DarioHealth Reports Third Quarter 2025 Financial and Operating Results

PR Newswire

NEW YORK, Nov. 13, 2025


	September 30,		December 31,
	2025		2024
ASSETS

CURRENT ASSETS:
Cash and cash equivalents	$	31,907	$	27,764
Short-term bank deposits		-		697
Short-term restricted bank deposits		222		175
Trade receivables, net		2,375		4,804
Inventories		4,869		4,753
Other accounts receivable and prepaid expenses		2,812		2,336

Total current assets		42,185		40,529

NON-CURRENT ASSETS:
Deposits		79		79
Operating lease right of use assets		746		1,065
Long-term assets		307		313
Property and equipment, net		578		709
Intangible assets, net		16,405		18,762
Goodwill		57,427		57,427

Total non-current assets		75,542		78,355

Total assets	$	117,727	$	118,884
The accompanying notes are an integral part of the unaudited condensed consolidated interim financial statements.


	September 30,		December 31,
	2025		2024
LIABILITIES AND STOCKHOLDERS' EQUITY

CURRENT LIABILITIES:
Trade payables	$	3,469	$	3,045
Deferred revenues		860		1,583
Operating lease liabilities		442		504
Other accounts payable and accrued expenses		4,508		6,052
Current maturity of long-term loan		—		5,451

Total current liabilities		9,279		16,635

NON-CURRENT LIABILITIES
Operating lease liabilities		579		765
Long-term loan		30,617		23,472
Warrant liability		2,244		5,968
Other long-term liabilities		74		25

Total non-current liabilities		33,514		30,230

STOCKHOLDERS' EQUITY **
December 31, 2024, respectively		4		4
respectively		*) -		*) -
Additional paid-in capital		516,756		462,358
Accumulated deficit		(441,826)		(390,343)

Total stockholders' equity		74,934		72,019

Total liabilities and stockholders' equity	$	117,727	$	118,884
The accompanying notes are an integral part of the unaudited condensed consolidated interim financial statements.


	Three months ended				Nine months ended
	September 30,				September 30,
	2025		2024		2025		2024
Revenues:
Services	$	3,209	$	5,604	$	11,745	$	14,424
Consumer hardware		1,798		1,819		5,383		5,012
Total revenues		5,007		7,423		17,128		19,436

Cost of revenues:
Services		613		920		2,299		2,845
Consumer hardware		1,198		1,282		3,479		3,786
Amortization of acquired intangible assets		181		1,344		1,489		3,740
Total cost of revenues		1,992		3,546		7,267		10,371

Gross profit		3,015		3,877		9,861		9,065

Operating expenses:
Research and development	$	3,328	$	5,446	$	11,157	$	18,898
Sales and marketing		4,604		6,733		15,708		20,775
General and administrative		4,567		3,728		11,089		15,468

Total operating expenses		12,499		15,907		37,954		55,141

Operating loss		9,484		12,030		28,093		46,076

Interest expenses		1,157		—		1,923		—
Other financial expenses (income), net		(175)		313		2,645		(10,954)

Total financial expenses (income), net		982		313		4,568		(10,954)

Loss before taxes		10,466		12,343		32,661		35,122

Income tax (benefit)		—		(13)		22		(2,007)

Net loss	$	10,466	$	12,330	$	32,683	$	33,115

Deemed dividend (contribution)	$	8,389	$	2,278	$	18,800	$	(4,394)

Net loss attributable to common shareholders	$	18,855	$	14,608	$	51,483	$	28,721

Net loss per share:

Basic and diluted loss per share of common stock	$	2.96	$	4.91	$	9.05	$	10.38
computing basic and diluted net loss per share**		3,138,106		2,020,872		2,673,794		1,954,679
The accompanying notes are an integral part of the unaudited condensed consolidated interim financial statements.


