Refocusing and Cost Cutting Efforts Now Delivering Operational Improvement Including Sequential Margin Expansion and Significant Cost Reductions
"The closing of 2025 marks the start of an exciting new period for our company as we successfully execute on our turnaround and cost-cutting plans, efforts that began to drive fundamental improvements across operational and financial metrics in the fourth quarter, putting
Fourth Quarter and Full Year 2025 Financial Highlights
- Consolidated revenue for the full year ended
December 31, 2025 , was approximately$54.3 million , compared to approximately$66.1 million for the prior year, an overall decrease of 18%.- Full year 2025 Healthcare Operations revenue decreased approximately
$12.6 million to$39.7 million from$52.3 million in the prior year. The year-over-year decline in total revenue was attributable to the decrease in the number of total prescriptions filled of approximately$11.3 million and a decrease in 340B contract revenue of approximately$6.4 million , which were offset by the increase in reimbursement rates per prescription filled of approximately$5.1 million . During the year endedDecember 31, 2025 , we filled approximately 374,000 prescriptions versus 473,000 in the prior year. In the fourth quarter of 2025, revenue was approximately$9.0 million compared sequentially to approximately$10.1 million in the third quarter of 2025, reflecting a 94% growth in 340B contract revenue, offset by the decrease in prescription revenue. The Company continues to shift its healthcare focus towards higher margin, higher growth pharmacy contract services such as 340B contract revenue and medication fulfillment services which are expected to drive more profitable revenue and improved gross margins despite lower total retail prescription volume. - Total e-Commerce revenues were approximately
$14.6 million and$13.8 million for the years endedDecember 31, 2025 , and 2024, respectively, an increase of approximately$0.8 million primarily due to an increase in airtime and hardware sales of approximately$0.4 million and a favorable foreign currency impact of approximately$0.4 million . During the year, the Company continued to see strong global demand for satellite-based connectivity and IoT products highlighted by the sales of over 5,000 Iridium and Globalstar devices along with more than 12,000 satellite-enabled trackers and messengers which also set new annual sales records.
- Full year 2025 Healthcare Operations revenue decreased approximately
- Overall gross margin for the year ended
December 31, 2024 , declined to approximately 20% when compared to the prior year of approximately 26%.- Gross margin for Healthcare Operations decreased during 2025 to approximately 19% from 26% when compared to 2024 and was primarily attributable to the decrease in pharmacy 340B contract revenue. During the fourth quarter of 2025, the Company successfully reengaged with 340B covered entities and experienced new, higher margin medication fulfillment services exceeding 6,000+ prescriptions per month. This growth is expected to continue into the first half of 2026 with new covered entity contracts commencing combined with increased prescription volumes from contracted medication fulfillment services.
- Gross margin for e-Commerce Operations decreased slightly during 2025 to approximately 23% from 25% when compared to 2024 due to a service provider airtime contract that expired on
December 31, 2024 , which introduced new airtime costs beginningJanuary 1, 2025 , and temporary rate reductions for some customers affected by ongoing network service interruptions.
- Gross margin for Healthcare Operations decreased during 2025 to approximately 19% from 26% when compared to 2024 and was primarily attributable to the decrease in pharmacy 340B contract revenue. During the fourth quarter of 2025, the Company successfully reengaged with 340B covered entities and experienced new, higher margin medication fulfillment services exceeding 6,000+ prescriptions per month. This growth is expected to continue into the first half of 2026 with new covered entity contracts commencing combined with increased prescription volumes from contracted medication fulfillment services.
- Total operating expenses for the year ended
December 31, 2025 , were approximately$19.9 million , a decrease of approximately$20.1 million , or 50%, from total operating expenses for the prior year of approximately$40.0 million , which included a non-recurring impairment loss of approximately$13.7 million . Overall operating expenses declined significantly due to the Company's ongoing refocusing and streamlining efforts highlighted by a 20% decrease in salaries and wages resulting from reductions in total headcount and executive compensation, and a 49% decrease in professional fees. Management expects further meaningful reductions in operating expenses throughout 2026. - Net loss attributable to common stockholders for the year ended
December 31, 2025 , was approximately$11.7 million , or ($0.44 ) per diluted share, compared to a net loss attributable to common stockholders of approximately$13.4 million , or ($0.65 ) diluted earnings per share for the year endedDecember 31, 2024 . - The Company ended 2025 with approximately
$13.7 million in cash, no meaningful unsecured debt, and approximately$15.0 million in working capital.
