OptimizeRx Reports Second Quarter 2026 Financial Results and Updates Fiscal Year 2026 Guidance
– Q2 revenue totals
– Q2 net loss and adjusted EBITDA of
– Reaffirms fiscal year 2026 revenue guidance of
– Completed debt refinancing with
Financial Highlights
- Revenue decreased 30% to
$20.5 million in Q2 2026, compared to$29.2 million in Q2 2025. - GAAP net loss of
$(0.7) million or$(0.04) per basic and diluted share in Q2 2026, compared to GAAP net income of$1.5 million , or$0.08 per basic and diluted share, in Q2 2025. - Non-GAAP net income of
$3.1 million , or$0.16 per diluted share in Q2 2026, compared to Non-GAAP net income of$3.7 million or$0.19 per diluted share, in Q2 2025. (See *Non-GAAP Measures below) - Adjusted EBITDA of
$4 .9 million in Q2 2026 compared to$5 .8 million in Q2 2025. (See *Non-GAAP Measures below) - Cash and cash equivalents of
$24.1 million as ofJune 30, 2026 compared to$23.4 million as ofDecember 31, 2025 .
“Finally, we continued to strengthen our balance sheet by paying down
| Rolling Twelve Months Ended |
||||||||
| Key Performance Indicators (KPIs)** | 2026 |
2025 |
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| (in thousands, except percentages) | ||||||||
| Average revenue per top 20 pharmaceutical manufacturers | $ | 2,659 | $ | 3,095 | ||||
| Percent of total revenue attributable to top 20 pharmaceutical manufacturers |
54 | % | 59 | % | ||||
| Net revenue retention | 90 | % | 121 | % | ||||
| Revenue per average full-time employee | $ | 750 | $ | 767 | ||||
2026 Financial Outlook
The Company is reiterating its fiscal year 2026 guidance, and expects revenue of
Conference Call
| Date: | |
| Time: | |
| Toll Free: | 1-877-407-9716 |
| International: | 1-201-493-6779 |
| Conference ID: | 13761843 |
| Call Me: | https://callme.viavid.com/viavid/?callme=true&passcode=13760191&h=true&info=company-email&r=true&B=6 |
| Webcast: | https://viavid.webcasts.com/starthere.jsp?ei=1770269&tp_key=7d483832d3 |
| Webcast Replay: | The archived webcast will be on the investor relations section of the |
Individual Meeting Invitation
In an effort to increase relations with institutional investors,
*Non-GAAP Measures
In addition to the financial measures prepared in accordance with generally accepted accounting principles (GAAP), this earnings release also contains non-GAAP financial measures. The reasons why we believe these measures provide useful information to investors and, for historical periods, a reconciliation of these measures to the most directly comparable GAAP measures are included in the supplemental tables that follow.
Although the Company provides guidance for adjusted EBITDA, a non-GAAP financial measure, it is not able to provide guidance to the most directly comparable GAAP measure. Reconciliations for forward-looking figures would require unreasonable effort at this time because of the uncertainty and variability of the nature and amount of certain components of various necessary GAAP components, including, for example, those related to compensation, acquisition expenses, other income, amortization or others that may arise during the year, and the Company’s management believes such reconciliations would imply a degree of precision that would be confusing or misleading to investors. For the same reasons, the Company is unable to address the probable significance of the unavailable information.
**Definition of Key Performance Indicators
Top 20 pharmaceutical manufacturers: We have updated the definition of “top 20 pharmaceutical manufacturers” in our key performance indicators to be based upon Fierce Pharma’s most updated list of “The top 20 pharma companies by 2025 revenue”. We previously used “The top 20 pharma companies by 2024 revenue”. As a result of this change, prior periods have been restated for comparative purposes.
Net revenue retention: Net revenue retention is a comparison of revenue generated from all clients in the previous period to total revenue generated from the same clients in the following year (i.e., excludes new client relationships for the most recent year).
Revenue per average full-time employee: We define revenue per average full-time employee (FTE) as total revenue over the last 12 months (LTM) divided by the average number of employees over the LTM, which is calculated by taking our total number of FTEs at the end of the prior year period by our total FTE headcount at the end of the most recent period.
About
Our commitment to privacy-safe, patient-centric technology ensures that every interaction is designed to make a meaningful impact, delivering life-changing therapies to the right patients at the right time. Headquartered in
For more information, follow the Company on X, LinkedIn or visit www.optimizerx.com.
