Revenue growth has turned negative at -4.9% in 2026Q1, while structural margin erosion is evident as gross margins fell to 37.9% from a 2024Q1 peak of 74.2%.
| Sales/Revenue | 14.46M | 14.62M | 10.42M | 5.77M | 6.38M | 7.34M | 6.8M |
| Revenue Growth % | 18.05% | 40.27% | 80.74% | -9.59% | -13.08% | 7.82% | - |
| Cost of Goods Sold | 7.76M | 7.26M | 3.24M | 1.93M | 1.54M | 1.41M | 1.34M |
| COGS % of Revenue | - | 49.68% | 31.13% | 33.53% | 24.19% | 19.26% | 19.7% |
| Gross Profit | 6.69M | 7.36M | 7.18M | 3.83M | 4.84M | 5.92M | 5.46M |
| Gross Margin % | 46.3% | 50.32% | 68.87% | 66.47% | 75.81% | 80.74% | 80.3% |
| Gross Profit Growth % | - | 2.49% | 87.27% | -20.73% | -18.38% | 8.41% | - |
| Operating Expenses | 16.27M | 16.94M | 69.33M | 5.71M | 6.52M | 5.67M | 5.06M |
| OpEx % of Revenue | - | 115.88% | 665.25% | 98.97% | 102.15% | 77.3% | 74.36% |
| Selling, General & Admin | 15.72M | 16.94M | 11.86M | 5.38M | 6.3M | 282.67K | 5.06M |
| SG&A % of Revenue | - | 115.88% | 113.81% | 93.3% | 98.77% | 3.85% | 74.36% |
| Research & Development | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| R&D % of Revenue | - | - | - | - | - | - | - |
| Other Operating Expenses | 552.5K | 0 | 57.47M | 326.64K | 216.03K | 5.39M | 0 |
| Operating Income | -9.57M | -9.58M | -62.15M | -1.87M | -1.68M | 252.28K | 404.5K |
| Operating Margin % | -66.23% | -65.55% | -596.38% | -32.49% | -26.34% | 3.44% | 5.94% |
| Operating Income Growth % | - | 84.58% | -3217.21% | -11.52% | -765.94% | -37.63% | - |
| EBITDA | -6.94M | -6.93M | -60.83M | -1.87M | -216.03K | 386.34K | 404.5K |
| EBITDA Margin % | -48% | -47.4% | -583.68% | -32.48% | -3.39% | 5.27% | 5.94% |
| EBITDA Growth % | 88.81% | 88.61% | -3147.75% | -766.99% | -155.92% | -4.49% | - |
| D&A (Non-Cash Add-back) | 2.64M | 2.65M | 1.32M | 678 | 1.46M | 0 | 0 |
| EBIT | -11.31M | -11.83M | -4.68M | -1.79M | -1.46M | 386.34K | 404.5K |
| Net Interest Income | -1.97M | -2.81M | -211.46K | -1.82M | 796.66K | 1.97K | 45.03K |
| Interest Income | 0 | 0 | 0 | 358.77K | 922.64K | 1.97K | 45.03K |
| Interest Expense | 1.97M | 2.81M | 211.46K | 2.18M | 125.98K | 0 | 0 |
| Other Income/Expense | -3.7M | -5.06M | 2.81M | -13.38K | 59.92K | 134.06K | -45.03K |
| Pretax Income | -13.28M | -14.64M | -59.34M | -1.89M | -1.62M | 386.34K | 359.47K |
| Pretax Margin % | -91.82% | -100.18% | -569.46% | -32.73% | -25.4% | 5.27% | 5.28% |
| Income Tax | 78.66K | 68.43K | -1.64M | 1.84M | -694.36K | 108.11K | 100.59K |
| Effective Tax Rate % | -0.59% | -0.47% | 2.77% | -97.43% | 42.86% | 27.98% | 27.98% |
| Net Income | -13.35M | -14.71M | -57.7M | -3.76M | -836.21K | 475.9K | 258.88K |
| Net Margin % | -92.37% | -100.65% | -553.69% | -65.26% | -13.11% | 6.49% | 3.8% |
| Net Income Growth % | 78.34% | 74.5% | -1433.43% | -350% | -275.71% | 83.83% | - |
| Net Income (Continuing) | -13.35M | -14.71M | -57.7M | -3.73M | -925.75K | 278.23K | 258.88K |
| Discontinued Operations | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Minority Interest | 0 | 0 | 0 | -325.28K | -362.75K | 0 | 0 |
| EPS (Diluted) | -0.28 | -0.73 | -5.65 | -0.38 | -0.08 | 0.05 | 0.03 |
| EPS Growth % | 86.87% | 87.08% | -1386.84% | -354.55% | -274.9% | 83.85% | - |
| EPS (Basic) | - | -0.73 | -5.65 | -0.38 | -0.08 | 0.05 | 0.03 |
| Diluted Shares Outstanding | 47.9M | 20.14M | 10.21M | 10M | 10M | 9.95M | 9.97M |
| Basic Shares Outstanding | 47.9M | 20.14M | 10.21M | 10M | 10M | 9.95M | 9.97M |
