I thought Teladoc stock might be a buy. I was wrong -- and capitalized software costs are the reason why. Teladoc Health (TDOC -5.25%) stock, the telemedicine specialist that made the controversial decision to spend $18.5 billion on diabetes care company Livongo in 2020, reported more bad news last night, sending shares down 8.7% through 10 a.m. ET. Analysts following Teladoc forecast the company would report quarterly losses of $0.35 per share on sales of $649.6 million. As it turned out, the news was even ...

Membership and Enrollment - U.S. Integrated Care members increased by 6.5 million, or 8%, to 92.4 million at June 30, 2024, compared to the same period in 2023[111] - Chronic care program enrollment increased by 9% to 1.173 million at June 30, 2024, compared to 1.073 million at June 30, 2023[111] - The company believes that increasing membership is integral for innovation and revenue growth[110] Financial Performance - Total revenue for Q2 2024 was $642.4 million, a decrease of $10.0 million or 2% compared to Q2 2023's $652.4 million[129] - For the six months ended June 30, 2024, total revenue was $1,288.6 million, a 1% increase from $1,281.7 million in the same period of 2023[131] - Net loss for Q2 2024 was $837.7 million, compared to a net loss of $65.2 million in Q2 2023, representing a significant increase of $772.5 million[129] - Adjusted EBITDA for Q2 2024 was $89.5 million, an increase of $17.3 million or 24% from $72.2 million in Q2 2023[130] - Adjusted EBITDA for Integrated Care increased by $26.1 million, or 69%, to $64.0 million for the three months ended June 30, 2024, reflecting higher gross profit and lower operating expenses[144] Revenue Breakdown - Access fees accounted for $559.6 million in Q2 2024, down $16.0 million or 3% from $575.7 million in Q2 2023[130] - Other revenue increased to $82.8 million in Q2 2024, up $6.1 million or 8% from $76.7 million in Q2 2023[130] - International revenue increased by 12% to $101.6 million in Q2 2024, while U.S. revenue decreased by 4% to $540.8 million[130] - BetterHelp total revenues decreased by $27.3 million, or 9%, to $265.0 million for the three months ended June 30, 2024, primarily due to a 14% decrease in average monthly paying users[145] Expenses and Costs - Total costs and expenses for Q2 2024 were $1,483.6 million, a 105% increase from $724.1 million in Q2 2023[129] - Advertising and marketing expenses decreased to $170.3 million in Q2 2024, down $8.5 million or 5% from $178.8 million in Q2 2023[132] - Technology and development expenses decreased by $10.6 million, or 12%, to $76.8 million for the three months ended June 30, 2024, driven by lower employee compensation costs[134] - General and administrative expenses decreased by $16.3 million, or 13%, to $109.6 million for the three months ended June 30, 2024, mainly due to lower employee compensation and therapist onboarding costs[135] Goodwill and Impairment - A goodwill impairment charge of $790 million was recorded for the three and six months ended June 30, 2024, equating to $4.64 per share for the three months[119] - The discount rate used in the goodwill impairment testing increased to 15%, reflecting higher interest rates[120] - Goodwill impairment for Q2 2024 was recorded at $790.0 million, compared to $0 in Q2 2023[129] - A non-cash goodwill impairment charge of $790.0 million was recorded for the three and six months ended June 30, 2024[136] Cash Flow and Liquidity - Net cash provided by operating activities for the six months ended June 30, 2024, was $97.6 million, a decrease of 14.6% from $114.3 million in the same period of 2023[150] - Cash used in investing activities was $63.3 million for the six months ended June 30, 2024, compared to $82.2 million for the same period in 2023, reflecting a decrease of 22.9%[152] - Free cash flow increased to $34.3 million for the six months ended June 30, 2024, up from $32.1 million in the same period of 2023, representing a year-over-year growth of 6.8%[154] - Total cash and cash equivalents amounted to $1,162.4 million as of June 30, 2024, indicating a strong liquidity position[147] - A 1% change in interest rates could result in a change of approximately $12 million in interest income generated from cash and cash equivalents over the next 12 months[155] Future Outlook and Financing - The company anticipates continuing positive operating cash flow results for 2024, driven by growth in the business[148] - Cash provided by financing activities was $5.6 million for the six months ended June 30, 2024, down from $7.6 million in the same period of 2023, reflecting lower proceeds from the employee stock purchase plan[153] - The company may seek additional equity or debt financing in the future to fund working capital, capital expenditures, and acquisitions[148] - The company was in compliance with all debt covenants as of June 30, 2024, ensuring financial stability[149] Seasonality and Trends - The business has historically experienced seasonality, with the highest revenue typically in the first and fourth quarters[114] - Non-GAAP financial measures, including Adjusted EBITDA and free cash flow, are used to enhance understanding of financial performance[122] - Adjusted EBITDA does not reflect significant non-cash stock-based compensation expenses, which should be viewed as recurring operating costs[124] - Interest income increased to $13.6 million for the three months ended June 30, 2024, compared to $11.6 million for the same period in 2023, driven by higher interest rate yields[140] - Amortization of intangible assets increased by $22.4 million, or 31%, to $94.9 million for the three months ended June 30, 2024, due to accelerated amortization associated with the Livongo trademark[139] - Restructuring costs for the three months ended June 30, 2024, were $1.5 million, compared to $7.5 million for the same period in 2023[137] - Revenue from the five largest customers accounted for 31% of total Integrated Care segment revenue for the six months ended June 30, 2024, indicating a concentration risk[156]

