MedPal AI’s first AIM interim results show a business that has moved very quickly from being a pre-revenue health app story into something much more tangible – a live pharmacy, clinic and software platform with real sales coming through. That is the big headline here. The company has gone from £nil revenue in the comparable period to £1,603,943 in just six months.
The flip side is just as important. This growth has been expensive, cash has been tight, and shareholders have already had to fund the ramp-up through multiple equity raises. So these results are promising, but they are not comfortable. MedPal is scaling fast, and investors need to decide whether that pace justifies the risk.
MedPal AI interim results key numbers retail investors should focus on
| Metric | H1 2026 | H1 2025 |
|---|---|---|
| Revenue | £1,603,943 | £nil |
| Gross profit | £368,550 | £nil |
| Loss for the period | £3,274,130 | £175,576 |
| Administrative costs | £3,360,434 | £175,576 |
| Cash at period end | £4,189 | Not disclosed for H1 2025 |
| Operating cash outflow | £3,705,819 | £208,481 |
| Annualised pharmacy revenue run rate by March 2026 | Over £5 million | Not applicable |
| Items dispensed in March 2026 | 41,000+ | Not applicable |
How MedPal AI turned its app into a real healthcare business
The company was admitted to AIM in August 2025 as a digital health business built around the MedPal app. That app aggregates data from more than 100 wearables and health apps into one user profile. Since then, management has pushed hard to add revenue-producing healthcare assets around it.
The most important move was the acquisition of Universal Pharmacy, announced on 1 October 2025, for a total cost of approximately £70,646 including transaction costs. That gave MedPal an NHS contractor registration, a Distance Selling Pharmacy licence – basically permission to dispense prescriptions remotely – and a dispensing site in Swaffham.
MedPal also launched MedPal.clinic, its private GLP-1 weight-loss clinic. GLP-1 medicines are the weight-loss and diabetes treatments that have become one of the hottest areas in healthcare. During the period, the company secured direct supply agreements with Novo Nordisk for Wegovy and Eli Lilly for Mounjaro, which matters because access to product is a big part of competing in this market.
On top of that, the Care UK B2B contract is now live. The company says it is supplying medicines into Care UK’s portfolio of more than 200 care homes, while also saying its care home supply business serves more than 100 care homes nationally. Either way, the point is clear – this is not just an app trying to monetise clicks. It is becoming an operating healthcare business.
Why MedPal AI first revenues matter – and why the margin trend matters even more
The £1.6 million revenue figure is significant because it proves MedPal can monetise. For a newly listed company that was pre-revenue at admission, that is a genuine milestone. It also gives investors something more concrete to analyse than product demos and strategy slides.
Even more interesting is the gross margin trend. Gross profit for the half was £368,550, but management says monthly gross margin improved through the period and exceeded 34% by March 2026. That suggests the early months were weighed down by start-up inefficiencies and that the pharmacy model may look more attractive at scale.
That said, investors should not ignore the size of the loss. The company reported a loss after tax of £3,274,130, driven by deliberate investment in staffing, marketing, technology and corporate infrastructure. Staff costs alone were £1,547,593 and advertising and marketing was £1,070,433. This is a business spending ahead of revenue, which can work brilliantly if volumes keep rising, but it can unravel quickly if growth slows.
MedPal AI cash burn, funding pressure and shareholder dilution are the main negatives
The biggest red flag in these results is cash. MedPal ended the period with just £4,189 of cash and cash equivalents. That is razor thin, and it explains why the company has been back in the market for more money.
During the six months, MedPal raised gross proceeds of £2.53 million through new equity. After the period end, it raised a further £527,000 on 20 March 2026, £405,160 through a subscription and retail offer on 25 March 2026, and £3.0 million on 17 April 2026. In plain English, this growth plan needed fresh capital fast.
That is not necessarily a disaster for a young growth company, but it does come with dilution. The issued share capital was 455,154,640 shares at 28 February 2026, and after the April fee shares it rose to 616,041,036 shares. Existing investors have funded the build-out, and they may have to do so again if working capital remains tight.
There is another wrinkle worth noting. The notes say £1.4 million of revenue in the period was attributable to an arrangement linked to the Runcorn site, where Jason Drummond held amounts received as bare trustee before the assets were formally acquired by MedPal post period end. The company says no commercial benefit accrued to him, but retail investors should still clock this because related party arrangements always deserve extra attention.
Runcorn acquisition could change the scale of the business if execution is solid
The post-period acquisition of the Remedi pharmacy assets in Runcorn for £310,000 could be a very important step. It gives MedPal a second General Pharmaceutical Council-registered dispensing hub, robotic infrastructure and a presence in the Midlands and North of England.
Management says historical NHS PharmData for the Runcorn site showed 994,366 prescription items dispensed in calendar year 2024, equivalent to annualised turnover of around £9.94 million at current NHS average item values. That is not MedPal’s revenue yet, but it gives a sense of the site’s previous capacity.
The company forecasts pharmacy-level EBITDA breakeven at a combined run rate of 80,000 items per month, expected in Q4 2026. EBITDA means earnings before interest, tax, depreciation and amortisation – a common measure of underlying operating performance. That target sounds achievable on paper, especially as Runcorn alone reportedly dispensed above that threshold throughout 2024 under previous ownership, but it is still a forecast, not a fact.
What these MedPal AI interim results mean for investors now
My read is that these results are clearly positive on strategy and traction, but still risky on finance. MedPal has done more than many tiny AIM companies manage in a comparable timeframe. It has bought useful assets cheaply, started generating revenue, built dispensing volumes fast and created a more credible commercial story around the app.
But the market should not kid itself here. This is no longer just an AI healthcare software play. It is becoming a regulated pharmacy and clinic operator, which brings more real-world revenue but also more working capital needs, more operational risk and more regulatory responsibility.
If management delivers on volume growth, margins above 34% and the Q4 2026 EBITDA breakeven target, these interim results could end up looking like the moment the business turned the corner. If growth slips, investors will focus on the cash burn, repeated fundraises and enlarged share count. So the opportunity is real, but the execution burden is heavy.
For now, the verdict is encouraging but speculative. MedPal AI has proved it can generate revenue. The next job is proving it can do so without constantly leaning on shareholders for more cash.