	Nine months ended
	September 30,
	2025		2024
Cash flows from operating activities:
Net loss	$	(32,683)	$	(33,115)
Adjustments required to reconcile net loss to net cash used in operating activities:
Stock-based compensation		7,327		13,206
Depreciation and impairment		247		773
Disposal of property and equipment		-		7
Change in operating lease right of use assets		319		666
Amortization of acquired intangible assets		2,357		4,519
Decrease in trade receivables, net		2,429		1,536
Increase in other accounts receivable, prepaid expense and long-term assets		(470)		(894)
Decrease (increase) in inventories		(117)		320
Increase (decrease) in trade payables		424		(886)
Decrease in other accounts payable and accrued expenses		(1,495)		(3,704)
Decrease in deferred revenues		(723)		(621)
Change in operating lease liabilities		(248)		(791)
Change in fair value of warrant liability		(903)		(13,370)
Non-cash financial expenses		2,832		432
Other		650		92

Net cash used in operating activities		(20,054)		(31,830)

Cash flows from investing activities:
Purchase of property and equipment		(116)		(117)
Payments for business acquisitions, net of cash acquired		—		(8,796)

Net cash used in investing activities		(116)		(8,913)

Cash flows from financing activities:
Proceeds from issuance of common stock and prefunded warrants, net of issuance costs		17,393		—
Proceeds from issuance of preferred stock, net of issuance costs		6,754		20,206
Proceeds from borrowings on credit agreement, net		31,700		—
Repayment of long-term loan		(31,515)		—

Net cash provided by financing activities		24,332		20,206

Increase (decrease) in cash, cash equivalents and restricted cash and cash equivalents		4,162		(20,537)
Effect of exchange rate differences on cash, cash equivalents and restricted cash and cash equivalents		(19)		(50)
Cash, cash equivalents and restricted cash and cash equivalents at beginning of period		27,764		36,797
Cash, cash equivalents and restricted cash and cash equivalents at end of period	$	31,907	$	16,210
Supplemental disclosure of cash flow information:
Cash paid during the period for interest on long-term loan	$	2,260	$	2,968
Non-cash activities:
Right-of-use assets obtained in exchange for lease liabilities	$	—	$	428
Exercise of pre-funded warrants to common stock upon acquisition	$	2,821	$	—
The accompanying notes are an integral part of the unaudited condensed consolidated interim financial statements.

Reconciliation of Operating Loss, Net Loss and Operating Expenses to Adjusted
Operating Loss, Net Loss and Operating Expenses (Non-GAAP)
U.S. dollars in thousands

Three months ended September 30, 2025

	GAAP		Stock-Based Expenses		Amortization of of fixed assets		Non-GAAP
Cost of Revenues	$	1,992		(6)		(192)		1,794
Gross Profit		3,015		6		192		3,213

Research and development		3,328		(389)		(30)		2,909
Sales and Marketing		4,604		(555)		(308)		3,741
General and Administrative		4,567		(2,000)		(17)		2,550
Total Operating Expenses		12,499		(2,944)		(355)		9,200
Operating Loss	$	(9,484)		2,950		547		(5,987)
Financing expenses		928		-		-		982
Net Loss	$	(10,466)		2,950		547		(6,969)

Reconciliation of Operating Loss, Net Loss and Operating Expenses to Adjusted
Operating Loss, Net Loss and Operating Expenses (Non-GAAP)
U.S. dollars in thousands

Three months ended September 30, 2024

	GAAP		Stock-Based Expenses		Amortization of of fixed assets		Non-GAAP
Cost of Revenues	$	3,546		7		(1,359)		2,194
Gross Profit		3,877		(7)		1,359		5,229

Research and development		5,446		(748)		(63)		4,635
Sales and Marketing		6,733		(948)		(689)		5,096
General and Administrative		3,728		(1,097)		(17)		2,614
Total Operating Expenses		15,907		(2,793)		(769)		12,345
Operating Loss	$	(12,030)		2,786		2,128		(7,116)
Financing expenses		313		-				313
Income Tax		(13)						(13)
Net Loss	$	(12,330)		2,786		2,128		(7,416)

Reconciliation of Operating Loss, Net Loss and Operating Expenses to Adjusted
Operating Loss, Net Loss and Operating Expenses (Non-GAAP)
U.S. dollars in thousands

