0001493152-26-012004
SEC filingWellgistics Health, Inc. (WGRX) reported a significant net loss of $101.3 million for FY 2025, ending December 31, 2025, compared to a $6.9 million loss in FY 2024, driven by sharply higher operating expenses of $87.3 million versus $7.9 million prior year, including $70.3 million in general and administrative costs with $54.8 million stock-based compensation and $12.6 million goodwill/intangible impairment. Revenues grew 28.8% YoY to $23.3 million from $18.1 million, primarily from full-year inclusion of acquired subsidiaries Wellgistics LLC (wholesale), Wood Sage (pharmacy/tech), but gross loss widened to -$6.4 million from $1.8 million profit due to $29.8 million cost of revenues (up from $16.4 million), including $6.0 million obsolete inventory reserve and liquidity-constrained procurement. Operating loss ballooned to -$93.7 million from -$6.1 million. Balance sheet shows total assets $30.5 million, liabilities $42.9 million, equity deficit -$12.4 million; cash $43K, net debt elevated. Cash used in operations -$10.9 million vs -$1.2 million prior. Acquisitions integrated but impairments signal challenges; management eyes margin recovery with liquidity stabilization, though Nasdaq bid price deficiency risks delisting.
Wellgistics Health reported FY 2025 net loss of $101.3M, up from $6.9M in 2024, with revenues rising 28.8% YoY to $23.3M from $18.1M due to full-year post-acquisition operations of Wellgistics LLC (wholesale), Wood Sage subsidiaries (pharmacy/tech). Gross loss -$6.4M vs prior $1.8M profit, as COGS $29.8M exceeded revenues amid $6.0M inventory reserve, liquidity issues. Operating loss -$93.7M vs -$6.1M, driven by G&A $70.3M (incl. $54.8M stock comp), sales/marketing $1.2M, D&A $3.2M, $12.6M impairment. Other expenses -$7.5M incl. $4.6M interest, $3.0M debt extinguishment. Shares basic/diluted 71.0M; EPS -$1 vs -$0.15. Balance sheet: assets $30.5M (goodwill $14.2M, intangibles $10.3M), liabilities $42.9M (current $29.8M), equity deficit -$12.4M.
Revenues $23.3M: product distribution $21.9M (94%), pharmacy retail $0.9M (4%), 3PL $0.6M (3%). Growth from acquisitions (Wood Sage June 2024, Wellgistics Aug 2024), full 2025 consolidation vs partial 2024. No geographic split beyond U.S.-only. Drivers: wholesale to 5,000+ pharmacies, pharmacy 340B/ specialty services, DelivMeds hub (not yet revenue-generating). Liquidity constrained shipments, but management expects SaaS fees, data monetization ahead.
Gross margin -27.5% vs 9.7% prior, COGS surge from inventory reserve $6.0M, higher procurement costs. Op expenses 374% YoY to $87.3M, dominated by non-cash stock comp $54.8M, impairment $12.6M. No operating margin positive; losses reflect integration costs, scaling challenges post-acquisitions.
Operating cash -$10.9M (net loss offset by $54.8M stock comp, $12.6M impairment, $6.0M reserve; changes: AP +$2.2M, accruals +$3.2M). Investing -$0.9M (software). Financing +$10.8M (RLOC net +$20.1M-$24.0M, equity $4.0M IPO+$4.5M offering+$2.8M EPA, warrants $2.3M). Ending cash $43K (from $1K? XBRL $1K end, but $43K). Debt $23.5M net (seller note $17.5M, RLOC $1.6M, MCA/loan $3.3M); current liabilities $29.8M near assets $2.8M current.
Management anticipates gross margin improvement as liquidity stabilizes, inventory normalizes; focus wholesale expansion, DelivMeds SaaS/data revenue, pharmacy cash formulary. Risks: Nasdaq delisting (bid < $1 since Oct 2025), debt maturities, litigation (former mgmt $17.5M liab, vendors), going concern doubt. Plans: equity/debt raises (post-12/31 $8.5M notes), settlements.