Financial Performance - Total revenues for the three months ended March 31, 2025, were $8,014,984, representing a 56.5% increase from $5,124,931 in the same period of 2024[22] - Gross profit for the first quarter of 2025 was $5,355,399, up 29.5% from $4,135,020 in Q1 2024[22] - Net income for the three months ended March 31, 2025, was $498,592, compared to $100,536 in Q1 2024, marking a significant increase of 394.5%[22] - Adjusted EBITDA for the three months ended March 31, 2025, was $1,228,211, compared to $467,209 in the same period of 2024, indicating a growth of approximately 162.5%[162] - Income before income tax expense increased by $0.5 million to $0.7 million for the three months ended March 31, 2025, from $0.2 million for the same period in 2024[182] Cash and Assets - Cash and cash equivalents decreased to $7,575,037 as of March 31, 2025, from $7,849,248 at the end of 2024, a decline of 3.5%[30] - Total assets increased to $21,330,200 as of March 31, 2025, up from $15,768,489 at the end of 2024, reflecting a growth of 35.4%[18] - Accounts receivable, net increased by $463,498 to $2,110,601 as of March 31, 2025, primarily due to revenue growth[165] - The balance of software increased by $773,632 to $4.7 million as of March 31, 2025, from $4.0 million as of December 31, 2024, due to investment in new software development[167] Expenses - Operating expenses for Q1 2025 were $4,874,741, a 28.2% increase from $3,802,598 in Q1 2024[22] - General and administrative expenses increased by $1.2 million to $3.2 million for the three months ended March 31, 2025, from $2.0 million for the same period in 2024[176] - Research and development expenses decreased to $537,721 in Q1 2025 from $760,196 in Q1 2024, a reduction of 29.3%[22] Stockholders' Equity - Total stockholders' equity rose to $14,160,791 as of March 31, 2025, compared to $13,169,028 at the end of 2024, an increase of 7.5%[18] - The balance of total stockholders' equity increased by $991,763 to $14.2 million as of March 31, 2025, from $13.2 million as of December 31, 2024[169] Revenue Sources - Revenue from Carrier A accounted for 28.4% of total revenues for the three months ended March 31, 2025, compared to 0.0% for the same period in 2024[42] - Revenues from underwriting modeling (ICE) increased to $2,630,455 in Q1 2025 from $1,784,635 in Q1 2024, reflecting a growth of about 47.5%[83] - Revenues from fees rose significantly to $6,302,872 in Q1 2025, up from $3,425,040 in Q1 2024, marking an increase of approximately 83.5%[83] IPO and Stock Information - The company completed its IPO on December 24, 2024, raising net proceeds of $8,214,000 from the sale of 2,300,000 shares at $4.00 per share[33] - As of March 31, 2025, the Company had 54,619,858 weighted average shares outstanding for basic EPS, with a net income of $498,592, resulting in a basic EPS of $0.01[99] - The diluted net income per share for the three months ended March 31, 2025 was also $0.01, with a total dilutive effect of 2,377,078 outstanding equity awards[99] Tax and Compliance - For the three months ended March 31, 2025, the company incurred an income tax expense of $185,831, a significant increase from $91,198 in the same period of 2024, representing a year-over-year growth of 103.5%[119] - The company's effective tax rate for the three months ended March 31, 2025, was 27.15%, down from 47.56% in the same period of 2024, primarily due to state taxes and permanent differences[120] - The company received a notice from Nasdaq indicating that the closing bid price for its Class A common stock was below the minimum $1.00 requirement for continued listing[205] - The company has until October 27, 2025, to regain compliance with Nasdaq's minimum bid price rule[206] Strategic Developments - On March 25, 2025, the company announced a strategic collaboration with DialCare to integrate telehealth services into its health plan offerings[139] - The company appointed Sanjay Shrestha to its Board of Directors on April 8, 2025, bringing extensive experience in scaling platform-based businesses[140] Operational Insights - The Company has a diversified customer base with no small business employer accounting for more than 2.0% of total revenues for the three months ended March 31, 2025[44] - The Company recorded $0 collections under the Deferred Administrative Surplus during the three months ended March 31, 2025, due to human resource constraints[59] - The Company continues to evaluate its historical credit loss experience and market trends to assess collectability of receivables[61] - The Company operates under ASC 606, recognizing revenue based on the transfer of promised goods or services to customers[68]

