Wellgistics Health Reports $10.86M Revenue Growth and $32.43M Net Loss in Latest Quarter

Wellgistics Health, Inc. reported significant financial activity in its latest 10-Q filing for the quarter ending March 31, 2025, marking a notable shift in its operational landscape following recent acquisitions. The company generated net sales of $10.86 million during the quarter, a substantial increase from zero revenue in the same period last year. This revenue primarily stemmed from its pharmacy operations, following the acquisitions of Wood Sage and Wellgistics, LLC in 2024. However, the company also reported a gross profit of $692,641, reflecting a gross margin of approximately 6.4%.

Despite the revenue growth, Wellgistics Health faced considerable operating expenses totaling $32.04 million, a sharp rise from $79,764 in the previous year. This increase was largely attributed to the full-scale operations of the consolidated company and included $27.77 million in non-cash stock-based compensation. The company reported a net loss of $32.43 million for the quarter, compared to a loss of $83,122 in the prior year, indicating the financial strain associated with its rapid expansion and operational costs.

Strategically, Wellgistics Health has been active in expanding its market presence through acquisitions. The company completed the acquisition of Wood Sage in June 2024, which included its subsidiaries, Wellgistics Pharmacy and Wellgistics Tech & Hub. Additionally, the acquisition of Wellgistics, LLC in August 2024 has positioned the company to enhance its pharmaceutical distribution capabilities. The company is now focused on integrating these operations to create a cohesive healthcare ecosystem that leverages technology to improve patient outcomes.

Operationally, Wellgistics Health reported a customer base of over 5,000 registered pharmacies, which it serves through its wholesale distribution network. The company is also expanding its pharmacy services, now licensed in 32 states and the District of Columbia. The increase in customer engagement is reflected in the company's efforts to enhance its digital pharmacy platform, which aims to streamline the prescription process and improve patient access to medications.

Looking ahead, Wellgistics Health's management has expressed optimism about its growth trajectory, emphasizing the need for additional capital to support ongoing operations and strategic initiatives. The company completed an initial public offering in February 2025, raising approximately $3.1 million in net proceeds, which it plans to use for working capital and operational expansion. However, the company also acknowledged the challenges posed by market conditions and the need to secure further financing to sustain its growth and operational objectives.