Mobile-health Gross Margin Hits 20.1% as Operating Costs Drop Nearly 30%
Mobile-health Network Solutions posted a 20.1% gross margin in 1H FY2026, up from 14.8%, driven by a 13.8% cost-of-revenue cut and 25.3% gross profit increase. Operating expenses fell 29.9% to $1.67 million, net loss narrowed 48.2% to $0.86 million, and cash climbed to $3.48 million.
1. Financial Highlights
Mobile-health Network Solutions delivered revenue of $3.95 million in the six months ended December 31, 2025, achieving a gross margin of 20.1% versus 14.8% a year earlier. A 13.8% reduction in cost of revenue boosted gross profit by 25.3% to $795,303.
2. Cash Position Improvement
Net cash and cash equivalents rose to $3.48 million at December 31, 2025, up from $1.03 million at June 30, 2025. This reflects both operational efficiency gains and recent fundraising, strengthening liquidity for targeted AI and growth investments.
3. Expense Reductions and Net Loss Narrowing
Total operating expenses declined 29.9% to $1.67 million on the back of AI-enabled scheduling, predictive maintenance, and automated workflows. As a result, net loss narrowed 48.2% to $858,417.
4. Strategic Focus on AI and Growth
The company will expand AI deployments—predictive maintenance, intelligent rostering, automated documentation—while maintaining capital discipline. Selective reinvestments will support sales expansion, product enhancements, and rollout of the Otter.SG Clinic Operating System.