Nine months ended September 30, 2025

	GAAP		Stock-Based Expenses		Amortization of of fixed assets		Non-GAAP
Cost of Revenues	$	7,267		(22)		(1,529)		5,716
Gross Profit		9,861		22		1,529		11,412

Research and development		11,157		(1,356)		(104)		9,697
Sales and Marketing		15,708		(1,953)		(926)		12,829
General and Administrative		11,089		(3,996)		(46)		7,047
Total Operating Expenses		37,954		(7,305)		(1,076)		29,573
Operating Loss	$	(28,093)		7,327		2,605		(18,161)
Financing expenses		4,568		-		-		4,568
Income Tax		22						22
Net Loss	$	(32,683)		7,327		2,605		(22,751)

Reconciliation of Operating Loss, Net Loss and Operating Expenses to Adjusted
Operating Loss, Net Loss and Operating Expenses (Non-GAAP)
U.S. dollars in thousands

Nine months ended September 30, 2024

	GAAP		Stock-Based Expenses		Amortization of of fixed assets		Non -GAAP
Cost of Revenues	$	10,371		(5)		(3,784)		6,582
Gross Profit		9,065		5		3,784		12,854

Research and development		18,898		(2,311)		(187)		16,400
Sales and Marketing		20,775		(4,354)		(859)		15,562
General and Administrative		15,468		(6,536)		(1,175)		7,757
Total Operating Expenses		55,141		(13,201)		(2,221)		39,719
Operating Loss	$	(46,076)		13,206		6,005		(26,865)
Financing expenses		(10,954)		-		-		(10,954)
Income Tax		(2,007)						(2,007)
Net Loss	$	(33,115)		13,206		6,005		(13,904)

Corp. (NASDAQ: DRIO) ("Dario" or the "Company"), a leader in the global digital health market, today announced financial results for the third quarter ended September 30, 2025, along with strategic and commercial updates.DarioHealthNEW YORKNov. 13, 2025

"As we execute a powerful transition to a high-margin recurring revenue model built on high-quality, long-term contracts generating 60% GAAP and 80%-plus non-GAAP gross margins, Dario's financials are significantly improving as evidenced by continued gross margin expansion, declines in operating expenses, and a robust balance sheet. We believe we are on a solid path to profitability," stated Erez Raphael, Chief Executive Officer of Dario. "While revenue declined during this transition, mainly due to our focus on a high-margin, annual recurring revenue model, our multi-condition platform is garnering strong traction with large insurers and with employers that are two to ten-times larger than our historical client size."

"We have 45 new clients in 2025 thus far and are targeting $12.4 million in new business including committed annual recurring revenues and a portion of our late-stage pipeline that is in the contracting process. Our commercial pipeline now stands at $69 million for 2026 reflecting the success of our channel strategy and robust momentum which we believe positions us for strong revenue acceleration in 2026 as we sign and onboard new clients. Our diversified customer base numbers over 125 clients, including four national and seven major regional health plans, 112 employers, and seven channel partners representing 116 million lives. With more than 50% of new contracts now multi-condition, we aim to lead healthcare's shift toward integrated, clinically proven, outcomes-driven digital solutions. We believe we have created tremendous value both in our technology platform and our business, and this is being recognized by other companies in the rapidly evolving digital health ecosystem," Raphael concluded.

In September 2025, in response to multiple unsolicited inbound expressions of interest, Dario engaged Perella Weinberg Partners and established a Special Committee of its Board of Directors. We will not be commenting further on this matter unless or until there is a material update.

Commercial Momentum Accelerates: Dario is a Multi-Condition Leader in Digital Health

"We believe that Dario's multi-condition platform, among the few in the market addressing over five conditions, is resonating strongly with blue-chip employers and insurers," said Steven Nelson, Dario's President and Chief Commercial Officer. "In addition to surpassing our new business goal, we have built a 2026 commercial pipeline that is extremely healthy and still has early 2026 and mid 2026 opportunities on the table due to diversifying our product market fit to new employers and health plans, including government opportunities. Impressively, more than 50% of our new clients choose our multi-condition option. We now serve over 125 clients, including Fortune 100 companies, and our diversified approach across employers, health plans, and pharma creates multiple revenue streams with low customer concentration risk. Our growth is further amplified by top-tier channel partnerships, collectively reaching over 116 million lives."

