• Embedded Health Solutions (EHS) experienced encouraging growth, with facilities under contract now approaching 600 and over 55,000 aged-care beds
• Cash receipts of $1.92m; net operating cash outflow of $(0.26m), including $0.14m of one-off costs related to ATO R&D matter
• Engaged a specialist firm to scope and price completion of the 1-System platform integration for EHS and HMR Referrals, expected to recommence in Q3 FY26

Careteq Limited (ASX: CTQ), a clinical healthtech company specialising in innovative medication management and clinical governance solutions, has provided an update on its Q1 FY26 activities and Appendix 4C. Key highlights include:- Embedded Health Solutions (EHS) delivered another quarter of growth, with facilities under contract now approaching 600 and in excess of 55,000 aged-care beds, an increase of ~3% for the quarter. The sales pipeline of new facilities remains encouraging, with a number of opportunities deep into the process.- The company continues to demonstrate strong operational discipline, with cash receipts of $1.92m and a net operating cash outflow of $(0.26m), including $0.14m of one-off costs associated with the ATO R&D matter that is currently going through an objection process.- To try and fast track the delivery of the 1-System platform for EHS and HMR Referrals, the company has engaged a specialist firm to scope and price the remaining work, with the project expected to recommence in Q3 FY26 and be completed by year end. This step follows previously disclosed program delays and retains the scope and benefits of a single operating platform, which facilitates the decommissioning of legacy systems and the capture of structural cost efficiencies once complete.The company remains committed to continue its pursuit of achieving a sustainable positive cash flow and profitability, supported by its streamlined operations, enhanced service offerings, and disciplined financial management.

The company is dedicated to improving healthcare outcomes through its fully owned Embedded Health Solutions (EHS) and HMR Referrals platforms. The Board will keep shareholders and the market informed as appropriate.