Syra Health Delivers Third Consecutive Profitable Quarter: Record Revenue of $2.6 Million, Up 52%, and 46.3% Gross Margin
- Revenue climbed 52% year-over-year to $2.6 million in Q3 2026, the highest quarterly revenue in the Company's history.
- Earnings per share (EPS) swung to $0.02 in Q3 2026, compared with a loss of $(0.02) in Q3 2025.
- Gross margin reached a Company record of 46.3% in Q3 2026, up 1,340 basis points from 32.9% in Q3 2025.
- EBITDA turned positive at $301,725 in Q3 2026, a $520,326 improvement from a loss of $(218,601) in Q3 2025.
CARMEL, Ind., Nov. 3, 2026 /PRNewswire/ -- Syra Health Corp. (OTCQB: SYRA) ("Syra Health" or the "Company"), an integrated healthcare solutions company powering better health outcomes through prevention-focused, accessible, and affordable solutions, announced today its financial results for the third quarter ended September 30, 2026.
Q3 2026 Financial Highlights
Syra Health extended its profitability in Q3 2026, reporting net income of $344,610 compared with a net loss of $(225,902) in Q3 2025, a year-over-year improvement of $570,512.
Revenue for the quarter ended September 30, 2026, climbed 52% to a record $2.6 million, the highest quarterly revenue in the Company's history, up from $1.7 million in the prior-year period.
With revenue growing faster than costs, gross margin widened by approximately 1,340 basis points to 46.3%, up from 32.9% a year earlier. The result sets a new Company record, surpassing the previous high of 44.5% achieved just last quarter.
EPS rose to $0.02 from a loss of $(0.02) in Q3 2025, a year-over-year improvement of $0.04 per share.
EBITDA improved by $520,326 or 238.03% to $301,725 in Q3 2026, compared with a loss of $(218,601) in Q3 2025.
Year-to-date results reinforce the strength of the business. For the nine months ended September 30, 2026, Syra Health generated net income of $ 835,831 compared with a net loss of $(761,763) a year earlier, while net cash provided by operating activities reached $975,023, compared with net cash used in operating activities of $(158,554) in the prior-year period.
2026 Financial Outlook
With three consecutive profitable quarters now behind us, Syra Health remains on track to achieve its previously stated goal of full-year profitability in 2026. Given the RFP- and contract-driven nature of its business, the Company continues to expect the timing of awards, revenue recognition, and contract milestones to cause some quarter-to-quarter variability.
Recent Operational Highlights
- Syra Health continues to grow its work with managed care organizations (MCOs) serving hundreds of thousands of Medicaid members, including large-scale engagements that span:
- Population health implementations that collect, analyze, and report on claims data
- A live-agent call center focused on improving quality measures and closing care gaps
- Process design for expedited credentialing and recredentialing of Medicaid providers
- Staffing of utilization management nurses
- Following CMS approval of Syrenity for the ACCESS Model, Syra Health is actively recruiting Accountable Care Organizations (ACOs) to utilize Syrenity, delivered with partner HealthSync, as part of their participation in the model.
Management Commentary
Greg Alexander, CEO of Syra Health, said, "Q3 2026 marks our third consecutive profitable quarter, and it is the clearest evidence yet that Syra Health has become a profitable growth company. We grew revenue 52% year-over-year to a record $2.6 million, and we did it profitably: gross margin reached 46.3%, the highest in our history, up more than 13 percentage points from a year ago. That kind of growth paired with that kind of margin expansion doesn't happen by accident. It reflects deliberate choices we have made to focus on our high-value population health solutions, pursue better-margin workforce contracts, and run the business with discipline.
The results speak to the durability of what we're building. Through the first nine months of 2026, we generated net income of $835,831 compared with a loss of $(761,763) in the same period last year, produced $975,023 in operating cash flow, and ended the quarter with $2.4 million in cash and no long-term debt. We are funding our own growth, including continued investment in Syrenity Enterprise, our B2B mental and behavioral health solution.