Solid Financial Foundation for Growth

"During the third quarter of 2025, Dario significantly strengthened its financial position, highlighted by an oversubscribed $17.5 million private placement, reflecting strong investor confidence in our ability to capture a massive digital health opportunity," stated Chen Franco Yehuda, Dario's Chief Financial Officer. "Our disciplined approach to operations resulted in further substantial reductions in operating expenses and corresponding operating loss on a year-over-year basis both for the third quarter of 2025 and the first nine months of 2025. High-quality accounts are translating into 60% GAAP gross margins and sustained 80% gross margins on our B2B2C business on a non-GAAP basis, setting Dario on a clear path to cashflow breakeven by late 2026 to early 2027."

Financial Results for the Three Months Ended September 30, 2025

Revenue for the three months ended September 30, 2025 was $5.0 million, compared to $7.4 million, for the three months ended September 30, 2024, and $5.4 million for the three months ended June 30, 2025. The quarter-over-quarter and year-over-year decrease was primarily due to Dario's transition away from one-time and non-recurring revenues to its focus on building ARR revenues from its core B2B2C business and a significant scope change with a large national health plan client that was not renewed in the beginning of 2025.

Gross profit for the three months ended September 30, 2025 was $3.0 million, compared to gross profit of $3.9 million for the three months ended September 30, 2024, and gross profit of $3.0 million for the three months ended June 30, 2025. The reason for the increase as compared to the three months ended September 30, 2024 resulted mainly from change in revenue mix and lower amortization of technology expenses recorded in the cost of revenues. Gross profit as a percentage of revenues increased year-over-year to 60% in the three months ended September, 2025, from 52% in the three months ended September 30, 2024, and increased from 55% in the three months ended June 30, 2025.

Non-GAAP gross profit, excluding $0.2 million of amortization expenses related to the acquisition of technology, stock-based compensation, and depreciation was $3.2 million, or 64% of revenues, for the three months ended September 30, 2025, compared to non-GAAP gross profit of $5.2 million, or 70% of revenues, for the three months ended September 30, 2024, and a non-GAAP gross profit of $3.4 million, or 64% of revenues, for the three months ended June 30, 2025. A reconciliation of GAAP to non-GAAP measures has been provided in the financial statement tables included in this press release. An explanation of these measures is also included below under the heading "Non-GAAP Financial Measures."

Total operating expenses for the three months ended September 30, 2025, were $12.5 million compared to $15.9 million for the three months ended September 30, 2024, and $12.2 million for the three months ended June 30, 2025 a decrease of $3.4 million, or 21%, compared to the three months ended September 30, 2024, and an increase of $0.3 million, or 3%, compared to the three months ended June 30, 2025. The year-over-year decrease in operating expenses resulted mainly from increased operational efficiency and post-merger integration activities.

Non-GAAP operating expenses (excluding stock-based compensation, acquisition related expenses, depreciation and amortization expenses) for the three months ended September 30, 2025, were $9.2 million compared to $12.3 million for the three months ended September 30, 2024, and $9.8 million for the three months ended June 30, 2025, representing a decrease of 25% and 6%, respectively.

Operating loss for the three months ended September 30, 2025, was $9.5 million, a decrease of $2.5 million, or 21%, compared to $12.0 million for the three months ended September 30, 2024, and remained relatively the same compared to $9.2 million for the three months ended June 30, 2025. The decrease in operating loss compared to the three months ended June 30, 2024, was mainly due to an increase in operational efficiencies and post-merger integration activities.

Non-GAAP operating loss (excluding stock-based compensation, acquisition related expenses, depreciation and amortization expenses) for the three months ended September 30, 2025 was $6.0 million representing a decrease of 16% and an decrease of 6% respectively, compared to a Non-GAAP operating loss of $7.1 million in the three months ended September 30, 2024, and Non-GAAP operating loss of $6.4 million in the three months ended June 30, 2025.

