While many digital health companies have stepped back from IPO ambitions, Hinge Health is pressing ahead. The San Francisco-based startup, known for its virtual physical therapy platform, filed confidential paperwork in March. It now plans to debut on the New York Stock Exchange under the ticker “HNGE.”
This bold move comes at a time when others, including Klarna and StubHub, have delayed their IPOs. But Hinge’s co-founder and CEO, Daniel Perez, is leaning into the challenge. Resilience has always been at the core of Hinge’s culture. Years ago, the team even embraced a cheeky internal award—the “Cockroach Award”—celebrating the company’s scrappy survival instinct.
Perez once decorated their London office with a giant image of a cockroach named Flossy. Employees wore shirts with “cockroach squad” printed on them. It wasn’t about glamor—it was about grit. That mindset helped carry the company through market crashes and tough funding cycles.
From Cockroach Culture to Wall Street Vision
Now backed by over $1 billion in funding, Hinge Health operates with a 1,400-person team and serves more than 2,200 organizations. These include employers like Target and Morgan Stanley, which offer Hinge’s therapy tools and its Enso wearable device to their teams. Over 532,000 individuals now use the platform.
In 2023, Hinge brought in $390.4 million in revenue—a 33% jump from the previous year. More impressively, it slashed its net loss from $108.1 million to just $11.9 million. That kind of financial discipline is rare in a sector where growth often comes at the expense of profitability.
Compare that with Teladoc, a former giant whose $37 billion Livongo acquisition backfired. Many digital health firms have struggled since the pandemic wave passed. But Hinge seems to be bucking that trend by sticking to its mission: helping people recover from pain, safely and sustainably.
The journey began in the U.K. in 2014 when Perez and co-founder Gabriel Mecklenburg, both recovering from serious injuries, decided to reimagine physical therapy. The first prototype took shape within months, and their weekly meetings—once on weekends—still happen every Wednesday.
Inside the company, Perez is known for high standards. Instead of slide decks, he insists on written memos, inspired by Amazon’s culture. Team meetings often begin with detailed briefs that force clarity of thought. He also shares books like Crossing the Chasm or The Innovator’s Prescription instead of swag, fostering a culture of deep thinking.
“He’s one of the rare founders who can actually take a company all the way,” said Paul Kruszewski, who joined through Hinge’s acquisition of Wrnch.
Even Hinge’s toughest critics acknowledge the company’s persistence. Its early investors, including Atomico and Insight Partners, saw the massive potential in an underpenetrated market. Atomico’s Carolina Brochado described it as a rare opportunity that required grit to unlock.
Perez’s twin brother, a law firm partner, jokes about being “the second most successful twin.” But there’s no denying which brother is at the center of one of health tech’s most closely watched IPOs.
For Hinge, success was never about hype. It was always about surviving—and now, thriving. The real test? Seeing if Wall Street values resilience as much as results.
