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Vaso Corporation Announces Financial Results for First Quarter of 2026
PLAINVIEW, N.Y., May 15, 2026 (GLOBE NEWSWIRE) -- Vaso Corporation (“Vaso”) (OTCQX: VASO), a leading MedTech company with a diversified business portfolio in network and IT services, professional sales services, and proprietary medical products, today announced its operating results for the three months ended March 31, 2026.
“For the first quarter of 2026, the Company recorded total revenue of $19.4 million, a decrease of 0.5% when compared to the same quarter of the prior year, but an increase of 4.8% when excluding revenue of the healthcare IT service business we divested in November 2025,” commented Dr. Jun Ma, President and Chief Executive Officer of Vaso Corporation. “Gross profit for the quarter was $11.6 million, up by 1.9% year over year, or by 5.8% without the healthcare IT service business; and net loss for the first three months of 2026 narrowed to $887 thousand from $1.1 million for the same period of 2025.”
“Cash used in operating activities during the first quarter of 2026 was $12.6 million,” Dr. Ma continued. “The negative cash flow was primarily a result of timing of some payments we received in April instead of March of 2026. Total deferred revenue grew to $39.5 million at the end of the first quarter of 2026, an increase of $4.1 million, or 11.6%, from March 31, 2025.”
“Given the seasonal nature of our businesses, we have historically been more profitable in the later quarters of the year. As such, we remain cautiously optimistic about 2026 and will continue to prudently manage the growing uncertainties in the general business environment,” concluded Dr. Ma.
Financial Results for Three Months Ended March 31, 2026
For the three months ended March 31, 2026, revenue decreased by 0.5%, to $19.4 million, compared to $19.5 million for the same period of 2025, due to the divestiture of the healthcare IT service business in November 2025, partially offset by revenue increases in the network service business as well as in the professional sales services and equipment segments. Revenue in the professional sales services segment in the first quarter of 2026 was up by $530 thousand, or 6.1%, year-over-year, mainly due to higher imaging product deliveries by our partner during the period and a higher blended commission rate applicable to such deliveries, partially offset by both lower ultrasound product deliveries and a lower blended commission rate applicable to such deliveries. Revenue in our IT segment decreased by $754 thousand, or 7.3%, in the first quarter 2026 when compared to the same quarter of 2025, due to the elimination of revenue from the healthcare IT business we sold in November 2025, partially offset by higher revenue from network services sales during the quarter. Revenue in our equipment segment for the first quarter of 2026 increased by $118 thousand, or 26.7%, when compared to the first quarter of 2025, principally due to higher equipment deliveries in our China operations.
Gross profit for the first quarter of 2026 increased by $218 thousand, or 1.9%, to $11.6 million, compared with a gross profit of $11.4 million for the same quarter of 2025, as a result of higher revenue in the professional sales services segment, partially offset by lower gross profit in the IT and equipment segments.
Selling, general and administrative (SG&A) expenses for the first quarter of 2026 increased by $325 thousand, or 2.6%, to $12.7 million, compared to the first quarter of 2025. The increase was primarily attributable to higher personnel and travel costs as well as higher consulting and accounting expenses, partially offset by cost savings from the divestiture of the healthcare IT business.
Operating loss for the three months ended March 31, 2026 was $1.3 million, compared to operating loss of $1.2 million in the first quarter of 2025. The increase in loss was due to higher SG&A expenses as discussed above, partially offset by the higher gross profit.
Net loss for the three months ended March 31, 2026 was $887 thousand, compared to net loss of $1.1 million in the first quarter of 2025, an improvement of $188 thousand.
Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization, and stock-based compensation) was negative $1.1 million in the first quarter of 2026 compared to a negative $1.1 million for the first quarter of 2025, an improvement of $43 thousand. The improvement was the result of narrowed net loss and higher depreciation and amortization in the 2026 quarter, partially offset by the higher income tax benefit. Adjusted EBITDA is a non-GAAP financial metric. A reconciliation of Adjusted EBITDA to net loss can be found below.
Net cash used in operating activities was $12.6 million for the first quarter of 2026, compared to net cash used in operating activities of $566 thousand for the first quarter of 2025. The difference is largely the result of timing of payments the Company received in April instead of March 2026. As of May 8, 2026, the Company’s cash and cash equivalents totaled approximately $38.5 million.
About Vaso
Vaso Corporation is a diversified medical technology company with several distinct but related specialties: managed IT systems and network services; professional sales services for medical equipment; and design, manufacture, and sale of proprietary medical devices.
The Company operates through three wholly owned subsidiaries:
- VasoTechnology, Inc. provides network and IT services through NetWolves Network Services LLC, a managed network services provider with an extensive, proprietary service platform to a broad base of customers. Previously it also provided healthcare software sales and services as a national value-added reseller through VasoHealthcare IT Corp., which the Company sold in November 2025.
