Core Insights - Marpai, Inc. has executed a marketing agreement that significantly expands the national reach of its pharmacy benefit management division, MarpaiRx, providing access to a network representing up to 1.5 million covered lives [1][2] - This agreement is expected to create a powerful distribution channel for MarpaiRx's services, allowing the company to introduce its offerings to large employer groups and healthcare organizations across the U.S. [1][2] - The potential revenue opportunity from this agreement is substantial, as even modest adoption could lead to significant growth in Marpai's pharmacy benefit management business [1][2] Company Overview - Marpai, Inc. operates in the healthcare technology sector, focusing on Third-Party Administration (TPA) and Pharmacy Benefit Management (PBM) services [1] - The company primarily competes in the $150 billion TPA sector, serving self-funded employer health plans that represent over $1.5 trillion in annual claims [1] Growth Potential - The marketing agreement is seen as a major strategic growth opportunity, significantly expanding Marpai's addressable market and long-term revenue potential [1][2] - MarpaiRx's existing infrastructure is believed to be robust enough to service the potential new members from this agreement [1][2] - The company aims to leverage this partnership to accelerate revenue growth and increase operating leverage as more covered lives are onboarded [1][2] Service Offerings - MarpaiRx provides a comprehensive suite of pharmacy benefit management services designed to reduce costs for employers while improving member outcomes [1] - The platform includes features such as manufacturer rebate optimization, patient assistance programs, and advanced healthcare analytics [1] Strategic Vision - The agreement is viewed as a significant milestone for Marpai, marking the entry into a new phase of growth supported by a large pipeline of potential covered lives [1][2] - The company is focused on converting this market access into long-term recurring revenue and shareholder value [1][2]

Core Insights - Marpai, Inc. has secured two significant strategic client wins for its MarpaiRx division, adding over 19,000 covered lives and accelerating its expansion as a next-generation healthcare platform [1] - The company aims to disrupt the traditional Pharmacy Benefit Management (PBM) ecosystem through advanced analytics and innovative plan design [1] Group 1: Strategic Wins - The first client win involves MarpaiRx taking over rebate management for a business with approximately 16,000 employees, showcasing the company's ability to integrate with key industry players [1] - The second win adds over 3,000 employees for TPA and MarpaiRx rebate management services, with expected growth throughout 2026, further validating the attractiveness of Marpai's PBM offering [1] Group 2: Growth Potential - CEO Damien Lamendola stated that these wins represent a clear inflection point in the company's growth trajectory, positioning Marpai for exponential growth and long-term shareholder value [1] - MarpaiRx leverages data, automation, and strategic partnerships to drive measurable cost savings while creating a scalable, high-margin growth engine [1] Group 3: Market Position - Marpai operates in the $150 billion TPA sector, serving self-funded employer health plans that represent over $1.5 trillion in annual claims [1] - The company continues to strengthen its platform economics and expand its addressable market opportunity within the multi-hundred-billion-dollar healthcare benefits sector [1]

Core Insights - Marpai, Inc. has relaunched MarpaiRx, a pharmacy benefit management solution aimed at enhancing member experiences and reducing costs for health plans in the $150 billion TPA market [1][2][3] Group 1: MarpaiRx Features - MarpaiRx offers complete transparency with no hidden fees or surprise markups, ensuring real savings for health plans and members [2][6] - The solution employs advanced technology to identify the most cost-effective medications, focusing on lowest net costs [6] - MarpaiRx enhances member experience by streamlining prescription delivery, prior authorizations, and financial assistance coordination [6] Group 2: Cost Management Strategies - The program addresses high specialty drug costs through real-time technology and a multi-pronged approach [5][6] - It includes international sourcing for specific medications to secure discounts while maintaining supply chain integrity [6] - Flexible copay programs are designed to incentivize members to choose cost-effective specialty medications [6] Group 3: Market Context - According to a 2024 study, over 24% of healthcare spending is allocated to prescription drugs, highlighting the need for cost-effective pharmacy benefits [3] - Marpai operates in a competitive landscape, serving self-funded employer health plans that represent over $1.5 trillion in annual claims [7]

