QHSLab reports second-quarter 2026 revenue up 40.1%

QHSLab, Inc. reported unaudited results for the three and six months ended June 30, 2026, in an exhibit to a Form 8-K dated August 3, 2026. Total revenue for the second quarter rose 40.1% to $847,490, compared with $605,446 a year earlier. The company reported net income of $38,030 for the quarter, against a net loss of $52,958 in the second quarter of 2025.

Second quarter results

Integrated Service Program (ISP) revenue rose 86.4% to $491,399, from $263,628 in the prior-year quarter. Gross profit increased 47.8% to $589,784, from $399,015. Gross margin expanded to 69.6%, compared with 65.9%. Operating income was $45,245, compared with $11,526.

First half results

For the six months ended June 30, 2026, total revenue rose 26.0% to $1,576,175, from $1,250,865. ISP revenue increased 103.2% to $865,900, from $426,130. The company said ISP was its primary source of revenue in the period, at approximately 55% of total revenue. Gross profit rose 27.9% to $1,060,587, and gross margin improved to 67.3%, from 66.3%.

The company reported a net loss of $65,876 for the six months, compared with $132,567 a year earlier. The release describes this as an improvement of approximately 50%. It adds that, although the company reported a net loss for the six-month period, management believes the combination of accelerating recurring ISP revenue, expanding gross margins and significantly lower financing costs demonstrates continued progress toward improved operating leverage. The company said it kept investing in product development, sales and organizational infrastructure during the period. The numbers are small: the quarterly profit of $38,030 sits on revenue of $847,490, the company is still loss-making for the half, and the figures are unaudited. The release does not report any customer counts, provider numbers or recurring-revenue figure to back the growth story.

Financing costs and financial data

Interest expense fell 87.3% to $16,741 for the six months, from $132,054. The company attributed the decline to the retirement of substantially all of its legacy convertible debt, which it said strengthened its balance sheet. Grogan said the company had substantially strengthened its balance sheet over the past nine months through that retirement, reducing financing costs, improving its financial flexibility and its capital markets profile.

The company's annual report for fiscal 2025, filed March 30, 2026, reports research and development expense of $484,873 for 2025, against $294,479 for 2024. For 2025 it reports net income of $457,417, compared with a net loss of $259,239 in 2024. Cash from operations was $178,118 in 2025 and $142,437 in 2024. The financial data also list year-end cash and cash equivalents of $157,168 for 2024. The quarterly release itself does not include a balance sheet or a cash figure for June 30, 2026, so its claim of a stronger balance sheet cannot be checked from it. The sources also do not say what produced the 2025 profit, after a net loss of $132,567 in the first half of that year.

Management's priorities

Chief Executive Officer Troy Grogan said, "Our second quarter results demonstrate the evolution of QHSLab into a scalable healthcare technology platform built on recurring provider relationships."

The company named three priorities: expanding provider acquisition, accelerating provider activation, and investing in product innovation to increase recurring software-enabled revenue. Grogan said ISP revenue more than doubled in the first half of 2026 and was the company's primary source of revenue, a larger part of its revenue mix. He said the company continues to generate strong gross margins while investing in technology, software and organizational infrastructure. He also said the company added software-enabled healthcare solutions in the first half designed to improve patient engagement, preventive and chronic care delivery, and recurring revenue.

The business

QHSLab describes itself as a digital health infrastructure company that supports independent primary care practices through workflow-integrated digital screening, clinical decision support and care management services. It generates revenue primarily through recurring service fees from participating medical practices. It also operates an allergy diagnostics and treatment service line under the AllergiEnd brand. The release describes the company as a healthcare technology and software-as-a-service company focused on reimbursable preventive care, digital health and clinical decision support. The release states that its financial results are unaudited.

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