Semler Scientific® Reports Third Quarter 2024 Financial Results and Additional Bitcoin Purchases
Semler Scientific (NASDAQ: SMLR) reported Q3 2024 financial results showing revenues of $13.5M, down 17% year-over-year, and net income of $5.6M ($0.80 per basic share). The company announced additional bitcoin purchases, bringing total holdings to 1,058 bitcoins acquired for $71.0M. Income from operations was $5.1M, a 20% decrease from Q3 2023. The company's two largest customers comprised 44% and 29% of Q3 2024 revenues. Semler continues to focus on bitcoin acquisition while maintaining its healthcare business, utilizing both operating cash flow and ATM program proceeds for purchases.
Semler Scientific (NASDAQ: SMLR) ha riportato i risultati finanziari del terzo trimestre 2024, mostrando ricavi di 13,5 milioni di dollari, in calo del 17% rispetto all'anno precedente, e un utile netto di 5,6 milioni di dollari (0,80 dollari per azione base). L'azienda ha annunciato ulteriori acquisti di bitcoin, portando il totale delle partecipazioni a 1.058 bitcoin acquistati per 71 milioni di dollari. L'utile operativo è stato di 5,1 milioni di dollari, con una diminuzione del 20% rispetto al terzo trimestre 2023. I due clienti più grandi dell'azienda hanno rappresentato il 44% e il 29% dei ricavi del terzo trimestre 2024. Semler continua a concentrarsi sull'acquisizione di bitcoin mentre mantiene attiva la sua attività sanitaria, utilizzando sia il flusso di cassa operativo che i proventi del programma ATM per gli acquisti.
Semler Scientific (NASDAQ: SMLR) informó los resultados financieros del tercer trimestre de 2024, mostrando ingresos de 13.5 millones de dólares, una disminución del 17% en comparación con el año anterior, y un ingreso neto de 5.6 millones de dólares (0.80 dólares por acción básica). La compañía anunció adquisiciones adicionales de bitcoin, llevando el total de tenencias a 1,058 bitcoins adquiridos por 71 millones de dólares. Los ingresos de operaciones fueron de 5.1 millones de dólares, una disminución del 20% con respecto al tercer trimestre de 2023. Los dos clientes más grandes de la empresa representaron el 44% y el 29% de los ingresos del tercer trimestre de 2024. Semler continúa enfocándose en la adquisición de bitcoin mientras mantiene su negocio de atención médica, utilizando tanto el flujo de caja operativo como los ingresos del programa ATM para las compras.
Semler Scientific (NASDAQ: SMLR)는 2024년 3분기 재무 결과를 보고하며 1350만 달러의 수익을 기록했으며, 이는 전년 대비 17% 감소한 수치입니다. 순이익은 560만 달러(기본 주당 0.80달러)입니다. 이 회사는 총 1058비트코인을 7100만 달러에 매입하여 비트코인 추가 구매를 발표했습니다. 운영 수익은 510만 달러로, 2023년 3분기보다 20% 감소한 수치입니다. 이 회사의 두 개의 주요 고객은 2024년 3분기 수익의 각각 44%와 29%를 차지했습니다. Semler는 의료 비즈니스를 유지하면서 비트코인 매입에 계속 집중하고 있으며, 구매를 위해 운영 현금 흐름과 ATM 프로그램 수익을 모두 활용하고 있습니다.
Semler Scientific (NASDAQ: SMLR) a annoncé les résultats financiers du troisième trimestre 2024, affichant des revenus de 13,5 millions de dollars, en baisse de 17 % par rapport à l'année précédente, et un revenu net de 5,6 millions de dollars (0,80 dollar par action ordinaire). La société a annoncé des achats de bitcoin supplémentaires, portant le total des avoirs à 1 058 bitcoins acquis pour 71 millions de dollars. Le revenu opérationnel s'est établi à 5,1 millions de dollars, soit une baisse de 20 % par rapport au troisième trimestre 2023. Les deux plus grands clients de l'entreprise représentaient 44 % et 29 % des revenus du troisième trimestre 2024. Semler continue de se concentrer sur l'acquisition de bitcoin tout en maintenant son activité dans le secteur de la santé, utilisant à la fois le flux de trésorerie d'exploitation et les recettes du programme de distributeurs automatiques pour ses achats.
