Semler Scientific Inc (NASDAQ:SMLR) presented its corporate strategy on May 13, 2025, revealing an intensified focus on its Bitcoin treasury strategy alongside its traditional healthcare diagnostics business. The presentation, titled "The Semler Vision: Medical (TASE:BLWV) and Monetary Freedom," highlighted the company’s significant Bitcoin accumulation efforts while providing updates on its healthcare operations.
The stock closed at $34.84 on the presentation day, up 5.34%, but slipped 0.55% to $36.50 in aftermarket trading, reflecting mixed investor sentiment about the company’s dual-focus strategy. Semler’s stock has experienced significant volatility over the past year, trading between $21.77 and $81.56.
Bitcoin Treasury Strategy
Semler’s presentation emphasized its Bitcoin holdings as a cornerstone of its corporate strategy. As of May 12, 2025, the company reported holding 3,733 bitcoins with a market value of $387.9 million, acquired at a total cost of $340.0 million.
The company has steadily accumulated Bitcoin over the past year, as illustrated in the following chart tracking Bitcoin acquisitions from May 2024 through April 2025
This accumulation strategy has resulted in substantial market value growth, with the company’s Bitcoin holdings reaching $387.9 million by May 2025
Semler highlighted several Bitcoin performance metrics, including a 106.8% BTC yield for FY2024 and 22.2% year-to-date in 2025. The company reported Bitcoin gains of 875 BTC for FY2024 and 510 BTC year-to-date in 2025.
While Bitcoin dominated much of the presentation, Semler also provided updates on its core healthcare diagnostics business. The company reported FY2024 revenues of $56.3 million and Q1 2025 revenues of $8.8 million. Cash, cash equivalents, and restricted cash stood at $9.9 million as of March 31, 2025.
This represents a significant decline from previous performance levels. In its Q4 2024 earnings report, Semler had reported quarterly revenue of $12.4 million, which was already an 18% decrease year-over-year. The Q1 2025 revenue of $8.8 million suggests a continued downward trend in the company’s core business.
Semler’s healthcare business targets large enterprise customers, including health insurance plans, home risk assessment companies, and medical groups. The company indicated plans to expand its product offerings to include other FDA-cleared products and is seeking an additional 510(K) clearance.
Semler outlined its funding sources for Bitcoin purchases, emphasizing its goal to "maximize stockholder returns while accumulating more Bitcoin." The company has utilized three primary funding sources: operating cash flow (~$72 million, 21%), convertible bonds (~$89 million, 26%), and at-the-market (ATM) issuances (~$179 million, 53%).
The presentation noted that Semler has $438 million remaining in its ATM authorization, suggesting the company plans to continue its Bitcoin accumulation strategy. This approach aligns with the company’s stated business model of creating stockholder value through Bitcoin accumulation, using debt and equity issuances, and leveraging its historically cash-generative healthcare business.
Despite the optimistic presentation, Semler faces several challenges. The company’s Q4 2024 earnings report had indicated potential revenue pressure in 2025 due to CMS rate changes. The presentation’s forward-looking statements disclaimer highlighted several risk factors, including those associated with Bitcoin investing, indebtedness, obtaining new 510(k) clearances, and a potential civil suit by the U.S. Department of Justice.
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