Forian Inc.

Announces Third Quarter 2025 Financial Results

Newtown, PA, November 14, 2025 (GLOBE NEWSWIRE) – Forian Inc. (Nasdaq: FORA), a leading provider of data science driven information and analytics solutions to the life science, healthcare and financial services industries, today announced results for the quarter ended September 30, 2025.

Highlights

About Forian

Cautionary Statements Regarding Forward-Looking Statements

This release contains “forward-looking statements” within the meaning of the federal securities laws, including Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”). In this context, forward-looking statements often address expected future business and financial performance and financial condition, which may include GAAP and non-GAAP financial measures, and often contain words such as “expect,” “anticipate,” “intend,” “plan,” “believe,” “seek,” “see,” “will,” “would,” “target,” similar expressions and variations or negatives of these words. In particular, this release includes management’s outlook for 2025, which outlook is based on current estimates as of today’s date. Forward-looking statements by their nature address matters that involve risks and uncertainties, many of which are beyond our control and are not guarantees of future results, such as statements about future financial and operating results, company strategy and intended product offerings and market positioning and plans and estimates related to the restatement. These and other forward-looking statements are not guarantees of future results and are subject to risks, uncertainties and assumptions that could cause actual results to differ materially from those expressed in any forward-looking statements. Accordingly, there are or will be important factors that could cause actual results to differ materially from those indicated in such statements and, therefore, you should not place undue reliance on any such statements and caution must be exercised in relying on forward-looking statements. Factors that could cause actual results to differ include, but are not limited to, those risks and uncertainties associated with operations, strategy and goals, our ability to execute on our strategy, the outcome of the Company’s completion of the quantification and evaluation of the specific impact of the restatement, including the possibility of material adjustments thereto and the discovery of additional and unanticipated information during the procedures required to be completed before the Company is able to file its 2024 Form 10-K, and the additional risks and uncertainties set forth more fully under the caption “Risk Factors” in Forian’s Annual Report on Form 10-K for the year ended December 31, 2024, as filed with the SEC on April 11, 2025, and elsewhere in Forian’s filings and reports with the SEC. Forward-looking statements contained in this release are made as of the date hereof, and we undertake no duty to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable law.

Media and Investor Contact:

forian.com/investors

ir@forian.com

SOURCE: Forian Inc.

		For the Period Ended September 30,
		2025				2024
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss		$	(1,052,289	)		$	(3,970,781	)
Adjustments to reconcile net loss to net cash used in operating activities:
Depreciation and amortization			155,586				23,405
Amortization on right of use asset			17,463				16,296
Amortization of debt issuance costs			3,555				3,999
Amortization of discount - proceeds from sale of discontinued operations			-				(20,712	)
Accrued interest on convertible Notes			138,796				583,685
Accretion of discounts on marketable securities			(910,506	)			(1,876,074	)
Gain on sale of investment			-				(80,694	)
Gain on debt redemption			-				(137,356	)
Provision for credit losses			-				225,000
Stock-based compensation expense			2,672,104				4,873,593
Change in fair value of warrant liability			-				(563	)
Change in operating assets and liabilities:
Accounts receivable			(1,453,486	)			(1,198,651	)
Contract assets			(158,010	)			251,681
Prepaid expenses			(305,308	)			379,453
Lease liabilities			(17,463	)			(27,505	)
Deposits and other assets			801,552				1,098,673
Accounts payable			1,131,674				682,239
Accrued expenses			(416,272	)			(1,634,149	)
Deferred revenues			(443,413	)			(169,832	)
Other liabilities			(500,000	)			(488,791	)
Net cash used in operating activities			(336,017	)			(1,467,084	)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of marketable securities			(73,977,822	)			(133,894,613	)
Sale and maturity of marketable securities			81,816,000				131,417,076
Proceeds from sale of investment			-				80,694
Net cash from sale of discontinued operations			-				1,666,666
Net cash provided by (used) investing activities			7,838,178				(730,177	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Tax payments related to shares withheld for vested restricted stock units			(179,256	)			(113,637	)
Repurchase of common stock			(412,944	)			(74,400	)
Cash used to redeem convertible notes			(6,840,000	)			(950,000	)
Net cash used in financing activities			(7,432,200	)			(1,138,037	)
Net change in cash and cash equivalents			69,961				(3,335,298	)
Cash and cash equivalents, beginning of period			4,590,661				6,042,986
Cash and cash equivalents, end of period		$	4,660,622			$	2,707,688
Supplemental disclosure of cash flow information:
Cash paid (received) for taxes		$	182,678			$	(1,346,108	)

•

Depreciation and Amortization. Depreciation and amortization expense is a non-cash expense relating to capital expenditures and intangible assets arising from acquisitions that are expensed on a straight-line basis over the estimated useful life of the related assets. The Company excludes depreciation and amortization expense from Adjusted EBITDA because management believes that (i) the amount of such expenses in any specific period may not directly correlate to the underlying performance of the business operations and (ii) such expenses can vary significantly between periods as a result of new acquisitions and full amortization of previously acquired tangible and intangible assets. Accordingly, management believes that this exclusion assists management and investors in making period-to-period comparisons of operating performance. Investors should note that the use of tangible and intangible assets contributed to revenue in the periods presented and will contribute to future revenue generation and should also note that such expense will recur in future periods.

