DarioHealth (NSDQ:DRIO) posted lower-than-expected net losses during the third quarter and met the consensus revenues forecast.
The Israeli company, which makes mobile phone-compatible blood glucose and blood pressure monitors, reported losses of -$2.8 million, or -6¢ per share, on sales of $1.9 million for the three months ended Sept. 30. DarioHealth pared its losses by -31.0% on flat sales growth compared with Q3 2018.
Analysts were looking for losses-per-share of -9¢ on sales of $1.9 million.
“In the third quarter, we believe that we produced tangible evidence that broadening our focus from the direct-to-consumer (D2C) channel alone to include the B2B channel is working well. We grew Dario’s top line while significantly improving gross margins and reducing losses. This quarter’s performance also highlights the potential of our high margin SaaS oriented membership program. As previously mentioned, the resulting benefits of this B2B channel focus are measurable in terms of larger patient adoption, more certain revenue streams and lower customer acquisition costs,” CEO Erez Raphael said in prepared remarks.
DRIO shares, which ended last week up 11.5% at 28.99¢, gained 0.03% to 29¢ even today in pre-market trading.