Hinge Health says revenue increased 50% in first quarter — still no price range for IPO

Hinge Health on Monday updated its prospectus to include the results from its first quarter, which showed accelerating revenue growth over its fourth quarter.

The digital physical therapy startup filed to go public in March, but it has not shared a price range yet. Hinge said that revenue in its first quarter climbed 50% to $123.8 million, up from $82.71 million during the same period last year. Hinge reported $117.3 million in revenue during its fourth quarter, up 44% from the same period in 2023.

Hinge also notched its first profitable quarter on record. The company said its net income for the period was $17.1 million after taxes, up from a net loss of $26.5 million after taxes during the same period last year.

The company is attempting to go public at a time of extreme economic uncertainty and market volatility, spurred largely by President Donald Trump's sweeping tariff policy. Several companies, including online lender Klarna and ticket marketplace StubHub, have delayed their long-awaited IPOs.

Hinge's updated prospectus signals to investors that the company is planning to forge ahead.

While the company's revenue jumped 50%, the cost of goods sold fell slightly. That allowed Hinge to lift its gross margin to 81% from 71% a year earlier and record an operating income of $13.1 million after losing $31. 4 million in the same period a year earlier.

Hinge uses software to help patients treat acute musculoskeletal injuries, chronic pain and carry out post-surgery rehabilitation remotely. Large employers cover the costs so their employees can access Hinge's app-based virtual physical therapy, as well as its wearable electrical nerve stimulation device called Enso. 

Daniel Perez, Hinge's CEO, and Gabriel Mecklenburg, the company's executive chairman, co-founded the company in 2014 after experiencing personal struggles with physical rehabilitation.