Hinge Health (HNGE) Registration Filing summary

Company overview and business model

• Provides an AI-driven digital platform for musculoskeletal (MSK) care, automating physical therapy and pain management for joint and muscle health.

• Offers a broad spectrum of MSK care, including acute injury, chronic pain, post-surgical rehab, and specialized programs (e.g., women's pelvic health, fall prevention).

• Delivers care through a combination of software, AI-powered motion tracking (TrueMotion), a proprietary wearable device (Enso), and a multidisciplinary care team.

• Primary clients are self-insured employers, with expansion into fully-insured employers, Medicare Advantage, federal insurance plans, and international markets.

• Revenue is generated via annual subscription fees, typically recognized ratably over a 12-month member subscription period; most contracts are three years.

Financial performance and metrics

• Revenue grew 33% year-over-year to $390.4 million in 2024, with gross profit of $299.9 million and gross margin of 77%.

• Net loss narrowed to $11.9 million in 2024 from $108.1 million in 2023; accumulated deficit was $522.7 million as of December 31, 2024.

• Net cash provided by operating activities was $49.0 million in 2024, with free cash flow of $45.2 million.

• 2,250+ clients and 532,000+ members as of December 31, 2024; net dollar retention rate of 117% and 12-month client retention rate of 98%.

• LTM calculated billings reached $467.5 million in 2024, up from $328.8 million in 2023.

Use of proceeds and capital allocation

• Net proceeds will be used to satisfy tax withholding and remittance obligations related to RSU settlements, with the remainder for general corporate purposes, working capital, and growth initiatives.

• May use a portion of proceeds for acquisitions or investments in complementary businesses, products, or technologies.

• Will have broad discretion in the use of proceeds.