Plainview, N.Y. December 16, 2024 – Vaso Corporation (“Vaso”) (OTCQX: VASO), a leader in human capital, information technology and MedTech, today released a letter to shareholders and employees summarizing the company’s achievements throughout the year and outlining key strategic developments and priorities for the upcoming year.
Highlights in the letter include operational developments, product updates, financial performance, and insights on thought-leadership initiatives. The goal is also to provide a business outlook and priorities for the year ahead.
To access the CEO Shareholder Letter, please see below:
Vaso-2024-Yearhend-Shareholder-Letter-FINAL-12-16-24-3About Vaso Corporation
Headquartered in Plainview New York, Vaso Corporation is a leading human capital, information technology and MedTech business with a focus on healthcare professional sales services, network and IT services across sectors, and proprietary medical products. Vaso Corporation is a diversified organization with three core businesses operating as wholly-owned subsidiaries: VasoHealthcare, the professional sales service arm for GEHealthCare’s diagnostic imaging and ultrasound products; VasoTechnology, an information technology and managed connectivity leader serving customers in healthcare provision and other sectors; and VasoMedical, the designer and manufacturer of proprietary medical devices including Biox series devices and the developer and operator of the ARCS cloud-based SaaS platform.
Investor Contacts:
Michael J. Beecher
+516-508-5840
mbeecher@vasocorporation.com
V&S Strategic Consulting
Except for historical information contained in this release, the matters discussed are forward-looking statements that involve risks and uncertainties. When used in this report, words such as “anticipates”, “believes”, “could”, “estimates”, “expects”, “may”, “optimistic”, “plans”, “potential”, “looking forward”, and “intends” and similar expressions, as they relate to the Company or its management, identify forward-looking statements. Such forward-looking statements are based on the beliefs of the Company’s management, as well as assumptions made by and information currently available to the Company’s management. Among the factors that could cause actual results to differ materially are the following: the effect of business and economic conditions, including the possibility of a downturn in the US economy and the continued impact of the COVID-19 pandemic; the effect of the dramatic changes taking place in IT and healthcare; continuation of the GEHC agreement; the impact of competitive technology and products and their pricing; medical insurance reimbursement policies; manufacturing or supplier problems; unforeseen difficulties and delays in product development programs; the actions of regulatory authorities and third-party payers in the United States and overseas; and the risk factors reported from time to time in the Company’s SEC reports. The Company undertakes no obligation to update forward-looking statements as a result of future events or developments.
Investor Contacts
Investor Contact:
Michael J. Beecher
Investor Relations
Phone: 516-508-5840
Email: mbeecher@vasocorporation.com
PLAINVIEW, N.Y., Nov. 14, 2024 (GLOBE NEWSWIRE) — Vaso Corporation (“Vaso”) (OTCQX: VASO), a leading medtech company with a diversified business portfolio in network and healthcare IT services, professional sales services, and proprietary medical products, today reported its operating results for the three months ended September 30, 2024.
“For the third quarter of 2024, the Company’s revenue was $20.8 million, an increase of 7% when compared to the prior year’s third quarter revenue of $19.4 million, mainly due to higher revenue from the network services business in our IT segment. The Company recorded an operating loss of $1.4 million for the third quarter of 2024 compared to operating income of $907 thousand for the same quarter in 2023, as operating expenses increased including a significant amount in investment banking activities,” commented Dr. Jun Ma, President and Chief Executive Officer of Vaso Corporation.
“As the Company continues to generate positive operating cashflow, which was $3.6 million during the first nine months of the year, its balance sheet continues to be strong, with $26.8 million in cash, cash equivalents and short-term investments as of September 30, 2024. In addition, total deferred revenue increased by $1.4 million during the quarter to $33.1 million, which will be recognized as revenue in future reporting periods when the underlying products or services are delivered,” Dr. Ma continued.
“Our mission is to continue to grow our current business and revenue streams organically while working closely with our partners and customers across all our business segments. We are cautiously optimistic about the Company’s performance for the remainder of the year, as historically the fourth quarter has been the quarter with highest revenue and income of the year due to the cyclical nature of our business. As we approach yearend, we are focused on optimizing our strong business performance to seize new growth opportunities in 2025,” concluded Dr. Ma.