Important Cautions Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Words such as “anticipates”, “believes”, “estimates”, “expects”, “forecasts”, “intends”, “plans”, “projects”, “targets”, “designed”, “could”, “may”, “should”, “will” or other similar words and expressions are intended to identify these forward-looking statements. All statements that reflect the Company’s expectations, assumptions, projections, beliefs or opinions about the future, other than statements of historical fact, are forward-looking statements, including, without limitation, statements relating to the Company’s future performance, expected revenues, expected adjusted EBITDA, AI-enabled audience intelligence, programmatic point-of-care activation, clinical workflow engagement creating opportunities for recurring growth, the Company's disciplined execution, expanding technology platform, increased customer investment, and strong financial position leaving the Company to be well-positioned to create meaningful long-term shareholder value, and other statements relating to future performance, plans, and expectations. These forward-looking statements are based on the Company’s current expectations and involve assumptions regarding the Company’s business, the economy, and other future conditions that may never materialize or may prove to be incorrect. Forward-looking statements are inherently subject to risks and uncertainties, some of which cannot be predicted, or quantified. Actual results and the timing of events could differ materially from those anticipated in such forward-looking statements as a result of various risks and uncertainties including, but not limited to, the effect of government regulation, seasonal trends, dependence on a concentrated group of customers, cybersecurity incidents that could disrupt operations, the ability to keep pace with growing and evolving technology, the ability to maintain contracts with electronic prescription platforms and electronic health records networks, competition, and other factors discussed in the Company’s Annual Report on Form 10-K for the fiscal year ended
OptimizeRx Contact
Andy D’Silva, Chief Business Officer
adsilva@optimizerx.com
Investor Relations Contact
dfarrell@lifesciadvisors.com
CONDENSED CONSOLIDATED BALANCE SHEETS (in thousands, except share and per share data) |
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2026 |
2025 |
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| ASSETS | (unaudited) | |||||||
| Current assets | ||||||||
| Cash and cash equivalents | $ | 24,096 | $ | 23,365 | ||||
| Accounts receivable, net of allowance for credit losses of June 30, 2026 and |
24,796 | 37,752 | ||||||
| Taxes receivable | 2,328 | 752 | ||||||
| Prepaid expenses and other | 2,926 | 2,846 | ||||||
| Total current assets | 54,146 | 64,715 | ||||||
| Property and equipment, net | 122 | 106 | ||||||
| Other assets | ||||||||
| 70,869 | 70,869 | |||||||
| Patent rights, net | 4,267 | 4,586 | ||||||
| Technology assets, net | 6,281 | 6,870 | ||||||
| Tradename and customer relationships, net | 28,162 | 29,340 | ||||||
| Operating lease right of use assets | 452 | 404 | ||||||
| Security deposits and other assets | 18 | 28 | ||||||
| Total other assets | 110,049 | 112,097 | ||||||
| TOTAL ASSETS | $ | 164,317 | $ | 176,918 | ||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||
| Current liabilities | ||||||||
| Current portion of long-term debt | $ | 1,250 | $ | 4,255 | ||||
| Accounts payable | 1,323 | 1,636 | ||||||
| Accrued expenses | 5,389 | 11,591 | ||||||
| Revenue share payable | 813 | 3,086 | ||||||
| Current portion of lease liabilities | 227 | 193 | ||||||
| Deferred revenue | 709 | 503 | ||||||
| Total current liabilities | 9,711 | 21,264 | ||||||
| Non-current liabilities | ||||||||
| Long-term debt, net | 17,757 | 21,421 | ||||||
| Lease liabilities, net of current portion | 246 | 234 | ||||||
| Deferred tax liabilities, net | 5,521 | 5,705 | ||||||
| Total liabilities | 33,235 | 48,624 | ||||||
| Commitments and contingencies | ||||||||
| Stockholders’ equity | ||||||||
| Preferred stock, outstanding at |
— | — | ||||||
| Common stock, 20,500,986 shares issued at |
21 | 20 | ||||||
December 31, 2025. |
(2 | ) | (2 | ) | ||||
| Additional paid-in-capital | 211,486 | 207,512 | ||||||
