Breaking Down Biotricity, Inc. (BTCY) Financial Health: Key Insights for Investors

You're looking at Biotricity, Inc. (BTCY) and wondering if the remote monitoring story is finally translating into a sustainable business, and the short answer is that the underlying financial trends are defintely moving in the right direction, but the company isn't profitable yet. For the full 2025 fiscal year, Biotricity posted total revenue of $13.8 million, marking a solid 14.3% year-over-year increase, driven by recurring Technology-as-a-Service (TaaS) fees which hit $12.6 million. That's a strong signal, and it helped push the gross margin up to a healthy 76.6% for the year, but still, the company recorded a net loss of $11.9 million for FY2025, even though that was a 20% reduction from the prior year. The real shift to watch is the milestone achieved in the fourth quarter of FY2025: the first-ever positive Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of $438,260, which shows the business model can generate cash before accounting for non-operating items and capital structure. This isn't a straight line to profitability, but it's a clear path, and we need to break down how they keep that cost discipline while expanding their AI-driven cardiac platform into new markets.

Revenue Analysis

You need to know where Biotricity, Inc. (BTCY)'s growth is coming from, and the answer is clear: the shift to a subscription-based model is paying off. For the full fiscal year 2025 (FY2025), total revenue hit $13.8 million, driven by a successful Technology-as-a-Service (TaaS) strategy. That's a solid 14.3% year-over-year revenue increase, showing their operational efficiencies are translating directly to the top line.

The key takeaway here is stability. The company has successfully anchored its business model around predictable, recurring revenue, which is what analysts like me defintely want to see in a high-growth healthcare technology firm. This is a much better position than being reliant on volatile, one-time device sales.

Breakdown of Primary Revenue Streams

Biotricity, Inc.'s revenue is essentially split into two segments: technology fees and device sales. The vast majority of their income comes from the Technology-as-a-Service (TaaS) model, which is their subscription-based offering for remote cardiac monitoring and diagnostic solutions. This recurring revenue stream provides a strong foundation for future growth and margin expansion.

• Technology Fees: The dominant segment, representing the core subscription revenue.
• Device Sales: Revenue from the initial sale of monitoring devices, which is a much smaller, non-recurring component.

The company operates almost entirely within the United States, which is where its property and core operations are located. This geographical concentration means their performance is highly sensitive to US healthcare policy and reimbursement changes, so keep an eye on that. If you're looking for a deeper dive into who is betting on this model, check out Exploring Biotricity, Inc. (BTCY) Investor Profile: Who's Buying and Why?

Segment Contribution and Growth Trends

The contribution of the recurring technology fees to the overall revenue is the most important metric. In FY2025, recurring Technology Fees grew 12% year-over-year to $12.6 million. Here's the quick math: this figure represents more than 10.5 times the revenue generated from device sales for the year, confirming the TaaS model is the engine of the business.

The trend shows an accelerating growth rate within the fiscal year. While the full-year revenue growth was 14.3%, the third quarter of FY2025 (ended December 31, 2024) saw a higher year-over-year growth rate of 21.7%, with recurring technology fees comprising a massive 94% of that quarter's total revenue of $3.6 million. This indicates a strong, late-year surge in adoption and customer retention, which is a very positive sign for the company's trajectory into FY2026.

Significant Changes and Near-Term Opportunities

The most significant change is the deepening reliance on high-margin, recurring revenue, which has helped expand the gross margin to 76.6% for FY2025. Management is also driving growth through strategic partnerships, notably securing alliances with three major Group Purchasing Organizations (GPOs) that collectively represent 90% of all hospitals in the US. This GPO access is the clear opportunity for accelerated growth in FY2026 as it streamlines market penetration.

Also, the company is leveraging Artificial Intelligence (AI) to drive operational automation, which is a key factor in their margin improvement. They are also expanding their focus beyond cardiac care into adjacent fields like sleep and pulmonology diagnostics, which opens up new revenue verticals. That's a smart move to diversify their risk and total addressable market.

Profitability Metrics

You're looking at Biotricity, Inc. (BTCY) and seeing a stock that's still trading at a low price, but the underlying profitability trends tell a story of a company in a rapid operational turnaround. The direct takeaway is this: Biotricity's gross margins are world-class for the sector, and they are on the cusp of sustained operating profitability, moving from deep losses to positive earnings before interest, taxes, depreciation, and amortization (EBITDA).