Financial Results for Three Months Ended September 30, 2024
Total revenue for the three months ended September 30, 2024 was $20.8 million, representing an increase of 7% from revenue of $19.4 million for the same period in the prior year. On a segment basis, revenue in the professional sales services segment increased $0.3 million, or 3%, year-over-year, mainly as a result of higher volume of underlying equipment delivered by our partner and higher commission rates on these deliveries; revenue in the IT segment increased $1.2 million, or 12%, compared to the third quarter of 2023, principally due to higher network services revenue; while revenue in the equipment segment decreased $172,000, or 23%, due mainly to lower ARCS® software sales.
Gross profit for the three months ended September 30, 2024 decreased by $287 thousand, or 2%, to $11.8 million, from $12.0 million for the third quarter of 2023. This decrease was mainly due to product mix with lower margins in the IT and equipment segments.
Selling, general and administrative (SG&A) expenses for the third quarter of 2024 increased by 5% to $11.4 million when compared to the third quarter of 2023. The increase is primarily attributable to higher personnel costs in the professional sales services segment due to an expansion of services for our partner as compared to 2023, and an increase in personnel costs in the IT segment.
Net loss for the three months ended September 30, 2024 was $1.2 million, compared to net income of $1.2 million for the three months ended September 30, 2023. The principal cause of the net loss was the costs incurred for the business combination of $1.5 million and the increase in SG&A costs.
Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization, and non-cash stock-based compensation) was negative $1.2 million for the quarter ended September 30, 2024, compared to positive $1.2 million for the third quarter of 2023. The decrease is the result of the decrease in net income.
Net cash provided by operating activities in the first nine months of 2024 was $3.6 million, compared to $6.9 million for the same period in 2023. As of September 30, 2024 and December 31, 2023, the Company had cash, cash equivalents and short term investments of approximately $26.8 million and $25.3 million, respectively, an increase of $1.5 million.
About Vaso
Vaso Corporation is a diversified medical technology company with several distinctive but related specialties: managed IT systems and services, including healthcare software solutions and network connectivity services; professional sales services for medical equipment; and design, manufacture, and sale of proprietary medical devices.
The Company operates through three wholly owned subsidiaries:
Additional information is available on the Company’s website at www.vasocorporation.com.
Investor Contacts
Investor Contact:
Michael J. Beecher
Investor Relations
Phone: 516-508-5840
Email: mbeecher@vasocorporation.com
PLAINVIEW, N.Y., Aug. 26, 2024 — Vaso Corporation (“Vaso”) (OTCQX: VASO) today announced that at its special stockholders meeting on August 26, 2024, the meeting was adjourned without any consideration of the proposals to 10:00 AM Eastern on September 10, 2024 at the same location, the Lever House located at 390 Park Avenue, New York, NY 10022. With the adjourned date being well after the Labor Day holiday, it will provide more stockholders with the opportunity to attend the stockholders meeting in person.
About Vaso
Vaso Corporation is a diversified medical technology company operating in three business segments:
Except for historical information contained in this release, the matters discussed are forward-looking statements that involve risks and uncertainties. When used in this report, words such as “anticipates”, “believes”, “could”, “estimates”, “expects”, “may”, “optimistic”, “plans”, “potential”, “looking forward”, and “intends” and similar expressions, as they relate to the Company or its management, identify forward-looking statements. Such forward-looking statements are based on the beliefs of the Company’s management, as well as assumptions made by and information currently available to the Company’s management. Among the factors that could cause actual results to differ materially are the following: the effect of business and economic conditions, including the possibility of a downturn in the US economy and the continued impact of the COVID-19 pandemic; the effect of the dramatic changes taking place in IT and healthcare; continuation of the GEHC agreement; the impact of competitive technology and products and their pricing; medical insurance reimbursement policies; manufacturing or supplier problems; unforeseen difficulties and delays in product development programs; the actions of regulatory authorities and third-party payers in the United States and overseas; and the risk factors reported from time to time in the Company’s SEC reports. The Company undertakes no obligation to update forward-looking statements as a result of future events or developments.
