Full Press Release Details
Health Annual Letter to Shareholders From the Office of the CEO March 2025
FL, March 27, 2025 (GLOBE NEWSWIRE) - Wellgistics Health, Inc. (NASDAQ: WGRX) ("Wellgistics Health"), This time
last year, Wellgistics was a private company, weathering the pressures of a broken pharmaceutical supply chain plagued with waste, inefficiencies,
and a lack of pricing transparency that has decimated independent pharmacies and other stakeholders in the healthcare ecosystem.
we are a public company listed on the Nasdaq exchange under our new parent company name, Wellgistics Health, Inc. (NASDAQ: WGRX), we
have completed several acquisitions that broaden our service offerings, and we have a full year 2024 pro forma consolidated net sales
(assuming our recent acquisitions had occurred as of January 1st, 2023) of $45.7 million, which is a 33% increase over the previous year,
with a clear plan to scale our impact across healthcare.¹
built an AI-enhanced end-to-end prescription processing platform-Wellgistics Hub (formerly DelivMeds)-that eliminates the
guesswork for patients and providers.
a provider writes a prescription-either in-office or via telehealth-our software checks the insurance, applies discounts
when appropriate, and presents the patient with transparent out-of-pocket costs in real-time.
affordability is an issue, the patient can request a cheaper alternative through the Wellgistics Hub app-triggering a seamless
feedback loop between doctor and patient before the prescription is finalized. This simple loop addresses one of healthcare's most
persistent failures: 30% of prescriptions are never filled due to cost.2
confirmed, the prescription can route to the patient's pharmacy of choice, or into our fulfillment network-powered by over
5,000 independent pharmacies today, with many more expected as we continue to forge exciting relationships with group purchasing organizations
(GPOs). Pharmacies can opt-in to our affiliate or active network, thereby improving efficiency, automation, and access to generic, brand
and specialty drugs sourced directly through our NABP Accredited national distribution arm.
addition, we are excited to announce the launch of EinsteinRx, a Wellgistics Health AI-driven internal intelligence decision
support software that has been layered into our the core engine of Wellgistics Hub to guide smarter, faster prescription routing early
in the prescription journey. It helps analyze patient demographics, pharmacy network and respective attributes, data, coverage, and therapeutic
options in real-time to improve access and affordability with medications. As EinsteinRx continues to evolve, we expect that it will
leverage machine learning to become more adaptive-thereby reducing friction, eliminating barriers to adherence, and optimizing
outcomes along the prescription journey.
our proprietary technology we are able to shift away from traditional sales channels and expensive marketing. Our providers and pharmacies
become our ambassadors because we facilitate access and reduce administrative burden enabling pharmacists to focus on improving patient
outcomes. We work with all stakeholders in the healthcare ecosystem to provide meaningful solutions to anticipate friction before it
happens, engaging patients along the journey and not just at the point-of-sale.
we develop solutions based on what the market needs-not guesswork. Every tool or feature we launch-from our AI-enabled routing
to our reimbursement automation engine-is purpose-built based on industry trends, real world problems, and big data that we leverage
from inside our network.
how we're building a high-growth, margin-rich business with strong market defensibility and one of the lowest customer acquisition
costs in the healthcare ecosystem:
the next 12 months, we will be focused on:
cost of non-adherence to prescriptions in the U.S. is estimated to exceed $300 billion annually.3 We believe that the real
root of that problem does not stem from patient behavior alone-it's system failure: a tangled web of delayed prior authorizations,
life-saving prescription denials, inflated out-of-pocket costs, and a plethora of other issues all resulting in delays to patient care.
at the heart of it all is a lack of pricing transparency. Patients are often blindsided at the pharmacy counter, unaware of what
they'll owe or if the medication is even covered until it's too late. Based on our experience, pharmacies are facing significant
pricing pressure where they are often reimbursed below the acquisition cost of the medication, leading them to turn patients away. Providers
often do not have real-time access to coverage or cost data when writing prescriptions, which means critical treatment decisions are
made in the dark. Pharmaceutical manufacturers are struggling to commercialize products leading to stagnant research and development
of innovative therapies. Some employer organizations are seeing a employee-led lawsuits over the mismanagement of employee healthcare
uncertainty leads to sticker shock, delays, and abandonment-which translates to higher costs burdening the healthcare system. Further,
individuals are four times more likely to abandon their prescriptions when faced with a co-pay of $50 or more and often do not
seek care until the next office visit.5
believe that affordability is no longer just a financial issue-it's a public health emergency. This current system, driven
by opaque PBM contracts and misaligned incentives, was never designed to prioritize access or transparency.
Health is uniquely positioned to bring innovative solutions to help fix the system-not with brute force, but with technology, strategic
partnerships, and scalable infrastructure.
year was about rebuilding the foundation. The years ahead are about scaling it.
the healthcare market shifts from fee-for-service to value-based care, and as employers and payors seek real-time, cost-effective solutions,
we are not only relevant-we are essential.
you for your continued support as we strive to redefine prescription access in America-the time is now.
Chief Executive Officer
2 CDC National Center for Health Statistics, Health United States Report, 2022
3 New England Health Institute, Medication Adherence and Cost of Non-Adherence Report
5 PAN Foundation, "Out-of-Pocket Costs and Prescription Abandonment" 2023
Health, Inc. is a holding company for existing and future planned operating companies centered around healthcare technology and pharmaceutical
services. It seeks to be a micro health ecosystem, with a portfolio of companies consisting of a technology platform, pharmacy, and wholesale
operations that provide novel prescription hub and clinical services. Wellgistics Health is focused on improving the lives of patients
while delivering unique solutions for pharmacies, providers, pharmaceutical manufacturers, and payors. With the successful integration
of its patient-centric approach and innovative healthcare applications, Wellgistics Health intends to shift the dynamic of pharmaceutical
care to revolve around the patient for a wide range of therapeutic conditions by offering a full spectrum of integrated solutions as
a result of leveraging the synergies of its business segments to address access, care coordination, dispensing, delivery, and clinical
management of pharmaceutical products ranging from "specialty-lite" to general maintenance conditions. For more information,
please visit Wellgistics Health's website at www.wellgisticshealth.com.
Annual Letter contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including,
but not limited to, statements regarding future performance, strategy, market expansion, revenue growth, and planned acquisitions. These
statements are based on current expectations, estimates, forecasts, and projections about the industries in which the Company operates
and management's beliefs and assumptions. Actual results may differ materially from those expressed in forward-looking statements
due to a variety of factors, including market conditions, regulatory changes, integration risks, competitive dynamics, and other factors
detailed from time to time in our SEC filings. Readers are cautioned not to place undue reliance on these forward-looking statements.
We undertake no obligation to publicly update or revise any forward-looking statements except as required by law.
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