Paysign, Inc.: Q1 FY2026 earnings call

What management said about Q1 FY2026, from the documents filed with the SEC on 12 May 2026: press release. Guidance figures: 9 new, 7 kept. The quarter’s numbers.

Read the filing

Key takeaways

• Revenue rose 50.8%: Total revenue reached $28.04 million, up $9.44 million, as both pharma and plasma revenue grew. Source
• Adjusted EBITDA more than doubled: Adjusted EBITDA reached $10.59 million, or $0.17 per diluted share, from $4.96 million; EBITDA was $9.30 million. Source
• Pharma revenue rose 81.9%: Pharma revenue reached $15.68 million, the largest revenue line in the quarter, after 45 net programs were added over twelve months. Source
• Gross margin widened to 65.0%: Gross profit was 65.0% of revenue, against 62.9% a year earlier, which management attributed to a greater mix of pharma revenue. Source
• Operating margin reached 23.8%: Operating margin was 23.8%, against 13.4% a year earlier; income from operations was $6.67 million. Source

“Patient affordability emerged as our largest revenue contributor in the quarter, with 135 active programs”

Mark Newcomer, President and CEO of Paysign

Guidance

What changed from last quarter

• New guidance: Second-quarter 2026 ranges were added alongside the full-year table. Source
• Guidance kept: Management reiterated the full-year 2026 ranges given in March. Source

Revenue and profit growth

• Revenue rose 50.8%: Total revenue reached $28.04 million, up $9.44 million, as both pharma and plasma revenue grew. Source
• Net income more than doubled: Net income was $5.44 million, or $0.09 per fully diluted share, compared with $2.59 million, or $0.05, a year earlier. Source
• Adjusted EBITDA more than doubled: Adjusted EBITDA reached $10.59 million, or $0.17 per diluted share, from $4.96 million; EBITDA was $9.30 million. Source

Pharma patient affordability

• Pharma revenue rose 81.9%: Pharma revenue reached $15.68 million, the largest revenue line in the quarter, after 45 net programs were added over twelve months. Source
• Processed claims grew about 49%: Processed claims rose roughly 49% from the first quarter of 2025. Source
• Fee lines drive pharma billing: Pharma billing includes monthly management fees, setup fees, claim processing fees, and services such as dynamic business rules and contact center support. Source

“Revenue, operating margin and net income all finished above the high end of our prior ranges, driven by fixed cost leverage and a continued mix shift toward patient affordability.”

Jeff Baker, Chief Financial Officer of Paysign

Plasma donor compensation

• Plasma revenue rose 24.9%: Plasma revenue reached $11.75 million from $9.41 million, mainly from 89 net centers added over the past twelve months. Source
• Revenue per center edged higher: Average monthly revenue per center rose to $6,671 from $6,517, and loads per center rose for the first time since the 2024 inventory correction. Source

Operating costs

• Cost of revenues rose 42.2%: Cost of revenues rose on call center support tied to growth, a contact center that went live in November 2025, and higher employee costs. Source
• Operating expenses rose 25.5%: Operating expenses were $11.55 million, with selling, general and administrative expense up 20.5% to $8.91 million. Source
• Stock compensation expense rose 91%: Stock compensation expense within selling, general and administrative expense reached $1.28 million. Source
• Amortization rose on Gamma: Depreciation and amortization rose $835 thousand, or 46.4%, mainly from amortization of Gamma intangible assets. Source

“As this business grows, we are positioned to deliver long-term value for our shareholders, our customers and the patients we serve.”

Mark Newcomer, President and CEO of Paysign

Margins and taxes

• Gross margin widened to 65.0%: Gross profit was 65.0% of revenue, against 62.9% a year earlier, which management attributed to a greater mix of pharma revenue. Source
• Operating margin reached 23.8%: Operating margin was 23.8%, against 13.4% a year earlier; income from operations was $6.67 million. Source
• Effective tax rate rose: The effective tax rate was 27.2%, against 20.5% a year earlier, and the provision was $2.03 million. Source

Cash and balance sheet

• Unrestricted cash fell $523 thousand: Unrestricted cash ended the quarter at $20.55 million, with zero bank debt. Source
• Payment timing drove cash decline: Management cited timing of operating asset and liability payments, capital investment, and payments of other liabilities tied to Gamma. Source
• Restricted cash rose $15.03 million: Restricted cash reached $158.95 million, mainly on $9.71 million of customer program deposits, with $5.32 million more in funds on card. Source
• Restricted cash offsets liabilities: Restricted cash funds customer card balances and pharmaceutical claim reimbursements, with a matching offset in current liabilities. Source

Demand and seasonality

• Plasma builds through the year: Management described plasma building through the balance of the year after the first-quarter pattern. Source
• SaaS reception cited: Management cited reception to its SaaS solutions from collectors and plasmapheresis manufacturers in the U.S., Europe and Asia. Source
• Pipeline reflects manufacturer trust: Management cited a pharma pipeline it said reflects manufacturers' trust in Paysign to help patients access therapies. Source

Platform and strategy

• Platform spending continues: Capitalized software development and equipment purchases continue for the processing platform enhancement. Source
• Purpose-built technology cited as advantage: Management said purpose-built technology backed by industry expertise gives the company a competitive advantage. Source

Coming up, as management said on 12 May 2026

• Upper half of ranges expected: Management said first-quarter momentum supports confidence in reaching the upper half of the full-year ranges. Source
• Investment plans to be funded: Management said it is well positioned to fund 2026 investment plans from its cash position and cash flow profile. Source
• Plasma and pharma to contribute equally: Management continues to expect plasma and pharma to contribute roughly equally to full-year revenue. Source

Figures management reported

Risks management discussed

• Demand: Twenty plasma centers were sold to customers using a competing provider, and two underperforming centers were closed. Source
• Financial: The tax rate was affected by discrete quarterly items tied to the rise in stock price at March 31, 2026. Source
• Demand: Pharma revenue is concentrated in the first quarter, when patient affordability claims peak. Source

Earlier plans management reported on

• Ahead: Management said first-quarter results exceeded guidance across every line of the income statement. Source
• Not stated: Management said the second-quarter pattern reflects the seasonal pattern it laid out previously. Source

Other quarters

• Q3 FY2026 earnings call
• Q2 FY2026 earnings call
• Q4 FY2025 earnings call
• Q3 FY2025 results

Summarised with AI from the documents the company filed with the SEC. Every point is checked against the filing before it is shown: management’s own words word for word, figures against the line or table row they come from. A point that fails the check is left out. Source opens the filing at that line.