Hydreight Achieves Record Revenue, Files Audited Financial Statements for Fiscal Year 2023
Hydreight Technologies Inc. achieved record revenue in fiscal year 2023, with adjusted revenue of $17.05 million, a 102% increase from 2022, and GAAP revenue of $11.51 million, up 170% from the previous year. The company expanded services to over 700 cities across 50 states in the US and added Semaglutide to its product offerings. Hydreight also grew its nurse network, white-label locations, and strategic partnerships, aiming for profitability in 2024. The Company's audited financial statements show consistent revenue growth and strategic priorities focused on scaling the business efficiently.
Record revenue growth with adjusted revenue of $17.05 million in fiscal year 2023, a 102% increase from 2022.
Expanded service offerings to over 700 cities across 50 states in the US, showcasing significant organic growth.
Added Semaglutide to product offerings, enhancing healthcare services with proven benefits for patients.
Grew nurse network, white-label locations, and strategic partnerships for increased market presence and profitability.
Net loss and comprehensive loss on core operations have remained comparable, raising concerns over sustained profitability.
Operating expenses, excluding certain costs, have not significantly decreased, impacting bottom-line performance.
- 2023 Adjusted Revenue1 record revenue of
$17.05 million , an increase of102% compared to 2022. - 2023 GAAP revenue was
$11.51 million an increase of170% compared to 2022. - 2023 gross margin of
43.11% compared to43.00% in 2022. - Q4, 2023 Adjusted Revenue1 of
$4.99 million , an increase of77% compared to Q4, 2022. - Q4, 2023 GAAP revenue was
$3.37 million an increase of99% compared to Q4, 2022. - Q4, 2023 gross margin of
46.54% compared to43.77% in Q4, 2022 - Expanded service offering to over 700 cities across 50 states in the United States.
- Named one of Canada’s Companies to Watch as part of the 2023 Deloitte Technology Fast 50™ program
- The Company has approximately 107 white-label locations nationwide, with new locations opening every month.
- Hydreight Added Semaglutide to Product Offerings in Dec 2023
- The Company onboarded 2,249 nurses on its platform
- Strategic priorities include scaling the business and driving organic growth on platform, adding to product and service offering, increasing sales of white label solution, and strategic tuck-in acquisitions.
- Investor webinar, Wednesday May 1, 2024 at 11:00am PT/ 2:00pm ET
VANCOUVER, British Columbia and LAS VEGAS, April 29, 2024 (GLOBE NEWSWIRE) -- Hydreight Technologies Inc. (“Hydreight” or the “Company”) ( TSXV: NURS )( OTCQB: HYDTF )( FSE: SO6 ), a fast-growing mobile clinical network and medical platform which enables flexible at-home medical services across 50 states in the United States, is pleased to announce that it has filed its audited financial statements for the 2023 fiscal year ended December 31, 2023.. All financial information is presented in Canadian dollars unless otherwise indicated.
Shane Madden, CEO of Hydreight commented, “2023 was an excellent year for Hydreight and our financial results reflect the continued organic growth across all our divisions and diverse revenue mix. Our investment in our technology and infrastructure in 2023 lead to create a fully-automated, fully-integrated, turnkey solution which enables nurses to deliver services outside of traditional brick-and-mortar healthcare facilities. This has already been paying off by signing up new nurses and whitelabel clients. We have created one of the only healthcare technology platforms that works across 50 states and over 700 cities in the United States. Because of that, Hydreight has a significant competitive advantage in the sector.”
He continued, “In the last two years, we’ve experienced significant growth. Looking ahead, our focus includes expanding services for our customers, growing our network of nurses and users, driving white label partnerships, increasing margins on our pharmacy division, and looking at strategic tuck-in M&A opportunities to scale the business quickly and efficiently. We are also working on an Artificial intelligence (AI) Solution to use our existing data from the past few years to suggest the best solutions to the patients. Our goal for 2024 is to continue the growth and being a profitable company by the end of the year."
1 See Use of Non-GAAP Financial Measures
2023 Key Highlights and Subsequent Events
- 2023 Adjusted Revenue revenues were
$17.05 million , GAAP revenues were$11.51 million .
- 2023 Gross profit margin (GAAP) was
43.11% in the year 2023 compared to43% in 2022.
- The Company expanded its services to over 700 cities across 50 states in the United States.
- The Company has approximately 107 white-label locations nationwide, with new locations opening every month.
- On December 20, 2023, Hydreight added Semaglutide to Product Offerings; Studies have shown that Semaglutide injections can be used together with diet and exercise to help control your blood sugar and help lose weight and keep the weight off.
- On November 8, 2023, Hydreight was named one of Canada’s Companies to Watch as part of the 2023 Deloitte Technology Fast 50™ program. The award highlights the Company’s significant organic revenue growth of
250% year-over-year and validates the business operations and key differentiators Hydreight has in the market.
