Marpai, Inc.

What they do

Marpai acts as a Third Party Administrator for self-insured employers — mostly small and medium-sized companies and local government entities — administering their employee healthcare claims. It designs benefit plans for Clients, gives Members provider network access through relationships with Aetna, Cigna and regional networks, handles member calls and requests, and validates and adjudicates claims, including automated adjudication. The Company also operates Pharmacy Benefit Management and value-oriented health plan services through subsidiaries including Marpai Administrators, Marpai Health, Maestro Health and EYME Technologies.

Revenue drivers

• Health Plan Administration services — Core TPA offering: Marpai designs a healthcare benefit plan for the self-insured employer Client, then manages the plan — provider network access, member service by phone, email and mobile app, and claims validation and adjudication. This is the business around which the Company is organized.
• In-House Ancillary services — The 10-K lists in-house ancillary services as the second of three general revenue sources, alongside health plan administration and third-party vendor services. No separate dollar split by source is disclosed in the excerpts provided.
• Third-Party Vendor services — The 10-K lists third-party vendor services as the third general revenue source. The excerpts do not break out revenue or margin for this category.
• MarpaiRx PBM offering — The November 2025 earnings release describes an integrated MarpaiRx PBM offering gaining traction as a differentiator that expands the total addressable market and deepens value per client. No standalone revenue figure is given.

Recent performance

Latest reported quarter (Q2 2026, ended 2026-06-30): revenue of $4.166 million versus $4.656 million in the prior-year quarter, cost of revenue of $3.169 million, operating loss of $3.433 million and net loss of $4.583 million, or $0.18 per share. First-half 2026 revenue was $8.610 million versus $10.074 million in first-half 2025, with net loss of $7.766 million versus $7.440 million. Full-year revenue fell from $37.2M (2023) to $28.2M (2024) to $18.1M (2025); net loss was $16.6M in 2025. The balance sheet at 2026-06-30 showed total assets of $9.5M, total liabilities of $48.4M, stockholders' deficit of $38.9M and cash and equivalents of $138 thousand, against restricted cash of $6.437 million. For Q3 2025 the Company reported operating expenses down 24% (from $5.0M to $3.8M year over year), operating loss narrowed 9% (from $3.1M to $2.8M) and net loss improved 2% (from $3.6M to $3.5M).

Strategy

Management describes a turnaround built on cost discipline and operational efficiency, citing a 24% reduction in operating expenses and a 9% improvement in operating loss for Q3 2025 and stating the Company is operating leaner and closer to sustained profitability. Growth is expected from sales momentum — over double-digit new clients contracted for January 1 — and from the integrated MarpaiRx PBM offering. Stated investment priorities are automation, data-driven claims management and integrated pharmacy benefits. The Company completed a PIPE raising gross proceeds of $3.9 million, which it describes as sufficient cash flow to execute the turnaround. The 10-K states that the independent registered public accounting firm's report contains an explanatory paragraph regarding substantial doubt about the Company's ability to continue as a going concern, and that additional capital may be needed.

Risks

• Going concern — The 10-K risk factors state the auditor's report contains an explanatory paragraph regarding substantial doubt about the Company's ability to continue as a going concern.
• Capital needs and dilution — The 10-K states the Company expects to need to raise additional capital, that such raising may be costly or difficult, and that it could dilute shareholders — the November 2025 PIPE raised $3.9 million gross.
• Shrinking revenue base — Annual revenue declined from $37.2M in 2023 to $28.2M in 2024 to $18.1M in 2025, and Q2 2026 revenue of $4.166M was below the $4.656M reported for Q2 2025.
• Client concentration and contract loss — The 10-K risk factors state that the loss, termination or renegotiation of any contract with current Clients could materially adversely affect the Company's financial condition.

Outlook

In the November 12, 2025 earnings release, CEO Damien Lamendola said the Company believes it remains on track to achieve profitability in the first quarter of 2026. Management cited a strong 2026 pipeline, over double-digit new clients contracted for January 1, and continued traction for the MarpaiRx PBM offering. Results reported since then do not confirm that target: Q1 2026 revenue was $4.4M and Q2 2026 revenue was $4.2M, with a Q2 2026 net loss of $4.583 million. The filings also disclose going-concern doubt, so the profitability timeline depends on capital availability.