OPRX · OptimizeRx Corporation

OptimizeRx Corporation secured a new $35 million senior secured credit facility with Fifth Third Bank on May 7, 2026, comprising a $25 million term loan fully drawn at closing and a $10 million revolving facility, replacing a prior higher-cost term loan with Blue Torch Finance from October 2023. This refinancing is expected to save $1.5 million annually in interest expense due to a 625 basis point rate reduction, with rates now tied to Base Rate or Term SOFR plus leverage-based margins (0.75%-1.50% for Base Rate, 1.75%-2.50% for SOFR). The term loan amortizes quarterly at $312,500 with a May 7, 2031 maturity, and an uncommitted $25 million accordion provides growth flexibility, subject to a 2.25x pro forma leverage test. Obligations are guaranteed by domestic subsidiaries and secured by substantially all personal property. Key covenants include a 1.20x minimum fixed charge coverage ratio and 2.75x maximum total net leverage ratio, alongside restrictions on acquisitions (max $5 million each, 2.50x pro forma leverage), investments, and dividends. Proceeds funded full repayment of the existing term loan, fees, and support working capital, capex, and permitted stock repurchases. For Q1 2026 ended March 31, revenue fell 10% year-over-year to $19.8 million amid MFN pricing pressures and measured pharma spending, but profitability improved markedly with GAAP net loss narrowing to $(0.5) million from $(2.2) million, driven by 43% cost of revenue reduction and lower G&A. Adjusted EBITDA doubled to $3.3 million, reflecting operational leverage. Debt was proactively reduced by $2.7 million to $23.6 million, bolstering the balance sheet with $20.2 million cash. Post-quarter, management launched efficiency initiatives targeting $3 million annualized savings ($1 million in 2026) and updated FY2026 guidance to $95-100 million revenue (from prior range) and $21-25 million adjusted EBITDA unchanged. CEO Silvestro highlighted resilience despite macro headwinds, traction with mid-tier clients, and new programmatic EHR access to unlock revenue channels, positioning for digital engagement growth.