Investor Contacts
For Vaso:
Michael J. Beecher
Investor Relations
Phone: 516-997-4600
Email: mbeecher@vasocorporation.com
High deferred revenue and backlog setting stage for 2024 revenue and income growth
PLAINVIEW, N.Y., Aug. 14, 2024 (GLOBE NEWSWIRE) — Vaso Corporation (“Vaso”) (OTCQX: VASO) today reported its operating results for the three months ended June 30, 2024.
“The Company recorded a total revenue of $20.2 million for the second quarter of 2024, in line with revenue of $20.3 million for the second quarter of 2023,” commented Dr. Jun Ma, President and Chief Executive Officer of Vaso Corporation. “Deferred revenue in our professional sales service segment remains substantial, at $31.7 million as of June 30, 2024, and backlog in our IT segment reached a multi-year high of $39.4 million at the end of the second quarter, setting a good foundation for revenue and income growth in future quarters.”
“As stated before, we are a seasonal business in that a substantial amount of our revenue and income is usually generated in the last six months of any year. We are optimistic about the Company’s performance for the remainder of the year, as both top- and bottom-line numbers are tracking ahead of our 2024 goals year-to-date. We also continue to generate positive cashflow from operating activities, in the amount of $2.8 million during the second quarter of 2024. The Company had $25.7 million in cash and cash equivalents as of June 30, 2024, despite significantly increased expenses in the last several months for investment banking activities related to our efforts to list our common stock on NASDAQ through our previously announced proposed business combination with Achari Ventures Holdings Corp. I,” Dr. Ma continued.
“With regard to listing on NASDAQ, we anticipate it will afford the Company the opportunity of broadening its stockholder base as institutional investors have a very limited interest in OTC stocks. We also believe that, based on the historical performance and financial fundamentals of the Company, our common stock is undervalued as it is subject to trading restrictions under the penny stock rules which impose certain sales practice requirements on broker-dealers in transactions involving our stock. In addition, listing on NASDAQ should assist the Company in its goal of expanding operations through internal growth, new partnerships, and strategic investments with a concentration on medical and IT service companies,” concluded Dr. Ma. “A special stockholders meeting has been scheduled for August 26, 2024 in New York City to seek stockholders’ approval of the business combination, and I look forward to seeing you then.”
Financial Results for Three Months Ended June 30, 2024
For the three months ended June 30, 2024, total revenue decreased slightly to $20.2 million from $20.3 million for the same period of 2023. Revenue in our IT segment increased by $156 thousand or 1% when compared to the second quarter of 2023, mostly because of growth in the network services business. Revenue in the professional sales service segment decreased by $30 thousand, relatively flat compared to the second quarter of 2023, due primarily to lower deliveries of diagnostic imaging equipment, mostly offset by an increase in sales of ultrasound systems. Revenue in the equipment segment decreased by $223 thousand or 30% when compared to the same quarter of last year, due to lower sales of ARCS® cloud software subscription in the US and lower equipment deliveries in our China operations.
Gross profit for the second quarter of 2024 was $12.2 million, compared to $12.7 million for the same quarter of 2023, representing a decrease of 4% year over year. This decrease was the combined result of the decrease in revenue and lower gross margin.
Selling, general and administrative (SG&A) expenses for the second quarter of 2024 increased 2% to $10.8 million, when compared to the second quarter of 2023. The increase is primarily attributable to additional headcount for the new ultrasound sales program in the professional sales segment and an increase in personnel costs in the IT segment, partially offset by lower board fees. Total operating expenses increased 3% to $11.2 million due mainly to higher SG&A and business combination transaction costs.
Net income for the three months ended June 30, 2024 was $1.2 million, compared to net income of $2.0 million in the second quarter 2023. The lower income is due to the lower gross profit and higher expenses.
Adjusted EBITDA (earnings before interest, taxes, depreciation and amortization and non-cash stock-based compensation) was $1.2 million for the three months ended June 30, 2024, compared to $2.1 million for the same period a year ago.
Net cash provided by operating activities in the first six months of 2024 was $1.7 million, compared to cash provided by operations of $6.0 million for the same period in 2023. As of June 30, 2024 and December 31, 2023, the Company had cash, cash equivalents and short-term investments of approximately $25.7 million and $25.3 million, respectively.