•

Stock-Based Compensation Expense. Stock-based compensation expense is a non-cash expense arising from the grant of stock-based awards to employees. Management believes that excluding the effect of stock-based compensation from Adjusted EBITDA assists management and investors in making period-to-period comparisons in the Company’s operating performance because (i) the amount of such expenses in any specific period may not directly correlate to the underlying performance of business operations and (ii) such expenses can vary significantly between periods as a result of the timing of grants of new stock-based awards, including grants in connection with acquisitions. Management believes that excluding stock-based compensation from Adjusted EBITDA assists management and investors in making meaningful comparisons between the Company’s operating performance and the operating performance of other companies that may use different forms of employee compensation or different valuation methodologies for their stock-based compensation. Investors should note that stock-based compensation is a key incentive offered to employees whose efforts contributed to the operating results in the periods presented and are expected to contribute to operating results in future periods. Investors should also note that such expenses will recur in the future.

•

Interest Expense. Interest expense is associated with the convertible notes entered into on September 1, 2021 in the amount of $24,000,000 (the “Notes”). The Notes were due on September 1, 2025, and accrue interest at an annual rate of 3.5%. Management excludes interest expense from Adjusted EBITDA (i) because it is not directly attributable to the performance of business operations and, accordingly, its exclusion assists management and investors in making period-to-period comparisons of operating performance and (ii) to assist management and investors in making comparisons to companies with different capital structures.

•

Interest and Investment Income. Interest and Investment income is associated with the level of marketable debt securities and other interest-bearing accounts in which the Company invests. Interest and investment income can vary over time due to changes in interest rates and level of investments. Management excludes interest and investment income from Adjusted EBITDA (i) because these items are not directly attributable to the performance of business operations and, accordingly, their exclusion assists management and investors in making period-to-period comparisons of operating performance and (ii) to assist management and investors in making comparisons to companies with different capital structures. Investors should note that interest and investment income will recur in future periods.

•

Other Items. The Company engages in other activities and transactions that can impact net loss. In the periods reported, these other items included (i) gain on sale of investment relating to the sale of a minority equity interest and (ii) gain on debt redemption which relates to a gain on the early retirement of a portion of the Notes. Management excludes these other items from Adjusted EBITDA because management believes these activities or transactions are not directly attributable to the performance of business operations and, accordingly, their exclusion assists management and investors in making period-to-period comparisons of operating performance. Investors should note that some of these other items may recur in future periods.

•

Litigation related expenses. Management excludes litigation expenses that are extraordinary in nature and are unrelated to the Company’s day-to-day business operations. The nature of these expenses is primarily related to direct and incremental third-party legal expenses and settlement expenses, net of any insurance recoveries, associated with such litigation, which pertains to entities acquired in the Helix merger.

•

Strategic review and acquisition related expenses. Management excludes certain professional expenses that are extraordinary in nature and are unrelated to the Company’s day-to-day business operations. The nature of these expenses is primarily related to an unsolicited offer to take the Company private, a strategic review of the Company’s operations and acquisition of Kyber.

•

Contract termination impacts. Management excludes certain expenses that are extraordinary in nature and are unrelated to the Company’s day-to-day business operations. The nature of these expenses is primarily related to the impact of an adjustment related to the cancellation of an inbound information contract. On September 23, 2024, the Company was informed by one of its information vendors that it was exercising the right to terminate the agreement with the Company effective September 25, 2024, based on restrictions imposed by the supplier’s upstream licensor. As a result, the Company recorded an adjustment of $542,389, to reduce cost of revenues, during the year ended December 31, 2024, representing previously recorded charges under the contract that will not be paid. On July 2, 2025, the Company entered into a Termination and Wind Down Agreement with the vendor providing for a reduction of fees for the period through the termination date $175,000. As a result, the Company recorded an adjustment of $175,000 included in cost of revenues during the three months ended June 30, 2025, representing previously recorded charges under the contract that will not be paid.

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Income tax (benefit) expense. Management excludes the income tax (benefit) expense from Adjusted EBITDA (i) because management believes that the income tax (benefit) expense is not directly attributable to the underlying performance of business operations and, accordingly, its exclusion assists management and investors in making period-to-period comparisons of operating performance and (ii) to assist management and investors in making comparisons to companies with different tax attributes.

		For the Three Months Ended September 30,								For the Nine Months Ended September 30,
		2025				2024				2025				2024
Revenue		$	7,762,183			$	4,686,312			$	22,294,439			$	14,340,791
Net loss			(151,220	)			(204,907	)			(1,052,289	)			(3,970,781	)
Depreciation and amortization			52,135				6,629				155,586				23,405
Stock based compensation expense			717,816				1,552,042				2,672,104				4,873,593
Change in fair value of warrant liability			-				(20	)			-				(563	)
Interest and investment income			(336,002	)			(658,339	)			(1,012,818	)			(1,951,812	)
Interest expense			35,984				195,415				142,351				587,684
Gain on sale of investment			-				(32,082	)			-				(80,694	)
Gain on debt redemption			-				-				-				(137,356	)
Litigation related expenses			-				1,394				-				1,152,670
Strategic review and transaction related expenses			170,579				(35,931	)			176,724				399,913
Contract termination impacts			-				(542,389	)			(175,000	)			(542,389	)
Income tax (benefit) expense			(18,647	)			(95,896	)			104,282				14,865
Adjusted EBITDA		$	470,645			$	185,916			$	1,010,940			$	368,535