The core of their financial health lies in the gross margin, which has been expanding dramatically. For the full fiscal year 2025 (FY25), the gross margin was already a strong 76.6%, up from 69.3% in the prior year. More recently, in the second quarter of fiscal year 2026 (Q2-FY26), which ended in September 2025, that margin hit an impressive 81.9%. This is a massive improvement, showing the power of their Technology-as-a-Service (TaaS) model.

Gross, Operating, and Net Margins

When we break down the margins, you see a clear path toward financial stability. The high gross margin is a huge competitive advantage, but the real work is in controlling the expenses below the gross profit line. Here's the quick math for the most recent quarter, Q2-FY26, to see how that operational leverage is starting to kick in:

• Gross Profit Margin: 81.9% (A significant jump, reflecting their recurring revenue base and AI-driven automation).
• Operating Profit Margin: $\approx$ 7.7% (Calculated from Gross Profit of $3.2 million minus Operating Expenses of $2.9 million on $3.9 million in revenue).
• Net Profit Margin: $\approx$ -19.7% (Based on a Net Loss of $772,000 on $3.9 million in revenue).

The positive operating profit is a big win. It means the core business of selling and servicing their remote monitoring solutions is generating cash to cover overhead. The net loss remains because of non-operating items like interest and taxes, but the trend is defintely moving in the right direction.

Operational Efficiency and Industry Context

The operational efficiency story is one of disciplined cost management. In FY25, Biotricity reduced its total operating expenses by 24.5% year-over-year, which is the kind of decisive action you want to see from a growth company focused on reaching breakeven. This cost control, coupled with the margin expansion, led to a 63.9% reduction in negative EBITDA for FY25, landing at $3.2 million.

This efficiency is why they achieved positive EBITDA of $373,000 in Q2-FY26-the second consecutive quarter of positive EBITDA. That is a critical milestone for any TaaS company.

To be fair, how does this compare to the industry? The remote patient monitoring (RPM) and telehealth space is highly competitive, but Biotricity's margins stand up well:

Biotricity's gross margin is right in the top tier, comparable to the best-in-class telehealth platforms like LifeMD. The difference is scale. Digi International, a much larger, more mature Internet of Things (IoT) player, has a lower gross margin but a much higher net income because they have achieved massive scale and fully absorbed their growth costs. Biotricity is clearly following the playbook of a high-margin, scalable TaaS business, but they are earlier in the journey. Their net loss for the full FY25 was still $11.9 million, but that's a 20% reduction from the prior year, showing the net loss is shrinking as the business grows.

The key risk is maintaining that operational discipline as they invest for growth, especially since Q2-FY26 operating expenses did tick up by 5.1% to $2.9 million. Still, the margin expansion outpaced that cost increase. For a full look at the company's trajectory, you should read the complete breakdown in Breaking Down Biotricity, Inc. (BTCY) Financial Health: Key Insights for Investors.

Next step: Analyst team to model the sensitivity of the 7.7% operating margin to a 5% increase in Q3 operating expenses by Friday.

Debt vs. Equity Structure

The capital structure of Biotricity, Inc. (BTCY) is a critical point for any investor, and the quick takeaway is that the company relies heavily on debt relative to its equity base, which is currently negative. This isn't just a high leverage situation; it signals a fundamental financial imbalance that you must factor into your risk assessment.

As of the end of fiscal year 2025 (March 31, 2025), Biotricity, Inc. (BTCY) carried total debt of approximately $25.8 million. The debt is heavily weighted toward the near-term, which puts pressure on immediate cash flow. Here's the quick math on the current debt obligations from the balance sheet:

• Short-Term Debt: $9.62 million
• Current Portion of Long-Term Debt: $2.4 million
• Total Current Debt (minimum): $12.02 million

This means over half of the company's total debt is due within the next year, which is a significant liquidity concern, even as the company has shown positive cash flow on a current operating basis in Q3-FY25.

The most telling metric here is the Debt-to-Equity (D/E) ratio, which stood at approximately -0.91 for fiscal year 2025. This negative ratio is not a sign of low leverage; it's a direct result of the company's negative shareholder equity, which was about -$29.32 million. Negative equity means the company's total liabilities exceed its total assets, a serious situation that makes traditional D/E ratio interpretation difficult. To be fair, this is not uncommon for early-stage growth companies in the medical technology space, but it defintely raises the risk profile.

