Revenue contraction of 17.31% in 2026Q1, coupled with an operating margin of -130.9%, highlights the company's struggle to achieve a sustainable growth floor.
| Metric | TTM | Dec'25 | Dec'24 | Dec'23 | Dec'22 | Dec'21 | Dec'20 | Dec'19 | Dec'18 | Dec'17 | Dec'16 | Dec'15 | Dec'14 | Dec'13 | Dec'12 |
|---|
| Sales/Revenue | 21.19M | 22.36M | 27.04M | 20.35M | 27.66M | 20.51M | 7.58M | 7.56M | 7.39M | 5.17M | 2.8M | 823K | 51K | 0 | 0 |
| Revenue Growth % | -24.41% | -17.31% | 32.86% | -26.41% | 34.82% | 170.76% | 0.22% | 2.23% | 43.02% | 84.45% | 240.58% | 1513.73% | - | - | - |
| Cost of Goods Sold | 9.21M | 9.69M | 13.77M | 14.37M | 18M | 12.44M | 5.06M | 4.96M | 5.63M | 3.86M | 3.36M | 1.68M | 2.27M | 13.56M | 0 |
| COGS % of Revenue | - | 43.36% | 50.94% | 70.6% | 65.09% | 60.66% | 66.83% | 65.64% | 76.13% | 74.64% | 120.01% | 203.89% | 4458.82% | - | - |
| Gross Profit | 11.98M | 12.66M | 13.27M | 5.98M | 9.65M | 8.07M | 2.51M | 2.6M | 1.76M | 1.31M | -561K | -855K | -2.22M | -13.56M | 0 |
| Gross Margin % | 56.55% | 56.64% | 49.06% | 29.4% | 34.91% | 39.34% | 33.17% | 34.36% | 23.87% | 25.36% | -20.01% | -103.89% | -4358.82% | - | - |
| Gross Profit Growth % | - | -4.54% | 121.71% | -38.02% | 19.66% | 221.09% | -3.23% | 47.14% | 34.63% | 333.69% | 34.39% | 61.54% | 83.61% | - | - |
| Operating Expenses | 65.36M | 49.32M | 71.01M | 62.17M | 66.47M | 84.56M | 32.42M | 20.3M | 19.45M | 15.73M | 10.27M | 6.84M | 8.65M | 13.56M | 3.97M |
| OpEx % of Revenue | - | 220.58% | 262.61% | 305.49% | 240.33% | 412.24% | 427.88% | 268.58% | 263.09% | 304.26% | 366.43% | 831.47% | 16952.94% | - | - |
| Selling, General & Admin | 34.47M | 35.53M | 46.83M | 41.8M | 46.82M | 62.36M | 27.98M | 16.61M | 15.78M | 12.43M | 8.12M | 4.28M | 4.7M | 8.65M | 2.47M |
| SG&A % of Revenue | - | 158.9% | 173.2% | 205.37% | 169.28% | 303.99% | 369.36% | 219.74% | 213.38% | 240.48% | 289.58% | 519.81% | 9221.57% | - | - |
| Research & Development | 12.07M | 13.79M | 24.18M | 20.25M | 19.65M | 17.22M | 4.43M | 3.69M | 3.68M | 3.3M | 2.15M | 2.56M | 3.94M | 4.91M | 1.5M |
| R&D % of Revenue | - | 61.68% | 89.42% | 99.49% | 71.05% | 83.94% | 58.51% | 48.84% | 49.72% | 63.77% | 76.85% | 311.66% | 7731.37% | - | - |
| Other Operating Expenses | 0 | 0 | 0 | 128K | 0 | 4.99M | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Operating Income | -53.37M | -36.66M | -57.74M | -56.19M | -56.81M | -76.49M | -29.9M | -17.7M | -17.69M | -14.42M | -11.1M | -7.7M | -11.36M | -13.56M | -3.97M |
| Operating Margin % | -251.87% | -163.94% | -213.55% | -276.09% | -205.42% | -372.9% | -394.71% | -234.22% | -239.22% | -278.9% | -396.04% | -935.36% | -22270.59% | - | - |
| Operating Income Growth % | - | 36.52% | -2.77% | 1.09% | 25.73% | -155.81% | -68.9% | -0.1% | -22.67% | -29.89% | -44.21% | 32.22% | 16.25% | -241.24% | - |
| EBITDA | -53.99M | -33.1M | -50.32M | -51.2M | -52.09M | -72.04M | -29.71M | -17.52M | -17.48M | -14.22M | -10.71M | -7.36M | -10.81M | -12.72M | -3.95M |
| EBITDA Margin % | -254.8% | -148.02% | -186.08% | -251.59% | -188.36% | -351.18% | -392.2% | -231.8% | -236.42% | -275.13% | -382.23% | -894.65% | -21194.12% | - | - |
