Company Reports $13.8M in Q3 Revenue as Refocusing and Cost Cutting Initiatives Drive Improved Late Quarter Performance with Accelerated Sequential Improvements Expected in Q4 and into 2026
HALLANDALE BEACH, Fla., Nov. 13, 2025 /PRNewswire/ -- NextPlat Corp (NASDAQ: NXPL, NXPLW) ("NextPlat" or the "Company"), a global consumer products and services company providing healthcare and technology solutions through e-commerce and retail channels worldwide, today announced the financial results for the quarter-ended September 30, 2025, reflecting the performance of its e-Commerce and Healthcare Operations.
"Late in the third quarter, we began to see the positive impact of our cost-cutting, customer re-engagement, and business efficiency efforts, reversing the sequential declines witnessed in the first half of 2025. Based upon the significant increased prescription volumes and related revenue recorded in our healthcare segment in early Q4, combined with accelerating cost reductions across the organization, it is clear that our refocusing efforts are delivering the positive impacts we expected, laying the groundwork for much-improved financial results into early 2026," said David Phipps, Chief Executive Officer and President of NextPlat Corp.
Third Quarter 2025 Financial Highlights:
-- Consolidated revenue for the quarter ended September 30, 2025, was
approximately $13.8 million compared to approximately $15.4 million for
the quarter ended September 30, 2024. The decrease in consolidated
revenue was primarily driven by a decline in Healthcare Operations due to
the decrease in pharmacy 340B contract revenue. As a result of direct
engagement with select 340B customers late in the quarter, the Company
has seen improved prescription volume within this segment which it
believes will contribute to sequential increases in 340B prescription
volumes starting in the fourth quarter of 2025.
-- Overall gross profit margin for the quarter ended September 30, 2025,
declined to approximately 19.9% from 23.2% when compared to the prior
year quarter. Gross profit margin from our Healthcare segment decreased
to approximately 18.4% in the third quarter of 2025 from 21.5% in the
third quarter of 2024 and was primarily attributable to the decrease in
340B revenue. Gross profit margin for our e-Commerce Operations decreased
to approximately 23.7% from 28.1% when compared to the prior year quarter
primarily due to a service provider airtime contract that expired on
December 31, 2024, which introduced new airtime costs beginning January
1, 2025, and temporary rate reductions for some customers continuing to
be affected by ongoing network provider service interruptions.
-- Operating expenses for the quarter ended September 30, 2025, decreased to
approximately $4.7 million compared to approximately $7.8 million in the
prior year quarter, excluding approximately $3.7 million in non-recurring
expenses such as an impairment loss from the write-down of certain
long-lived assets. As expected, overall operational costs declined due to
a decrease in stock-based compensation for grants fully vested, a
reduction in executive compensation, and ongoing headcount reductions
implemented as part of the Company's proactive steps designed to improve
its expense structure. As a result of ongoing operational process
efficiency improvements, staff adjustments, and other cost saving efforts,
the Company anticipates further reductions in operating expenses which
are expected to contribute to continued improvement going forward.
-- Net loss attributable to NextPlat Corp common shareholders for the
quarter ended September 30, 2025, decreased approximately 48% to
approximately $2.2 million, or ($0.08) per diluted share, compared to a
net loss of approximately $4.2 million, or ($0.22) per diluted share
reported for the quarter ending September 30, 2024.
-- The Company ended the quarter with approximately $13.9 million in cash.
-- During the third quarter of 2025, the Company began repurchasing its
common shares under the authorized share repurchase program. A total of
130,549 shares were repurchased and are being held as treasury stock.
Organizational Highlights and Recent Business Developments:
-- As communicated in the recent CEO Shareholder Update Letter, the Company
continues to execute its plan to refocus and streamline its operations to
improve efficiencies and reduce costs while supporting future growth.
NextPlat has identified and taken steps to reduce annualized overhead
expenses by more than $2.0 million through actions including reduction in
staff, operational and logistical improvements, and the elimination of
underutilized office space. Although some of these initial cost
reductions are included in the financial results for the quarter ended
September 30, 2025, the identified savings are expected to increasingly
contribute to sequentially improved operating metrics starting in the
fourth quarter. At the same time, the Company is allocating a portion of
these annual savings to invest into supporting the growth of the business
including improved customer service and the recruitment of additional
personnel and resources in sales and marketing with an emphasis on
securing new 340B and long-term care facility service contracts.
-- Under the leadership of its newly expanded Healthcare team, the Company
has been implementing operational improvements focused on efficiency,
enhanced customer service, and business development. These efforts are
highlighted by the addition of new customers during the quarter as well
as a recently expanded medication fulfillment services subcontract on
behalf of a government contractor previously awarded to the Company. This
subcontract and renewed activity by new and existing 340B customers are
contributing to a significant increase in additional high margin
prescription volumes, currently exceeding 3,000+ per month. This
increased activity and momentum continued through October and into early
November and is currently anticipated to drive a significant sequential
prescription volume increase in the fourth quarter vs. the third quarter
of 2025 and into 2026. The Company is also currently working to optimize
inventory levels in its PharmcoRx pharmacies, which are expected to
generate a significant one-time cash savings through the return of excess
inventory to the supplier.
-- In the e-Commerce segment, during the quarter, the Company continued to
see robust sales for satellite-based connectivity and IoT (Internet of
Things) products with strength on the Amazon platform and in high-margin
recurring revenue which continues to run at record levels. Through its
Global Telesat Communications Ltd (GTC) and U.S.-based Orbital Satcom and
Outfitter Satellite units, the Company continues to expand its portfolio
of cutting-edge connectivity products and growing its consumer and
enterprise customer base with new and existing relationships, highlighted
by the selection of GTC as the exclusive distributor for personal
messaging and tracking products by a leading global satellite network
operator for countries in the Nordic region. In its e-Commerce
development program for the sale of OPKO Healthcare $(OPK)$
("OPKO")-branded human health and wellness products in China, despite
continued challenges of limited inventory levels, sales activity and
sell-through remains high. In September, NextPlat also launched its
Florida Sunshine products in the UK and EU and began processing orders
via its Amazon and Shopify e-commerce storefronts. The Company is also
preparing the launch of an Artificial Intelligence (AI)-driven marketing
campaign for Florida Sunshine in partnership with an experienced
healthcare brand marketing firm and its storefront on Alibaba Group
Holding Limited's (NYSE: BABA) Tmall store in China has been approved to
sell its products with shipping expected to begin in the first quarter of
2026.
Third Quarter 2025 Conference Call Notification
NextPlat's Chief Executive Officer and President, David Phipps, its Chief Financial Officer, Amanda Ferrio, and Vice President of Healthcare Operations, Birute Norkute, will host a conference call today, November 13(th) at 8:30 a.m. Eastern time to discuss the results for the quarter ended September 30, 2025, as well as other recent developments.
To access the call, please use the following information:
Date: Thursday, November 13, 2025 Time: 8:30 a.m. Eastern time Toll-free dial-in number: 1-800-836-8184 International dial-in number: 1-646-357-8785 Conference webcast link: https://app.webinar.net/EYVam5wPR3y
Please call the conference telephone number 5-10 minutes prior to the start time. An operator will register your name and organization.
The conference call will be broadcast live and available for replay at https://app.webinar.net/EYVam5wPR3y and via the investor relations section of the Company's website at https://ir.nextplat.com/news-events/ir-calendar/detail/20251113-q3-2025-results-conference-call. A replay of the conference call will be available after 12:00 p.m. Eastern time through November 20, 2025.
Toll-free replay number: 1-888-660-6345 International replay number: 1-646-517-4150 Replay entry code: 03432 #
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