8-K
QHSLab, Inc. (USAQ)
UNITED
STATES
SECURITIES
AND EXCHANGE COMMISSION
Washington,
D.C. 20549
FORM
8-K
CURRENT
REPORT
Pursuant
to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of report (date of earliest event reported): May 15, 2023
QHSLab,Inc.
(Exact Name of Registrant as Specified in its Charter)
0-19041
(Commission File No.)
| Nevada | 30-1104301 |
|---|---|
| (State<br><br> <br>of<br> Incorporation) | (I.R.S.<br> Employer<br><br> <br>Identification<br> No.) |
| 901<br> Northpoint Parkway Suite 302 West Palm Beach<br><br> <br>FL<br> 33407 | 33407 |
| (Address of Principal Executive<br> Offices) | (ZIP Code) |
Registrant’s telephone number, including area code: (929) 379-6503
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
| ☐ | Written communications<br> pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
|---|---|
| ☐ | Soliciting material pursuant<br> to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
| ☐ | Pre-commencement communications<br> pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
| ☐ | Pre-commencement communications<br> pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c) |
Securitiesregistered pursuant to Section 12(g) of the Act:
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
|---|---|---|
| Common Stock, $0.0001 par value | USAQ | N/A |
Item7.01 Regulation FD Disclosure.
On May 15, 2023, we, QHSLab, Inc. (the “Company”), issued a press release entitled, QHSLab, Inc. Reports First Quarter Financial Results. The full text of this press release is furnished as Exhibit 99.1 to this Current Report on Form 8-K.
The information in this Current Report on Form 8-K (including the exhibit) is furnished pursuant to Item 7.01 and shall not be deemed to be “filed” for the purpose of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liabilities of that section. This Current Report on Form 8-K will not be deemed an admission as to the materiality of any information in the Report that is required to be disclosed solely by Regulation FD.
We do not have, and expressly disclaim, any obligation to release publicly any updates or any changes in our expectations or any change in events, conditions, or circumstances on which any forward-looking statement is based.
By filing this Current Report on Form 8-K and furnishing the information contained herein, we make no admission as to the materiality of any information in this report that is required to be disclosed solely by reason of Regulation FD. We use, and will continue to use, our website (https://usaqcorp.com), press releases, and various social media channels, including our Twitter account (https://twitter.com/qhslabinc), LinkedIn account (https://www.linkedin.com/company/65407282/admin/), Facebook account (https://www.facebook.com/QHSLabs and Instagram account (https://www.instagram.com/qhslabs/) as additional means of disclosing public information to investors, the media and others interested in the Company. It is possible that certain information we post on our website, disseminate in press releases and on social media could be deemed to be material information, and we encourage investors, the media and others interested in the Company to review the business and financial information that we post on our website, disseminate in press releases and on the social media channels identified above, as such information could be deemed to be material information.
Item9.01 FINANCIAL STATEMENTS AND EXHIBITS
(d) Exhibits.
The exhibits listed in the following Exhibit Index are filed as part of this Current Report on Form 8-K.
| Exhibit<br><br> <br>No. | Description |
|---|---|
| 99.1 | Press Release dated May 15, 2023 - QHSLab, Inc. Reports First Quarter Financial Results |
| 104 | Cover Page Interactive<br> Data File (embedded within the Inline XBRL document). |
SIGNATURES
Pursuant to the requirements of Section 12 of the Securities Exchange Act of 1934, the Registrant has duly caused this current report to be signed on its behalf by the undersigned, thereunto duly authorized.
| Date: May 15, 2023 | |
|---|---|
| QHSLab, Inc. | |
| /s/ Troy Grogan | |
| Name: | Troy Grogan |
| Title: | CEO and Chairman |
Exhibit99.1
QHSLab,Inc. Reports First Quarter Financial Results
324%Sequential Revenue Growth in Q1 2023 Compared to Q4 2022 for its Digital Medicine Services.
| ● | Total Q1 2023 revenue of<br> $352,799 increased 32% over Q4 2022 revenue |
|---|---|
| ● | Expanded gross margin in<br> Q1 2023 to 53% resulting in a 300-basis point increase in gross profit compared to the Q4 2022 |
| ● | Digital Medicine Subscription<br> and Services Recurring Revenue combined grew by 168% in Q1 2023 compared to Q4 2022 |
| ● | Shareholders are invited<br> to an upcoming webinar to hear from current physician customers that are actively engaged and utilizing the QHSLab Digital Medicine<br> Platform in their practices. |
WESTPALM BEACH, FL, May 15, 2023 (GLOBE NEWSWIRE) — QHSLab, Inc. (the “Company”) (OTCQB: USAQ), a company focused on providing clinicians with tools to leverage proactive, value-based healthcare solutions through emerging digital health and point-of-care technologies, today announced its first-quarter financial results for the period ended March 31, 2023, reporting strong sequential growth and setting expectations for the remainder of fiscal 2023.