Organizational Highlights and Recent Business Developments
- The Company expanded its senior leadership team with the appointments of
Rodney Barreto as Chairman of the Board,David Phipps as Chief Executive Officer,Amanda Ferrio as Chief Financial Officer, and Birute Norkute as Vice President of Healthcare Operations. - The Company successfully cut $2+ million in annualized costs across the organization, streamlining operations, eliminating unused office space, and reducing staff headcount by more than 25%.
- During the second half of 2025, the Company prioritized higher margin healthcare business development over traditional retail pharmacy business, recruited new, dedicated sales teams targeting the large 340B and long-term care facility markets, and secured new high volume contracted medication fulfillment services supporting two facilities in
Florida . - The Company continued to grow its e-commerce sales and distribution platforms for satellite connectivity and communications products with new and expanded relationships with leading providers including Globalstar and Iridium in
Europe , and more recently, launched sales inLatin America . - Evaluation of several growth opportunities such as acquisitions and joint-ventures will enable the Company to expand its mail order medication fulfilment offerings nationwide including the potential launch of direct-to-consumer online websites in support of new and existing customers. These growth opportunities and nationwide fulfilment through its partnership with Healthwarehouse.com are expected to significantly expand the Company's addressable market beyond
Florida where the Company's healthcare segment currently generates nearly$40 million in annual revenue.
Full Year 2025 Conference Call Notification
To access the call, please use the following information:
Date: | |
Time: | |
Toll-free dial-in number: | 1-800-836-8184 |
International dial-in number: | 1-646-357-8785 |
Conference webcast link: |
Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization.
The conference call will be broadcast live and available for replay at https://app.webinar.net/wbRV9ab8NLa and via the investor relations section of the Company's website at https://ir.nextplat.com/news-events/ir-calendar/detail/20260331-full-year-2025-results-conference-call. A replay of the conference call will be available after
Toll-free replay number: | 1-888-660-6345 |
International replay number: | 1-646-517-4150 |
Replay entry code: | 97518# |
The financial information included in this press release should be read in conjunction with the Company's Annual Report on Form 10-K for the year ended
About
Forward-Looking Statements
Certain statements in this release constitute forward-looking statements. These statements include the capabilities and success of the Company's business and any of its products, services or solutions. The words "believe," "forecast," "project," "intend," "expect," "plan," "should," "would," and similar expressions and all statements, which are not historical facts, are intended to identify forward-looking statements. These forward-looking statements involve and are subject to known and unknown risks, uncertainties and other factors, including the Company's ability to launch additional e-commerce capabilities for consumer and healthcare products and its ability to grow and expand as intended, any of which could cause the Company to not achieve some or all of its goals or the Company's previously reported actual results, performance (finance or operating), including those expressed or implied by such forward-looking statements. More detailed information about the Company and the risk factors that may affect the realization of forward-looking statements is set forth in the Company's filings with the
Media and Investor Contact for
917-397-2272
mike@mwgco.net
NEXTPLAT CORP AND SUBSIDIARIES | ||||||||
Years Ended | ||||||||
2025 | 2024 | |||||||
Sales of products, net | $ | 49,665 | $ | 55,540 | ||||
