DIH Holding US (DHAI) Registration Filing summary

Company overview and business model

• Global provider of advanced robotic and VR-enabled devices for physical rehabilitation, serving hospitals, clinics, and research markets in EMEA, Americas, and APAC.

• Focuses on restoring mobility and enhancing human performance through interactive, data-driven rehabilitation solutions.

• Core products include Lokomat, Erigo, Armeo, C-Mill, and CAREN/GRAIL, with revenue concentrated in key markets and products.

• Business model leverages proprietary technology, exclusive distribution agreements, and selective acquisitions to drive growth and market consolidation.

Financial performance and metrics

• Fiscal year ended March 31, 2024 revenue was $64.5M, up 19.3% from $54.1M in 2023, driven by higher device sales in EMEA and Americas.

• Net loss for fiscal 2024 was $8.4M, compared to $1.0M in 2023, primarily due to $7.1M in transaction costs related to the business combination.

• Gross profit for fiscal 2024 was $29.8M, with cost of sales increasing 47.8% due to higher sales volume and inflation.

• As of June 30, 2024, cash and cash equivalents were $2.7M, with an accumulated deficit of $35.8M.

• Three months ended June 30, 2024 revenue was $16.2M, up 24.1% year-over-year, with a net loss of $0.6M, improved from $2.9M loss in prior year.

Use of proceeds and capital allocation

• No proceeds will be received from the resale of shares by selling stockholders; proceeds from warrant exercises (if any) will be used for general corporate and working capital purposes.

• Up to $116.2M could be raised from warrant exercises, but current market price is below exercise price, making near-term proceeds unlikely.

• Recent $3.3M convertible debenture issued in June 2024, with proceeds used to strengthen liquidity.