FirstQuarter 2023 Financial Results
*QHSLab began selling Digital Medicine Subscriptions and Services in the third quarter of 2022 and reported 324% Sequential Recurring RevenueGrowth in Q1 2023 Compared to Q4 2022 for its Digital Medicine Integrated Service Program (ISP).
| ● | Revenues<br> for the three months ended March 31, 2023, were $352,799, an increase of $85,082 over revenues<br> of $267,717 reported in the fourth quarter of 2022 due to growth in both Digital Medicine<br> Subscriptions and Digital Medicine ISP sales, which the Company initiated in the third quarter<br> of 2022. |
|---|---|
| ● | First-quarter<br> 2023 sales of Digital Medicine Subscriptions were $20,461 compared to fourth-quarter 2022<br> sales of $12,350; first-quarter 2023 sales of Digital Medicine ISP Services were $34,467<br> compared to sales of $8,137 in the prior quarter. Digital Medicine ISP Service sales grew<br> by 324% sequentially in Q1 2023 compared to Q4 2022. |
| ● | The<br> Company generated a gross profit of $187,342, or a gross margin of approximately 53.1%, in<br> the first quarter of 2023 compared to a gross profit of $135,015, or a gross margin of 50.4%<br> in the fourth quarter of 2022. The increase was primarily attributable to the larger base<br> of sales as well as the transition to higher margin software as a service (SaaS) income. |
| ● | Net<br> operating loss (NOL) of $120,758 in Q1 2023 decreased by 17.1% compared to $145,701 in Q4<br> 2022 due to higher gross profit margin and top-line revenue. |
OperationalHighlights
We are currently generating digital medicine subscription recurring revenues from a small customer base of 11 practices and digital medicine service revenues are being generated from 14 medical practices. Together with these physician customers we have proven the business model, customer reimbursement profile and patient satisfaction achieved by our QHSLab Digital Assessment Tools, providing a strong platform to expand our digital medicine offerings to a larger base of primary care providers. We commenced more aggressive customer sales and marketing efforts this past quarter targeted at the key primary physician market.
We expect Digital Medicine ISP service revenue to grow by approximately 100% in Q2 2023 with the addition of new physician customers currently in our pipeline.
Revenues from our allergy diagnostic and allergen immunotherapy business segment increased by $49,537 or 20% in Q1 2023 compared to Q4 2022. Our sales and marketing focus this past year was on implementing our Digital Medicine segments. Now that commercialization of these products has occurred, our sales and customer service teams are working to integrate our allergy and digital medicine business segments to achieve economies of scale in our marketing programs which should enable us to generate more revenue from and for each of our physicians. We see significant upside for our business, our customers’ practices, and their patients’ healthcare outcomes through the combination of all our products and service offerings. A patient visiting a doctor in primary care can benefit from multiple preventive and chronic care services. QHSLab has demonstrated that it can provide these services to our physician customers, including allergy testing and treatment, mental health evaluations and supported non-face to inventions, medical nutrition therapy, sleep and pain management and much more, all in one cohesive comprehensive package to avoid physicians having to seek multiple products and services from multiple vendors and to enable patients to obtain comprehensive treatment from one familiar physician.
We experienced a 300-basis point improvement in our gross profit margin in Q1 2023 compared to Q4 2022 and believe that gross profit margins will continue to expand by approximately a further 500 basis points during fiscal 2023 due to growth in higher gross profit margin Digital Medicine SaaS income.
QHSLab’s Scientific and Advisory Team received acceptance from the American Psychosomatic Society for its publication on the significant findings relating to the ability of its Quality of Life ‘Q-Scale’ digital assessment to identify and predict patients at risk of high-cost healthcare utilization such as increased hospitalization, urgent care and emergency room visits. The Company will announce these findings in an upcoming press release upon publication in the American Psychosomatic Society’s Journal.
MeetOur Physician Clients
We invite our shareholders to register for a live webinar on Wednesday May 24, 2023 at 7pm EST to hear from current physician customers using the QHSLab Digital Medicine Platform in their practices. This will be an opportunity to listen to their experiences and hear the impact that QHSLab, Inc. is having on their patient care and enhancements to their practice economics.
REGISTER FOR THE WEBINAR HERE https://www.qhslab.com/physician-webinar-may-24/
AboutQHSLab, Inc.
QHSLab, Inc. (OTCQB: USAQ) is a medical device company providing digital healthcare solutions and point-of-care-diagnostic tests to primary care physicians. Digital healthcare allows doctors to assess patient responses quickly and effectively using advanced artificial intelligence algorithms. Digital healthcare can also remotely monitor patients’ vital signs and evaluate the effects of prescribed medicines and treatments on patients’ health through real-time data transferred from patient to doctor. QHSLab, Inc. also markets and sells point-of-care, rapid-response diagnostic tests used in the primary care practice. QHSLab, Inc.’s products and services are designed to help physicians improve patient monitoring and medical care while also improving the revenues of their practice.
Forward-LookingStatements
Certain matters discussed in this press release are ‘forward-looking statements’ intended to qualify for the safe harbor from liability established by the Private Securities Litigation Reform Act of 1995. In particular, the Company’s statements regarding trends in the marketplace, future revenues, future products, and potential future results and acquisitions are examples of such forward-looking statements. Forward-looking statements are generally identified by words such as ‘may,’ ‘could,’ ‘believes,’ ‘estimates,’ ‘targets,’ ‘expects,’ or ‘intends,’ and other similar words that express risks and uncertainties. These statements are subject to numerous risks and uncertainties, including, but not limited to, the timing of the introduction of new products, the inherent discrepancy in actual results from estimates, projections, and forecasts made by management, regulatory delays, changes in government funding and budgets, and other factors, including general economic conditions, not within the Company’s control. The factors discussed herein and expressed from time to time in the Company’s filings with the Securities and Exchange Commission could cause actual results and developments to be materially different from those expressed in or implied by such statements. The forward-looking statements are made only as of the date of this press release. The Company undertakes no obligation to publicly update such forward-looking statements to reflect subsequent events or circumstances.
InvestorRelations Contact:
OliviaGiamanco
QHSLab,Inc.
(929)379-6503
ir@usaqcorp.com
https://twitter.com/QHSLabInc