| EBITDA Growth % | -195.3% | 34.23% | 1.73% | 1.71% | 27.69% | -142.44% | -69.58% | -0.23% | -22.9% | -32.76% | -45.51% | 31.88% | 15.04% | -222.1% | - |
| D&A (Non-Cash Add-back) | -622K | 3.56M | 7.43M | 4.99M | 4.72M | 4.46M | 190K | 183K | 207K | 195K | 387K | 335K | 549K | 839.25K | 24.32K |
| EBIT | -34.55M | -36.66M | -57.74M | -59.36M | -60.31M | -74.47M | -29.9M | -17.7M | -17.69M | -14.42M | -10.83M | -7.7M | -10.87M | -13.93M | 0 |
| Net Interest Income | -3.68M | -2.42M | 1.02M | 1.22M | -2.18M | -40K | 12K | -11K | -18K | -171K | -20K | -22K | 0 | 0 | 0 |
| Interest Income | 814K | 943K | 1.12M | 1.87M | 506K | 44K | 61K | 16K | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Interest Expense | 4.5M | 3.36M | 96K | 645K | 2.68M | 84K | 49K | 27K | 18K | 171K | 20K | 22K | 0 | 0 | 0 |
| Other Income/Expense | 116.12M | -4.95M | 13.14M | -3.17M | -5.38M | -235K | 458K | -31K | -115K | -1.32M | 214K | 556K | -1.52M | -369.78K | -1.71M |
| Pretax Income | 62.75M | -41.61M | -44.6M | -59.36M | -62.19M | -76.73M | -29.45M | -17.74M | -17.8M | -15.74M | -10.89M | -7.14M | -12.88M | -13.93M | -5.69M |
| Pretax Margin % | 296.11% | -186.1% | -164.94% | -291.68% | -224.87% | -374.05% | -388.66% | -234.63% | -240.78% | -304.51% | -388.41% | -867.8% | -25249.02% | - | - |
| Income Tax | 35K | 105K | -1.85M | 64K | 4K | 32K | 0 | 0 | -115K | 0 | 55K | 0 | 0 | 0 | 0 |
| Effective Tax Rate % | 0.06% | -0.25% | 4.15% | -0.11% | -0.01% | -0.04% | 0% | 0% | 0.65% | 0% | -0.51% | 0% | 0% | 0% | 0% |
| Net Income | 62.71M | -41.71M | -42.75M | -59.43M | -62.19M | -76.76M | -29.45M | -17.74M | -17.8M | -15.74M | -10.89M | -7.14M | -12.88M | -13.93M | -5.69M |
| Net Margin % | 295.94% | -186.56% | -158.09% | -292% | -224.88% | -374.21% | -388.66% | -234.63% | -240.78% | -304.51% | -388.41% | -867.8% | -25249.02% | - | - |
| Net Income Growth % | 239.99% | 2.42% | 28.07% | 4.45% | 18.98% | -160.69% | -66.02% | 0.38% | -13.09% | -44.6% | -52.44% | 44.54% | 7.57% | -144.99% | - |
| Net Income (Continuing) | 62.71M | -41.71M | -42.75M | -59.43M | -62.19M | -76.76M | -29.45M | -17.74M | -17.8M | -15.74M | -10.89M | -7.14M | -12.88M | -13.93M | -5.69M |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| EPS (Diluted) | 1.26 | 1.24 | -0.74 | -1.93 | -2.63 | -4.63 | -5.55 | -7.84 | -15.21 | -32.70 | -41.85 | -75.27 | -534.14 | -1369.35 | -512.72 |
| EPS Growth % | 1347.88% | 267.57% | 61.66% | 26.62% | 43.2% | 16.58% | 29.21% | 48.45% | 53.49% | 21.86% | 44.4% | 85.91% | 60.99% | -167.08% | - |
| EPS (Basic) | - | 1.24 | -0.74 | -1.93 | -2.63 | -4.63 | -5.55 | -7.84 | -15.21 | -32.70 | -41.85 | -75.27 | -534.14 | -1369.35 | -512.72 |
| Diluted Shares Outstanding | 49.63M | 49.63M | 40.42M | 28.37M | 23.64M | 16.59M | 5.96M | 2.27M | 1.17M | 481.41K | 260.15K | 94.89K | 24.11K | 10.17K | 11.09K |
| Basic Shares Outstanding | 49.63M | 49.63M | 40.42M | 28.37M | 23.64M | 16.59M | 5.96M | 2.27M | 1.17M | 481.41K | 260.15K | 94.89K | 24.11K | 10.17K | 11.09K |
| Dividend Payout Ratio | - | - | - | - | - | - | - | - | - | - | - | - | - | - | - |
Insufficient capital runway
