📊 DCTH Key Takeaways
Investment Thesis
Delcath demonstrates exceptional revenue growth of 129% YoY with strong profitability expansion, evidenced by robust gross margins of 86.2% and positive net income growth of 110%. The company maintains fortress-like financial health with zero long-term debt, substantial cash reserves of $43.5M, and excellent free cash flow generation of $21M, providing significant flexibility for growth investments.
DCTH Strengths
- Exceptional revenue growth of 129% YoY indicates strong market demand and successful commercialization
- Outstanding gross margin of 86.2% reflects pricing power and efficient manufacturing in medical device space
- Strong free cash flow of $21M (24.6% FCF margin) demonstrates ability to fund growth without external capital
- Fortress balance sheet with zero debt, $43.5M cash, and 10.92x current ratio provides financial stability
- Net income growth of 110% YoY shows profitability scaling with revenue expansion
- Positive insider activity with 8 Form 4 filings in past 90 days suggests management confidence
DCTH Risks
- Operating margin of only 0.8% despite high gross margin indicates significant operating expense burden relative to revenue
- Low returns on equity (2.4%) and assets (2.2%) suggest inefficient capital deployment despite strong balance sheet
- Modest net margin of 3.2% leaves limited room for error or unexpected expenses
- Operating expense leverage has not materialized proportionally with 129% revenue growth, raising questions about cost control
- Scale-dependent profitability model typical of medical device companies requires sustained revenue growth to maintain margins
Key Metrics to Watch
- Operating expense ratio trending and scalability as revenue continues to grow
- Sustained revenue growth rate in subsequent quarters to confirm 129% YoY is sustainable
- Free cash flow conversion maintaining above 20% as company scales
- Gross margin stability above 85% to ensure pricing power persists
- Operating margin expansion toward 10%+ range as fixed costs are absorbed by larger revenue base
DCTH Financial Metrics
💡 AI Analyst Insight
The 24.6% free cash flow margin provides substantial flexibility for dividends, buybacks, and strategic investments. Strong liquidity with a 10.92x current ratio provides a solid financial cushion.
DCTH Profitability Ratios
DCTH vs Healthcare Sector
How DELCATH SYSTEMS, INC. compares to Healthcare sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
DCTH Balance Sheet & Liquidity
DCTH 5-Year Financial Trend
5-Year Trend Summary: DELCATH SYSTEMS, INC.'s revenue has grown significantly by 2,297% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.93 indicates the company is currently unprofitable.
DCTH Growth Metrics (YoY)
DCTH Quarterly Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q3 2025 | $11.2M | $830.0K | $0.02 |
| Q2 2025 | $7.8M | $1.1M | $0.07 |
| Q1 2025 | $3.1M | $1.1M | $0.03 |
| Q3 2024 | $434.0K | $1.9M | $0.06 |
| Q2 2024 | $495.0K | -$7.2M | $-0.48 |
| Q1 2024 | $597.0K | -$9.0M | $-0.45 |
| Q3 2023 | $434.0K | -$7.2M | $-0.96 |
| Q2 2023 | $495.0K | -$7.2M | $-0.58 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
DCTH Capital Allocation
DCTH SEC Filings
Access official SEC EDGAR filings for DELCATH SYSTEMS, INC. (CIK: 0000872912)
📋 Recent SEC Filings
❓ Frequently Asked Questions about DCTH
What is the AI rating for DCTH?
DELCATH SYSTEMS, INC. (DCTH) has an AI rating of BUY with 72% confidence, based on fundamental analysis of SEC EDGAR filings.
What are DCTH's key strengths?
Claude: Exceptional revenue growth of 129% YoY indicates strong market demand and successful commercialization. Outstanding gross margin of 86.2% reflects pricing power and efficient manufacturing in medical device space.
What are the risks of investing in DCTH?
Claude: Operating margin of only 0.8% despite high gross margin indicates significant operating expense burden relative to revenue. Low returns on equity (2.4%) and assets (2.2%) suggest inefficient capital deployment despite strong balance sheet.
What is DCTH's revenue and growth?
DELCATH SYSTEMS, INC. reported revenue of $85.2M.
Does DCTH pay dividends?
DELCATH SYSTEMS, INC. does not currently pay dividends.
Where can I find DCTH SEC filings?
Official SEC filings for DELCATH SYSTEMS, INC. (CIK: 0000872912) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is DCTH's EPS?
DELCATH SYSTEMS, INC. has a diluted EPS of $0.07.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined rating reflects both perspectives for balanced insights.