ONMD earnings analysis
What we found in ONMD's 10-Q: the parts that mattered, the offsets in the same document, and what the company said about what comes next.
Our reading of the filing · Free to read, no account needed
OneMedNet reported a sharp revenue contraction to $96,000, down from $891,000 in the prior quarter, while gross margin fell to -395.8% and operating margin reached -2,658.3%. Diluted EPS was -$0.04 and free cash flow was -$2.0 million, indicating continued substantial cash burn despite sequential EPS improvement. Liquidity was supported by related-party subscriptions and a Yorkville issuance, but the company reported ineffective disclosure controls and material weaknesses in financial reporting and revenue-recognition controls.
The parts that mattered.
Pulled out of the filing itself, with the figures the company reported.
- Revenue and gross margin deteriorated
- Revenue was $96,000, down from $891,000 in the prior quarter and $137,000 in the prior-year quarter. Gross margin declined to -395.8% from 18.5% sequentially and -163.5% year over year.
- Operating losses remained extreme
- Operating margin was -2,658.3%, compared with -345.9% in the prior quarter and -1,623.4% in the prior-year quarter. Diluted EPS improved to -$0.04 from -$0.07 sequentially but worsened from -$0.06 year over year.
- Related-party financing provided liquidity
- The company received approximately $750,000 from a director subscription, approximately $250,000 from a second director subscription, and additional proceeds of approximately $250,000, $100,000 and $100,000 from related-party subscriptions during the quarter.
- SEPA generated additional proceeds
- During the three months ended June 30, 2026, the company issued Yorkville 953,862 shares for aggregate gross proceeds of $486,681 under the 2024 SEPA.
- Control remediation is underway
- Management stated that remediation of the identified control weaknesses is ongoing and noted the hiring of a full-time controller in July 2025 and the addition of review procedures over financial records.
And the other side of it.
The offsets in the same document — the things a summary that only listed the good news would have left out.
- Ineffective disclosure controls
- Management concluded that disclosure controls and procedures were ineffective as of June 30, 2026 because of material weaknesses involving non-routine transactions and segregation of duties.
- Financial reporting control weaknesses
- Material weaknesses include user access and segregation of duties, a lack of a formalized control environment, and oversight issues over financial reporting and revenue recognition. The company stated that it does not currently have an expanded accounting department because of limited transaction volume and financial limitations.
- Continued equity financing and dilution
- The company issued 953,862 shares to Yorkville for $486,681 of gross proceeds during the quarter and issued 903,614 shares to a director at $0.83 per share, creating material equity dilution risk amid ongoing financing needs.
- Remediation may not succeed
- The company stated that remediation is ongoing and that there can be no assurance it will effectively address the material weakness.
- No new formal risk-factor changes
- The filing states that there were no material changes from the risk factors previously disclosed in the Form 10-K and other public filings.
What they reported.
What the company itself reported, taken out of the document.
- Earnings per share
- $-0.04
- Gross margin
- -395.8%
- Operating margin
- -2658.3%
What they said about what is next.
The filing provides no quantitative revenue or EPS outlook and contains no explicit forward guidance.
The filing reads worse than the one before it.
What came before.
- 10-Q · May 15, 2026
- OneMedNet Corporation reported a substantial revenue decline of 30% year-over-year in Q1 2026, reaching $96,000, primarily due to the complete phase-out of its BEAM subscription service. The company's net loss for the…
- 10-K · April 30, 2026
- OneMedNet Corporation is experiencing severe financial strain, as evidenced by dramatic fluctuations in revenue and margins over the past year. Despite achieving a significant milestone with 80 million patient journeys…
This is our reading of a public filing, not the filing. Read the original on SEC.gov · Educational only. Nothing here is investment advice.
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