For context, the median D/E ratio for the 'Surgical and Medical Instruments and Apparatus' industry is around 0.70. Biotricity, Inc.'s negative equity position places it far outside this industry benchmark, indicating a much higher reliance on external financing and a greater vulnerability to market shifts or interest rate hikes, especially as the company faces high variable interest rates.

To finance its growth and manage this high leverage, Biotricity, Inc. (BTCY) has consistently turned to equity funding. In May 2025, the company filed a follow-on equity offering to raise approximately $2.684644 million. This capital raise is crucial for shoring up the balance sheet and funding operations, but it also results in shareholder dilution. The strategy is clear: use debt to fund initial operations and growth, then use equity raises to manage the debt load and inject working capital. For more on the long-term strategy, you can review the Mission Statement, Vision, & Core Values of Biotricity, Inc. (BTCY).

Here is a summary of the key leverage metrics:

The action item for you is to monitor the next few quarterly reports closely. Look for a material reduction in the current debt load and a move toward positive shareholder equity. If onboarding takes 14+ days for new large accounts, churn risk rises, and the cash flow pressure from the current debt could become unsustainable.

Liquidity and Solvency

You want to know if Biotricity, Inc. (BTCY) has enough ready cash to cover its near-term obligations. The quick answer is that the company's balance sheet liquidity ratios for fiscal year 2025 (FY25) are defintely tight, but operational cash flow trends show a significant, positive shift that investors need to pay close attention to.

At the end of FY25 (March 31, 2025), Biotricity, Inc.'s Current Ratio was only about 0.23. The Current Ratio measures current assets against current liabilities-ideally, you want to see a ratio of 1.0 or higher, meaning current assets cover all current debts. Their Quick Ratio, which strips out less-liquid inventory, was even lower at just 0.15. This tells you the company does not have enough liquid assets on hand to cover its short-term bills right now. It's a clear red flag for immediate liquidity.

Here's the quick math on working capital: a Current Ratio of 0.23 means for every dollar of current debt, Biotricity, Inc. only has 23 cents in current assets. This implies a significant working capital deficit, which is common for growth-focused Technology-as-a-Service (TaaS) companies that are still scaling. The low ratio indicates a reliance on external financing or continued operational efficiency gains to manage day-to-day cash needs and pursue the Mission Statement, Vision, & Core Values of Biotricity, Inc. (BTCY).

The real story for Biotricity, Inc. is in the cash flow trends, which are showing a turn. While the company reported a net loss of $11.9 million for the full FY25, the focus should be on the operational improvements. By the third quarter of FY25, the company achieved positive cash flow on a current operating basis (before interest, dividends, and amortization) for the second consecutive quarter. More importantly, Biotricity, Inc. achieved its first-ever positive Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) of $438,260 in the fourth quarter of FY25. That is a major milestone, showing the core business is finally generating cash before non-cash charges and capital structure costs.

Looking at the cash flow statement overview, the trends are:

• Operating Cash Flow: Improving dramatically, moving from a significant burn towards breakeven, driven by a 24.5% reduction in operating expenses in FY25.
• Investing Cash Flow: Likely negative, as a TaaS company needs to invest in its technology platform and intellectual property to keep its gross margins-which hit 76.6% for FY25-expanding.
• Financing Cash Flow: Historically positive, as the low Current Ratio and working capital deficit necessitate raising capital through debt or equity to fund operations and growth.

The primary liquidity concern is the low ratio pair (0.23 and 0.15), which signals an ongoing need for financing to bridge the gap until positive operating cash flow covers all expenses. The strength, however, is the clear operational leverage: the Q4-FY25 positive Adjusted EBITDA of $438,260 proves the business model can be cash-generative. This operational shift is what will ultimately solve the liquidity problem, but until then, the balance sheet remains a risk.

Valuation Analysis

You're looking at Biotricity, Inc. (BTCY) and wondering if the current price is a fair deal. The short answer is that traditional metrics point to a stock that is difficult to value, but the current consensus leans toward a neutral, or 'Hold,' position. The stock is best viewed through a growth lens, not a profitability one, for now.

