Latest news with #SRxHealthSolutions
Business Upturn
16-05-2025
- Business
- Business Upturn
SRx Health Solutions Further Diversifies Treasury Strategy with Purchase of Ethereum
TAMPA, Fla., May 16, 2025 (GLOBE NEWSWIRE) — SRx Health Solutions, Inc. (NYSE American: SRXH) (the 'Company'), a leading global health and wellness company, today announced further diversifying its treasury strategy with the purchase of Ethereum (ETH). The Company has sold its ownership of $1.5 million of Solana Tokens (SOL). 'We will actively continue to allocate a portion of our capital to invest in cryptocurrencies as a diversification of our assets to create long-term value for our shareholders,' commented Adesh Vora Chairman of SRx Health Solutions. About SRx Health Solutions, Inc. SRx Health Solutions Inc. is an integrated Canadian healthcare services provider that operates within the specialty healthcare industry. The SRx network extends across all ten Canadian provinces, making it one of the most accessible providers of comprehensive, integrated, and customized specialty healthcare services in the country. SRx combines years of industry knowledge, technology, and patient-centric focus to create strategies and solutions that consistently exceed client expectations and drive critical patient care initiatives aimed to improve the wellness of Canadians. For more information on SRx Health Solutions Inc., please visit Forward Looking Statements This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words 'believe,' 'may,' 'estimate,' 'continue,' 'anticipate,' 'intend,' 'should,' 'plan,' 'could,' 'target,' 'potential,' 'is likely,' 'will,' 'expect' and similar expressions, as they relate to us, are intended to identify forward-looking statements. The Company has based these forward-looking statements largely on our current expectations and projections about future events and financial trends that we believe may affect our financial condition, results of operations, business strategy and financial needs. Some or all of the results anticipated by these forward-looking statements may not be achieved. Further information on the Company's risk factors is contained in our filings with the SEC. Any forward-looking statement made by us herein speaks only as of the date on which it is made. Factors or events that could cause our actual results to differ may emerge from time to time, and it is not possible for us to predict all of them. The Company undertakes no obligation to publicly update any forward-looking statement, whether as a result of new information, future developments or otherwise, except as may be required by law. Company Contact:SRx Health Solutions, Inc. Adesh A. Vora, Chairman
Yahoo
16-05-2025
- Business
- Yahoo
Q1 2025 SRx Health Solutions, Inc. Earnings Call
Valter Pinto; Managing Director; SRx Health Solutions, Inc. Kent Cunningham; Chief Executive Officer; SRx Health Solutions, Inc. Nina Martinez; Chief Financial Officer; SRx Health Solutions, Inc. Operator Good day and welcome to the SRx Health Solutions 2025 first quarter financial results conference call. (Operator Instructions) Please note, this event has been recorded. I would now like to turn the conference over to Mr. Valter Pinto, Managing Director. Please go ahead. Valter Pinto Thank you, operator, and welcome everyone to the SRx Health Solutions first quarter 2025 financial results conference call. Joining me today are Ken Cunningham, Chief Executive Officer; Nina Martinez, Chief Financial Officer. The company's financial results press release has been posted to the Investor Relations section of the website, and our Form 10-Q will be filed with the SEC. Please note that remarks made today may include forward-looking statements subject to a variety of assumptions, risks, and uncertainties. The company's actual results may differ materially from those contemplated by such statements. For more detailed discussion, please refer to the forward-looking statements in the company's financial results press release and SEC filings. Also during the call today, we will discuss our non-GAAP financial measures. Reconciliations of these non-GAAP items to the most directly comparable GAAP financial measures will be provided in the company's press release and made available on the Investor Relations section of the company's website. I'd now like to turn the call over to Kent Cunningham. Kent, please go ahead. Kent Cunningham Thank you, Valter, and thank you everyone for joining us today to discuss our first quarter, 2025 financial and operating results. I'm joined on today's call by Nina Martinez, our Chief Financial Officer. I'll give a business update and then Nina will cover our financials in more detail. The first quarter of 2025 represents our last full quarter of financial results from only our Halo brand. Our merger with SRx