DarioHealth (Nasdaq:DRIO) shares ticked up this morning on first-quarter results that beat the consensus forecast.
The (LOCATION)-based digital therapeutics company posted losses of $15.9 million, or 74¢ per share, on sales of $8.1 million for the three months ended March 31, 2022, for a bottom-line slide about $1 million deeper into the red despite more than doubling its sales from the first quarter of 2021.
DarioHealth’s losses per share of 74¢ came in 22¢ ahead of expectations on Wall Street, where analysts were looking for sales of $6.9 million.
“Our first quarter results reflect our increasingly successful transition to a B2B model with growing revenue and gross margins,” DarioHealth CEO Erez Raphael said in a news release. “In light of the demonstrable traction and increasing revenue in the B2B (commercial) market segment, we continued to rationalize marketing spend in the direct-to-consumer segment resulting in improved margins which drove a significantly narrower net loss and cash burn rate as compared to the fourth quarter of 2021.
“With the strategic agreement executed with Sanofi U.S. (Sanofi) and the $40 million financing that we closed in the quarter, we believe that we are in an excellent position to achieve our financial and operational goals for the foreseeable future.”
DarioHealth did not provide 2022 financial guidance.
DRIO shares were up 6.4% at $4.86 in early-morning trading today. MassDevice’s MedTech 100 Index — which includes stocks of the world’s largest medical device companies — was up 0.2%.