| Accumulated other comprehensive income (loss) | 11 | — | ||||||
| Accumulated deficit | (80,434 | ) | (79,236 | ) | ||||
| Total stockholders’ equity | 131,082 | 128,294 | ||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 164,317 | $ | 176,918 | ||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME (LOSS) (in thousands, except share and per share data, unaudited) |
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| For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
| 2026 |
2025 |
2026 |
2025 |
|||||||||||||
| Net revenue | $ | 20,504 | $ | 29,195 | $ | 40,348 | $ | 51,123 | ||||||||
| Expenses | ||||||||||||||||
| Cost of revenues, exclusive of depreciation and amortization presented separately below |
4,816 | 10,560 | 9,728 | 19,144 | ||||||||||||
| Sales and marketing | 5,528 | 5,865 | 10,257 | 10,850 | ||||||||||||
| General and administrative | 3,702 | 3,909 | 7,215 | 8,466 | ||||||||||||
| Research and development | 3,274 | 3,092 | 6,676 | 6,344 | ||||||||||||
| Stock-based compensation | 2,208 | 1,488 | 4,036 | 3,046 | ||||||||||||
| Depreciation and amortization | 1,064 | 1,074 | 2,128 | 2,168 | ||||||||||||
| Total expenses | 20,592 | 25,988 | 40,040 | 50,018 | ||||||||||||
| Income from operations | (88 | ) | 3,207 | 308 | 1,105 | |||||||||||
| Other income (expense) | ||||||||||||||||
| Interest expense | (1,127 | ) | (1,603 | ) | (2,282 | ) | (2,899 | ) | ||||||||
| Other income | 38 | 37 | 76 | 76 | ||||||||||||
| Interest income | 81 | 90 | 158 | 177 | ||||||||||||
| Total other expenses, net | (1,008 | ) | (1,476 | ) | (2,048 | ) | (2,646 | ) | ||||||||
| Income (loss) before provision for income taxes | (1,096 | ) | 1,731 | (1,740 | ) | (1,541 | ) | |||||||||
| Income tax benefit (expense) | 393 | (199 | ) | 542 | 874 | |||||||||||
| Net income (loss) | $ | (703 | ) | $ | 1,532 | $ | (1,198 | ) | $ | (667 | ) | |||||
| Other comprehensive income (loss), net of tax: | ||||||||||||||||
| Foreign currency translation adjustment | 11 | — | 11 | — | ||||||||||||
| Comprehensive income (loss) | $ | (692 | ) | $ | 1,532 | $ | (1,187 | ) | $ | (667 | ) | |||||
| Weighted average number of shares outstanding – basic |
18,785,596 | 18,510,834 | 18,773,638 | 18,490,931 | ||||||||||||
| Weighted average number of shares outstanding – diluted |
18,785,596 | 19,015,496 | 18,773,638 | 18,490,931 | ||||||||||||
| Income (loss) per share – basic | $ | (0.04 | ) | $ | 0.08 | $ | (0.06 | ) | $ | (0.04 | ) | |||||
| Income (loss) per share – diluted | $ | (0.04 | ) | $ | 0.08 | $ | (0.06 | ) | $ | (0.04 | ) | |||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (in thousands, unaudited) |
||||||||
| For the Six Months Ended |
||||||||
| 2026 |
2025 |
|||||||
| OPERATING ACTIVITIES: | ||||||||
| Net loss | $ | (1,198 | ) | $ | (667 | ) | ||
| Adjustments to reconcile net loss to net cash provided by operating activities: | ||||||||
| Depreciation and amortization | 2,128 | 2,168 | ||||||
| Stock-based compensation | 4,036 | 3,046 | ||||||
| Amortization of debt issuance costs | 635 | 611 | ||||||
| Changes in: | ||||||||
| Accounts receivable | 12,956 | 4,700 | ||||||
| Prepaid expenses and other assets | (81 | ) | (958 | ) | ||||
| Accounts payable | (313 | ) | (174 | ) | ||||
| Revenue share payable | (2,273 | ) | (2,462 | ) | ||||
| Accrued expenses and other liabilities | (6,190 | ) | 4,138 | |||||
| Operating lease liabilities | (2 | ) | 9 | |||||
| Deferred tax liabilities | (184 | ) | (1,033 | ) | ||||
| Taxes receivable and payable | (1,576 | ) | (964 | ) | ||||
| Deferred revenue | 206 | 11 | ||||||
| NET CASH PROVIDED BY OPERATING ACTIVITIES | 8,144 | 8,425 | ||||||
| INVESTING ACTIVITIES: | ||||||||
| Purchase of property and equipment | (56 | ) | (37 | ) | ||||
| Capitalized software development costs | — | (91 | ) | |||||
| (56 | ) | (128 | ) | |||||
| FINANCING ACTIVITIES: | ||||||||
| Cash paid for employee withholding taxes related to the vesting of restricted stock units | (63 | ) | (92 | ) | ||||
| Proceeds from term loan, net of issuance costs | 24,298 | — | ||||||
| Repayment of long-term debt | (31,603 | ) | (5,000 | ) | ||||
| (7,368 | ) | (5,092 | ) | |||||
| EFFECT OF EXCHANGE RATE CHANGES ON CASH AND CASH EQUIVALENTS |
11 | |||||||