As of November 2025, the stock price sits around the $0.57 mark. Over the last 12 months, the stock has been a rollercoaster, moving between a 52-week low of approximately $0.23 and a high of up to $1.92, though more recently the high has been around $0.83. This volatility is typical for a micro-cap medical technology company. Still, the stock has managed a positive return of about 27.50% over the past year, which is a solid gain for investors who held through the swings. One clean one-liner: This stock is a momentum play, not a deep-value pick.

Is Biotricity, Inc. (BTCY) Overvalued or Undervalued?

To be fair, assessing Biotricity, Inc. (BTCY) with standard valuation tools like the Price-to-Earnings (P/E) ratio is nearly impossible because the company is not yet profitable. The Trailing Twelve Month (TTM) P/E ratio is negative, sitting at approximately -1.70 as of mid-November 2025. This simply tells you that the company is losing money, which is common for a growth-focused Technology-as-a-Service (TaaS) firm in the remote patient monitoring space.

Since P/E and other metrics like Price-to-Book (P/B) and Enterprise Value-to-EBITDA (EV/EBITDA) are not meaningful (NM) or negative, we have to look at sales. The Enterprise Value-to-Sales (EV/Sales) ratio is a better gauge for a company in this stage, and it stands at about 2.90 on a TTM basis. Here's the quick math: An EV/Sales of 2.90 suggests the market values the entire business at nearly three times its annual revenue. This isn't egregious for a high-growth tech company, but it's not a screaming bargain either, which is why some models suggest the stock is 'slightly overvalued.'

The company does not pay a dividend, so the dividend yield and payout ratios are both 0.00%. This is expected; they are correctly reinvesting every dollar back into scaling the business and driving revenue growth, which they forecast at $22 million for the fiscal year ending March 31, 2026. You can dive deeper into the ownership structure in Exploring Biotricity, Inc. (BTCY) Investor Profile: Who's Buying and Why?

The core valuation metrics are summarized below:

The analyst consensus on Wall Street is currently a Neutral rating, or 'Hold,' with only one analyst providing coverage. This lack of broad coverage is defintely a risk factor, but the hold rating aligns with the mixed signals from the valuation metrics-strong revenue growth potential but not yet profitable. Your action here is to treat any investment as a high-risk, high-reward bet on the company's ability to turn its revenue growth into positive EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) in the next 12-18 months.

• Monitor the EV/Sales ratio for any significant spikes.
• Watch for a shift from a 'Hold' to a 'Buy' consensus.
• Track progress toward positive EBITDA, not just revenue.

Next Step: Finance: Model a scenario where Biotricity, Inc. (BTCY) achieves positive EBITDA in FY2026 to establish a more defensible target price.

Risk Factors

You're looking at Biotricity, Inc. (BTCY) and seeing some compelling growth, like the Q2 Fiscal Year 2026 revenue hitting $3.9 million and gross margin expanding to 81.9%. That's great execution on their Technology-as-a-Service (TaaS) model. But as a seasoned analyst, I have to map the near-term risks that could derail this progress, and honestly, the biggest ones are financial and operational, not just market noise.

The core issue is a classic growth-stage challenge: liquidity. As of their September 30, 2025, quarterly filing, Biotricity had a working capital deficiency of over $18.0 million. This is the elephant in the room. In fact, their auditors have expressed substantial doubt about the company's ability to continue as a going concern, which is a formal way of saying they need to fix their cash flow and balance sheet, and fast. They are improving, with a net loss of only $(0.77) million in Q2 FY2026, a 53.3% improvement year-over-year, but the capital need remains a major risk.

Operational and external risks also demand your attention. The remote monitoring space is fiercely competitive, with larger, better-capitalized players who can easily undercut pricing or outspend on R&D. Plus, in the medical device and healthcare technology industry, regulatory compliance is a constant, expensive headwind. Changes in Medicare or commercial payor reimbursement rates (the revenue stream) or delays in securing international regulatory clearances could immediately hurt their revenue growth.

Here's a quick summary of the key risks and the company's stated plans to manage them:

• Financial Risk: Need for immediate capital to fund operations.
• Operational Risk: Sustaining profitability despite limited operating history.
• Regulatory Risk: Dependence on FDA and payor reimbursement policies.
• Market Risk: Intense competition from larger, established firms.