closed on April 24, 2025, and thus going forward will report consolidated financial results for our Halo brand and SRx Health. For the first quarter of 2025, our pet food business generated $7.2 million in net sales, and we delivered gross profit margins of 33%, which stayed consistent year-over-year. During the quarter, international sales accounted for approximately 56% of total revenue. In April, we closed on the sale of Halo Asia for $8.1 million in total gross proceeds, which includes $6.5 million in cash at closing, along with a 3% royalty on sales over the next five years guaranteed by a minimum royalty payment of $330,000 per year or $1.65 million in total. We also agreed in principle to a 5.5% royalty agreement in Asia with our existing partner on all sales of the Halo Elevate brand. Despite quarterly sales decreasing year over year, Halo's performance was highlighted by 10% point of sale growth year over year across our primary digital platforms, Amazon and Chewy. This is promising for Halo as we've implemented strategic initiatives to increase the brand's share of voice, awareness, and new to brand consumers. We also launched a peanut butter main meal product, an extension of our top selling vegan sublimes, the first shipments to PetSmart Canada in the quarter. The pet food category continues to show resiliency as pet ownership continues to increase and consumer spending continues to rise with the macro trends of pet humanization, premiumization, and wellness underpinning industry growth, and Halo continues to offer a unique brand positioned for the health conscious consumer seeking the best nutrition for their pets. During the quarter, we sustained improvement in fill rates to an average fill rate of 98% for the quarter. We realized volume-based cost efficiencies with our co-manufacturing partners resulting in a 33% gross margin consistent with Q1 of last year. We're working closely with our partners to monitor tariff impacts, and minimal impact is expected as the vast majority of our ingredients and packaging are sourced domestically. We continue to effectively manage our inventory levels with a reduction of approximately 50% in the last 15 months. SG&A also improved dramatically year-over-year, decreasing from $5.1 million to $3.5 million. The decrease was driven primarily by lower marketing and advertising agency fees related to the Halo brand renovation, as well as decreased marketing spend in our international channel. Profitability improved as a result of all the strategic shifts made over the last 12 months. Therefore, our adjusted EBITDA loss improved 54% year-over-year to a loss of approximately $600,000 compared to a loss of $1.4 million in Q1 of last year. In conclusion, we've executed a digital first strategy in our domestic business and have continued our marketing investment focus to grow brand awareness and discoverability. We're now focused on optimizing our portfolio and addressing consumer barriers to purchase as we continue to move the business toward profitable growth. Now let me turn it over to Nina to take you through our financials in more detail. Nina Martinez Thanks, Kent, and good afternoon, everyone. Our Q1 2025 net revenue totaled $7.2 million, which is down 9% year-over-year. This decrease in net sales for the three months ended March 31 is primarily attributable to the shutdown of the unprofitable direct to consumer revenue stream in the second quarter of 2024. During the three months ended March 31, gross profit decreased 9% to $2.4 million. However, gross margins stayed consistent at 33% for the quarter compared to Q1 of '24. We continue to actively work with our co-manufacturing and freight partners to generate future cost savings and realize improved gross margins in future periods. We can see continued margin variability due to the current economic environment and pricing pressures due to inflationary costs for both ingredients and transportation. We will continue to refine and optimize our overall pricing strategy as we evaluate the future impact of inflation and tariffs to align ourselves with the market. We significantly reduced operating expenses in Q1 of '25 with an overall SG&A reduction of 32% as a result of our operating discipline and leverage we've created in the business. Sales and marketing costs decreased approximately 42% as we've improved the efficiency and ROI of our marketing investments. Employee compensation costs decreased approximately 23%, primarily related to reduction in headcount. Outbound freight decreased 96% during the quarter as a result of the shutdown of our DTC channel in June of '24. Share-based compensation decreased 46%, driven by a decrease in the annual board grant, which was postponed until the second quarter. Other G&A costs decreased 20%, driven by a reduction in transaction-related