Semler Scientific (NASDAQ: SMLR) berichtete über die finanziellen Ergebnisse des dritten Quartals 2024 und wies Einnahmen von 13,5 Millionen USD aus, was einem Rückgang von 17 % im Vergleich zum Vorjahr entspricht, sowie einen Nettogewinn von 5,6 Millionen USD (0,80 USD pro Stammaktie). Das Unternehmen kündigte zusätzliche Bitcoin-Käufe an, wodurch der Gesamtbestand auf 1.058 Bitcoins angewachsen ist, die für 71 Millionen USD erworben wurden. Der Betriebsertrag betrug 5,1 Millionen USD, was einem Rückgang von 20 % im Vergleich zum dritten Quartal 2023 entspricht. Die beiden größten Kunden des Unternehmens machten 44 % und 29 % der Einnahmen im dritten Quartal 2024 aus. Semler konzentriert sich weiterhin auf den Erwerb von Bitcoin, während das Unternehmen sein Gesundheitsgeschäft aufrechterhält und sowohl Betriebscashflow als auch die Erlöse aus dem ATM-Programm für die Käufe nutzt.
- Net income increased 2% to $5.6M compared to $5.5M in Q3 2023
- Unrealized gain of $1.1M from bitcoin holdings in Q3 2024
- Lower effective tax rate of 12% compared to 21% in prior year
- Revenue decreased 17% to $13.5M from $16.3M in Q3 2023
- Income from operations declined 20% to $5.1M from $6.3M
- High customer concentration with two clients representing 73% of revenue
- Operating expenses increased 4% in cost of revenues
- Cumulative reduction in fair value of bitcoin holdings of $3.9M
Insights
The Q3 results reveal a mixed financial picture. Revenue declined
The company's significant pivot to bitcoin investing is notable, with
The ATM program and continued bitcoin purchases signal an aggressive expansion of their crypto strategy, though this introduces new volatility risks to their business model. Operating cash flow remains strong at
Semler's bitcoin strategy shows aggressive accumulation at an average price of
The unrealized loss of
"We are pleased to report strong performance from our healthcare business with income from operations of
"We are capitalizing on the opportunity to maximize stakeholder value by accumulating bitcoin," said Eric Semler, chairman of Semler Scientific. "We plan to continue to purchase bitcoin with cash from operations and with cash proceeds from our sales under our ATM program. In addition, we are exploring additional financing opportunities that will enable us to acquire even more bitcoin."
FINANCIAL RESULTS
For the third quarter ended September 30, 2024, compared to the corresponding period of 2023, Semler Scientific reported:
- Revenues of
$13.5 million $2.8 million 17% , compared to$16.3 million - Cost of revenues of
$1.2 million $0.1 million 4% , compared to$1.1 million - Total operating expenses, which include cost of revenues, of
$8.4 million $1.6 million 16% , compared to$10.0 million - Income from operations of
$5.1 million $1.2 million 20% , compared to$6.3 million - Pre-tax income of
$6.4 million $1.1 million $0.6 million 9% , compared to$7.0 million - Income tax expense of
$0.8 million 12% , compared to$1.5 million 21% . - Net income of
$5.6 million $0.80 $0.72 $0.1 million 2% , compared to net income of$5.5 million $0.82 $0.71
Semler Scientific's two largest customers (including their affiliates) comprised
BITCOIN HOLDINGS
As of September 30, 2024, Semler Scientific held 1,018 bitcoins with a fair value of
Subsequently through November 4, 2024, Semler Scientific purchased an additional 40 bitcoins for an aggregate cost of
ATM Update
As previously disclosed in Semler Scientific's registration statement on Form S-3 that became effective on August 13, 2024, Semler Scientific entered into a Controlled Equity Offeringsm Sales Agreement (the Sales Agreement) with Cantor Fitzgerald & Co., pursuant to which the Company may issue and sell from time to time up to
Notice of Conference Call
Semler Scientific will host a conference call today at 4:30 p.m. ET. The call will address results of the third quarter ended September 30, 2024, as well as provide a business update on Semler Scientific's strategies for the near-term future. Questions can be submitted prior to the start of the call to ir@semlerscientific.com.
