OptimizeRx Corporation reported significant financial developments in its 10-Q filing for the quarter ending September 30, 2024. The company, which specializes in digital health technology, experienced a notable increase in net revenue, reporting $21.3 million for the third quarter of 2024, a 30% rise from $16.3 million in the same period of 2023. For the nine months ended September 30, 2024, net revenue reached $59.8 million, up 39% from $43.2 million year-over-year. This growth is attributed to the acquisition of Medicx Health in October 2023 and an increase in revenue from the Dynamic Audience Activation Platform (DAAP), despite a reduction in revenue from the disposed non-core Access solutions.

Gross profit for the third quarter of 2024 was $13.4 million, yielding a gross margin of 63.1%, compared to $9.8 million and a 60.0% margin in the prior year. The improvement in gross margin is linked to higher-margin revenue solutions and more cost-effective partnerships. However, total operating expenses surged to $22.0 million, a 65% increase from $13.4 million in Q3 2023, primarily due to higher general and administrative costs and increased depreciation and amortization expenses.

The company reported a net loss of $9.1 million for the third quarter of 2024, compared to a loss of $2.9 million in the same quarter of 2023. For the nine-month period, the net loss was $20.0 million, up from $13.4 million in the previous year. The loss per share for the third quarter was $(0.50), compared to $(0.17) in Q3 2023.

As of September 30, 2024, OptimizeRx had total assets of $165.2 million, down from $183.4 million at the end of 2023. Total stockholders’ equity also decreased to $114.5 million from $126.6 million. The company’s cash and cash equivalents increased to $16.1 million from $13.9 million at the end of 2023, reflecting improved cash management.

In terms of strategic developments, OptimizeRx acquired 100% of Healthy Offers, Inc. (d/b/a Medicx Health) on October 24, 2023, enhancing its capabilities in direct-to-consumer healthcare marketing. The company also entered into a $40 million term loan to finance this acquisition, which carries an interest rate of 14.0%. As of September 30, 2024, the company was in compliance with all financial covenants associated with this loan.

Overall, while OptimizeRx has shown revenue growth and improved gross margins, it continues to face challenges with rising operating expenses and net losses.

About OptimizeRx Corp

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