Net loss was $10.5 million for the three months ended September 30, 2025, compared to a net loss of $12.3 million for the three months ended September 30, 2024, and $13.0 million for three months ended June 30, 2025.

Non-GAAP net loss (excluding stock-based compensation, acquisition related expenses, depreciation and amortization expenses) for the three months ended September 30, 2025 was $7.0 million compared to a Non-GAAP net loss of $7.4 million for the three months ended September 30, 2024, and a Non-GAAP net loss of $10.2 million in the three months ended June 30, 2025.

A reconciliation of GAAP to non-GAAP measures has been provided in the financial statement tables included in this press release. An explanation of these measures is also included below under the heading "Non-GAAP Financial Measures."

Financial Results for the Nine Months Ended September 30, 2025

Revenues for the nine months ended September 30, 2025 were $17.1 million, compared to $19.4 million for the nine months ended September 30, 2024. The reason for the decrease as compared to the nine months ended September 30, 2024 was primarily due to Dario's transition away from one-time and non-recurring revenues to its focus on building ARR revenues from its core B2B2C business and a significant scope change with a large national health plan client that was not renewed in the beginning of 2025, partially offset by new ARR.

Gross profit for the nine months ended September 30, 2025, was $9.9 million, an increase of $0.8 million or 9%, compared to gross profit of $9.1 million for the nine months ended September 30, 2024. The reason for the increase as compared to the nine months ended September 30, 2024 resulted mainly from the change in revenue mix and lower amortization of technology expenses recorded in the cost of revenues. Gross profit as a percentage of revenues increased year-over-year to 58% in the nine months ended September 30, 2025, from 47% in the nine months ended September 30, 2024.

Non-GAAP gross profit, excluding $1.6 million of amortization expenses related to the acquisition of technology, stock-based compensation and depreciation, was $11.4 million, or 67% of revenues, for the nine months ended September 30, 2025, compared to non-GAAP gross profit of $12.9 million, or 66% of revenues, for the nine months ended September 30, 2024. A reconciliation of GAAP to non-GAAP measures has been provided in the financial statement tables included in this press release. An explanation of these measures is also included below under the heading "Non-GAAP Financial Measures."

Total operating expenses for the nine months ended September 30, 2025, were $38.0 million compared to $55.1 million for the nine months ended September 30, 2024, a decrease of $17.1 million, or 31%. The decrease in operating expenses compared to the nine months ended September 30, 2024, resulted mainly from increased operational efficiencies and post merger integration activities.

Non-GAAP operating expenses (excluding stock-based compensation, acquisition-related expenses, depreciation and amortization expenses) for the nine months ended September 30, 2025, were $29.6 million compared to $39.7 million for the nine months ended September 30, 2024, representing a decrease of $10.1 million.

Operating loss for the nine months ended September 30, 2025, was $28.1 million, a decrease of $17.9 million, or 39%, compared to $46.1 million for the nine months ended September 30, 2024. The decrease in operating loss compared to the nine months ended September 30, 2024, was mainly due to an increase in operational efficiencies and post merger integration activities.

Non-GAAP operating loss (excluding stock-based compensation, acquisition related expenses, depreciation and amortization expenses) for the nine months ended September 30, 2025 was $18.2 million representing a decrease of 32%, compared to a non-GAAP operating loss of $26.9 million in the nine months ended September 30, 2024.

Net loss was $32.7 million for the nine months ended September 30, 2025, compared to a net loss of $33.1 million for the nine months ended September 30, 2024.

Non-GAAP net loss (excluding stock-based compensation, acquisition related expenses, depreciation and amortization expenses) for the nine months ended September 30, 2025 was $22.8 million compared to a Non-GAAP net loss of $13.9 million for the nine months ended September 30, 2024.

Conference Call Details: Thursday November 13, 8:30am ET

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Participants are asked to dial in approximately 10 minutes prior to the start of the event. A replay of the call will be available approximately three hours after completion of the conference call through Thursday, November 27th, 2025. To listen to the replay, dial 1-844-512-2921 (domestic) or 1-412-317-6671 (international) and use replay passcode 1196613.