- On October 19, 2023, Hydreight Launched NAD+ as part of its robust patient service offering on its proprietary healthcare technology platform. NAD+ or Nicotinamide Adenine Dinucleotide is a coenzyme central to metabolism which is found in all living cells and consists of two nucleotides joined through their phosphate groups. Clinical studies have suggested that NAD+ may help to improve cognitive function, energy, weight management, pain management, and may also reduce and reverse effects of aging and more.
- On October 5, 2023, Hydreight provided a corporate update reflecting significant revenue growth and strong organic operational growth.
- On August 23, 2023, Hydreight announced nationwide expansion of doctor network to meet demand across all 50 states across the U.S.
- Hydreight Partners with Ola Digital Health, an Independent, National Pharmacy Network to Provide Health and Wellness Services in Store
- Hydreight Partners with American Frontline Nurses with a Network of Over 26,000 Nurses
The Company believes the following Non-GAAP1 financial measures provide meaningful insight to aid in the understanding of the Company’s performance and may assist in the evaluation of the Company’s business relative to that of its peers:
| Three months ended December 31, | Year ended December 31, | |||||||||||
| 2023 | 2022 | % change | 2023 | 2022 | % change | |||||||
| Adjusted Revenue | $ | 4,992,195 | $ | 2,815,572 | 77 | % | $ | 17,050,345 | $ | 8,425,719 | 102 | % |
| Deduct - deferred business partner contract revenue | 209,275 | 256,996 | 379,377 | 1,248,441 | ||||||||
| Deduct - business partner payouts on app service gross revenue | 1,409,727 | 863,442 | 5,161,472 | 2,908,847 | ||||||||
| GAAP Revenue | $ | 3,373,193 | $ | 1,695,134 | 99 | % | $ | 11,509,496 | $ | 4,268,431 | 170 | % |
| Adjusted Gross Margin | $ | 1,779,249 | $ | 998,990 | 78 | % | $ | 5,340,827 | $ | 3,253,212 | 64 | % |
| Deduct - deferred business partner contract revenue | 209,275 | 256,996 | 379,377 | 1,248,441 | ||||||||
| Deduct - inventory impairment | - | - | - | 169,269 | ||||||||
| GAAP Gross Margin | $ | 1,569,974 | $ | 741,994 | 112 | % | $ | 4,961,450 | $ | 1,835,502 | 170 | % |
1Refer to Use of Non-GAAP Financial Measures
Hydreight has expanded each division according to the revenue generation and needs of each specific division; scaling while the division’s initiatives are performing successfully.
The table below sets out a summary of certain financial results of the Company over the past eight quarters and is derived from the audited annual consolidated financial statements and unaudited quarterly consolidated financials statements of the Company.
| Fiscal Quarter Ended | Revenue | Net Loss After Taxes | Comprehensive Loss | Basic and Diluted Loss Per Share |
| December 31, 2023 | 3,373,193 | (898,561) | (865,068) | (0.02) |
| September 30, 2023 | 3,088,219 | (466,973) | (548,954) | (0.01) |
| June 30, 2023 | 2,699,668 | (471,890) | (405,638) | (0.01) |
| March 31, 2023 | 2,348,416 | (99,927) | (99,125) | (0.00) |
| December 31, 2022 | 1,695,134 | (5,060,755) | (5,062,144) | (1.44) |
| September 30, 2022 | 1,136,510 | (240,360) | (298,367) | (0.07) |
| June 30, 2022 | 823,053 | (262,662) | (309,665) | (175.09) |
| March 31, 2022 | 613,734 | (431,443) | (442,446) | (0.12) |
The Company has experienced dramatic user growth over the past three years as can be seen by the consistent revenue growth over the past eight quarters. Net loss and comprehensive loss on core operations have decreased slightly, though generally remained comparable from the fourth quarter of 2022 through the current period when looking only at operating expenses, not including stock-based compensation, capital markets expenses and the RTO Transaction related expenses included in the fourth quarter of 2022.
The Company continues to deliver on its mission of building the largest mobile clinical network in the United States. Through its medical network, pharmacy network and proprietary technology platform that adheres to the complex healthcare legislation across 50 states, Hydreight has provided a fully integrated solution for healthcare providers to become independent contractors.
Hydreight remains focused on its strategic priorities of (1) onboarding and supporting additional nurses on the platform (2) adding more product and service offerings for its customers, (3) increasing pharmacy margins (4) driving white label partnerships and (5) looking for strategic tuck in M&A opportunities to scale and grow the business quickly and efficiently. Hydreight will continue to invest into its technology to ensure continuous improvements, advancements and updates adhering to changes within the healthcare industry.
Please see SEDAR+ for the Company's condensed consolidated audited financial statements and MD&A for audited annual consolidated financial statements for the year ended December 31, 2023.