| NET INCREASE IN CASH AND CASH EQUIVALENTS | 731 | 3,205 | ||||||
| CASH AND CASH EQUIVALENTS - BEGINNING OF PERIOD | 23,365 | 13,380 | ||||||
| CASH AND CASH EQUIVALENTS - END OF PERIOD | $ | 24,096 | $ | 16,585 | ||||
| SUPPLEMENTAL CASH FLOW INFORMATION: | ||||||||
| Cash paid for interest | $ | 1,566 | $ | 3,409 | ||||
| Cash paid for income taxes | $ | 1,223 | $ | 1,087 | ||||
RECONCILIATION of GAAP to NON-GAAP FINANCIAL MEASURES
(in thousands, except share and per share data, unaudited)
This earnings release includes certain financial measures that are not prepared in accordance with generally accepted accounting principles (GAAP). These non-GAAP financial measures are performance measures that are not defined under GAAP and should be considered in addition to, and not as a substitute for, the most directly comparable GAAP measures. They may also not be comparable to similarly titled measures reported by other companies. Management believes that presenting these non-GAAP financial measures provides useful supplemental information that facilitates comparison of the Company's historical operating results and trends, and offers transparency into how management evaluates the business. Management uses these measures in making financial, operating and planning decisions and in evaluating the Company's performance. Excluding items that management does not consider reflective of ongoing operating results improves the comparability of year-over-year results and helps investors better understand the Company’s underlying performance. These adjustments may include items such as asset impairment charges, amortization, stock-based compensation, acquisition expenses, severance related to executive departures and reductions in force initiatives, shareholder activist related fees, CEO search fees, CMO search fees, other income, estimated income tax impact from adjustments and other items that management believes are not related to the Company’s ongoing performance.
| For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
| 2026 |
2025 |
2026 |
2025 |
|||||||||||||
| Net income (loss) | $ | (703 | ) | $ | 1,532 | $ | (1,198 | ) | $ | (667 | ) | |||||
| Depreciation and amortization | 1,064 | 1,074 | 2,128 | 2,168 | ||||||||||||
| Stock-based compensation | 2,208 | 1,488 | 4,036 | 3,046 | ||||||||||||
| Severance expenses | 1,714 | — | 1,744 | 275 | ||||||||||||
| Shareholder activist related fees | — | — | — | 451 | ||||||||||||
| CEO search fees | — | — | — | 225 | ||||||||||||
| CMO search fees | 40 | — | 40 | — | ||||||||||||
| Other income | (38 | ) | (37 | ) | (76 | ) | (76 | ) | ||||||||
| Amortization of debt issuance costs | 277 | 437 | 635 | 611 | ||||||||||||
| Estimated income tax impact from adjustments* | (1,456 | ) | (819 | ) | (2,353 | ) | (1,853 | ) | ||||||||
| Non-GAAP net income | $ | 3,106 | $ | 3,675 | $ | 4,956 | $ | 4,180 | ||||||||
| Non-GAAP net income per share | ||||||||||||||||
| Diluted | $ | 0.16 | $ | 0.19 | $ | 0.26 | $ | 0.22 | ||||||||
| Weighted average shares outstanding: | ||||||||||||||||
| Diluted | 18,907,884 | 19,015,496 | 18,992,154 | 18,599,906 | ||||||||||||
| *Estimated income tax impact from adjustments - consists of current and deferred income tax expense commensurate with the level of adjusted income before income taxes and utilizes an estimated current, blended |
||||||||||||||||
| For the Three Months Ended |
For the Six Months Ended |
|||||||||||||||
| 2026 |
2025 |
2026 |
2025 |
|||||||||||||
| Net income (loss) | $ | (703 | ) | $ | 1,532 | $ | (1,198 | ) | $ | (667 | ) | |||||
| Depreciation and amortization | 1,064 | 1,074 | 2,128 | 2,168 | ||||||||||||
| Income tax (benefit) expense | (393 | ) | 199 | (542 | ) | (874 | ) | |||||||||
| Stock-based compensation | 2,208 | 1,488 | 4,036 | 3,046 | ||||||||||||
| Severance expenses | 1,714 | — | 1,744 | 275 | ||||||||||||
| Shareholder activist related fees | — | — | — | 451 | ||||||||||||
| CEO search fees | — | — | — | 225 | ||||||||||||
| CMO search fees | 40 | — | 40 | — | ||||||||||||
| Other income | (38 | ) | (37 | ) | (76 | ) | (76 | ) | ||||||||
| Interest expense, net | 1,046 | 1,513 | 2,124 | 2,722 | ||||||||||||
| Adjusted EBITDA | $ | 4,938 | $ | 5,769 | $ | 8,256 | $ | 7,270 | ||||||||
Source: OptimizeRx Corporation