About DarioHealth Corp.

DarioHealth Corp. (NASDAQ: DRIO) is a leading digital health company revolutionizing how people with chronic conditions manage their health through a user-centric, multi-chronic condition digital therapeutics platform. Dario's platform and suite of solutions deliver personalized and dynamic interventions driven by data analytics and one-on-one coaching for diabetes, hypertension, weight management, musculoskeletal pain and behavioral health.

Dario's user-centric platform offers people continuous and customized care for their health, disrupting the traditional episodic approach to healthcare. This approach empowers people to holistically adapt their lifestyles for sustainable behavior change, driving exceptional user satisfaction, retention and results and making the right thing to do the easy thing to do.

Dario provides its highly user-rated solutions globally to health plans and other payers, self-insured employers, providers of care and consumers. To learn more about Dario and its digital health solutions, or for more information, visithttp://dariohealth.com

Cautionary Note Regarding Forward-Looking Statements

This news release and the statements of representatives and partners of DarioHealth Corp. related thereto contain or may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Statements that are not statements of historical fact may be deemed to be forward-looking statements. For example, the Company is using forward-looking statements in this press release when it discusses the amount of its targeted new business, its 2026 pipeline and expected strong revenue acceleration in 2026, that it expects to reach cashflow breakeven by late 2026 to early 2027, that it expects to transition to a high-margin recurring revenue model; that it is on a solid path to profitability; the number of new accounts it expects to sign in 2025, its potential future business opportunities, and that it expects to further cut its operating expenses over the next 12-15 months. Without limiting the generality of the foregoing, words such as "plan," "project," "potential," "seek," "may," "will," "expect," "believe," "anticipate," "intend," "could," "estimate" or "continue" are intended to identify forward-looking statements. Readers are cautioned that certain important factors may affect the Company's actual results and could cause such results to differ materially from any forward-looking statements that may be made in this news release. Factors that may affect the Company's results include, but are not limited to, regulatory approvals, product demand, market acceptance, impact of competitive products and prices, product development, commercialization or technological difficulties, the success or failure of negotiations and trade, legal, social and economic risks, and the risks associated with the adequacy of existing cash resources. Additional factors that could cause or contribute to differences between the Company's actual results and forward-looking statements include, but are not limited to, those risks discussed in the Company's filings with the U.S. Securities and Exchange Commission. Readers are cautioned that actual results (including, without limitation, the timing for and results of the Company's commercial and regulatory plans for Dario™ as described herein) may differ significantly from those set forth in the forward-looking statements. The Company undertakes no obligation to publicly update any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.

DarioHealth Corporate Contacts

Michael Lipariirteam@dariohealth.com

Zoe Harrisonirteam@dariohealth.com

Non-GAAP Financial Measures

We have provided in this release financial information that has not been prepared in accordance with Generally Accepted Accounting Principles (GAAP). These non-GAAP financial measures are not based on any standardized methodology prescribed by GAAP and are not necessarily comparable to similar measures presented by other companies. We use these non-GAAP financial measures internally in analyzing our financial results and believe they are useful to investors, as a supplement to GAAP measures, in evaluating our ongoing operational performance. We believe that the use of these non-GAAP financial measures provides an additional tool for investors to use in evaluating ongoing operating results and trends and in comparing our financial results with peer companies, many of which present similar non-GAAP financial measures to investors.

Non-GAAP financial measures should not be considered in isolation from, or as a substitute for, financial information prepared in accordance with GAAP. Investors are encouraged to review the reconciliation of these non-GAAP financial measures to their most directly comparable GAAP financial measures provided in the financial statement tables below.

