Reported Earnings • Jul 26
Full year 2026 earnings: EPS misses analyst expectations Full year 2026 results: US$3.48 loss per share. Net loss: US$9.14m (loss widened 4.3% from FY 2025). Revenue was in line with analyst estimates. Earnings per share (EPS) missed analyst estimates by 1.2%. Revenue is forecast to grow 119% p.a. on average during the next 2 years, compared to a 7.7% growth forecast for the Medical Equipment industry in the US. New Risk • Jun 24
New major risk - Share price stability The company's share price has been highly volatile over the past 3 months. It is more volatile than 90% of American stocks, typically moving 19% a week. This is considered a major risk. Share price volatility increases the risk of potential losses in the short-term as the stock tends to have larger drops in price more frequently than other stocks. It may also indicate the stock is highly sensitive to market conditions or economic conditions rather than being sensitive to its own business performance, which may also be inconsistent. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-US$7.4m free cash flow). Share price has been highly volatile over the past 3 months (19% average weekly change). Earnings are forecast to decline by an average of 11% per year for the foreseeable future. Shareholders have been substantially diluted in the past year (195% increase in shares outstanding). Revenue is less than US$1m (US$8.7k revenue). Market cap is less than US$10m (US$8.76m market cap). Minor Risk Currently unprofitable and not forecast to become profitable over next 2 years (US$11m net loss in 2 years). Announcement • Jun 23
Fortitude Mining Holdings, Inc. entered into a definitive merger agreement to acquire HeartSciences Inc. (NasdaqCM:HSCS) in a reverse merger transaction. Fortitude Mining Holdings, Inc. entered into a definitive merger agreement to acquire HeartSciences Inc. (NasdaqCM:HSCS) in a reverse merger transaction on June 23, 2026. The consideration consists of common equity of Fortitude Mining Holdings, Inc. to be issued for common equity of HeartSciences Inc. Existing Fortitude sole stockholder is expected to own approximately 95% of the combined company at closing (on a fully diluted basis) Upon closing, the combined company will operate under the Fortitude brand and under the leadership of Fortitude’s management team—led by Fortitude CEO Andrea Childs—and is expected to trade on the Nasdaq Capital Market under the ticker symbol “TUDE”, subject to Nasdaq approval. Current HeartSciences CEO Andrew Simpson is expected to continue to lead the healthcare business unit after closing. In case of termination of transaction, Fortitude Mining Holdings, Inc. will pay a termination fee of $6 million and HeartSciences Inc will pay a termination fee of $2.50 million.
The transaction subject to customary closing conditions, including approval by the shareholders of HeartSciences and Fortitude Mining Holdings, Inc, the expiration or termination of any applicable waiting period under the HSR Act, conversion of preferred stock, registration statement effectiveness(S-4 / F-4) and listing / approval of new shares on stock exchange. The deal has been unanimously approved by the board of directors of Fortitude Mining Holdings, Inc. and HeartSciences Inc. The transaction is expected to close in the second half of 2026.
Canaccord Genuity LLC acted as financial advisor to Fortitude Mining Holdings, Inc. Ducera Partners LLC acted as financial advisor to Fortitude Mining Holdings, Inc. Jackie Cohen, Tyler Silvey, Christopher Capuzzi, Elise Corey, Scott Pinarchick, Michael Mendel, Renata Ferrari, Jennifer Romig, Jordan Altman and Josh Oyster of Ropes & Gray LLP acted as legal advisor to Fortitude Mining Holdings, Inc. Sasha Ablovatskiy and Jonathan Shechter of Foley Shechter LLP acted as legal advisor to HeartSciences Inc. Houlihan Capital, LLC acted as financial advisor and fairness opinion provider to HeartSciences Inc. 