Investor Webinar:
The Company’s management team will be hosting a webinar to discuss the financials
Date/Time: Wednesday, May 1, 2024 at 11am PT / 2pm ET
Registration link: https://hydreight.zoom.us/webinar/register/WN_Mf6boV_BSLOkxx1WcAQMLw
About Hydreight Technologies Inc.
Hydreight Technologies Inc. is building the largest mobile clinic network in the United States. Its proprietary, fully integrated platform hosts a network of over 2500 nurses, over 100 doctors and a pharmacy network across 50 states. The platform includes a built-in, easy-to-use suite of fully integrated tools for accounting, documentation, sales, inventory, booking, and managing patient data, which enables licensed healthcare professionals to provide services directly to patients at home, office or hotel. Hydreight is bridging the gap between provider compliance and patient convenience, empowering nurses, med spa technicians, and other licensed healthcare professionals. The Hydreight platform allows healthcare professionals to deliver services independently, on their own terms, or to add mobile services to existing location-based operations. Hydreight has a 503B pharmacy network servicing all 50 states and is closely affiliated with a U.S. certified e-script and telemedicine provider network that provides services in over 650 cities and growing.
On behalf of the Board of Directors
Shane Madden
Director and Chief Executive Officer
Hydreight Technologies Inc.
Contact
Email: ir@hydreight.com; Telephone: (480) 790 6886
This press release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States absent U.S. registration or an applicable exemption from U.S. registration requirements.
Use of Non-GAAP Financial Measures:
This release contains references to non-GAAP financial measures Adjusted Revenue and Adjusted Gross Margin. The Company defines Adjusted Revenue as gross cash income before adjustment for the deferred portion of business partner contract revenue and gross receipts from Hydreight App service sales. The Company defines Adjusted Gross Margin as GAAP gross margin plus inventory impairment plus the deferred portion of business partner contract revenue. The Company believes that the measures provide information useful to its shareholders and investors in understanding the Company’s operating cash flow growth, user growth, and cash generating potential and may assist in the evaluation of the Company’s business relative to that of its peers more accurately than GAAP financial measures alone. This data is furnished to provide additional information and does not have any standardized meaning prescribed by GAAP. Accordingly, it should not be considered in isolation or as a substitute for measures of performance prepared in accordance with GAAP and is not necessarily indicative of other metrics presented in accordance with GAAP.
Neither TSXV nor its Regulation Services Provider (as that term is defined in policies of the TSXV) accepts responsibility for the adequacy or accuracy of this release. This press release does not constitute an offer of securities for sale in the United States. The securities being offered have not been, nor will they be, registered under the United States Securities Act of 1933, as amended, and such securities may not be offered or sold within the United States absent U.S. registration or an applicable exemption from U.S. registration requirements.
Cautionary Note Regarding Forward-Looking Information
This press release contains statements which constitute “forward-looking information” within the meaning of applicable securities laws, including statements regarding the plans, intentions, beliefs and current expectations of the Company with respect to future business activities and operating performance. Forward-looking information is often identified by the words “may”, “would”, “could”, “should”, “will”, “intend”, “plan”, “anticipate”, “believe”, “estimate”, “expect” or similar expressions and includes information regarding expectations for the Company's growth in 2023.
Investors are cautioned that forward-looking information is not based on historical facts but instead reflects the Company’s management’s expectations, estimates or projections concerning future results or events based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made. Although the Company believes that the expectations reflected in such forward-looking information are reasonable, such information involves risks and uncertainties, and undue reliance should not be placed on such information, as unknown or unpredictable factors could have material adverse effects on future results, performance or achievements of the Company. Among the key factors that could cause actual results to differ materially from those projected in the forward-looking information are the following: the ability to obtain requisite regulatory and other approvals with respect to the business operated by the Company and/or the potential impact of the listing of the Company’s shares on the TSXV on relationships, including with regulatory bodies, employees, suppliers, customers and competitors; changes in general economic, business and political conditions, including changes in the financial markets; changes in applicable laws; compliance with extensive government regulation; and the diversion of management time as a result of being a publicly listed entity. This forward-looking information may be affected by risks and uncertainties in the business of the Company and market conditions.
Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking information prove incorrect, actual results may vary materially from those described herein as intended, planned, anticipated, believed, estimated or expected. Although the Company has attempted to identify important risks, uncertainties and factors which could cause actual results to differ materially, there may be others that cause results not to be as anticipated, estimated or intended. The Company does not intend, and does not assume any obligation, to update this forward-looking information except as otherwise required by applicable law.
FAQ
What was Hydreight's adjusted revenue in 2023?
How many cities does Hydreight operate in across the US?
What new product was added to Hydreight's offerings in December 2023?
What are Hydreight's strategic priorities for future growth?
