Kindly MD Reports 30.1% Revenue Decline and Increased Losses in Q1 2025

Kindly MD, Inc. reported a significant decline in financial performance for the first quarter of 2025, with net revenues of $579,655, a decrease of 30.1% from $829,029 in the same period of 2024. The company attributed this drop primarily to a reduction in cash-pay patient care services as it shifts towards insurance billing with various payers, including Medicare and Medicaid. The net loss for the quarter was $1,038,011, compared to a loss of $282,326 in the prior year, reflecting a 267.5% increase in losses year-over-year. The loss per share also increased to $(0.17) from $(0.06).

Operating expenses rose sharply by 52.1% to $1,621,396, driven largely by increased salaries and wages, which climbed 41.7% to $1,003,177, as the company expanded its workforce to support its growing operations. General and administrative expenses more than doubled, increasing by 104.2% to $592,437, primarily due to higher professional fees and marketing costs associated with its transition to a publicly traded company. The company also reported a notable increase in reimbursements from insurance payers, which rose 145.6% to $85,273, indicating a strategic shift in revenue generation.

As of March 31, 2025, Kindly MD's total assets were reported at $2,563,591, down from $3,677,992 at the end of 2024. The company's cash and cash equivalents decreased significantly to $1,140,574 from $2,273,624, reflecting a net cash outflow of $1,133,050 during the quarter. The total stockholders' equity also fell to $1,529,050, down from $2,568,310, largely due to the net loss incurred during the period.

In terms of operational metrics, Kindly MD's employee headcount has increased as part of its expansion strategy, although specific figures were not disclosed. The company continues to focus on enhancing its service offerings, including outpatient and telemedicine services, while also investing in capitalized software development, which increased to $561,786 from $388,338. The company has not reported any recent acquisitions or significant organizational changes in this quarter.

Looking ahead, Kindly MD management expressed a commitment to optimizing revenue through increased sales and improved margins while controlling operating expenses. The company has indicated that it will continue to seek opportunities to enhance liquidity and cash reserves, particularly following its initial public offering in June 2024, which provided $5.86 million in net proceeds. The management remains focused on implementing its strategic operational plans to create sustained cash flow generation in the future.