Healthcare Triangle, Inc. reports Q4 and full year 2023 financial results

Healthcare Triangle, Inc. announced financial results for its fourth quarter and full year ended December 31, 2023.

Fourth Qquarter 2023 financial results

• Revenue: Total revenue was $7.1 million, representing a decrease of 37% compared to the fourth quarter of 2022. Revenue from the Software Services and Managed Services segments decreased by 40% and 37%, respectively, partially offset by a 22% increase in Platform Services.
• GAAP loss from operations: GAAP loss from operations was $5.3 million, compared to $4.9 million in the fourth quarter of 2022. The increased loss was primarily due to impairment of intangibles and goodwill. The one-time impact of the impairment was $4.2 million. The normalized GAAP loss from operations was $0.7 million.
• GAAP net loss per share: GAAP basic and diluted net loss per share was $1.26 based on 4.2 million weighted-average shares outstanding, compared to $1.33 based on 3.6 million weighted-average shares outstanding in the year-ago quarter.

Full year 2023 financial results

• Revenue: Total revenue was $33.2 million, representing a decrease of 28% compared to 2022. Revenue from Software Services, Managed Services and Support and Platform Services revenue has decreased in the current year.
• GAAP loss from operations: GAAP loss from operations was $12.3 million, compared to $9.6 million in 2022. The increased loss was primarily due to impairment of intangibles and goodwill. The onetime impact of the impairment was $4.2 million. The normalized GAAP loss from operations was $8.1 million.
• GAAP net loss per share: GAAP basic and diluted net loss per share was $2.92 based on 4.2 million weighted-average shares outstanding, compared to $2.63 based on 3.6 million weighted-average shares outstanding in 2022.
• Cash and cash equivalents totaled $1.2 million as of December 31, 2023.

Thyagarajan Ramachandran, Chief Financial Officer of Healthcare Triangle, stated, “Despite experiencing a decline in revenue throughout the year, we achieved significant milestones by launching some key initiatives in ransomware protection and preparedness for our clients. During the year we secured notable multi-year contracts. We believe the steps we have taken will make us a top provider of cybersecurity solutions as well as a leading provider in AI-driven healthcare process and workflow in the future. Because of the work we completed during full year 2023, we have already seen the fruits of our labor lead to many new initiatives in 2024. The Company is in multiple discussions with healthcare companies looking at our AI solutions to bring their existing systems up to date and creating new standards while providing potential cost savings and productivity gains. The healthcare landscape is continually evolving, generating a significant amount of data on a daily basis, driven by patient care, payment systems, regulatory compliance and recordkeeping. HCTI continues to be a leader in innovation as we make improvements to our HITRUST-certified Cloud DevOps managed services and AI adoption. AI in the healthcare market is projected to reach $53 billion by 2024, according to Grand View Research, and this presents many opportunities for documentation AI and generative AI for us and our solutions. A key strategy for both customer acquisition as well as marketing and brand visibility has been educating potential customers and the industry at large by hosting webinars and participating in conferences and guest speaking. We believe we are positioned ideally and have made major strides in 2023.”
MB Bureau