To be fair, the company is not sitting still. Their primary mitigation strategy is leveraging their high-margin TaaS model, which accounted for 88.7% of Q2 FY2026 revenue, and using proprietary AI-driven automation to cut costs and boost that gross margin. They are also expanding their U.S. commercial footprint through strategic alliances with major Group Purchasing Organizations (GPOs), which represent a massive chunk of U.S. hospitals, and pushing for international approvals in places like Canada, Saudi Arabia, and Argentina. These are clear, actionable steps to drive scale and reach sustained profitability, but they are still in the execution phase.

For a deeper dive into the financials that underpin these risks, you should check out the full analysis on Breaking Down Biotricity, Inc. (BTCY) Financial Health: Key Insights for Investors.

The takeaway is simple: Biotricity, Inc. is showing strong operational momentum, but the financial foundation is defintely still fragile. Investors must weigh the impressive top-line growth and margin expansion against the very real and significant balance sheet risks.

Growth Opportunities

Biotricity, Inc. (BTCY) is defintely at an inflection point, transitioning from a high-growth, high-burn model to one focused on scalable, profitable growth, driven by its Technology-as-a-Service (TaaS) model and an expanding intellectual property portfolio.

The core takeaway is this: the shift to a high-margin, recurring revenue base, evidenced by a 19% year-over-year revenue increase in the second quarter of fiscal year 2026 (Q2 FY2026), is the primary engine for future value. The company reported a total revenue of $13.8 million for the fiscal year ended March 31, 2025, and is on a clear path to continue that upward trajectory.

Product Innovation and Competitive Edge

The company's competitive advantage starts with its proprietary technology and its high-margin revenue structure. In Q2 FY2026 (ended September 30, 2025), recurring technology fees accounted for $3.5 million, or 88.7% of total revenue. This subscription model is far more predictable than one-off device sales, and it is the reason the Gross Margin hit 81.9% in Q2 FY2026.

Product innovation is also rapidly expanding their addressable market. Biotricity, Inc. is moving beyond Mobile Cardiac Telemetry (MCT) with a new multi-biometric device platform, which can function as both a patch and a watch. This versatile design, protected by 15 issued patents and 14 pending as of March 2025, allows for simultaneous diagnostic studies, like cardiac and sleep monitoring, simplifying care for the patient.

Strategic Expansion and Revenue Projections

Near-term growth will be catalyzed by strategic partnerships and market diversification. The long sales cycles with Group Purchasing Organizations (GPOs) are finally maturing; Biotricity, Inc. has strategic alliances with three of the top GPOs, giving them potential access to approximately 90% of U.S. hospitals. That's a massive pipeline. Also, the company is actively expanding its reach beyond cardiology into adjacent chronic care fields like sleep and pulmonology through new partnerships.

Here's the quick math on the recent performance: the company achieved a positive EBITDA of $373,000 in Q2 FY2026, marking the second consecutive quarter of positive adjusted EBITDA, a significant milestone toward full profitability. For the full fiscal year 2025, the net loss was significantly reduced to $11.9 million from $14.9 million the year prior. Management expects continued revenue growth, which will be fueled by:

• Strong adoption of the next-generation Biocore Pro cardiac monitor.
• Expansion into key international markets like Saudi Arabia, Canada, and Argentina.
• Operational efficiencies gained from proprietary AI-driven automation.

The future revenue growth will be increasingly driven by the adoption of their next-generation devices and the scaling of their Technology-as-a-Service model, which is why the gross margin is so high. You can read more about the long-term vision here: Mission Statement, Vision, & Core Values of Biotricity, Inc. (BTCY).

Financial Snapshot: Key Fiscal 2025 and Q2 2026 Data

To be fair, the company is still navigating financial challenges, but the trend is positive. The net loss for the six months ending September 30, 2025, was $1.36 million, a substantial improvement from the $5.26 million loss in the same period in 2024. The key is the operational leverage they are building.

What this estimate hides is the long sales cycle of the GPO contracts; revenue from those major partnerships will start to 'trickle in' over the next few quarters as pilots conclude and full rollouts begin. Still, the high margin and recurring revenue base give them a solid foundation to invest profits back into commercial expansion, which is the clear next step for management to capture market share.