As reported in recent financial filings, DarioHealth's revenue declined by 17.31% year-over-year in 2026Q1, signaling that the strategic pivot toward B2B channels has yet to generate the necessary scale to offset the ongoing erosion of the company's legacy direct-to-consumer revenue base.
The consistent negative growth trajectory suggests that the company is struggling to achieve product-market fit within its enterprise-focused model. Investors should monitor whether this decline reflects a structural loss of market share or merely the extended implementation timelines inherent in B2B healthcare sales.
Based on historical income statements, DarioHealth's gross margin has fluctuated significantly, reaching 57.3% in 2026Q1, which indicates that the company lacks the pricing power or cost efficiency required to maintain stable profitability amidst its ongoing transition to a platform-centric service model.
The variability in gross margins suggests that the cost of delivering integrated digital health services remains high, likely due to the persistent need for human-led coaching and hardware support. This lack of margin stability implies that the company has not yet achieved the operating leverage typical of pure-play software providers.
According to the latest quarterly data, SG&A expenses of $8.1M continue to dwarf the company's $5.6M in total revenue, highlighting a fundamental misalignment between the firm's current cost structure and its ability to monetize its integrated digital health platform effectively.
The high ratio of SG&A to revenue suggests that customer acquisition costs remain prohibitively expensive relative to the lifetime value of the current member base. Management's inability to meaningfully reduce these overhead costs may indicate that the platform requires significant ongoing investment to remain competitive against larger, better-capitalized incumbents.
Data from recent SEC filings reveals an operating margin of -163.94%, which raises serious questions regarding the viability of the current business model and suggests that the company may face significant liquidity risks if it cannot reach a sustainable growth floor in the near term.
Short-sellers would likely focus on the persistent cash burn and the lack of a clear path to positive operating income as primary indicators of distress. The reliance on external capital to fund operations in a high-interest environment warrants further investigation into the potential for future dilutive equity offerings.
Quick answers to the most common questions about buying DRIO stock.
For fiscal year 2025, DarioHealth Corp. (DRIO) reported total revenue of $22.4M.
DarioHealth Corp. (DRIO) reported a net loss of $41.7M for the fiscal year ending 2025.
DarioHealth Corp. (DRIO) reported an operating income of $-36.7M, resulting in an operating profit margin of -163.9%. This margin reflects the operational efficiency of the business before interest and taxes.
DarioHealth Corp. (DRIO) generated $12.7M in gross profit for the year, representing a gross profit margin of 56.6%. This demonstrates the company's core pricing power and production efficiency.