Modular Medical Inc (MODD) reported QQ2 2025 results characterized by ongoing operating losses and an absence of disclosed revenue. The company posted an operating loss of 4.996 million and a net loss of 4.956 million for the quarter, with an EPS of -0.14. EBITDA came in at -4.736 million, highlighting the burn typical of a development-stage medical device company pursuing a go-to-market strategy for insulin pump technology. R&D expenses of 3.702 million and G&A expenses of 1.294 million drove the loss, while depreciation and amortization added 0.26 million of non-cash cost. The lack of reported revenue in QQ2 2025 complicates an assessment of unit economics and implies dependence on external funding to sustain operations.
From a liquidity perspective, MODD finished the quarter with approximately 3.893 million in cash, up modestly from 5.052 million at the start of the period, driven by net financing activity of 2.768 million and offset by a cash burn from operations of 3.766 million. Free cash flow remained negative at -3.927 million. Importantly, MODD maintains a strong current ratio of 3.36 and a cash ratio of roughly 3.13, suggesting ample near-term liquidity to fund development efforts while awaiting commercialization catalysts. Net debt is reported as negative (net cash) at roughly -2.884 million, reflecting a modest cash cushion despite ongoing losses.
Management commentary is not captured in the provided transcript data for QQ2 2025, limiting the ability to quote specific statements. However, the lack of revenue alongside persistent losses underscores the high-risk, high-variance profile of MODD at this stage. The investment thesis hinges on upcoming milestones—clinical readouts, regulatory progress, partnerships, or potential licensing deals—that could unlock near-term value. Absent visible revenue generation or a clear path to profitability, the stock remains highly speculative and sensitive to fundraising needs and clinical development progress.