Participants are encouraged to pre-register for the conference call using the following link: https://dpregister.com/sreg/10193272/fda6de9798. Callers who pre-register will be given a conference passcode and unique PIN to gain immediate access to the call and bypass the live operator. Participants may pre-register at any time, including up to and after the call start time. Those without internet access or who are unable to pre-register may dial in by calling:
Domestic callers: (833) 816–1161
International callers: (412) 317–0717
Please specify to the operator that you would like to join the "Semler Scientific Call." The conference call will be archived on Semler Scientific's website at www.semlerscientific.com.
Semler Scientific, Inc. Condensed Statements of Income Unaudited (In thousands of | ||||||||||||
For the three months ended September 30, | For the nine months ended September 30, | |||||||||||
2024 | 2023 | 2024 | 2023 | |||||||||
Revenues | $ | 13,512 | $ | 16,316 | $ | 43,881 | $ | 53,127 | ||||
Operating expenses: | ||||||||||||
Cost of revenues | 1,156 | 1,111 | 3,657 | 3,599 | ||||||||
Engineering and product development | 1,186 | 1,174 | 3,764 | 4,566 | ||||||||
Sales and marketing | 2,976 | 3,423 | 10,107 | 13,601 | ||||||||
General and administrative | 3,129 | 3,710 | 8,962 | 11,028 | ||||||||
Strategic streamlining | — | 599 | — | 599 | ||||||||
Total operating expenses | 8,447 | 10,017 | 26,490 | 33,393 | ||||||||
Income from operations | 5,065 | 6,299 | 17,391 | 19,734 | ||||||||
Interest and dividend income | 168 | 692 | 1,699 | 1,772 | ||||||||
Change in fair value of notes held for investment | — | — | 128 | (217) | ||||||||
Change in fair value of digital assets | 1,137 | — | (3,918) | — | ||||||||
Other income (expense) | 5 | (3) | 8 | (3) | ||||||||
Other income (expense), net | 1,310 | 689 | (2,083) | 1,552 | ||||||||
Pre-tax income | 6,375 | 6,988 | 15,308 | 21,286 | ||||||||
Income tax provision | 766 | 1,474 | 3,615 | 4,924 | ||||||||
Net income | $ | 5,609 | $ | 5,514 | $ | 11,693 | $ | 16,362 | ||||
Net income per share, basic | $ | 0.80 | $ | 0.82 | $ | 1.68 | $ | 2.44 | ||||
Weighted average number of shares used in computing basic net income per share | 7,045,108 | 6,717,301 | 6,961,095 | 6,708,675 | ||||||||
Net income per share, diluted | $ | 0.72 | $ | 0.71 | $ | 1.50 | $ | 2.09 | ||||
Weighted average number of shares used in computing diluted net income per share | 7,771,088 | 7,818,236 | 7,783,350 | 7,847,390 | ||||||||
Semler Scientific, Inc. Condensed Balance Sheets (In thousands of | ||||||
September 30, | December 31, | |||||
2024 | 2023 | |||||
Unaudited | ||||||
Assets | ||||||
Current Assets: | ||||||
Cash and cash equivalents | $ | 6,568 | $ | 57,200 | ||
Restricted cash | 133 | 132 | ||||
Trade accounts receivable, net of allowance for credit losses of | 6,667 | 6,125 | ||||
Short-term notes held for investment | 6,100 | — | ||||
Inventory, net | 380 | 445 | ||||
Prepaid expenses and other current assets | 1,646 | 2,042 | ||||
Total current assets | 21,494 | 65,944 | ||||
Assets for lease, net | 1,737 | 2,285 | ||||
Property and equipment, net | 548 | 720 | ||||
Long-term investments | 512 | 512 | ||||
Notes held for investment | — | 5,372 | ||||
Intangible digital assets | 64,482 | — | ||||
Other non-current assets | 106 | 270 | ||||
Deferred tax assets, net of valuation allowance of | 3,315 | 2,962 | ||||
Total assets | $ | 92,194 | $ | 78,065 | ||
Liabilities and Stockholders' Equity | ||||||
Current liabilities: | ||||||
Accounts payable | $ | 545 | $ | 402 | ||
Accrued expenses | 5,258 | 4,502 | ||||