About Vaso
Vaso Corporation is a diversified medical technology company operating in three business segments:
Except for historical information contained in this release, the matters discussed are forward-looking statements that involve risks and uncertainties. When used in this report, words such as “anticipates”, “believes”, “could”, “estimates”, “expects”, “may”, “optimistic”, “plans”, “potential”, “looking forward”, and “intends” and similar expressions, as they relate to the Company or its management, identify forward-looking statements. Such forward-looking statements are based on the beliefs of the Company’s management, as well as assumptions made by and information currently available to the Company’s management. Among the factors that could cause actual results to differ materially are the following: the effect of business and economic conditions, including the possibility of a downturn in the US economy and the continued impact of the COVID-19 pandemic; the effect of the dramatic changes taking place in IT and healthcare; continuation of the GEHC agreement; the impact of competitive technology and products and their pricing; medical insurance reimbursement policies; manufacturing or supplier problems; unforeseen difficulties and delays in product development programs; the actions of regulatory authorities and third-party payers in the United States and overseas; and the risk factors reported from time to time in the Company’s SEC reports. The Company undertakes no obligation to update forward-looking statements as a result of future events or developments.
Investor Contacts
For Vaso:
Michael J. Beecher
Investor Relations
Phone: 516-997-4600
Email: mbeecher@vasocorporation.com
A significant milestone for Vaso’s Listing on NASDAQ
Vaso Stockholders Meeting Scheduled for August 26, 2024 to Approve Business Combination with Achari
PLAINVIEW, N.Y., Aug. 07, 2024 (GLOBE NEWSWIRE) — Vaso Corporation (“Vaso” or the “Company”) (OTCQX: VASO) announced that on August 5, 2024, the U.S. Securities and Exchange Commission (“SEC”) declared effective the Achari Ventures Holdings Corp. I (“Achari”) (NASDAQ: AVHI) Registration Statement on Form S-4, as amended (the “Registration Statement”), filed with the SEC in connection with the previously announced proposed business combination (the “Business Combination”) of Vaso and Achari. In connection with the Business Combination, Achari will change its name to Vaso Holdings Corp. (“New Vaso”), which will be the surviving corporation after the Business Combination, and Vaso will be its wholly owned subsidiary and only operating entity. Current Vaso stockholders will own approximately 96% of New Vaso if all of the remaining public shares of Achari are redeemed in connection with Achari stockholder approval of the Business Combination, or 94% of New Vaso if none of Achari’s current public stockholders elect to redeem their shares and instead choose to remain stockholders of the combined company following the closing of the Business Combination. The parties have agreed that the valuation of Vaso stockholders in New Vaso will be approximately $176 million at closing.
“We are pleased to achieve this important step forward to becoming a publicly traded company listed on the NASDAQ stock exchange,” commented Dr. Jun Ma, President and CEO of Vaso, who will serve as President and CEO of Vaso Holdings Corp. upon closing of the Business Combination. “Our Company has achieved significant growth and profitability over the last few years, attaining in 2021, 2022 and 2023, respectively, an annual revenue of approximately $75.2 million, $79.3 million and $81.0 million, as well as operating income of approximately $2.5 million, $6.5 million and $4.2 million, respectively, over the same time periods, which has further resulted in cash reserves of about $25 million as of the latest regulatory filing.”
“Our success is primarily attributable to a diversified strategy and a strong commitment to business discipline. Based on the historical performance and financial fundamentals of the Company, we believe that our common stock is undervalued which could, in part, be that as an over-the-counter stock we are subject to the penny stock rules which impose certain sales practice requirements on broker dealers in transactions involving our stock. Additionally, we believe that institutional investors have a limited interest in a penny stock and listing on NASDAQ could afford the Company the opportunity of broadening its stockholder base. Listing on NASDAQ also should assist the Company in its goal of expanding operations through both internal growth and strategic partnerships with a concentration on medical and IT companies,” concluded Dr. Ma.
Following the Business Combination, there will be nine directors of New Vaso, consisting of Vaso’s seven current directors and two new independent directors selected by Vaso.