professional fees. The first quarter '25 net loss improved 66% year-over-year to $1 million compared to a $2.83 million loss in the first quarter of '24. Our Q1 2025 EPS came in at a loss per share of $0.37, a significant improvement of 90% from the $3.60 loss per share in Q1 of last year. Furthermore, as Kent highlighted, in Q1 are adjusted EBITDA loss and proved to a loss of $650,000 as compared to $1.4 million in the first quarter of 2024 and $700,000 in Q4 of '24. This is a testament to Halo's vastly positive turnaround. These improvements highlight our focus on driving operational leverage and positioning the company for continued profitability in the coming quarters. As for liquidity and capital resources, our cash and cash equivalents as of March 31 were $1.1 million and we achieved a networking capital position of $7.2 million. We generated cash and operations of approximately $400,000 a significant improvement from cash used in operations of $1 million in the same quarter last year. This is primarily driven by efficient working capital improvements. Cash used in investing activities was $1.1 million during the quarter, driven by our investment into SRx pre-merger recorded as note receivables on our balance sheet. Cash used in financing activities was $1.2 million during the quarter directly related to net repayments on our line of credit. As Kent mentioned, future filings and financial results reported will include the consolidated results for SRx Health and for our legacy Halo brand. Now that the merger has closed. We are optimistic about the future of the company. We look forward to updating the market in the coming months. I would now like to open the call for questions. Operator? Operator (Operator Instructions) As there are no questions, this concludes a question and answer session and today's conference. Thank you for attending today's presentation. You may not disconnect. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
06-05-2025
- Business
- Yahoo
SRx Health Solutions to Host First Quarter 2025 Financial Results Conference Call on May 15th at 4:30 p.m. ET
SRx Health Solutions, Inc. TAMPA, Fla., May 06, 2025 (GLOBE NEWSWIRE) -- SRx Health Solutions, Inc. (NYSE American: SRXH) (the 'Company'), a leading global health and wellness company, today announced it will host a conference call and webcast on Thursday, May 15, 2025, at 4:30 p.m. ET to discuss its financial results for the first quarter 2025 and provide a business update. Conference Call and Webcast Information: Event: First Quarter 2025 Financial Results Conference Call Date: Thursday, May 15, 2025 Time: 4:30 p.m. Eastern Time Live Call: 1-844-825-9789 or 1-412-317-5180 Webcast: For interested individuals unable to join the conference call, the webcast replay of the call will be available for 90 days under the 'Events' section of the Company website by visiting About SRx Health Solutions, Inc. SRx Health Solutions Inc. is an integrated Canadian healthcare services provider that operates within the specialty healthcare industry. The SRx network extends across all ten Canadian provinces, making it one of the most accessible providers of comprehensive, integrated, and customized specialty healthcare services in the country. SRx combines years of industry knowledge, technology, and patient-centric focus to create strategies and solutions that consistently exceed client expectations and drive critical patient care initiatives aimed to improve the wellness of Canadians. For more information on SRx Health Solutions Inc., please visit Company Contact: SRx Health Solutions, Inc. Adesh A. Vora, Chairman Investor Contact: KCSA Strategic Communications Valter Pinto, Managing Director T: 212-896-1254 Valter@
Yahoo
01-03-2025
- Business
- Yahoo
Better Choice Company says SRx granted final order to proceed with acquisition
Better Choice Company (BTTR) announced that SRx Health Solutions was granted the final Order pursuant to the Business Corporations Act by the Ontario Superior Court of Justice to proceed with the acquisition by Better Choice Company. Better Choice will host its Special Meeting at 9:00 a.m., Eastern Time, on March 21, 2025. The record date for the stockholders to vote at the Special Meeting remains the close of business on January 21, 2025. See what stocks are receiving Strong Buy ratings from top-rated analysts. Filter, analyze, and streamline your search for investment opportunities with TipRanks' Stock Screener. Published first on TheFly – the ultimate source for real-time, market-moving breaking financial news. Try Now>> See the top stocks recommended by analysts >> Read More on BTTR: Better Choice Company signs licensing agreement in Asia for Halo Elevate brand Better Choice Company to seel Halo Business for $8.1M Better Choice Company signs non-binding term sheet to sell Halo Asia