Revenues from services | 4,657 | 10,542 | ||||||
Revenue, net | 54,322 | 66,082 | ||||||
Cost of products | 43,374 | 49,033 | ||||||
Cost of services | 42 | 41 | ||||||
Cost of revenue | 43,416 | 49,074 | ||||||
Gross profit | 10,906 | 17,008 | ||||||
Operating expenses: | ||||||||
Selling, general and administrative | 6,043 | 6,179 | ||||||
Salaries, wages and payroll taxes | 10,707 | 13,303 | ||||||
Impairment loss | — | 13,653 | ||||||
Professional fees | 2,264 | 4,401 | ||||||
Depreciation and amortization | 540 | 788 | ||||||
Intangible asset amortization | 102 | 1,709 | ||||||
Loss on settlement of litigation | 250 | — | ||||||
Total operating expenses | 19,906 | 40,033 | ||||||
Loss before other (income) expense | (9,000) | (23,025) | ||||||
Other (income) expense: | ||||||||
Loss (gain) on sale or disposal of property and equipment | 213 | (94) | ||||||
Interest expense | 64 | 81 | ||||||
Interest earned | (358) | (731) | ||||||
Contingent loss on settlement of litigation | 1,750 | — | ||||||
Asset write-off | — | 111 | ||||||
Other income | — | (2) | ||||||
Foreign currency exchange rate variance | (206) | 65 | ||||||
Total other expense (income) | 1,463 | (570) | ||||||
Loss before income taxes | (10,463) | (22,455) | ||||||
Income taxes | — | (71) | ||||||
Net loss | (10,463) | (22,526) | ||||||
Deemed dividend | (1,249) | — | ||||||
Net loss attributable to non-controlling interest | — | 9,100 | ||||||
Net loss attributable to common stockholders | $ | (11,712) | $ | (13,426) | ||||
Comprehensive loss: | ||||||||
Net loss | $ | (10,463) | $ | (22,526) | ||||
Foreign currency loss | (52) | (3) | ||||||
Comprehensive loss | $ | (10,515) | $ | (22,529) | ||||
NET LOSS ATTRIBUTABLE TO COMMON STOCKHOLDERS | $ | (11,712) | $ | (13,426) | ||||
Weighted number of common shares outstanding – basic and diluted | 26,535 | 20,614 | ||||||
Basic and diluted loss per share | $ | (0.44) | $ | (0.65) | ||||
NEXTPLAT CORP AND SUBSIDIARIES | ||||||||
|
| |||||||
ASSETS | ||||||||
Current Assets | ||||||||
Cash | $ | 13,709 | $ | 19,960 | ||||
Accounts receivable, net | 4,014 | 4,895 | ||||||
Receivables - other | 1,930 | 1,331 | ||||||
Inventory, net | 3,396 | 4,881 | ||||||
Unbilled revenue | 292 | 237 | ||||||
VAT receivable | 352 | 371 | ||||||
Prepaid expenses | 463 | 404 | ||||||
Total Current Assets | 24,156 | 32,079 | ||||||
Property and equipment, net | 2,505 | 3,407 | ||||||
156 | 156 | |||||||
Intangible assets, net | 422 | 524 | ||||||
Operating right-of-use assets, net | 189 | 812 | ||||||
Finance right-of-use assets, net | — | 5 | ||||||
Deposits | 37 | 94 | ||||||
Total Other Assets | 804 | 1,591 | ||||||
Total Assets | $ | 27,465 | $ | 37,077 | ||||
LIABILITIES AND EQUITY | ||||||||
Current Liabilities | ||||||||
Accounts payable and accrued expenses | $ | 8,265 | $ | 7,230 | ||||
Contract liabilities | 193 | 89 | ||||||
Notes payable | 416 | 380 | ||||||
Due to related party | 82 | 48 | ||||||
Operating lease liabilities | 158 | 404 | ||||||
Finance lease liabilities | — | 5 | ||||||
Income taxes payable | 12 | 54 | ||||||
Total Current Liabilities | 9,126 | 8,210 | ||||||
Long Term Liabilities | ||||||||
Notes payable, net of current portion | 876 | 1,032 | ||||||
Operating lease liabilities, net of current portion | 41 | 438 | ||||||
Total Liabilities | 10,043 | 9,680 | ||||||
Commitments and Contingencies | — | — | ||||||
Equity | ||||||||
Preferred stock ( | — | — | ||||||
Common stock ( | 3 | 3 | ||||||
Additional paid-in capital | 77,586 | 75,697 | ||||||
Accumulated deficit | (60,063) | (48,351) | ||||||
Accumulated other comprehensive loss | (118) | (66) | ||||||
| (100) | — | ||||||
Equity attributable to common stockholders | 17,308 | 27,283 | ||||||
Equity attributable to noncontrolling interests | 114 | 114 | ||||||
Total Equity | 17,422 | 27,397 | ||||||
Total Liabilities and Equity | $ | 27,465 | $ | 37,077 | ||||
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