Vaso will be mailing its proxy statement (the “Proxy Statement”) on or about August 12, 2024 to stockholders of record as of the close of business on July 15, 2024 . The Proxy Statement contains notice of a special stockholders meeting (the “Special Meeting”) and voting instruction form or a proxy card relating to the Special Meeting.
The Special Meeting to approve the proposed business combination is scheduled to be held on August 26, 2024 at 10:00 a.m. Eastern Time at Lever House, 390 Park Avenue, New York, NY, subject to adjournment. If the proposals at the Special Meeting are approved, Vaso anticipates that the Business Combination will close promptly thereafter following similar approval of the Business Combination by Achari’s stockholders at a separate special meeting convened by Achari, and that New Vaso will commence trading on NASDAQ under the new ticker symbol “VASO” shortly following the receipt of such approval, subject to the satisfaction or waiver, as applicable, of all other closing conditions.
Every stockholder’s vote is important, and Vaso requests that each stockholder complete, sign, date and return a proxy card (online or by mail) as soon as possible to ensure that the stockholder’s shares will be represented at the Special Meeting. Stockholders who hold shares in “street name” (i.e., those stockholders whose shares are held of record by a broker, bank or other nominee) should contact their broker, bank or nominee to ensure that their shares are voted.
About Vaso
Vaso Corporation is a diversified medical technology company operating in three business segments:
About Achari
Achari is a special purpose acquisition company formed for the purpose of effecting a merger, capital stock exchange asset acquisition, stock purchase, reorganization or similar business combination with one or more businesses.
Cautionary Statement Regarding Forward-Looking Statements
This communication includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the U.S. Private Securities Litigation Reform Act of 1995. Generally, statements that are not historical facts in this communication are forward-looking statements. Forward-looking statements herein generally relate to future events or the future financial or operating performances of Vaso, Achari or the combined Business Combination (the “Combined Company”). For example, projections of future financial or operational performance of Vaso or Achari or the Combined Company are forward-looking statements. In some cases, you can identify forward-looking statements in terminology such as “may,” “should,” “expect,” “will,” “estimate,” “anticipate,” “believe,” “predict,” “project,” “target,” “budget,” “forecast,” “could,” “continue,” “plan,” or “potentially” or the negatives of these terms or variations of them or similar technology. Such forward-looking statements are based on beliefs and assumptions and on information available to management of Vasoand are subject to risks, uncertainties, and other factors which could cause actual results to differ materially from those expressed or implied by such forward-looking statements.
These forward-looking statements are based upon estimates and assumptions that, while considered reasonable by Vasoand its management, as the case may be, are inherently uncertain and subject to material change. There can be no assurance that future developments affecting Vaso or Achari, or the Combined Company, will be those that it has anticipated. New risks and uncertainties may emerge from time to time, and it is not possible to predict all risks and uncertainties. Factors that may cause actual results to differ materially from current expectations include, but are not limited to, the effect of business and economic conditions, including the possibility of a downturn in the U.S. economy and continued effects of the COVID-19 pandemic; the effect of the dramatic changes taking place in IT and healthcare; continuation of the GEHC agreement; the impact of competitive technology and products and their pricing; medical insurance reimbursement policies; unexpected manufacturing or supplier problems; unforeseen difficulties and delays in product development programs; the actions of regulatory authorities and third-party payers in the United States and overseas; and the risk factors reported from time to time in Vaso and Achari’s SEC reports.
Nothing in this communication should be regarded as a representation by any person that the forward-looking statements set forth herein will be achieved or that any of the contemplated results of such forward-looking statements will be achieved. You should not place undue reliance on forward-looking statements in this communication, which speak only as of the date they are made and are qualified in their entirety by reference to the cautionary statements herein and the risk factors described above. Neither Vaso nor Achari undertakes any duty to update these forward-looking statements. In addition, no responsibility, liability or duty of care is or will be accepted by Vaso, Achari or any other person for updating or revising the communication or providing any additional information to any recipient and any such liability is expressly disclaimed.
Investor Contacts
For Vaso:
Michael J. Beecher
Investor Relations
Phone: 516-997-4600
Email: mbeecher@vasocorporation.com
© 2024 Vaso Corporation | Terms of Service | Privacy Policy
