which grows as more systems are installed and utilized.
• Cost Structure: Significant costs are associated with research and development, clinical trials, regulatory approvals, manufacturing, and sales and marketing. The company invests heavily in demonstrating the clinical efficacy and safety of TULSA-PRO, which is crucial for market adoption.
• Market Dynamics: The market for prostate disease treatments is competitive, with various options available, including surgery, radiation, and other minimally invasive techniques. Profound Medical differentiates itself through the precision, and potential for fewer side effects of the TULSA-PRO procedure.
• Reimbursement: Securing favorable reimbursement from healthcare providers and insurance companies is vital for driving adoption. Profound Medical works to establish coverage policies that recognize the value and cost-effectiveness of TULSA-PRO.

Profound Medical Corp.'s Financial Performance

Key aspects of Profound Medical’s financial performance include:

• Revenue Growth: The company focuses on increasing system sales and procedure volume to drive revenue growth. Expansion into new geographic markets and continued clinical validation are key to this strategy. In 2024, Profound Medical reported revenue of $15.3 million, a 45% increase compared to 2023.
• Gross Margin: Gross margin is influenced by manufacturing costs, sales volume, and pricing. As production scales and efficiencies improve, gross margin is expected to increase. For 2024, the gross profit was $9.9 million, or 64.7% of revenues.
• Operating Expenses: Operating expenses include R&D, sales and marketing, and general and administrative costs. The company manages these expenses carefully to balance investment in growth with financial discipline. Total operating expenses in 2024 were $39.8 million.
• Cash Flow: Profound Medical monitors its cash flow closely, as it relies on a combination of product revenue and strategic financing to fund its operations and growth initiatives. As of December 31, 2024, the Company had cash of $56.9 million.

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Profound Medical Corp. (PROF) Market Position & Future Outlook

Profound Medical Corp. is strategically positioned in the medical technology sector, focusing on innovative therapeutic solutions. Their future outlook hinges on the continued adoption and expansion of their TULSA-PRO® technology.

Competitive Landscape

Opportunities & Challenges

Industry Position

Profound Medical operates within the dynamic medical device industry, specifically targeting the urology and prostate cancer treatment markets.

• The company's TULSA-PRO® system offers a unique value proposition with its MRI-guided, minimally invasive approach to prostate ablation.
• The company focuses on expanding clinical evidence and securing regulatory approvals to support broader adoption and market penetration.
• Strategic partnerships and collaborations may enhance market reach and accelerate commercialization efforts.

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