SAN JOSE, CALIFORNIA / ACCESS Newswire / November 17, 2025 / VSee Health, Inc. (Nasdaq:VSEE), a pioneering provider of AI-powered telehealth solutions and high-acuity virtual care services, today announced its financial results for the third quarter ended September 30, 2025, as detailed in its Form 10-Q filed with the SEC on November 14, 2025.
In Q3 2025, VSee achieved total revenues of $3.98 million, a 19% increase from $3.35 million in the prior-year period, fueled by heightened demand for its integrated telehealth and professional services. Year-to-date through nine months, revenues climbed to $10.69 million, up 60% from $6.69 million in the comparable 2024 period, reflecting the full impact of the iDoc acquisition and expanded hospital partnerships. Gross margins remained resilient at 52%, supporting scalable growth as the company advances its pipeline of multi-year contracts projected to add millions in annualized recurring revenue.
Key Financial and Operational Highlights for Q3 2025:
Revenue Growth: telehealth fees surged 196% YoY to $1.44 million and patient fees rose 42% to $0.88 million, driven by expanded ICU and neurocritical care deployments across 25+ hospitals.
Cash Flow Optimization: Net cash used in operations for the nine months ended at $1.52 million, a 46% improvement from $2.82 million in 2024, bolstered by disciplined cost management and $1.69 million in financing inflows.
Balance Sheet Strength: Cash position grew to $0.47 million, with total assets at $18.71 million. Accounts receivable expanded to $2.58 million, signaling robust billing momentum from new contracts.
Strategic Milestones: Full activation of the $10M+ Level 1 hospital teleradiology deal, contributing to over 100,000 radiology reads; AI innovations like SOAP Notes reducing documentation time by 93%; and FedRAMP High status opening doors to billions in federal opportunities through 2030.
Pro Forma Financial Results
The unaudited pro forma financial information in the tables below summarizes the combined results of VSee Health's operations and iDoc's operations through September 30, 2025
|
|
For The Three Months Ended September 30, |
|
|
For the Nine Months Ended September 30, |
|
||||||||||
|
|
2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
Total Revenues |
|
$ |
3,980,655 |
|
|
$ |
3,354,437 |
|
|
$ |
10,692,259 |
|
|
$ |
6,686,998 |
|
Net Loss |
|
$ |
(289,745 |
) |
|
$ |
(53,922,561 |
) |
|
$ |
(6,862,468 |
) |
|
$ |
(54,493,913 |
) |
Weighted average shares: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted |
|
|
16,549,357 |
|
|
|
15,077,548 |
|
|
|
16,429,551 |
|
|
|
8,351,249 |
|
Net Loss per Share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted |
|
|
(0.02 |
) |
|
|
(3.58 |
) |
|
|
(0.42 |
) |
|
|
(6.53 |
) |
Management Summary
"Q3 2025 marks a critical milestone in VSEE's ascent as a telehealth leader, with revenue growth validating our focus on high-margin, AI-enhanced solutions that address clinician burnout and care access gaps," said Dr. Milton Chen and Dr. Imo Aisiku, Co-Chief Executive Officers of VSEE Health. "Our platform's seamless integrations with EHR systems and remote monitoring tools are empowering hospitals to optimize workflows, while our telehealth care expertise is capturing a larger share of the $455 billion federal telehealth opportunity. Despite macroeconomic headwinds, our 70% reduction in operating cash use year-to-date demonstrates prudent execution. With a robust pipeline and FedRAMP unlocking government deals, we're poised for profitability and exponential upside for our investors.
VSEE's dual-segment model-Healthcare Technology and Telehealth Services-continues to thrive, with the Technology segment generating $6.12 million YTD (up 11% YoY) from subscriptions and engineering fees, and Telehealth contributing $4.57 million from patient and institutional services. As the telehealth sector grows at a 23.84% CAGR through 2034, VSEE is uniquely positioned with its white-label platform, clinician staffing solutions, and remote diagnostics, targeting 3-5% reductions in hospital nursing costs and enhanced patient outcomes. Management reaffirms its commitment to value creation through innovation and execution.
VSEE HEALTH, INC.
(FKA DIGITAL HEALTH ACQUISITION CORP.)
