KindlyMD, Inc. (NASDAQ: NAKA) has authorized a $10 million share repurchase program, giving its board the flexibility to buy back common stock through open‑market purchases, private negotiations, block trades, or other permissible methods. The program is not a commitment to repurchase a specific number of shares and may be modified, suspended or terminated at the board’s discretion.
The decision comes after the company reported a $86.0 million net loss for Q3 2025, driven largely by a $59.8 million loss on the merger with Nakamoto Holdings and a $22.1 million unrealized loss on digital assets. Revenue fell 40.1% year‑over‑year to $1.2 billion, and the company’s current ratio dropped to 0.13, underscoring a liquidity strain that has prompted a Nasdaq delisting warning for trading below $1 for 30 consecutive business days.
Strategically, KindlyMD is pursuing a dual focus: building an institutional‑grade Bitcoin treasury and expanding its healthcare services. The share buyback is intended to signal confidence in the company’s long‑term value while preserving capital flexibility to fund Bitcoin purchases and ongoing operations. The $10 million program is modest relative to the $540 million PIPE and $200 million convertible note that were recently raised to support the Bitcoin strategy.
David Bailey, Chairman and CEO, said the program “reflects our confidence in the long‑term value of the Company and adds an important degree of flexibility to our capital allocation framework. As shareholders ourselves, we remain focused on deploying capital with discipline and intention, balancing continued investment in our strategic priorities with actions we believe will drive durable value for all shareholders.”
While the share repurchase program is a positive signal, it is being announced amid significant headwinds. The company’s sharp revenue decline, substantial net loss, high debt load, and Nasdaq compliance risk highlight the fragility of its current financial position. The program’s modest size suggests that management is prioritizing liquidity preservation over aggressive shareholder returns, and investors will likely view the buyback as a cautious step rather than a robust confidence boost.
The program’s impact on capital structure will be limited; the $10 million buyback represents a small fraction of the company’s total equity and debt. However, it may provide a modest boost to earnings per share and help mitigate dilution from the recent PIPE financing. In the longer term, the company’s ability to sustain its Bitcoin treasury strategy and return to profitability will depend on controlling operating expenses, improving revenue mix, and resolving its liquidity constraints.
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