Core Insights - Marpai, Inc. is experiencing a turnaround with a focus on reducing operating expenses and improving profitability, aiming for positive cash flow by the end of 2025 [2][8] Financial Performance - For Q1 2025, net revenues were approximately $5.4 million, a decrease of $2.0 million or 27% year-over-year compared to Q1 2024 [8] - Operating expenses were $7.7 million, down $3.8 million or 33% year-over-year [8] - The operating loss was $2.3 million, which is $1.8 million or 45% lower year-over-year [8] - The net loss was $3.1 million, a reduction of $1.3 million or 29% year-over-year [8] - Basic and diluted earnings per share improved to ($0.21), an increase of $0.25 per share year-over-year [8] Cash Position - At the end of Q1 2025, the company had $0.7 million in unrestricted cash, a decrease of $0.1 million from the previous year [8] - Total cash, cash equivalents, and restricted cash at the end of the period amounted to $11.5 million, down from $13.6 million year-over-year [12] Strategic Initiatives - The company is launching a Healthcare Management tool in collaboration with Empara, LLC and making advancements with MarpaiRx [2] - The onboarding of a new Chief Operating Officer, Dallas Scrip, is part of the company's strategic initiatives [2] Market Position - Marpai operates in the $22 billion Third-Party Administration (TPA) sector, serving self-funded employer health plans that represent over $1 trillion in annual claims [4]

Financial Data and Key Metrics Changes - Revenue declined by approximately 6% from Q3 2024, while operating expenses were cut by 5%, resulting in savings of approximately $300,000 [19] - Operating loss reduced from approximately $3.1 million to approximately $2.7 million for Q4 2024, and net loss decreased from $2.4 million in Q3 to $1.2 million in Q4 2024 [19] - Adjusted EBITDA loss for the year ended December 31, 2024, was $9.1 million, a significant improvement from a loss of $20.2 million for the year ended December 31, 2023 [21] Business Line Data and Key Metrics Changes - The company is focusing on profitable clients and has seen success in targeting industries with high labor costs and tight margins [7] - The Marpai Saves program is being expanded to provide value-added services to drive healthcare costs down for clients [12] Market Data and Key Metrics Changes - Healthcare costs continue to rise in the low-double-digits, which is driving demand for the company's services [7] - The company is leveraging strategic partnerships to enhance revenue generation and client acquisition [10][35] Company Strategy and Development Direction - The strategic focus remains on revenue growth, customer experience, and profitability, with plans to introduce high-impact benefit management services in the second half of 2025 [5] - The company is streamlining its service offerings to create a core package while allowing for customization at the right price [15] - The MarpaiRx program is anticipated to provide significant savings and a competitive advantage in the pharmacy benefit management space [42] Management's Comments on Operating Environment and Future Outlook - Management is committed to achieving profitability in 2025 and maximizing profitability thereafter, balancing purpose with profit [14] - The leadership team is focused on creating shareholder value and driving a culture of high performance [23] Other Important Information - The company ended the year with approximately $800,000 in cash, with plans in place to cover requirements until cash flow becomes positive in 2025 [33] - The company is actively recruiting high-caliber sales executives to enhance revenue growth [6] Q&A Session Summary Question: Is a lot of the churn now behind the company, or will there be more? - Management indicated that overall attrition is within industry averages and expects some attrition to flow through early in 2025, but remains optimistic due to a strong pipeline [31] Question: How does the company view its cash position and planned growth? - The company ended the year with approximately $800,000 in cash and has reduced cash burn significantly, aided by a $5 million drawdown from a strategic partner [33] Question: Can you provide more details on strategic partnerships? - Recent collaborations with Health fintech and Empara are expected to drive revenue and enhance sales cycles, with additional partnerships in the pipeline [35][36] Question: How should people think about Marpai's value proposition compared to competitors? - The company focuses on driving significant savings and providing a best-in-class member experience, differentiating itself from competitors who may offer less tangible benefits [38][39] Question: Why is the MarpaiRx program crucial for growth? - The program is expected to deliver significant savings and a competitive advantage, especially in light of upcoming legislation for transparency in the pharmacy benefit management space [42][44]

Table of Contents Index to Financial Statements As filed with the Securities and Exchange Commission on October 6, 2023 Registration Statement No 333-274162 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 AMENDMENT NO. 1 TO FORM S-1 REGISTRATION STATEMENT UNDER THE SECURITIES ACT OF 1933 Marpai, Inc. (Exact name of Registrant as specified in its charter) (State or other jurisdiction of incorporation or organization) Delaware 8090 86-1916231 (Primary Standard Industrial Classification ...

Table of Contents Registration Statement No 333- UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM S-1 REGISTRATION STATEMENT As filed with the Securities and Exchange Commission on August 23, 2023 UNDER THE SECURITIES ACT OF 1933 Marpai, Inc. (Exact name of Registrant as specified in its charter) Delaware 8090 86-1916231 (State or other jurisdiction of incorporation or organization) (Primary Standard Industrial Classification Code Number) (I.R.S. Employer Identification Number) 6 ...