Parts of the plan have already been implemented, with additional reductions going into effect October 1, 2026. The primary savings in the plan come from staff reductions, vendor relationship changes, negotiated contract savings, and more. The Company expects the full measure of cuts to take place in the fourth quarter of 2026.

In addition to the announced expense reductions, management has also pursued a number of revenue growth initiatives that are beginning to deliver meaningful financial returns. Consistent with the Company’s previously announced growth, referrals into the Company’s Las Vegas Sleep and Airway Medicine Centers continued to rise approximately 3-fold from the first of June through September 27. Revenue from the recent surge in referrals is expected to begin showing up in the fourth quarter and into 2027.

Additional revenue is expected from the Company’s EEG diagnostic testing and treatment initiative, which has also grown from near zero in May to a projected annualized run rate of between $1.5 and $3.0 million in the fourth quarter. The Company is also executing on a Remote Patient Monitoring (RPM) program that is expected to add to top line revenue at an annualized rate of up to $3.5 million by the first quarter of 2027.

Vivos management is also actively engaged in renegotiating legacy payer contracts to bring them up to market rates. The expected range of revenue impact is between $2.4 million and $5.6 million, with very little associated costs. The full realization of these fee increase are expected in early 2027 and throughout the next six to nine months.

When all of these operational expense reductions and revenue growth initiatives are factored in, Vivos management believes the Company will be on track to meet its stated objective of being cash flow positive by late 2026 or early 2027 and profitable in 2027.