Deferred revenue | 805 | 1,120 | ||||
Other short-term liabilities | 231 | 176 | ||||
Total current liabilities | 6,839 | 6,200 | ||||
Long-term liabilities: | ||||||
Other long-term liabilities | — | 70 | ||||
Total long-term liabilities | — | 70 | ||||
Commitments and contingencies | ||||||
Stockholders' equity: | ||||||
Common stock, | 7 | 7 | ||||
Additional paid-in capital | 13,852 | 11,985 | ||||
Retained earnings | 71,496 | 59,803 | ||||
Total stockholders' equity | 85,355 | 71,795 | ||||
Total liabilities and stockholders' equity | $ | 92,194 | $ | 78,065 | ||
Semler Scientific, Inc. Condensed Statements of Cash Flows Unaudited (In thousands of | ||||||
Nine months ended September 30, | ||||||
2024 | 2023 | |||||
CASH FLOWS FROM OPERATING ACTIVITIES: | ||||||
Net income | $ | 11,693 | $ | 16,362 | ||
Reconciliation of Net Income to Net Cash Provided by Operating Activities: | ||||||
Depreciation | 480 | 439 | ||||
Deferred tax expense | (353) | (478) | ||||
Loss on disposal of assets for lease | 323 | 355 | ||||
Loss on disposal of inventory | — | 171 | ||||
Gain on short-term investments | — | (307) | ||||
Allowance for credit losses | (21) | 203 | ||||
Change in fair value of notes held for investment | (128) | 217 | ||||
Change in fair value of digital assets | 3,918 | — | ||||
Stock-based compensation | 498 | 907 | ||||
Changes in Operating Assets and Liabilities: | ||||||
Trade accounts receivable | (512) | (2,284) | ||||
Inventory | 65 | 30 | ||||
Prepaid expenses and other current assets | 388 | (478) | ||||
Other non-current assets | 64 | 98 | ||||
Accounts payable | 143 | (535) | ||||
Accrued expenses | 756 | 2,250 | ||||
Other current and non-current liabilities | (16) | (22) | ||||
Deferred revenue | (315) | (40) | ||||
Net Cash Provided by Operating Activities | 16,983 | 16,888 | ||||
CASH FLOWS FROM INVESTING ACTIVITIES: | ||||||
Additions to property and equipment | (48) | (310) | ||||
Purchase of notes held for investment | (500) | (1,000) | ||||
Purchase of digital assets | (68,400) | — | ||||
Proceeds from maturities of short-term investments | — | 59,719 | ||||
Purchase of short-term investments | — | (57,869) | ||||
Purchase of assets for lease | (35) | (773) | ||||
Net Cash Used in Investing Activities | (68,983) | (233) | ||||
CASH FLOWS FROM FINANCING ACTIVITIES: | ||||||
Repurchase of warrants | — | (1,949) | ||||
Proceeds from issuance of common stock | 2,536 | — | ||||
Taxes paid related to net settlement of equity awards | (874) | (247) | ||||
Stock issuance expenses | (588) | — | ||||
Proceeds from exercise of stock options | 295 | 24 | ||||
Net Cash Provided by (Used in) Financing Activities | 1,369 | (2,172) | ||||
(DECREASE) INCREASE IN CASH | (50,631) | 14,483 | ||||
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, BEGINNING OF PERIOD | 57,332 | 23,014 | ||||
CASH, CASH EQUIVALENTS AND RESTRICTED CASH, END OF PERIOD | $ | 6,701 | $ | 37,497 | ||
Semler Scientific, Inc. Digital Assets- Additional Information Rollforward of bitcoin holdings Unaudited | |||||||||||||||
Source of Capital Used to Purchase Bitcoin | Digital Assets at Cost | Change in Fair Value | Digital Assets at Fair Value | Approximate Number of Bitcoin Held | Approximate Average Purchase Price Per Bitcoin | ||||||||||
Balance as of March 31, 2024 | $ | — | $ | — | $ | — | — | $ | — | ||||||
Digital assets purchased | (a) | 60,000 | 60,000 | 877 | 68,436 | ||||||||||
Change in fair value of the digital assets | (5,055) | (5,055) | |||||||||||||
Balance as of June 30, 2024 | $ | 60,000 | $ | (5,055) | $ | 54,945 | 877 | $ | 68,436 | ||||||
Digital assets purchased | (b) | 8,400 | — | 8,400 | 141 | 67,177 | |||||||||