We believe the best is still ahead. Our approval for Syrenity within the CMS ACCESS Model with our partner HealthSync is expected to become a consistent source of revenue over the next decade. With strong momentum across our business, we remain focused on delivering full-year profitability in 2026 and creating long-term value for our customers, the communities we serve, and our shareholders."
Q3 2026 Financial Results
Third quarter 2026 revenue rose 52% to $2,557,295, up from $1,687,971 in the third quarter of 2025. The Company's high-margin population health solutions continued to lead the way, also growing 52% year-over-year to $1,943,788 from $1,280,011 in the same period of 2025.
Healthcare workforce revenue increased 50% to $613,507 from $407,960 a year earlier as Syra Health met rising demand for solutions that address critical healthcare workforce shortages while prioritizing contracts with stronger margins.
Gross profit margin widened by 1,340 basis points to 46.3% in the third quarter of 2026, up from 32.9% in the prior year period, driven by a favorable revenue mix and ongoing operating leverage.
The Company balanced disciplined cost management with targeted investment in growth. Salaries and benefits grew to $440,172 in Q3 2026 from $336,390 in the prior-year period as Syra Health added talent to support its expansion. Professional services fell 9% to $175,295 in Q3 2026 from $191,726 in Q3 2025, and selling, general and administrative expenses declined 12% to $222,141 from $252,384 in the prior-year period. Research and development expenses increased to $46,716 in Q3 2026 from $816 in Q3 2025, funding the build-out of Syrenity Enterprise, the Company's B2B mental and behavioral health solution. Depreciation expense dropped 87% to $715 from $5,396 a year earlier.
Operating activities provided $975,023, in net cash for the nine months ended September 30, 2026 compared with $(158,554) in the prior-year period. Cash and cash equivalents grew to $2.4 million as of September 30, 2026, from $1.6 million as of December 31, 2025, with no long-term debt.
SYRA HEALTH CORP. BALANCE SHEETS | ||||||||
September 30, | December 31, | |||||||
2026 | 2025 | |||||||
(Unaudited) | ||||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 2,383,413 | $ | 1,614,733 | ||||
Accounts receivable, net | 1,517,493 | 918,374 | ||||||
Other current assets | 262,998 | 205,423 | ||||||
Total current assets | 4,163,904 | 2,738,530 | ||||||
Property and equipment, net | 4,476 | 6,986 | ||||||
Right-of-use asset | 57,010 | 27,401 | ||||||
Total assets | $ | 4,225,390 | $ | 2,772,917 | ||||
LIABILITIES AND STOCKHOLDERS' EQUITY | ||||||||
Current liabilities: | ||||||||
Accounts payable | $ | 211,169 | $ | 247,520 | ||||
Accounts payable, related party | 125,000 | 72,000 | ||||||
Accrued expenses | 367,996 | 194,821 | ||||||
Deferred revenue | 261,249 | 16,611 | ||||||
Current portion of operating lease liability, related party | 57,010 | 27,401 | ||||||
Notes payable | 179,272 | 116,386 | ||||||
Total current liabilities | 1,201,696 | 674,739 | ||||||
Non-current portion of operating lease liability, related party | - | - | ||||||
Total liabilities | 1,201,696 | 674,739 | ||||||
Commitments and contingencies | ||||||||
Stockholders' equity: | ||||||||
Preferred stock, $0.001 par value, 10,000,000 shares authorized, no | - | - | ||||||
Class A common stock, $0.001 par value, 100,000,000 shares | 13,850 | 11,339 | ||||||
Convertible class B common stock, $0.001 par value, 5,000,000 | 350 | 600 | ||||||
Additional paid-in capital | 11,894,189 | 11,806,765 | ||||||
Accumulated deficit | (8,884,695) | (9,720,526) | ||||||
Total stockholders' equity | 3,023,694 | 2,098,178 | ||||||
Total liabilities and stockholders' equity | $ | 4,225,390 | $ | 2,772,917 | ||||
SYRA HEALTH CORP. STATEMENTS OF OPERATIONS (Unaudited) | ||||||||||||||||
For the Three Months Ended | For the Nine Months Ended | |||||||||||||||
2026 | 2025 | 2026 | 2025 | |||||||||||||