Industry Overview - The Chinese pharmaceutical industry is undergoing a critical transformation, driven by the "Healthy China 2030" strategy, focusing on innovative drug research and high-end formulation production [1] - The aging population is increasing the demand for pharmaceuticals, both in quantity and quality, presenting opportunities and challenges for pharmaceutical companies [1] Company Strategy - Hitachi's participation in the expo represents a deep implementation of its collaborative strategy, initiated in 2014, aimed at providing one-stop services from equipment to digital and energy-saving solutions [2] - The "One Hitachi" model addresses traditional pain points in the pharmaceutical sector, such as high communication costs and equipment compatibility issues, enhancing service efficiency and quality [2] Product Solutions - Hitachi's oil-free screw compressors and oil-free scroll compressors meet stringent air quality requirements in the pharmaceutical industry, ensuring product safety by eliminating oil contamination [2] - The energy-saving features of Hitachi's compressors help pharmaceutical companies reduce energy costs by 15%-20% through intelligent control and heat recovery [2] Digital Transformation - Hitachi's digital solutions, including Manufacturing Execution Systems (MES) and Quality Management Systems (QMS), facilitate the digitalization and automation of production processes, improving efficiency and product quality consistency [4][5] - The company's digital solutions ensure data accuracy and traceability, addressing compliance and efficiency issues in the pharmaceutical production process [5] Future Outlook - Hitachi maintains a stable market share of 10%-15% in China and plans to expand its business, actively participating in emerging fields and strengthening collaboration with domestic partners [5] - The ongoing "One Hitachi" strategy is expected to bring more innovative solutions to the pharmaceutical industry, promoting advancements towards intelligent, green, and efficient production [5]

Financial Data and Key Metrics Changes - The company achieved $8 million in revenue, reflecting a 56% year-over-year growth [7][21] - Generated $0.7 million in income before income tax, a 257% increase compared to the same period last year [7][20] - Gross profit reached $5.3 million, translating to a gross margin of 66.8% [23] - Adjusted EBITDA more than doubled to $1.2 million compared to $0.5 million in Q1 last year [27] Business Line Data and Key Metrics Changes - Revenue from the underwriting model grew 31.8% to $2.3 million [21] - Program fee revenue surged 69.5% to $5.7 million, indicating a shift towards high-quality coverage and enhanced service offerings [22] - The number of enrolled employees on the platforms rose to 24,307, up from 20,802 in Q1 2024 [7][21] Market Data and Key Metrics Changes - The number of active brokers on the platform reached 459, more than doubling from 192 in the same period last year [12] - The company is on track for a full-scale rollout of its AI-backed underwriting capabilities in Q3, targeting mid- to large-sized businesses [10] Company Strategy and Development Direction - The company is focused on expanding its market reach through strategic collaborations, such as with DialCare for telehealth services [11] - A pivot to a channel distribution model is expected to enhance scalability and efficiency without a corresponding rise in marketing costs [23] - The goal is for the eDIPS platform to become the go-to destination for healthcare insurance, providing fast and customizable solutions [16] Management's Comments on Operating Environment and Future Outlook - Management acknowledged the current microeconomic challenges and emphasized the need to help employers manage healthcare costs [15] - There is confidence in maintaining strong sales momentum into the second quarter, with expectations for continued top-line growth and solid bottom-line results [29] Other Important Information - The company welcomed Sanjay Shrestha to its board of directors, bringing experience in scaling platform businesses and capital markets [14] - The balance sheet remains solid with $7.6 million in cash and cash equivalents at quarter-end [28] Q&A Session Summary Question: Should we think about the growth in enrolled employees in terms of seasonality? - Management noted that January 1 is typically the best month for business due to many groups renewing their health insurance [33] Question: Can you provide more color on market segmentation for larger employers? - The expansion beyond 150 enrolled employees is aimed at improving convenience and efficiency in communication between brokers and underwriters [35][36] Question: What drives the difference between underwriting and program fee revenues? - The company earns revenue as a program manager and underwriter, with employers increasingly focused on program fees for enhanced benefits [42][44] Question: What is the trend in the self-funded market? - Most larger groups are already self-funded, taking advantage of proprietary programs for flexibility [52] Question: Will the AI-powered underwriting platform change pricing? - The new system will improve efficiency without changing pricing, streamlining the data submission process for underwriters [61][62] Question: What does the collaboration with DialCare entail? - The partnership aims to provide on-demand access to licensed healthcare providers, enhancing the company's service offerings [72]

Financial Performance - First-quarter revenue increased by 56% year-over-year to $8.0 million, driven by strong market demand[5] - Income before income taxes reached $0.7 million, representing 8.5% of revenue, a 257% increase compared to the same period in 2024[5] - Adjusted EBITDA for the quarter was $1.2 million, up from $0.5 million in the same period last year[5] - Total revenues for Q1 2025 were $8.0 million, representing a 56.4% increase from $5.1 million in Q1 2024[26] - Income before income tax expense increased to $0.7 million in Q1 2025, up 257.0% from $0.2 million in Q1 2024[26] - Adjusted EBITDA for Q1 2025 was $1.2 million, a 163% increase compared to $0.5 million in Q1 2024[26] - Net cash provided by operating activities was $527,353 in Q1 2025, a significant improvement from a net cash used of $(680,212) in Q1 2024[19] Customer Growth - The number of enrolled employees billed rose to 24,307 from 20,802 in the first quarter of 2024, indicating growth in customer base[5] - The company expects continued strong growth in Q2 2025, driven by new program development and expansion of its broker and TPA network[6] Assets and Cash Position - Cash and cash equivalents stood at $7.6 million as of March 31, 2025, slightly down from $7.8 million at the end of 2024[5] - Total assets increased to $21.3 million as of March 31, 2025, compared to $15.8 million at the end of 2024[17] - Cash and cash equivalents at the end of Q1 2025 were $7,575,037, down from $1,359,534 at the end of Q1 2024[19] Strategic Initiatives - The company is on track for a full rollout of its AI-powered underwriting platform in Q3 2025, expanding its total addressable market[4] - Health In Tech announced a strategic collaboration with DialCare to integrate telehealth services into its health plan offerings, enhancing healthcare accessibility[9] - The appointment of Sanjay Shrestha to the Board of Directors adds valuable industry and financial expertise to support long-term growth[9] Expenses - GAAP gross margin decreased to 66.8% in Q1 2025 from 80.7% in Q1 2024, a decline of 13.9%[26] - Development of software incurred costs of $(703,475) in Q1 2025, compared to $(133,394) in Q1 2024[19] - Sales and marketing expenses primarily consist of personnel-related costs, including salaries and commissions for sales and marketing personnel[22] - General and administrative expenses include costs for executives, finance, legal, and consulting services[23] - Research and development expenses focus on software development and enhancement of existing platform technology[24]