Teladoc Health, Inc. (NYSE:TDOC) Q2 2024 Earnings Conference Call July 31, 2024 4:30 PM ET Company Participants Chuck Divita - Chief Executive Officer Mala Murthy - Chief Financial Officer Michael Minchak - Head of Investor Relations Conference Call Participants Lisa Gill - J.P. Morgan Stephanie Davis - Barclays Jess Tassan - Piper Sandler Jailendra Singh - Truist Securities Richard Close - Cannacord Genuity Elizabeth Anderson - Evercore ISI Sarah James - Cantor Fitzgerald Sean Dodge - RBC Capital Markets ...

For the quarter ended June 2024, Teladoc (TDOC) reported revenue of $642.44 million, down 1.5% over the same period last year. EPS came in at -$0.28, compared to -$0.40 in the year-ago quarter. The reported revenue represents a surprise of -1.06% over the Zacks Consensus Estimate of $649.34 million. With the consensus EPS estimate being -$0.36, the EPS surprise was +22.22%. While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street ...

2Q-24 Quarterly Results Cautionary Note • This presentation contains, and the officers of Teladoc Health, Inc. (the "Company" or "Teladoc Health") may make, "forward-looking" statements that are based on management's beliefs and assumptions and on information currently available to management. These forward-looking statements include, without limitation, information concerning possible or assumed future results of operations, including descriptions of the Company's business plan and strategies. These statem ...

Exhibit 99.1 Teladoc Health Reports Second Quarter 2024 Results PURCHASE, NY, July 31, 2024—Teladoc Health, Inc. (NYSE: TDOC), the global leader in whole-person virtual care, today reported financial results for the three months ended June 30, 2024 ("Second Quarter 2024"). Unless otherwise noted, percentage and other changes are relative to the three months ended June 30, 2023 ("Second Quarter 2023"). Financial and Operational Highlights for Second Quarter 2024 • Second Quarter 2024 revenue of $642.4 millio ...

Teladoc Health, Inc. (TDOC) is set to report its second-quarter 2024 results on Jul 31, after the closing bell. The Zacks Consensus Estimate for second-quarter earnings is currently pegged at a loss of 35 cents per share, implying an improvement of 12.5% from the year-ago reported number. The estimate remained stable over the past week. The Zacks Consensus Estimate for second-quarter revenues is currently pegged at $649.6 million, suggesting a 0.4% fall from the year-ago actuals. TDOC beat the consensus est ...

The consensus EPS estimate for the quarter has remained unchanged over the last 30 days. This reflects how the analysts covering the stock have collectively reevaluated their initial estimates during this timeframe. While investors typically use consensus earnings and revenue estimates as indicators of quarterly business performance, exploring analysts' projections for specific key metrics can offer valuable insights. Analysts predict that the 'Revenues by Segment- BetterHelp' will reach $273.85 million. Th ...

Teladoc Health Today | --- | --- | |---------------------|-------| | | | | | | | TDOC Teladoc Health | | | $9.30 | | | +0.11 (+1.20%) | | | | | | 52-Week Range $8.73 | | | ▼ | | | $30.41 | | | Price Target $17.97 | | | | | Add to Watchlist Virtual healthcare provider Teladoc Health Inc. NYSE: TDOC stock is trading down 57.8% year-to-date (YTD). The collapse occurred after reporting Q4 2023 earnings, which were further accelerated by its Q1 2024 earnings miss and lowered guidance. This once promising telehea ...

The latest trading session saw Teladoc (TDOC) ending at $9.30, denoting a +1.2% adjustment from its last day's close. The stock outperformed the S&P 500, which registered a daily loss of 0.16%. At the same time, the Dow lost 0.14%, and the tech-heavy Nasdaq lost 0.06%. For the annual period, the Zacks Consensus Estimates anticipate earnings of -$1.05 per share and a revenue of $2.65 billion, signifying shifts of +21.64% and +1.8%, respectively, from the last year. The Zacks Rank system, running from #1 (Str ...