Net revenues | $ | 2,557,295 | $ | 1,687,971 | $ | 7,225,238 | $ | 5,491,944 | ||||||||
Cost of services | 1,372,254 | 1,133,430 | 4,002,639 | 3,595,352 | ||||||||||||
Gross profit | 1,185,041 | 554,541 | 3,222,599 | 1,896,592 | ||||||||||||
Operating expenses: | ||||||||||||||||
Salaries and benefits | 440,172 | 336,390 | 1,204,417 | 1,169,951 | ||||||||||||
Professional services | 175,295 | 191,726 | 500,455 | 580,691 | ||||||||||||
Research and development expenses | 46,716 | 816 | 100,988 | 67,701 | ||||||||||||
Selling, general and administrative | 222,141 | 252,384 | 671,673 | 828,741 | ||||||||||||
Depreciation | 715 | 5,396 | 2,510 | 18,171 | ||||||||||||
Total operating expenses | 885,039 | 786,712 | 2,480,043 | 2,665,255 | ||||||||||||
Operating income (loss) | 300,002 | (232,171) | 742,556 | (768,663) | ||||||||||||
Other income (expense): | ||||||||||||||||
Interest income | 1,008 | 8,174 | 54,354 | 15,892 | ||||||||||||
Interest expense | (1,353) | (1,905) | (6,032) | (8,992) | ||||||||||||
Total other income (expense) | (345) | 6,269 | 48,322 | 6,900 | ||||||||||||
Income (loss) before income taxes | 299,657 | (225,902) | 790,878 | (761,763) | ||||||||||||
Benefit of (provision for) income taxes | 44,953 | - | 44,953 | - | ||||||||||||
Net income (loss) | $ | 344,610 | $ | (225,902) | $ | 835,831 | $ | (761,763) | ||||||||
Weighted average common shares | 14,194,482 | 11,939,169 | 13,111,289 | 11,823,089 | ||||||||||||
Weighted average common shares | 15,142,247 | 11,939,169 | 14,059,054 | 11,823,089 | ||||||||||||
Net income (loss) per common share - | $ | 0.02 | $ | (0.02) | $ | 0.06 | $ | (0.06) | ||||||||
SYRA HEALTH CORP.
| ||||||||
For the Nine Months Ended | ||||||||
September 30, | ||||||||
2026 | 2025 | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES | ||||||||
Net income (loss) | $ | 835,831 | $ | (761,763) | ||||
Adjustments to reconcile net income (loss) to net cash provided by | ||||||||
Depreciation | 2,511 | 18,171 | ||||||
Common stock issued for services | - | 2,586 | ||||||
Stock-based compensation | 89,685 | 75,194 | ||||||
Changes in operating assets and liabilities: | ||||||||
Accounts receivable | (599,119) | (245,428) | ||||||
Other current assets | 211,654 | 279,890 | ||||||
Right-of-use asset | 50,511 | 89,621 | ||||||
Accounts payable | (36,352) | 215,723 | ||||||
Accounts payable, related party | 53,000 | 137,764 | ||||||
Deferred revenue | 244,638 | 125,000 | ||||||
Accrued expenses | 173,175 | (5,691) | ||||||
Operating lease liability | (50,511) | (89,621) | ||||||
Net cash provided by operating activities | 975,023 | (158,554) | ||||||
CASH FLOWS FROM INVESTING ACTIVITIES | ||||||||
Purchase of property and equipment | - | - | ||||||
Net cash used in investing activities | - | - | ||||||
CASH FLOWS FROM FINANCING ACTIVITIES | ||||||||
Proceeds from sale of common stock and exercise of warrants | - | 14,800 | ||||||
Repayments on notes payable | (206,343) | (275,106) | ||||||
Net cash used in financing activities | (206,343) | (260,306) | ||||||
NET CHANGE IN CASH AND CASH EQUIVALENTS | 768,680 | (418,860) | ||||||
CASH AND CASH EQUIVALENTS AT BEGINNING OF | 1,614,733 | 2,395,405 | ||||||
CASH AND CASH EQUIVALENTS AT END OF PERIOD | $ | 2,383,413 | $ | 1,976,454 | ||||
SUPPLEMENTAL INFORMATION: | ||||||||
Interest paid | $ | 6,032 | $ | 8,992 | ||||
Income taxes paid | $ | - | $ | - | ||||
NON-CASH INVESTING AND FINANCING ACTIVITIES: | ||||||||
Conversion of Class B common stock to Class A common stock | $ | 2,500 | $ | 2,333 | ||||
Cashless Exercise of Series B Warrants into Class A common | $ | 11 | $ | - | ||||
Recognition of right-of-use asset and lease liability | $ | 80,120 | $ | - | ||||
Amendment of right-of-use asset and lease liability | $ | - | $ | 166,119 | ||||
Prepaid asset financed with note payable | $ | 269,229 | $ | 311,118 | ||||
Non-GAAP Financial Measures
