Revenue Performance - Net revenues for the three months ended September 30, 2025, were $1,687,971, a decrease of $565,365 or 25% compared to $2,253,336 in the same period of 2024 [108]. - For the nine months ended September 30, 2025, net revenues were $5,491,944, a decrease of $483,413 or 8% compared to $5,975,357 in the same period of 2024 [121]. - Population health revenue increased to $1,280,011 in Q3 2025 from $652,298 in Q3 2024, an increase of $627,713 or 96% [110]. Expenses and Cost Management - Operating expenses for the three months ended September 30, 2025, were $786,712, a decrease of $310,496 or 28% from $1,097,208 in Q3 2024 [108]. - The company incurred $3,595,352 in cost of services for the nine months ended September 30, 2025, a decrease of $1,061,921 or 23% from $4,657,273 in the same period of 2024 [123]. - Salaries and benefits decreased by $1,008,154 or 46% to $1,169,951 for the nine months ended September 30, 2025, compared to $2,178,105 in the same period of 2024 [121]. - Research and development expenses dropped to $67,701 for the nine months ended September 30, 2025, a decrease of $522,562 or 89% from $590,263 in the same period of 2024 [122]. - Selling, General and Administrative (SG&A) expenses decreased by $438,893, or 35%, to $828,741 for the nine months ended September 30, 2025, compared to $1,267,634 in the same period of 2024, driven by efforts to reduce overhead [128]. - Professional fees increased by $90,852, or 19%, to $580,691 for the nine months ended September 30, 2025, compared to $489,839 in the same period of 2024, primarily due to increased legal and accounting costs [126]. Profitability and Loss - The company reported a net loss of $225,902 for the three months ended September 30, 2025, compared to a net loss of $417,535 in the same period of 2024, a decrease of $191,633 [119]. - Net loss for the nine months ended September 30, 2025, was $761,763, a decrease of $2,493,078 compared to a net loss of $3,254,841 in the same period of 2024 [131]. Cash Flow and Liquidity - Cash used in operating activities improved to $158,554 for the nine months ended September 30, 2025, compared to $2,717,313 in the same period of 2024, reflecting better expense management [136]. - Cash used in investing activities was $0 for the nine months ended September 30, 2025, compared to $11,111 in the same period of 2024, indicating a halt in property and equipment purchases [137]. - The company anticipates that existing liquidity sources will not be sufficient to fund operations for at least the next twelve months, indicating a potential need for additional financing [132]. Assets and Liabilities - Current assets decreased to $3,210,591 as of September 30, 2025, from $3,352,795 as of December 31, 2024, while current liabilities increased to $1,053,829 from $613,549 in the same period [134]. Future Outlook - The company has begun to see delays in new contract awards and cancellations of previous requests for proposals due to changes in federal spending programs, which may negatively affect future revenues [110]. - For the nine months ended September 30, 2025, approximately 59% of revenues were derived from the Indiana Family and Social Services Administration (FSSA), with significant contributions from various divisions [151].
Syra Health (SYRA) - 2025 Q3 - Quarterly Report