The company's financial position appears highly unstable, evidenced by a debt-to-equity ratio that spiked to 14.55 in 2025Q4 and a current equity base of only $2.7M as of 2026Q3.
| Total Current Assets | 4.28M | 2.17M | 7.35M | 2.7M | 1.93M | 1.64M | 1.54M |
| Cash & Short-Term Investments | 3.4B | 1.1M | 5.81M | 1.66M | 918.26K | 723.48K | 496.85K |
| Cash Only | 3.4B | 1.1M | 5.81M | 1.66M | 918.26K | 723.48K | 496.85K |
| Short-Term Investments | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accounts Receivable | 0 | 4.35K | 0 | 0 | 2.32K | 0 | 0 |
| Days Sales Outstanding | 45.79 | 365 | - | - | 58.94 | - | - |
| Inventory | 657.28M | 650.27K | 629.18K | 676.36K | 674.14K | 750.77K | 857.01K |
| Days Inventory Outstanding | 598.08K | 1.83K | 2.27K | 8.31K | 7.14K | 6.19K | 2.84K |
| Other Current Assets | -4.05B | 331.3K | 733.36K | 216.29K | 286.77K | 69.04K | 52.77K |
| Total Non-Current Assets | 3.28M | 2.05M | 2.15M | 590.65K | 158.57K | 289.33K | 418.05K |
| Property, Plant & Equipment | 341.38M | 435.18K | 559.97K | 590.65K | 158.57K | 289.33K | 418.05K |
| Fixed Asset Turnover | 0.00x | 0.01x | 0.03x | 0.01x | 0.09x | 0.09x | 0.15x |
| Goodwill | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Intangible Assets | 1.66B | 1.62M | 1.59M | 0 | 0 | 0 | 0 |
| Long-Term Investments | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Current Assets | -2B | 0 | 0 | 0 | 0 | 0 | 0 |
| Total Assets | 7.55M | 4.22M | 9.5M | 3.29M | 2.09M | 1.93M | 1.96M |
| Asset Turnover | 0.00x | 0.00x | 0.00x | 0.00x | 0.01x | 0.01x | 0.03x |
| Asset Growth % | -67.43% | -55.56% | 189.09% | 57.33% | 8.41% | -1.46% | - |
| Total Current Liabilities | 4.27M | 3.7M | 1.75M | 1.83M | 3.47M | 1.11M | 1.14M |
| Accounts Payable | 410.73K | 318.66K | 448.18K | 631.37K | 694.75K | 335.78K | 358.79K |
| Days Payables Outstanding | 1.21K | 895.83 | 1.62K | 7.76K | 7.36K | 2.77K | 1.19K |
| Short-Term Debt | 3.1M | 2.55M | 500K | 500K | 1.63M | 380.2K | 350.77K |
| Deferred Revenue (Current) | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Current Liabilities | 624.52K | 29.93K | 34.15K | 48.6K | 1.22K | 1.22K | 1.22K |
| Current Ratio | 1.00x | 0.59x | 4.20x | 1.47x | 0.56x | 1.47x | 1.35x |
| Quick Ratio | -152.97x | 0.41x | 3.84x | 1.10x | 0.36x | 0.80x | 0.60x |
| Cash Conversion Cycle | 596.92K | 1.3K | - | - | -159.34 | - | - |
| Total Non-Current Liabilities | 633.48K | 314.53K | 434.05K | 1.22M | 4.67M | 2.72M | 498.6K |
| Long-Term Debt | 421.56K | 0 | 0 | 500K | 4.44M | 2.5M | 300K |
| Capital Lease Obligations | 1.06M | 314.53K | 434.05K | 536.34K | 0 | 90.97K | 198.6K |
| Deferred Tax Liabilities | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Other Non-Current Liabilities | 0 | 0 | 0 | 187.45K | 232.87K | 132.23K | 0 |
| Total Liabilities | 4.9M | 4.02M | 2.19M | 3.06M | 8.15M | 3.84M | 1.64M |
| Total Debt | 3.87M | 2.99M | 1.04M | 1.57M | 6.16M | 3.08M | 942.71K |
| Net Debt | -3.39B | 1.89M | -4.77M | -94.6K | 5.24M | 2.36M | 445.86K |
| Debt / Equity | 1.46x | 14.55x | 0.14x | 6.79x | - | - | 2.99x |
| Debt / EBITDA | -0.50x | - | - | - | - | - | - |
| Net Debt / EBITDA | 442.50x | - | - | - | - | - | - |
| Interest Coverage | -11.03x | -16.51x | -17.65x | -25.13x | -11.99x | -17.51x | -1354.79x |
| Total Equity | 2.65M | 205.17K | 7.32M | 230.56K | -6.06M | -1.91M | 315.55K |
| Equity Growth % | -91.7% | -97.2% | 3073.75% | 103.81% | -217.13% | -705.16% | - |
| Book Value per Share | 0.84 | 0.22 | 20.76 | 2.90 | -182.46 | -57.63 | 9.52 |
| Total Shareholders' Equity | 2.65M | 205.17K | 7.32M | 230.56K | -6.06M | -1.91M | 315.55K |
| Common Stock | 3.18K | 1.12K | 677 | 101 | 3.32K | 3.31K | 3.31K |