- Vaso Diagnostics, Inc. d.b.a. VasoHealthcare, provides professional sales services and is the operating subsidiary for the exclusive sales representation of GE HealthCare diagnostic imaging and ultrasound products in certain market segments in the USA.
- VasoMedical, Inc. manages and coordinates the design, manufacture and sales of proprietary medical equipment and software, as well as operates the Company's overseas assets including China-based subsidiaries.
Additional information is available on the Company's website at www.vasocorporation.com.
Non-GAAP Financial Information Reconciliation
We utilize Adjusted EBITDA to evaluate our performance internally, and this non-GAAP financial measure is frequently used by securities analysts, investors and other interested parties in the evaluation of companies in the Company’s industry. Management believes that this non-GAAP financial measure, in addition to GAAP measures, is useful to investors to evaluate the Company’s results.
Adjusted EBITDA is a non-GAAP financial measure and should not be considered a substitute for net income, which we consider to be the most directly comparable U.S. GAAP measure. Adjusted EBITDA has limitations as an analytical tool, and when assessing our operating performance, you should not consider Adjusted EBITDA in isolation, or as a substitute for net income or other consolidated income statement data prepared in accordance with U.S. GAAP. Investors should recognize that the Company’s presentation of this non-GAAP financial measure might not be comparable to similarly titled measures of other companies, limiting its usefulness as a comparative measure.
Summarized financial information including a reconciliation of net loss to Adjusted EBITDA is set forth below:
| FOR THE THREE MONTHS ENDED | ||||||
| STATEMENTS OF OPERATIONS | March 31, 2026 | March 31, 2025 | ||||
| (In thousands) | ||||||
| (unaudited) | ||||||
| Revenue | $ | 19,356 | $ | 19,462 | ||
| Gross profit | 11,576 | 11,358 | ||||
| Operating loss | (1,330 | ) | (1,218 | ) | ||
| Other (expense) income, net | 255 | 183 | ||||
| Loss before taxes | (1,075 | ) | (1,035 | ) | ||
| Income tax benefit (expense) | 188 | (40 | ) | |||
| Net loss | $ | (887 | ) | $ | (1,075 | ) |
| Income tax expense | (188 | ) | 40 | |||
| Interest expense (income), net | (248 | ) | (248 | ) | ||
| Depreciation and amortization | 243 | 160 | ||||
| Non-cash stock-based compensation | 8 | 8 | ||||
| Adjusted EBITDA* | $ | (1,072 | ) | $ | (1,115 | ) |
|
*Adjusted EBITDA is earnings (loss) before interest, taxes, depreciation and amortization and non-cash stock-based compensation | ||||||
| BALANCE SHEETS | March 31, 2026 | December 31, 2025 | ||||
| (In thousands) | ||||||
| (unaudited) | ||||||
| Total current assets | $ | 51,144 | $ | 58,560 | ||
| Total assets | $ | 82,983 | $ | 88,349 | ||
| Total current liabilities | $ | 30,563 | $ | 36,846 | ||
| Total stockholders' equity | $ | 28,602 | $ | 29,429 | ||
The information contained in this report contains forward-looking statements (as such term is defined in the Securities Exchange Act of 1934 and the regulations thereunder). These forward-looking statements may include projections of, or guidance on, the Company’s future financial performance, expected levels of future revenue and expenses, anticipated growth strategies, and anticipated trends in the Company’s business or financial results. When used in this report, words such as “anticipates”, “continue”, “believes”, “could”, “estimates”, “expects”, “may”, “plans”, “potential”, “future”, “intends”, the negative of these terms and similar expressions identify forward-looking statements. Any forward-looking statement made by the Company in this document is based only on the Company’s current expectations, estimates and projections about future events and financial trends affecting the financial condition of its business based on information currently available to the Company and speaks only as of the date when made. Forward-looking statements are not historical facts or guarantees of future performance. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict, many of which are outside of the Company’s control. Actual results may differ materially from this forward-looking information and therefore should not be unduly relied upon. Among the factors that could cause actual results to differ materially are the following: the effect of business and economic conditions, including the possibility of a downturn or disruptions in the U.S. economy; the impact of US tariff policies; the effect of the dramatic changes taking place in IT and healthcare; continuation of the GEHC agreement; the impact of competitive technology and products and their pricing; medical insurance reimbursement policies; unexpected manufacturing or supplier problems; unforeseen difficulties and delays in product development programs; the actions of regulatory authorities and third-party payers in the United States and overseas; and the risk factors reported from time to time in the Company’s SEC reports. The Company undertakes no obligation to update forward-looking statements as a result of future events or developments.
Investor Contact:
Jonathan Newton
Investor Relations
Phone: 516-997-4600
Email: jnewton@vasocorporation.com
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