DataMEDS AI — Third Quarter 2026 Earnings Summary

Financial Performance:

• Third quarter 2026 revenue was $2.7 million, representing a 50% sequential increase from $1.8 million in the second quarter of 2026.
• Net revenues for the three months ended September 30, 2026, were $2,668,980, compared to $3,012,904 for the same period in 2025.
• The company recorded a net operating profit of $10.535 million for the quarter ended September 30, 2026, reversing a net operating loss of $34.318 million in the same quarter of 2025.
• Net income for the quarter ended September 30, 2026, was $10,535,560, compared to a net loss of $34,318,204 in the prior year period.
• Net profit per share for the quarter ended September 30, 2026, was $2.72 (diluted), compared to a loss of $23.07 per share in the prior year period.
• Weighted average shares outstanding for the quarter ended September 30, 2026, were 3.961 million (diluted), compared to 1.488 million in the prior year period.
• Gross profit for the three months ended September 30, 2026, was $431,880, compared to $231,012 in the same period of 2025.
• General and administrative expenses for the quarter ended September 30, 2026, were $3,343,627, a significant reduction from $30,172,800 in the prior year period.
• A gain on extinguishment of debt of $19,064,881 was recorded in the quarter ended September 30, 2026, compared to a loss of $1,353,663 in the prior year period.
• Cash and cash equivalents increased to $476,598 as of September 30, 2026, from $42,571 as of December 31, 2025.
• Total liabilities decreased to $38,562,173 as of September 30, 2026, from $42,907,250 as of December 31, 2025.
• Total stockholders' equity improved to $171,695 as of September 30, 2026, from a deficit of $12,447,801 as of December 31, 2025.

Guidance and Future Outlook:

• Management expects continued revenue growth in the fourth quarter based on the addition of revenue streams from medical foods and diagnostic lab tests.
• Definitive agreements for the HMO relationship are expected to be executed in the fourth quarter of 2026.

Business Segments and Product Lines:

• Corexa Pharmacy drug dispensing was the primary driver of the 50% sequential revenue growth.
• The company launched the "Health Lives Here" mobile app, partnered with NFL Alumni Health, to dispense FDA-approved GLP-1 medications and Forzet™ medical food.
• DataMEDS obtained an exclusive license to the REBOOT GLP-1 patient management platform and related intellectual property in October 2026.
• Corexa Pharmacy launched compounded peptides under the FDA's Enforcement Discretion Policy in November 2026.
• The company acquired Helomics Corporation, a cancer diagnostics laboratory, in September 2026, adding proprietary revenue streams from the ChemoFx® Assay.
• Helomics' biobank contains 70,000+ primary tumor biopsies, creating drug discovery opportunities.
• The company is expanding Helomics' test menu to support patient groups beyond cancer, specifically GLP-1 patients.
• An MOU was signed with a Florida-based HMO to deploy the Health Lives Here app to over 25,000 members.

Market and Competitive Landscape:

• The REBOOT license and patented AI-assisted patient management services are positioned to create a moat for scaling customer acquisition and increasing long-term customer value.
• Humana's South Carolina Medicaid coverage policy for the ChemoFx® Assay, effective July 22, 2026, opens the cancer pharmaceuticals market for Corexa Pharmacy.
• The company is utilizing the NFL Alumni Health marketing platform as a unique customer acquisition channel.

Risks and Challenges:

• Compounded drugs are not FDA-approved and have not been evaluated by the FDA for safety or efficacy.
• The HMO relationship is currently a non-binding memorandum of understanding, and definitive agreements may not be executed on the expected timeline or at all.
• Forward-looking statements regarding revenue growth, customer acquisition, and the scope of the REBOOT license are subject to risks and uncertainties.
• Risks include potential changes or withdrawal of the FDA's Enforcement Discretion Policy, regulatory compliance issues, and the ability to maintain Nasdaq listing standards.

Management Commentary and Tone:

• Gerald Commissiong, Interim Co-CEO, stated that Corexa Pharmacy drove a 50% sequential revenue increase with continued growth expected.
• Management expressed confidence that the combination of the Health Lives Here app, REBOOT license, medical foods, Helomics acquisition, HMO relationship, and compounded peptides positions the company for continued growth.
• Management noted that the net profit was largely due to the extinguishment of debt and liabilities related to prior management and litigation, as well as reduced management compensation and general and administrative expenses.

Other Key Points:

• On October 19, 2026, the company regained full compliance with Nasdaq listing standards, including the net equity requirement.
• The company recorded a loss on extinguishment of a vendor obligation of $3,605,978 in the quarter ended September 30, 2026.
• The company holds a non-controlling interest of $1,867,365 as of September 30, 2026.
• The company is formerly known as Wellgistics Health, Inc.