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The market just got a glimpse under the hood of the wearable health diagnostics company Oura, gearing up for an initial public offering as soon as this month. The Wall Street Journal reports the company could seek a valuation of over $11 billion, based on private funding rounds last year. In the company's recently released registration statement, Oura boasted a rarity among IPOs these days: fast and profitable growth.
For the nine months ending June 30, Oura posted slightly over $1.2 billion of total revenue, up 74% from the same period ending June 30 of 2025. Net income grew from roughly $1.5 million to nearly $60.8 million. The IPO filing shows Oura is much more than just a wearables company.
It sells the self-proclaimed 'world's smallest smart ring,' delivering over 50 metrics and predictive insights into an individual's health. In the third fiscal quarter, paid members wore the ring for a median of 23 hours per day. The physical ring sells for $349 to $499, and members pay a $5.99 monthly subscription fee.
In the nine months ending June 30, Oura sold 3.1 million rings and had 5 million paying members. The company has compiled 42 billion hours of biometric data, leveraging artificial intelligence to transform this data into predictive insights for sleep, activity, stress, heart health, metabolic health, and women's health. Oura's platform also allows partners to connect via its API-first architecture.
While hardware revenue still accounted for 80% of total revenue, membership revenue soared 122% year over year, generating a 89% gross margin. Oura's registration statement states its opportunities extend beyond wearables, including nutritional insights, fertility insights, blood testing, and therapy monitoring. These markets collectively have a serviceable addressable market exceeding $90 billion in 2026.
Investors should note that not all outstanding shares are issued in an IPO, and many employees and insiders are subject to lock-up agreements.
Source: The Motley Fool
