Firefly Neuroscience, Inc. (NASDAQ: AIFF)

Firefly Neuroscience Inc is an artificial intelligence company that advances precision neuroscience by applying AI and large scale electrophysiological data to give clinicians a more complete objective picture of how an individual patient s brain is functioning. The company has built the Firefly Platform a vertically integrated hardware software and data infrastructure that captures standardized electroencephalographic EEG and event related potential ERP assessments at the point of care analyzes that data through a proprietary analytics engine and delivers structured clinician ready reports back to the provider within a single seamless workflow. Every scan expands and enriches the proprietary database and every clinic that joins the network increases the depth and diversity of the data creating a compounding relationship described as the Firefly Flywheel. The FDA 510k cleared Evoke System is commercially deployed as the Evoke System and is in active use across more than 85 clinical sites in the United States as of December 31 2025. Clinicians use the system to perform EEG and ERP assessments which are analyzed by the cloud based platform and returned as structured reports designed to support clinical decision making.

Firefly generates revenue through a subscription based commercial model that provides clinics access to the Evoke System a defined volume of assessments per month and access to the analytics and reporting platform. Assessments performed beyond the monthly allotment are billed at a per scan overage rate ensuring that revenue scales proportionally with clinical utilization. Multiple subscription tiers are available to match the varied utilization profiles of clinical customers ranging from individual practitioners conducting a modest number of monthly assessments to larger multi provider clinics or health systems with significantly higher throughput. As a clinic s utilization grows the subscription structure encourages migration to higher tiers providing natural revenue expansion within the existing customer base. The recurring revenue stream is directly tied to the number of assessments performed creating a lockstep relationship between clinical usage and financial performance.

Firefly occupies a distinctive niche in the brain health diagnostics market by combining FDA cleared hardware with a growing proprietary electrophysiological dataset and AI driven analytics. While traditional EEG hardware manufacturers digital health companies offering neurology focused software and academic medical centers with research grade electrophysiological capabilities compete in the space Firefly believes its data advantage is the most significant long term determinant of success. The company s database now exceeds 191 000 standardized EEG and ERP assessment records from more than 100 000 patients covering over 12 neuropsychiatric disorders and includes healthy individuals ranging from age 12 to 85. This expanding repository enables more precise reference populations and supports the identification of electrophysiological subtypes that may predict treatment response a capability that structural imaging modalities such as MRI or CT cannot provide. Competitors include established device firms such as Natus Medical and Philips Healthcare as well as emerging AI analytics providers but Firefly differentiates itself through the closed loop flywheel where each clinical assessment simultaneously generates revenue and enriches the data asset. The Evoke System s accessibility in standard clinical environments at a lower cost per assessment than most structural imaging studies further strengthens its position relative to high capital equipment such as MRI scanners. Intellectual property protection includes 23 issued U S patents with expiration dates ranging from November 2028 to November 2037 a trademark for BNA and trade secrets covering data processing algorithms which together create barriers to entry. A growing body of more than 20 peer reviewed publications in indexed journals validates the clinical utility of the platform and supports adoption by clinicians.

Firefly serves a diverse set of customers that includes psychiatric practices neurology offices behavioral health clinics hospitals and individual practitioners who seek objective electrophysiological data to complement standard cognitive and mood assessments. The company reports commercial deployment of the Evoke System across more than 85 clinical sites in the United States as of the latest reporting date. In addition to clinical subscribers Firefly collaborates with pharmaceutical companies such as Novartis for neuropharmacology biomarker research and with academic institutions including the Institute of Human Genetics at Heidelberg University Hospital and the Pacific Neuroscience Institute Brain Center. These partnerships provide access to the EEG and ERP analytics as objective central nervous system biomarkers in drug development programs and contribute high quality protocol driven records to the proprietary database. While specific patient names are not disclosed the customer base broadly consists of health care providers treating conditions such as depression anxiety ADHD PTSD mild cognitive impairment dementia Parkinson s disease bipolar disorder schizophrenia schizoaffective disorder autism spectrum disorder and traumatic brain injury. The mix of clinical users research collaborators and pharmaceutical partners creates a network that drives both revenue growth and data expansion reinforcing the Firefly flywheel effect.