Hinge Health Flexes Its Way to Profitability! (IPO Still on the Menu?)

OMG Hinge is Making Moves!

Hey besties! So I was scrolling through my newsfeed (as you do) and saw that Hinge Health the digital physical therapy company just updated their prospectus. Apparently they're still thinking about going public. Remember when I was complaining about my posture during that 24 hour stream? Maybe I should have invested in these guys then! Anyway they're playing it cool even with the whole market being more chaotic than my attempts to build IKEA furniture…alone.

Cha Ching! Revenue Rocketing Like a Falcon!

Okay real talk: the numbers are kinda juicy. Hinge Health's revenue jumped 50% in the first quarter to $123.8 million. Last year it was $82.7 million. That's a HUGE GLOW UP! Even their Q4 numbers from 2023 were impressive but this is next level. It's like they're leveling up faster than I do in Fortnite (and that's saying something!).

Profitable? Did Someone Say FREE Subs?

But here's the kicker: they actually made a profit! Can you believe it? $17.1 million after taxes. This is their first profitable quarter EVER. They went from a $26.5 million loss last year to swimming in the green. I’m just thinking about how many free subs I could gift with that kinda money! Okay maybe not *all* of it… but still!

Market Volatility? More Like 'Market… Vomit atility'!

Now I'm no financial expert (obvi I just play video games and react to stuff) but even *I* know the market's been a rollercoaster. Apparently some companies are chickening out of their IPOs because things are so unstable. But Hinge Health is like "Nah we got this." Their updated prospectus is basically a flex saying "We're still here and we're killing it!"

Gross Margins? More like GORGEOUS Margins!

So here’s where it gets kinda… technical. But basically their cost of goods went down a bit and their gross margin shot up to 81% from 70%. That’s the kind of growth that's music to my ears even better than the latest K pop banger! Plus they had an operating income of $13.1 million which is a HUGE turnaround from losing $31.4 million last year. Somebody get these guys a participation trophy… and maybe a cut of those profits!

Level Up Your Health (and Maybe Your Portfolio?)

Hinge Health uses tech to help people recover from injuries and chronic pain. Big companies pay for their employees to use Hinge's app and this fancy wearable thing called Enso. It’s like having a personal physical therapist in your pocket! So yeah they’re helping people *and* making money. Daniel Perez (CEO) and Gabriel Mecklenburg (Executive Chairman) created this company to help with the issues they had with rehab and recovery in 2014. Pretty cool story right? I guess the question is will they 'do the thing' and actually go public? And more importantly should *we* invest? Hmmm… maybe I’ll ask my chat for advice. Kappa!