OneMedNet Reports 56% Revenue Decline in Q3 2024, Net Loss Improves

OneMedNet Corporation reported a significant decline in its financial performance for the third quarter of 2024, with total revenue of $142,000, a decrease of 56% compared to $326,000 in the same period of 2023. The company's subscription revenue fell by 60% to $102,000, while web imaging revenue decreased by 43% to $40,000. For the nine months ended September 30, 2024, total revenue was $617,000, down 9% from $681,000 in the prior year. The company recorded a net loss of $2.1 million for the quarter, a substantial improvement from a net loss of $13.8 million in the same quarter of the previous year, and a net loss of $7.8 million for the nine-month period, compared to $31.3 million in 2023.

The decline in revenue was attributed primarily to the planned discontinuation of the BEAM platform, which has led to a halt in customer renewals. The company is shifting its focus towards its iRWD product, which has seen increased customer deliveries. Operating expenses for the third quarter increased by 18% to $2.3 million, driven by higher general and administrative costs, which rose by 42% to $1.9 million due to increased professional fees associated with being a public company. Research and development expenses decreased by 26% to $298,000, reflecting the company's strategic pivot.

OneMedNet's operational metrics indicate a shift in focus, with the company reporting a total of 27,987,427 shares of common stock outstanding as of September 30, 2024. The company has also made strategic moves to enhance its liquidity, raising approximately $9.2 million in financing activities during the nine months ended September 30, 2024, primarily through private placements and related party loans. This was a notable increase from $3.4 million raised in the same period of 2023.

The company has also begun investing in Bitcoin, holding 34 units valued at $2.2 million as of September 30, 2024. This investment strategy is part of a broader effort to diversify its asset base and improve liquidity. However, the company faces significant challenges, including an accumulated deficit of $99.2 million and ongoing concerns about its ability to continue as a going concern, given its recurring losses and the need for additional capital to fund operations.

Looking ahead, OneMedNet plans to continue raising capital through equity and debt offerings to support its operations and strategic initiatives. The company is focused on enhancing its product offerings and expanding its market presence, particularly in the iRWD space. However, management has acknowledged the uncertainty surrounding its ability to secure necessary financing and the potential for dilution of existing shareholders as it seeks to stabilize its financial position.