In addition to financial results reported in accordance with accounting principles generally accepted in the United States of America ("GAAP"), we have provided the following non-GAAP financial measure in this release and the accompanying tables: adjusted EBITDA. We use this non-GAAP financial measures internally to facilitate period-to-period comparisons and analysis of our operating performance and liquidity and believe it is useful to investors as a supplement to GAAP measures in analyzing, trending, and benchmarking the performance and value of our business. However, this measure is not intended to be a substitute for those reported in accordance with GAAP. These measures may be different from non-GAAP financial measures used by other companies, even when similar terms are used to identify such measures. For reconciliations of historical non-GAAP financial measures to the most comparable financial measures under GAAP, see the table below.
Nine Months Ended | ||||
September 30, 2026 | September 30, 2025 | |||
Net Income (Loss) | $ 835,831 | $ (761,763) | ||
Interest expense | 6,032 | 8,992 | ||
Depreciation expense | 2,510 | 18,171 | ||
Provision for income taxes | (44,953) | - | ||
Earnings before Interest, Taxes Depreciation and Amortization | $ 799,420 | $ (734,600) | ||
Three Months Ended | ||||
September 30, 2026 | September 30, 2025 | |||
Net Income (Loss) | $ 344,610 | $ (225,902) | ||
Interest expense | 1,353 | 1,905 | ||
Depreciation expense | 715 | 5,396 | ||
Provision for income taxes | (44,953) | - | ||
Earnings before Interest, Taxes Depreciation and Amortization | $ 301,725 | $ (218,601) | ||
About Syra Health
Syra Health is an integrated healthcare solutions company helping government and commercial healthcare organizations improve health outcomes through prevention, expanded access, and affordable care. Our population health analytics turn data into proactive, actionable intelligence, and our public health community needs assessments help health departments direct resources where communities need them most. In mental and behavioral health, Syra Health's award-winning Syrenity solution and SyraBot, a HIPAA-compliant and ADA-accessible AI chatbot, deliver secure, accessible support in highly regulated environments. Syra Health also provides healthcare staffing, training, and education designed to help organizations reduce costs, strengthen their workforce, and deliver consistent, high-quality care.
Discover our healthcare solutions at www.syrahealth.com and follow the Company on LinkedIn.
Forward-Looking Statements
Statements in this press release about future expectations, plans, and prospects, as well as any other statements regarding matters that are not historical facts, may constitute "forward-looking statements." These statements include but are not limited to, statements relating to the expected use of proceeds, the Company's operations and business strategy, and the Company's expected financial results. The words "anticipate," "believe," "continue," "could," "estimate," "expect," "intend," "may," "plan," "potential," "predict," "project," "should," "target," "will," "would" and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words. The forward-looking statements contained in this press release are based on management's current expectations and are subject to substantial risks, uncertainty, and changes in circumstances. Investors should read the risk factors set forth in our Form 10-K for the year ended December 31, 2025, and other periodic reports filed with the Securities and Exchange Commission. Any forward-looking statements contained in this press release speak only as of the date hereof, and, except as required by federal securities laws, the Company specifically disclaims any obligation to update any forward-looking statements, whether as a result of new information, future events, or otherwise.
Contact
Christine Drury
IR/PR Director
Syra Health
[email protected]
463-345-5180
SOURCE Syra Health
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