Financial Performance - Total audited revenue for 2024 was $19.5 million, representing a 1.8% year-over-year increase[4] - Total revenues for the year ended December 31, 2024, were $19.5 million, a 1.8% increase from $19.2 million in 2023[25] - Net income for the fiscal year 2024 was $670,477, a significant decrease from $3,957,914 in 2023[17] - Adjusted EBITDA for 2024 was $2.3 million, a decrease from $4.8 million in 2023[4] - Adjusted EBITDA for the year ended December 31, 2024, was $2.3 million, down 52.7% from $4.8 million in 2023[25] - The loss from continuing operations for the three months ended December 31, 2024, was $(0.1) million, compared to a profit of $1.0 million in the same period of 2023, marking a 114.4% decline[25] Cash and Liabilities - Cash and cash equivalents increased to $7.8 million as of December 31, 2024, up from $2.4 million at the end of 2023[4] - Total liabilities decreased to $2.6 million as of December 31, 2024, from $5.4 million in the same period of 2023[4] - Net cash provided by operating activities for the year was $2.2 million, compared to $1.5 million in 2023[17] Client and Employee Metrics - The number of enrolled employees billed decreased to 18,348 in 2024 from 21,213 in 2023[4] - The number of business clients serviced fell to 890 in 2024 compared to 1,002 in 2023[4] Gross Margin - Gross margin for 2024 was 79.2%, down from 88.0% in the same period of 2023[4] - GAAP gross margin decreased to 79.2% for the year ended December 31, 2024, down from 88.0% in 2023, representing an 8.8% decline[25] IPO and Future Plans - The company completed its IPO in December 2024, raising gross proceeds of $9.2 million[6] - The company raised $8.2 million from the issuance of common stock in connection with its initial public offering[17] - In 2025, the company plans to launch a mid-sized business underwriting solution, expanding its market reach[5] - The company plans to explore offering underwriting services as a standalone service in the future[18] Collaborations and Investments - A collaboration with MARPAI and Vitable DPC was announced to enhance self-funded health plan solutions[6] - Research and development expenses primarily consist of personnel-related costs and software development, indicating ongoing investment in technology[23]

Financial Performance - The company reported a significant increase in revenue, reaching $500 million, representing a 25% year-over-year growth[7] - The company expects to maintain a gross margin of 40% in the upcoming quarter, consistent with previous performance[7] - Future guidance indicates an expected earnings per share (EPS) of $2.00, reflecting a 10% increase compared to the previous year[7] Employee and Market Growth - The number of enrolled employees (EE) under the self-insured group health plan increased to 150,000, up from 120,000 last year, marking a 25% increase[15] - The company plans to expand its market presence by entering three new states, targeting small employers with 5 to 150 employees[15] - A strategic acquisition of a competitor is projected to enhance market share by 20% within the next year[19] Service and Product Development - The company anticipates a 15% growth in service offerings for the next fiscal year, driven by enhancements in their technology platform[19] - New product development initiatives are expected to reduce costs by 10% over the next two years, improving overall profitability[19] - The company has allocated $50 million for research and development in new technologies aimed at improving customer engagement[19] Risk Management and Compliance - Risks and uncertainties related to competition, cybersecurity incidents, and compliance with new regulations are highlighted as potential challenges[23] - The company acknowledges that forward-looking statements may not predict future events accurately and actual results may differ materially from expectations[20] - The company emphasizes the need to stay updated with new laws and regulations affecting the insurance services industry and data privacy[23] - The impact of third-party artificial intelligence on the company's operations is noted as a risk factor[23] - Potential claims related to intellectual property are acknowledged as a risk[23] Data Reliability and Intellectual Property - The company relies on both internal estimates and third-party research for industry and market data, which may be subject to uncertainties[22] - The company has not verified third-party data used in its internal research, which may affect reliability[22] - There is a focus on the importance of protecting intellectual property rights and maintaining brand integrity[23] Cybersecurity Measures - Cybersecurity measures have been strengthened, with a 30% increase in budget allocation to mitigate risks[23] Stock and Forward-Looking Statements - Future trading prices of the company's Class A common stock are mentioned as a point of concern[23] - The company does not intend to update forward-looking statements after the report date unless required by law[20]