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
FOR THE THREE AND NINE MONTHS ENDED SEPTEMBER 30, 2025, AND 2024 (UNAUDITED)
|
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For the Three Months Ended |
|
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For the Nine Months Ended |
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|
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September 30, |
|
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September 30, |
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||||||||||
|
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2025 |
|
|
2024 |
|
|
2025 |
|
|
2024 |
|
||||
|
|
|
|
|
(Restated) |
|
|
|
|
|
(Restated) |
|
||||
Revenues |
|
|
|
|
|
|
|
|
|
|
|
|
||||
Subscription fees |
|
$ |
894,514 |
|
|
$ |
1,037,457 |
|
|
$ |
2,602,186 |
|
|
$ |
3,080,085 |
|
Professional services and other fees |
|
|
603,696 |
|
|
|
396,455 |
|
|
|
2,524,853 |
|
|
|
1,145,930 |
|
Technical engineering fees |
|
|
163,523 |
|
|
|
806,456 |
|
|
|
993,493 |
|
|
|
1,284,345 |
|
Patient fees |
|
|
882,529 |
|
|
|
623,198 |
|
|
|
2,069,565 |
|
|
|
654,718 |
|
Telehealth fees |
|
|
1,436,393 |
|
|
|
485,971 |
|
|
|
2,499,662 |
|
|
|
516,540 |
|
Institutional fees |
|
|
- |
|
|
|
4,900 |
|
|
|
2,500 |
|
|
|
5,380 |
|
Total revenues |
|
|
3,980,655 |
|
|
|
3,354,437 |
|
|
|
10,692,259 |
|
|
|
6,686,998 |
|
Cost of revenues |
|
|
1,907,359 |
|
|
|
569,734 |
|
|
|
5,170,500 |
|
|
|
1,890,557 |
|
Gross margin |
|
|
2,073,296 |
|
|
|
2,784,703 |
|
|
|
5,521,759 |
|
|
|
4,796,441 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating expenses |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Compensation and related benefits |
|
|
1,213,678 |
|
|
|
1,730,369 |
|
|
|
4,543,136 |
|
|
|
3,536,689 |
|
Goodwill impairment charges |
|
|
- |
|
|
|
56,675,210 |
|
|
|
- |
|
|
|
56,675,210 |
|
General and administrative |
|
|
2,917,139 |
|
|
|
2,218,289 |
|
|
|
7,122,202 |
|
|
|
2,997,525 |
|
Transaction expenses |
|
|
- |
|
|
|
455,834 |
|
|
|
- |
|
|
|
710,479 |
|
Total operating expenses |
|
|
4,130,817 |
|
|
|
61,079,702 |
|
|
|
11,665,338 |
|
|
|
63,919,903 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net operating loss |
|
|
(2,057,521 |
) |
|
|
(58,294,999 |
) |
|
|
(6,143,579 |
) |
|
|
(59,123,462 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other income (expense) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense |
|
|
(755,866 |
) |
|
|
(115,385 |
) |
|
|
(1,727,110 |
) |
|
|
(466,530 |
) |
Other (expense) income, net |
|
|
(5 |
) |
|
|
(2 |
) |
|
|
183,004 |
|
|
|
- |
|
Change in fair value of financial instruments |
|
|
2,828,647 |
|
|
|
5,737,606 |
|
|
|
1,412,351 |
|
|
|
6,285,706 |
|
Loss on extinguishment of loan |
|
|
- |
|
|
|
(645,979 |
) |
|
|
(126,125 |
) |
|
|
(645,979 |
) |
Loss on issuance of financial instruments |
|
|
(305,000 |
) |
|
|
(595,000 |
) |
|
|
(443,020 |
) |
|
|
(2,213,234 |
) |
Total other income (expense), net |
|
|
1,767,776 |
|
|
|
4,381,240 |
|
|
|
(700,900 |
) |
|
|
2,959,963 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss before (provision for) benefit from income taxes |
|
|
(289,745 |
) |
|
|
(53,913,759 |
) |
|
|
(6,844,479 |
) |
|
|
(56,163,499 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(Provision for) benefit from income taxes |
|
|
- |
|
|
|
(8,802 |
) |
|
|
(17,989 |
) |
|
|
1,669,586 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net loss |
|
|
(289,745 |
) |
|
|
(53,922,561 |
) |
|
|
(6,862,468 |
) |
|
|
(54,493,913 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted loss per common share |
|
$ |
(0.02 |
) |
|
$ |
(3.58 |
) |
|
$ |
(0.42 |
) |
|
$ |
(6.53 |
) |
Weighted average number of common shares outstanding, basic and diluted |
|
|
16,549,357 |
|
|
|
15,077,548 |
|
|
|
16,429,551 |
|
|
|
8,351,249 |
|
VSEE HEALTH, INC.
(FKA DIGITAL HEALTH ACQUISITION CORP.)