| Retained Earnings | -82.52M | -76.13M | -67.36M | -60.76M | -54.4M | -49.57M | -47.12M |
| Treasury Stock | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Accumulated OCI | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
Liquidity exhaustion and dilution
As reported in recent financial statements, HeartSciences Inc. has seen its equity base fluctuate significantly, dropping to $2.7M in 2026Q3 from a peak of $8.6M in 2024Q3, signaling a deteriorating financial position as the company struggles to convert its R&D investments into meaningful commercial scale.
The persistent decline in equity, coupled with accumulated deficits exceeding $82M, suggests that the company is consistently eroding shareholder value to fund its pre-commercial activities. This trajectory implies that without a rapid pivot to revenue generation, the balance sheet will likely continue to weaken under the weight of ongoing operational losses.
Based on the 2026Q3 data, the company maintains a current ratio of 1.00, which, when viewed alongside the $3.4B cash position—likely an anomalous reporting figure or accounting distortion—suggests that liquidity remains highly volatile and insufficient to support long-term R&D requirements without further external financing.
The company's liquidity profile appears fragile, as the erratic nature of its current ratio over the last ten quarters indicates a lack of stable working capital management. Investors should monitor the company's ability to maintain sufficient cash buffers, as the current burn rate necessitates frequent and potentially dilutive capital raises.
According to quarterly filings, the company's debt-to-equity ratio reached 14.55 in 2025Q4, reflecting a period of extreme leverage that highlights the firm's reliance on debt financing to bridge the gap between its current R&D-heavy cost structure and its lack of commercial revenue.
While the debt-to-equity ratio has moderated to 1.46 in 2026Q3, the reliance on debt for a company with negligible revenue suggests a high degree of financial risk. This leverage appears to be a necessity-driven strategy to sustain operations, which may limit future financial flexibility and increase the cost of capital.
As indicated by the 2026Q3 balance sheet, the sudden appearance of $1.7B in goodwill warrants further investigation, as it represents a massive, non-cash asset that may mask the underlying reality of the company's limited tangible asset base and its ongoing struggle to achieve commercial viability.
The presence of such significant intangible assets in a pre-commercial firm suggests potential accounting distortions that could lead to future impairment charges. This non-obvious risk makes the headline asset figures potentially misleading, as they do not reflect the company's actual ability to generate future cash flows from its core technology.
Quick answers to the most common questions about buying HSCS stock.
As of 2025, HeartSciences Inc. (HSCS) had total assets of $4.2M including $2.2M in current assets.
HeartSciences Inc. (HSCS) carries total debt of $3.0M, offset by $1.1M in cash and short-term investments. Comparing total debt to cash helps evaluate the company's debt burden and net leverage.
HeartSciences Inc. (HSCS) has total shareholders' equity (book value) of $0.2M ($0.22 book value per share). Book value represents the net worth of the company belonging to common stock holders.
HeartSciences Inc. (HSCS) reported a current ratio of 0.59x. A current ratio above 1.0x indicates that the company has more current assets than current liabilities, suggesting sufficient short-term liquidity.