MedWellAI Reports Decrease in Revenue and Net Loss Improvement for Fiscal Year Ending June 30, 2026

MedWellAI, Inc. has reported its financial results for the fiscal year ending June 30, 2026, revealing a decrease in revenue and ongoing operational challenges. The company generated total revenues of $527,857, down from $594,768 in the previous fiscal year. This decline was primarily attributed to a decrease in commission revenues, which fell to $437,857 from $576,931, as well as the cessation of online sales due to regulatory hurdles. However, rental income increased to $90,000, reflecting the company's entry into a sublease agreement.

The company's net loss for the year was $1,589,465, a reduction from the net loss of $3,607,145 reported in the prior year. This improvement was largely due to a significant decrease in general and administrative expenses, which dropped to $1,660,340 from $2,619,321, primarily as a result of reduced stock-based compensation and consulting fees. Despite these efforts, the company continues to face challenges, including a substantial accumulated deficit of $90,263,345 and a stockholders' deficit of $7,979,411 as of June 30, 2026.

In terms of strategic developments, MedWellAI has made significant organizational changes, including the formation of three wholly-owned subsidiaries in July 2024 and the acquisition of a 51% interest in Healthy Lifestyle USA LLC in August 2024. The company has also amended its Series B Convertible Preferred Stock, increasing the authorized shares from 1,000,000 to 1,500,000, and executed a share exchange agreement that consolidated its Series C and D preferred stocks into a single series of convertible preferred stock.

Operationally, MedWellAI has shifted its focus from digital asset mining to health and wellness products, which has resulted in the discontinuation of its mining operations. The company reported net losses from discontinued operations of $72,939 for the year ended June 30, 2026, compared to $829,557 in the previous year. As of June 30, 2026, the company had five full-time employees, including its sole officer and director, Steve Rubakh, who is critical to the company's operations.

Looking ahead, MedWellAI acknowledges the need for additional capital to fund its operations and growth initiatives. The company has indicated that it may seek to raise funds through public or private equity or debt financing. However, it also cautions that there is no guarantee that such financing will be available on favorable terms, which could impact its ability to continue as a going concern. The company’s management is actively working to address its operational challenges and improve its financial position in the coming fiscal year.