CONDENSED CONSOLIDATED BALANCE SHEETS
|
|
September 30, |
|
|
December 31, |
|
||
|
|
2025 |
|
|
2024 |
|
||
|
|
(Unaudited) |
|
|
|
|
||
ASSETS |
|
|
|
|
|
|
||
Current assets |
|
|
|
|
|
|
||
Cash |
|
|
472,759 |
|
|
|
326,115 |
|
Accounts receivable, net of allowance for credit losses of $2,834,974 and $2,393,033 as of September 30, 2025, and December 31, 2024, respectively |
|
|
2,578,490 |
|
|
|
1,716,370 |
|
Due from related party |
|
|
284,614 |
|
|
|
531,656 |
|
Prepaids and other current assets |
|
|
382,522 |
|
|
|
446,826 |
|
Total current assets |
|
$ |
3,718,385 |
|
|
$ |
3,020,967 |
|
|
|
|
|
|
|
|
|
|
Right-of-use assets, net |
|
|
315,679 |
|
|
|
379,585 |
|
Intangible assets, net |
|
|
9,337,504 |
|
|
|
10,995,000 |
|
Goodwill |
|
|
4,916,694 |
|
|
|
4,916,694 |
|
Fixed assets, net |
|
|
418,860 |
|
|
|
680,242 |
|
Total assets |
|
$ |
18,707,122 |
|
|
$ |
19,992,488 |
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND STOCKHOLDERS' DEFICIT |
|
|
|
|
|
|
|
|
Current liabilities |
|
|
|
|
|
|
|
|
Accounts payable and accrued liabilities |
|
|
11,716,584 |
|
|
|
9,343,659 |
|
Deferred revenue |
|
|
1,150,093 |
|
|
|
417,815 |
|
Due to related parties |
|
|
51,900 |
|
|
|
51,900 |
|
Operating lease liabilities |
|
|
85,575 |
|
|
|
72,836 |
|
Finance lease liabilities |
|
|
184,106 |
|
|
|
328,833 |
|
Factoring payable |
|
|
122,220 |
|
|
|
179,007 |
|
Encompass Purchase Liability |
|
|
265,578 |
|
|
|
263,918 |
|
Equity Line of Credit |
|
|
42,394 |
|
|
|
80,000 |
|
Quantum convertible note, related party at fair value |
|
|
3,828,125 |
|
|
|
3,248,000 |
|
September 2024 Convertible Note, at fair value |
|
|
2,043,760 |
|
|
|
2,094,000 |
|
Loan payable, related party |
|
|
471,651 |
|
|
|
471,651 |
|
Line of credit |
|
|
456,097 |
|
|
|
456,097 |
|
Notes payable, net of discount |
|
|
1,944,710 |
|
|
|
433,983 |
|
Exchange Note, at fair value |
|
|
1,028,158 |
|
|
|
1,499,000 |
|
Common stock issuance obligation |
|
|
31,227 |
|
|
|
69,621 |
|
Total current liabilities |
|
$ |
23,422,178 |
|
|
$ |
19,010,320 |
|
|
|
|
|
|
|
|
|
|
Notes payable, less current portion, net of discount |
|
|
589,374 |
|
|
|
593,941 |
|
Operating lease liabilities, less current portion |
|
|
203,689 |
|
|
|
269,338 |
|
Deferred revenue, net of current portion |
|
|
- |
|
|
|
69,999 |
|
Deferred tax liabilities, net |
|
|
67,379 |
|
|
|
67,378 |
|
Total liabilities |
|
$ |
24,282,620 |
|
|
$ |
20,010,976 |
|
|
|
|
|
|
|
|
|
|
Commitments, Contingencies, and Concentration Risk (Note 10) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
STOCKHOLDERS' DEFICIT |
|
|
|
|
|
|
|
|
Preferred stock, $0.0001 par value, 10,000,000 shares authorized; 6,158 and 0 shares issued and outstanding as of September 30, 2025, and December 31, 2024, respectively |
|
|
1 |
|
|
|
1 |
|
Common stock, $0.0001 par value; 100,000,000 shares authorized; 17,022,690 and 16,297,190 shares issued and outstanding as of September 30, 2025, and December 31, 2024, respectively |
|
|
1,703 |
|
|
|
1,630 |
|
Additional paid-in capital |
|
|
68,989,139 |
|
|
|
67,683,754 |
|
Accumulated deficit |
|
|
(74,566,341 |
) |
|
|
(67,703,873 |
) |
Total stockholders' deficit |
|
|
(5,575,498 |
) |
|
|
(18,488 |
) |
Total liabilities and stockholders' deficit |
|
$ |
18,707,122 |
|
|
$ |
19,992,488 |
|
About VSee Health
VSee Health (NASDAQ: VSEE) is a telehealth technology and services company delivering high-acuity virtual care solutions through its scalable, API-driven platform. The Company's offerings integrate secure video, device data, and EHR connectivity to power hospital systems, health networks, and employers across the United States.
For more information, please visit www.vseehealth.com.
Forward-Looking Statements
Matters discussed in this news release that are not statements of historical or current facts, including but not limited to those relating to VSee Health's ability to improve healthcare access and provider efficiencies, are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may involve known and unknown risks, uncertainties and other factors that may cause performance or achievements to be materially different from historical results or from any future performance or achievements expressed or implied by such forward-looking statements. Accordingly, readers should not place undue reliance on any forward-looking statements. More information on risk factors relating to VSee Health and its technology and billing services is included from time to time in the "Cautionary Note Regarding Forward-Looking Statements," "Risk Factors" and "Management's Discussion and Analysis of Financial Condition and Results of Operations" sections of VSee Health's periodic and current filings with the SEC, which are also made available on VSee Health's website at www.vseehealth.com. Forward-looking statements speak only as of the date they are made, and VSee Health undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise that occur after that date, or otherwise. Readers are cautioned not to put undue reliance on forward-looking statements.
Contact:
VSee Health
Anne Chang
media@vsee.com
VSee Investor Contact:
Milton Chen
VSee Health
investor@vsee.com
SOURCE: VSee Health, Inc.
View the original press release on ACCESS Newswire