. Our presentation of non-GAAP operating expenses excludes stock-based compensation expenses, amortization of acquisition related expenses and depreciation of fixed assets. Due to varying available valuation methodologies, subjective assumptions, and the variety of equity instruments that can impact a company's non-cash operating expenses, we believe that providing non-GAAP financial measures that exclude non-cash expenses provides us with an important tool for financial and operational decision making and for evaluating our own core business operating results over different periods of time.Operating expenses (non-GAAP)

. Our presentation of adjusted net loss excludes the effect of certain items that are non-GAAP financial measures. Adjusted net loss represents net loss determined under GAAP without regard to stock-based compensation expenses, deferred inventory, depreciation of fixed assets, earn-out remeasurement and acquisition related expenses and amortization. We believe these measures provide useful information to management and investors for analysis of our operating results.Net loss (non-GAAP)

CONDENSEDCONSOLIDATED INTERIM BALANCE SHEETS (UNAUDITED)

U.S. dollars in thousands

CONDENSEDCONSOLIDATED INTERIM BALANCE SHEETS (UNAUDITED)

U.S. dollars in thousands (except stock and per share data)

CONDENSEDCONSOLIDATED INTERIM STATEMENTS OF COMPREHENSIVE LOSS (UNAUDITED)

U.S. dollars in thousands (except stock and per share data)

CONDENSED CONSOLIDATEDINTERIM STATEMENTS OF CASH FLOWS (UNAUDITED)

U.S. dollars in thousands

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SOURCE DarioHealth Corp.

Third quarter 2025 revenue was $5.0 million, compared to $7.4 million in the third quarter of 2024, and $5.4 million in the second quarter of 2025
Targeting $12.4 million in new business, reflecting both committed annual recurring revenue ("CARR") and late-stage opportunities nearing completion; 2026 pipeline expanded to $69 million
Exceeded 2025 goal of 40 new signed accounts for 2026 revenue, with 45 new signed accounts to date—several already contributing to 2025 results; average employer customer size nearly doubled what was projected
Strong business fundamentals in the third quarter including GAAP gross margin increase to 60%, 7 consecutive quarters of 80%+ non-GAAP gross margins on core B2B2C business, and $17.2 million, or 31%, reduction in operating expenses for the first nine months of 2025 compared to the same period in 2024
Dario's integrated whole-person digital health platform is driving adoption as more than 50% of Company's new clients are choosing the multi-condition offering—combining AI-driven personalization across diabetes, hypertension, weight management, musculoskeletal, and mental health
Backed by $31.9 million in cash and cash equivalents on the balance sheet as of September 30, 2025, and accelerating commercial momentum, Dario expects to reach cashflow breakeven by late 2026 to early 2027
Dario will host an investor conference call and webcast at 8:30 a.m. ET today

year-to-date, surpassing stated goal of signing 40 new accounts in 202545 New Annual Recurring Revenues ("ARR") Clients
that are increasingly looking for multi-condition solutions, doubling expected client size and doubling win rate for sustained revenue rampSigning Larger Clients
as an increasing number of new accounts are opting for Dario's innovative new performance-based pricing modelValue-Based Pricing Model Enables Faster Expansion
through strategic collaboration with OneStep to further drive measurable return on investment ("ROI") for health plans by reducing falls, the leading cause of injury of older adults in the U.S. generating more than $50 billion in annual direct medical costsExpansion into Fall-Risk Assessment
are accelerating market penetrationChannel Partners Representing 116 million Lives

following a $17.5 million oversubscribed private placement during the third quarter of 2025Cash Balance of $31.9 million
based on growing ARR, robust commercial pipeline, continued reductions in operating expenses, and strong cash positionRunway to Cashflow Positive
in September 2025, as all outstanding preferred shares converted into shares of common stock and common stock equivalents, creating a clearer equity structureOptimized Cap Table
in the third quarter of 2025 to 60% with the core B2B2C channel sustaining approximately 80% non-GAAP gross margins since the first quarter of 2024Expanded Gross Margins
by $17 million, or 31%, in the first nine months of 2025 compared to the year-ago period and decreased by $3.4 million, or 21%, in the third quarter compared to the year-ago period, reflecting strong operational discipline, efficiencies and continued impact of the Company's artificial intelligence ("AI") transformation; Further 10-15% improvements expected from additional AI implementations and efficiencies over the next 12-15 monthsDecreased Operating Expenses
in the third quarter of 2025 by 21% and by 39% for the nine-month period compared to the same periods in 2024Narrowed Operating Loss
creating greater flexibilityCredit Agreement amended to reset covenants,