Company: HCTI
Filing Date: 2025-03-31
Form Type: 10-K
Source: 0001213900-25-026218
Chunk: 497

Company: Healthcare Triangle, Inc.
Filing Date: 2025-03-31
Form: 10-K
Item: Item 3
Chunk 497
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     (82)%
  
    Revenue 
    $11,696  
    $33,203  
    $(21,507) 
     (65)%

We manage our business under three operating segments,
which are Software Services, Managed Services and Support and Platform Services.

43

Revenue from Software Services decreased by $16.4
million, or 78% to $4.7 million for the twelve months ended December 31, 2024, as compared to $21.1 million for the twelve months ended
December 31, 2023. Revenue from Managed Services and Support decreased by $3.7 million, or 36% to $6.7 million for the twelve months ended
December 31, 2024, as compared to $10.5 million for the twelve months ended December 31, 2023. Revenue from Platform Services decreased
by $1.3 million, or 82% to $0.3 million for the twelve months ended December 31, 2024, as compared to $1.6 million for the twelve months
ended December 31, 2023.

Factors affecting revenues of Software Services, Managed Services
and Support and Platform Services

Our strategy is to achieve meaningful long-term
revenue growth through sales of Managed Services and Support and Platform Services to existing and new clients within our target market.
In order to increase our cross-selling opportunity between our operating segments and realize long time revenue growth, our focus has
shifted more towards Managed Services and Support and Platform Services which is of recurring nature when compared to Software Services
segment which is of non-recurring nature. This also helps in retaining existing customers by leveraging our Managed Services and Support
and Platform Services as a growth agent. This renewed focus on driving demand for subscription and platform-based model will help us in
expanding our customer base and enhance customer retention which is a challenge for our existing Software Services segment. Software Services
contracts are driven by Time and Material and on-site employees delivering services at customers location.

Our CloudEz, DataEz and Readabl.ai platforms are
getting more traction, and this will lead to increase in revenue from platform services. We have made additional investments in Sales
& Marketing and Research & Development to grow Managed Services & Support and Platform Services revenue. We expect this trend
to continue and have a net positive impact on overall results of operations.

Cost of Revenue

    Twelve Months Ended  

    December 31,  

    (