Rocket Doctor AI Reports First Revenues in Q2, 2025 Following Acquisition

Executive Summary

• Rocket Doctor AI Inc. reported its first significant revenue quarter (Q2 2025), generating $0.5 million in revenue, driven primarily by the acquisition of Rocket Doctor Inc.
• The company reported a net comprehensive loss of $2.7 million ($0.04 per share) for the quarter, with an Adjusted EBITDA loss of $1.7 million.
• Strategic highlights include the successful deployment of the Medical Education Suite (MES) to 240 University of Minnesota students and the launch of a virtual-care partnership with the Central California Alliance for Health, serving approximately 450,000 members.

Key Details

• Revenue: Q2 2025 revenue was $0.5 million CAD, compared to $nil in Q1 2025 and Q2 2024. Organic growth excluding acquisitions was 0%.
• Gross Margin: Q2 2025 gross margin was 89%, compared to 0% in prior comparable periods, attributed to revenue from Rocket Doctor Inc.’s digital health platform.
• Net Loss: Net comprehensive loss attributable to equity holders was $2.7 million ($0.04 per share), compared to a loss of $2.1 million ($0.04 per share) in Q1 2025 and $2.7 million ($0.07 per share) in Q2 2024.
• Adjusted EBITDA: Reported a loss of $1.7 million in Q2 2025, compared to a loss of $1.2 million in Q1 2025 and $2.3 million in Q2 2024. Adjustments include share-based compensation, acquisition/financing costs, and fair value changes in contingent consideration.
• Cash Position: Cash and cash equivalents stood at $0.1 million as of June 30, 2025, down from $2.3 million at March 31, 2025. The company entered into short-term promissory notes totaling $0.2 million during the quarter.
• Acquisition: Closed the acquisition of Rocket Doctor Inc. on April 10, 2025, adding a technology-driven digital health platform and marketplace supporting over 300 clinicians and 600,000+ patient visits.
• Partnerships & Contracts:
  • Launched a virtual-care partnership with the Central California Alliance for Health (Medi-Cal), serving ~450,000 members.
  • Partnered with Melanoma Canada to bridge care gaps for at-risk individuals during mobile screening events.
  • Secured in-network provider status with New York’s Medicaid program, providing access to 6.9 million beneficiaries.
• Product Deployment: Successfully deployed the Medical Education Suite (MES) to 240 University of Minnesota medical students for Objective Structured Clinical Examination (OSCE) testing, marking the first use of AI simulation in such exams.
• R&D Investment: Total investments in GLM development were approximately $180,000 in the first half of 2025, with annualized maintenance costs expected at ~$250,000. MES-related expenses were ~$95,000 in the first half of 2025.
• Product Pipeline Updates:
  • Starship EMR: Enhanced provider and patient portals for seamless virtual care.
  • RD Connect: Proprietary triage solution in pilot testing with a Canadian province, targeting broader rollout in late 2025/early 2026.
  • RD Health Voyager: Currently in development, leveraging LLMs to synthesize patient histories, with advancement planned into 2026.
  • AI Pharmacy Assistant: Strategic initiative in progress; partnering discussions with a leading pharmacy organization are active.

Notable Quotes

• Dr. Essam Hamza, CEO: “We are very excited to announce our first significant revenue producing quarter for the company. This was an important quarter for us that saw the completion of the Rocket Doctor Inc. acquisition, advancement of our GLM technology, and the announcement of new contracts contributing to our US expansion. Subsequently we have been able to close an oversubscribed financing and complete the rebranding of our company. This financing positions us to focus on accelerating the pace of our U.S. expansion.”