QHSLab (OTCQB:USAQ) Completes Repurchase of Legacy Debt, Enhancing Capital Structure, Strengthening Balance Sheet and Reducing Future Dilution

Core Insights - The repurchase of legacy convertible notes enhances QHSLab's financial stability and growth prospects by eliminating conversion overhang and reducing dilution risk [1][3][9] Financial Highlights – Third Quarter Ended September 30, 2025 - Revenue reached $737,066, marking a 35% increase from $544,285 in Q3 2024 [8] - Gross profit was $493,631, up 35% from $365,133 in the prior year, resulting in a gross margin of 67% [8] - Operating income improved to $96,251 compared to $89,090 in Q3 2024 [8] - Net income was $33,411, down from $49,765 in Q3 2024 [8] Year-to-Date Highlights (First Nine Months of 2025) - Total revenue for the first nine months was $1.99 million, a 32% increase from $1.51 million in the same period of 2024 [8] - Gross profit for the period was $1.32 million with a gross margin of 66%, compared to $0.95 million and a 63% margin a year ago [8] - Operating expenses rose to $1.23 million from $0.81 million in 2024, driven by investments in product development and market expansion [8] - The company reported a net loss of $99,156, contrasting with a net income of $28,350 for the same period last year [8] Operational and Corporate Updates - The company eliminated over $200,000 in annualized interest expense through the repurchase of convertible notes [8] - QHSLab continued to expand its digital medicine platform, increasing recurring SaaS and service revenue [8] - Ongoing R&D spending of $132,769 in Q3 2025 supported enhancements to cognitive screening and psychosocial risk tools [8] Management Commentary - The CEO highlighted strong operational momentum and revenue growth, with a focus on advancing the digital medicine ecosystem and expanding partnerships with primary care and behavioral health providers [7][9]