| Dividend Payout Ratio | - | - | - | - | - | - | - |
Unsustainable Operating Burn Rate
According to the provided quarterly income statements, VSEE's revenue growth has exhibited significant volatility, swinging from triple-digit expansion in 2024 to a contraction of 4.9% in 2026Q1, suggesting that the company's ability to maintain consistent top-line momentum remains highly sensitive to project-based deployment cycles.
The erratic revenue trajectory appears to reflect the lumpy nature of hardware-heavy hospital integrations rather than a steady SaaS-based expansion. Investors should monitor whether the recent contraction indicates a saturation of the current addressable market or merely a temporary delay in new hospital contract go-lives.
As reported in the financial data, VSEE's gross margin has experienced a notable compression from a peak of 74.2% in 2024Q1 to 37.9% in 2026Q1, indicating that the company's cost of revenue is rising faster than its ability to command premium pricing for its telehealth solutions.
This downward trend in gross profitability suggests that the shift toward hardware-intensive iDoc deployments is diluting the higher-margin software component of the business. The inability to maintain margins above 50% in recent quarters implies that the company may be sacrificing profitability to secure market share in competitive acute-care environments.
Based on the reported income statements, VSEE continues to struggle with significant operating inefficiencies, as evidenced by an operating margin that reached -87.6% in 2025Q4, demonstrating that the company has yet to achieve the scale necessary to leverage its fixed administrative and development cost base.
The persistent gap between gross profit and operating expenses suggests that the company's current business model is not yet optimized for profitability. Without a clear path to scaling revenue significantly above current overhead levels, the company appears to be trapped in a cycle of high cash burn to support its existing infrastructure.
Analysis of the historical income statements reveals that VSEE's net income has remained consistently negative, with a net margin of -200% in 2025Q4, which highlights the substantial risk that the company's current growth strategy may be fundamentally unsustainable without frequent external capital infusions.
Short-sellers would likely focus on the widening disparity between revenue growth and net losses, which suggests that each incremental dollar of revenue is currently being acquired at an exorbitant cost. The lack of a clear inflection point toward positive net income warrants extreme caution regarding the company's long-term solvency.
Quick answers to the most common questions about buying VSEE stock.
For fiscal year 2025, VSee Health, Inc. (VSEE) reported total revenue of $14.6M. This represents a 114.8% increase compared to $6.8M in 2020.
VSee Health, Inc. (VSEE) reported a net loss of $14.7M for the fiscal year ending 2025.
VSee Health, Inc. (VSEE) reported an operating income of $-9.6M, resulting in an operating profit margin of -65.6%. This margin reflects the operational efficiency of the business before interest and taxes.
VSee Health, Inc. (VSEE) generated $7.4M in gross profit for the year, representing a gross profit margin of 50.3%. This demonstrates the company's core pricing power and production efficiency.