DarioHealth (DRIO) Company Report

DarioHealth Corp. announced 34 new employer clients in the past two weeks, bringing its year-to-date total to 79 clients, which exceeds its 2025 target of 40 new clients by 98%.
These new agreements collectively represent tens of thousands of covered lives, with revenue from the 34 most recent signings expected to begin in the first quarter of 2026.
The company highlighted strong clinical outcomes, including a 1.4% reduction in eHbA1c and a 23% lower hospitalization rate for Dario users compared to matched individuals receiving usual care.

4 days ago

Press Release

DarioHealth Reports Q3 2025 Results, Highlights Transition to Recurring Revenue Model

DRIO

Earnings

Guidance Update

Revenue Acceleration/Inflection

DarioHealth reported Q3 2025 revenue of $5 million, a decline from $7.4 million in Q3 2024, attributed to the non-renewal of a large national health plan contract and a strategic transition to a high-margin annual recurring revenue model.
The company achieved a GAAP gross margin of 60% in Q3 2025 and reduced operating expenses by $3.4 million (21%) compared to the prior year period, with a cash and equivalents balance of $31.9 million as of September 30, 2025.
DarioHealth is targeting $12.4 million in new business for implementation in 2026, having signed 45 new accounts year-to-date in 2025, and expects to reach cash flow breakeven by late 2026 to early 2027.
More than 50% of new clients chose DarioHealth's multi-condition solution, and the company maintains a 90% client renewal rate.

Nov 13, 2025, 1:30 PM

Transcript

DarioHealth Announces Q3 2025 Results and 2026 Outlook

DRIO

Earnings

Guidance Update

Revenue Acceleration/Inflection

DarioHealth reported Q3 2025 revenue of $5 million, a decrease from $7.4 million in Q3 2024, reflecting its transition to a high-margin annual recurring revenue model.
The company achieved a 60% GAAP gross margin in Q3 2025 and maintained above 80% non-GAAP gross margins on its core B2B2C business.
Operating expenses declined by $3.4 million (21%) in Q3 2025 compared to the prior year, contributing to a $18 million (39%) improvement in operating loss for the nine-month period.
DarioHealth ended Q3 2025 with $31.9 million in cash and equivalents after completing a $17.5 million private placement.
The company is targeting $12.4 million in new business for implementation in 2026, having signed 45 new accounts year-to-date in 2025, and expects to reach cash flow breakeven by late 2026 to early 2027.

Nov 13, 2025, 1:30 PM

Transcript

DarioHealth Reports Q3 2025 Financial and Operating Results

DRIO

Earnings

Revenue Acceleration/Inflection

Guidance Update

DarioHealth reported Q3 2025 revenue of $5.0 million, a decrease from $7.4 million in Q3 2024 and $5.4 million in Q2 2025, primarily due to a strategic transition to a high-margin recurring revenue model.
The company's GAAP gross margin increased to 60% in Q3 2025 (from 52% in Q3 2024), with core B2B2C non-GAAP gross margins exceeding 80% for seven consecutive quarters. Operating expenses were reduced by $17.2 million (31%) for the first nine months of 2025 compared to the same period in 2024.
As of September 30, 2025, DarioHealth held $31.9 million in cash and cash equivalents. The company expects to achieve cashflow breakeven by late 2026 to early 2027.
DarioHealth exceeded its 2025 goal of 40 new signed accounts with 45 new clients to date, targeting $12.4 million in new business, and expanded its 2026 pipeline to $69 million.

Nov 13, 2025, 11:30 AM

Press Release

DarioHealth Amends Credit Agreement and Warrants

DRIO

Debt Issuance

Accounting Changes

Guidance Update

DarioHealth Corp. entered into an amendment to its existing credit agreement on November 5, 2025, which includes a reset of financial covenants and a waiver of financial-covenant testing for the second and third quarters of 2025.
The amendment replaces the existing minimum cash covenant with a $10,000,000 minimum consolidated unencumbered liquid assets covenant and introduces a monthly 13-week cash-flow reporting requirement when liquidity is below $11,000,000.
The exercise price of Lender Warrants was reduced from $16.556 to $15.3495 per share, and the conversion price for up to $2,500,000 of the Callodine Loan Facility was also reduced to $15.3495.
New minimum financial covenants for Total Revenue and Adjusted EBITDA were established, with Q4 2025 targets of $17,630,000 and $(29,920,000), respectively.

Nov 10, 2025, 9:17 PM

8-K

DarioHealth Announces Private Placement and Initiates Strategic Review

DRIO

Private Placement

Strategic Review

M&A

DarioHealth Corp. announced a private placement of 2,713,180 shares of common stock (or common stock equivalents) at $6.45 per share, raising approximately $17.5 million in gross proceeds.
The offering, which closed on September 23, 2025, included 1,154,420 shares of common stock and pre-funded warrants to purchase up to 1,558,760 shares of common stock, with proceeds designated for general corporate purposes.
On September 25, 2025, the company's Board of Directors initiated a comprehensive strategic review to maximize shareholder value, considering options such as a sale, merger, or strategic business combination. A special committee and Perella Weinberg Partners have been engaged for this review.

Sep 25, 2025, 9:18 PM

8-K

DarioHealth Corp. Amends Preferred Stock Conversion Terms

DRIO

Convertible Preferred Issuance

DarioHealth Corp. filed amended certificates for its Series A-1, Series C, Series C-2, Series D, Series D-1, Series D-2, and Series D-3 Preferred Stock on September 18, 2025.
These amendments accelerate the mandatory conversion period for Series C and Series D Preferred Stock into common stock or pre-funded warrants, effective September 18, 2025.
Holders of preferred stock will receive all accrued and unpaid dividends, including dividend shares or payment-in-kind shares, in addition to the conversion shares.
The Series A-1 Certificate of Designation was amended to provide holders with the option to receive pre-funded warrants in lieu of common stock.
No additional securities were issued or sold as a result of these amendments.

Sep 19, 2025, 9:01 PM

8-K

DarioHealth Corp. announces 20-for-1 reverse stock split

DRIO

Delisting/Listing Issues

Proxy Vote Outcomes

DarioHealth Corp. announced a 20-for-1 reverse stock split of its common stock.
The reverse stock split will become effective at 12:01 a.m. Eastern Time on August 28, 2025, with trading on a post-split basis commencing at market open on the same day under the existing symbol "DRIO" and a new CUSIP Number, 23725P 308.
This action will reduce the outstanding common shares from 47,996,572 to approximately 2,399,829, with any fractional shares rounded up to the nearest whole share.
The reverse stock split was approved by the Company's board of directors under authority granted by stockholders at the 2025 Annual Meeting held on July 23, 2025.