Change in fair value of the digital assets | — | 1,137 | 1,137 | — | — | ||||||||||
Balance as of September 30, 2024 | $ | 68,400 | $ | (3,918) | $ | 64,482 | 1,018 | $ | 67,177 | ||||||
(a) | Cash from operations |
(b) | Cash from operations and proceeds from ATM offering. |
About Semler Scientific, Inc.:
Semler Scientific, Inc. is a pioneer in developing and marketing technology products and services to healthcare providers to combat chronic diseases. Its flagship product, QuantaFlo®, which is patented and cleared by the
Forward-Looking Statements
This press release contains "forward-looking" statements. Such statements can be identified by, among other things, the use of forward-looking language such as the words "believe," "goal," "may," "will," "intend," "expect," "anticipate," "estimate," "project," "would," "could" or words with similar meaning or the negatives of these terms or by the discussion of strategy or intentions. The forward-looking statements in this release include express or implied statements regarding acquiring and holding bitcoin; as well as innovation and growth in its healthcare business; and sales of securities under the Sales Agreement and other financings to support additional bitcoin purchases; seeking a new 510(k) clearance for QuantaFlo with expanded indications; among others. Such forward-looking statements are subject to a number of risks and uncertainties that could cause Semler Scientific's actual results to differ materially from those discussed here, such as risks inherent with investing in bitcoin, including bitcoin's volatility; risk of implementing a new bitcoin treasury strategy; risk that insurance plans and other customers will not continue to license its cardiovascular testing products; risk of changes in the reimbursement landscape for its customers including related to the Centers for Medicare and Medicaid Services (CMS) rate announcement; risk of obtaining a new 510(k) clearance for expanded indications; along with those other risk factors detailed in Semler Scientific's filings with the Securities and Exchange Commission. These forward-looking statements involve assumptions, estimates, and uncertainties that reflect current internal projections, expectations or beliefs. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. All forward-looking statements contained in this press release are qualified in their entirety by these cautionary statements and the risk factors described above. Furthermore, all such statements are made as of the date of this press release and Semler Scientific assumes no obligation to update or revise these statements unless otherwise required by law.
No Offer or Solicitation
This press release does not and shall not constitute an offer to sell or a solicitation of an offer to buy any securities of Semler Scientific, Inc., nor shall there be any offer, solicitation or sale of such securities, in any state or jurisdiction in which such an offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.
INVESTOR CONTACT:
Renae Cormier
Chief Financial Officer
ir@semlerscientific.com
View original content to download multimedia:https://www.prnewswire.com/news-releases/semler-scientific-reports-third-quarter-2024-financial-results-and-additional-bitcoin-purchases-302295779.html
SOURCE Semler Scientific, Inc.
FAQ
What was Semler Scientific's (SMLR) revenue in Q3 2024?
How many bitcoins does Semler Scientific (SMLR) own as of November 2024?
What was Semler Scientific's (SMLR) net income per share in Q3 2024?
How much did Semler Scientific (SMLR) raise through its ATM offering?
