0001104659-26-031621
SEC filingDarioHealth Corp. (DRIO) reported FY 2025 revenues of $22.4 million, down 17% YoY from $27.0 million in 2024, primarily due to non-renewal of a Twill-acquired customer. Gross profit improved to $12.7 million (56.6% margin) from $13.3 million (49.1% margin), driven by lower amortization of technology, hardware costs, and hosting expenses. Operating expenses declined significantly: R&D by 43% to $13.8 million, sales & marketing by 23% to $20.3 million, and G&A by 26% to $15.2 million, reflecting post-merger efficiencies. Net loss narrowed slightly to $41.7 million from $42.7 million. Balance sheet shows total assets of $110.1 million, equity $67.9 million, cash & equivalents $21.8 million plus $4.2 million short-term deposits. Operating cash use improved to $25.9 million from $38.6 million, supported by $24.3 million financing inflows. Strategic refinancing via $32.5 million Callodine facility extends runway. Employer clients grew to 167 from 53, signaling B2B expansion amid ongoing losses and cash burn.
DarioHealth reported FY 2025 revenues of $22.4M, a 17% YoY decline from $27.0M, attributed to non-renewal of a Twill customer. Gross profit rose to $12.7M (56.6% margin) from $13.3M (49.1%), due to reduced amortization, hardware, and hosting costs. Operating expenses fell sharply: R&D to $13.8M (-43%), sales/marketing $20.3M (-23%), G&A $15.2M (-26%), yielding a narrower net loss of $41.7M vs. $42.7M. Cash used in operations improved to $25.9M from $38.6M. Total assets $110.1M, equity $67.9M, cash/deposits $26.0M. Employer base expanded to 167 from 53.
Revenues primarily from U.S. commercial services and consumers. No detailed segment breakdown disclosed. Employer segment grew significantly (167 clients vs. 53), with 85 new accounts added, including major self-insured contracts covering 107K lives. B2B2C focus via PMPM/PEMPM subscriptions for cardiometabolic, behavioral health, MSK. Decline tied to one Twill customer non-renewal; no geographic split provided.
Gross margin expanded 7.5 points to 56.6% on lower tech amortization and costs. Adjusted gross profit (ex-amort/depr/SBC) $14.4M (64.4%) vs. $18.4M (67.9%). No operating margin stated; finance expenses $5.0M (vs. $13.1M income prior) due to warrant remeasurements. Cost efficiencies from post-Twill integration drove expense reductions.
Operating cash use $25.9M (improved from $38.6M). Investing $4.3M outflow (acquisitions/deposits). Financing $24.3M inflow (equity $24.1M, debt refinance). Ending cash/deposits $26.0M (down from $28.5M). Debt: $32.5M Callodine facility (maturity 2030). Current liabilities $9.3M, long-term $32.8M (incl. $30.7M loan). Liquidity supports 12+ months.
Management cites sufficient funds for 12 months, focuses on B2B growth (GLP-1, bundles), AI (DarioIQ/SHIFT), efficiencies. Strategic review ongoing for value maximization. Risks: cash burn, covenants, competition. No specific guidance; profitability tied to revenue scale.