UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended September 30, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from _________ to _________ Commission file number: 001-39785 LIFEMD, INC. (Exact name of registrant as specified in its charter) | Delaware | 76-0238453 | | --- | --- | ...

LifeMD: Q2 2022 Supplemental Investor Highlights Presentation Highlights Liquidity: We ended Q2 with $12 million in cash. For the firsttime ever, we reduced our consolidated burn rate in June to below $1M. We are on track to achieve Consolidated Adjusted EBITDA profitability by Q4 and on track to divest WorkSimpli by Q4. Virtual Primary Care: Our recently launched virtual primary care (VPC) platform saw a 1,500% increase in subscriber count during Q2. As of August 10th, we have more than 1,200 VPC subscribe ...

Financial Data and Key Metrics Changes - Revenue for Q2 2022 totaled a record $30.5 million, up 37% compared to the same quarter a year ago [17] - Telehealth net revenues grew by 41% to $22.3 million, while WorkSimpli net revenues grew by 26% to $8.2 million [18] - Gross margins reached record levels at 85%, up 300 basis points year-over-year, with telehealth-only gross margin reaching 80% for the first time [20] - Net loss attributable to common stockholders for Q2 totaled $13.8 million, or a loss of $0.45 per share, compared to a net loss of $16.8 million, or $0.64 per share, in Q2 2021 [21] Business Line Data and Key Metrics Changes - The active subscriber base for telehealth increased by 53% year-over-year, ending the quarter with over 168,000 active subscribers [19] - 93% of total revenues in Q2 were generated by recurring subscriptions [17] - 38% of new patient order volumes came from non-erectile dysfunction treatments, up from 22% during the same period last year [12] Market Data and Key Metrics Changes - The company is experiencing strong traction with its virtual primary care (VPC) platform, with a 1500% growth in patient count versus the prior quarter, currently having over 1,200 active patients [11] - Retention rates for the VPC platform are strong, with early attrition rates in the low single-digit percentages [11] Company Strategy and Development Direction - The company is transitioning to a telehealth-only business model through the impending divestiture of WorkSimpli, focusing on profitability and growth of new telehealth offerings [9][14] - The introduction of new telehealth treatment categories is expected to have significant growth potential [8] - The company aims to achieve consolidated adjusted EBITDA profitability by Q4 2022 [12] Management's Comments on Operating Environment and Future Outlook - Management expects short-term slowing of sequential growth for the next few quarters, followed by a return to more aggressive growth at higher profitability levels [9] - The company believes that the demand for its products and services will remain stable even in a recessionary environment, with potential benefits from reduced advertising costs [60][61] Other Important Information - The company has made solid progress in streamlining its operations and has received significant interest from prospective buyers for WorkSimpli [24] - Cash totaled $11.7 million as of June 30, 2022, with expectations of meaningful improvements in cash burn for the remainder of the year [23] Q&A Session Summary Question: Can you talk about the dynamics going from April to June? - The company refined its advertising strategies, leading to record levels of return on investment, which caused a short-term impact on revenue but positions the company for accelerated growth [30][31] Question: What factors contribute to the sequential growth? - Length of subscription and product mix are key factors, with a focus on longer-term subscriptions driving better unit economics [34][35] Question: How is the sale process for WorkSimpli progressing? - The sale process is progressing well, with strong demand and optimism about closing a transaction before the end of the year [57] Question: How did CAC trend in the quarter? - CAC was down slightly year-on-year on a blended basis and flat quarter-on-quarter [58] Question: How would a recession impact the business? - Management does not expect a recession to impact demand for products and services, and it could potentially drive down advertising costs [60][61]

[PART I. FINANCIAL INFORMATION](index=4&type=section&id=PART%20I.%20FINANCIAL%20INFORMATION) [Financial Statements](index=4&type=section&id=ITEM%201.%20Financial%20Statements%20(unaudited)) The company's Q2 2022 financials show revenue growth but also a net loss and decreased cash, raising going concern doubts [Condensed Consolidated Balance Sheets](index=4&type=section&id=Condensed%20Consolidated%20Balance%20Sheets) The balance sheet as of June 30, 2022, reflects decreased assets and a sharp decline in stockholders' equity Condensed Consolidated Balance Sheet Highlights (in thousands) | Account | June 30, 2022 | December 31, 2021 | | :--- | :--- | :--- | | **Assets** | | | | Cash | $11,717 | $41,328 | | Total Current Assets | $18,510 | $44,921 | | Total Assets | $37,969 | $49,923 | | **Liabilities & Equity** | | | | Total Current Liabilities | $25,869 | $22,826 | | Total Liabilities | $31,155 | $24,104 | | Total Stockholders' Equity | $2,478 | $21,708 | [Condensed Consolidated Statements of Operations](index=5&type=section&id=Condensed%20Consolidated%20Statements%20of%20Operations) Q2 2022 operations saw revenue growth and higher gross profit, but operating expenses led to a significant net loss Statement of Operations Summary (in thousands, except per share data) | Metric | Q2 2022 | Q2 2021 | 6 Months 2022 | 6 Months 2021 | | :--- | :--- | :--- | :--- | :--- | | Total Revenues, net | $30,458 | $22,314 | $59,501 | $40,512 | | Gross Profit | $25,823 | $18,193 | $49,618 | $33,180 | | Operating Loss | ($15,639) | ($16,127) | ($28,746) | ($28,045) | | Net Loss Attributable to Common Stockholders | ($13,796) | ($16,831) | ($27,872) | ($28,433) | | Basic and Diluted Loss Per Share | ($0.45) | ($0.64) | ($0.91) | ($1.12) | - A **goodwill impairment charge of $2.7 million** was recorded in Q2 2022, which was not present in the prior year[12](index=12&type=chunk) [Condensed Consolidated Statements of Stockholders' Equity](index=6&type=section&id=Condensed%20Consolidated%20Statements%20of%20Stockholders'%20Equity) Stockholders' equity significantly decreased in the first half of 2022, primarily driven by the net loss Changes in Stockholders' Equity (6 Months Ended June 30, 2022) | Description | Amount (in thousands) | | :--- | :--- | | Balance, January 1, 2022 | $21,708 | | Net Loss | ($26,248) | | Preferred Stock Dividend | ($1,553) | | Stock issued for service/compensation | $8,514 | | Other | ($243) | | **Balance, June 30, 2022** | **$2,478** | [Condensed Consolidated Statements of Cash Flows](index=7&type=section&id=Condensed%20Consolidated%20Statements%20of%20Cash%20Flows) The company experienced a net cash decrease of $29.6 million in the first half of 2022 due to operational and investment activities Cash Flow Summary (6 Months Ended June 30) | Cash Flow Activity | 2022 (in thousands) | 2021 (in thousands) | | :--- | :--- | :--- | | Net cash used in operating activities | ($18,190) | ($19,840) | | Net cash used in investing activities | ($9,893) | ($970) | | Net cash (used in) provided by financing activities | ($1,527) | $29,046 | | **Net (decrease) increase in cash** | **($29,611)** | **$8,235** | [Notes to Condensed Consolidated Financial Statements](index=9&type=section&id=Notes%20to%20Condensed%20Consolidated%20Financial%20Statements) The notes detail accounting policies, acquisitions, legal issues, and a substantial doubt about its going concern status - The company is a direct-to-patient telehealth technology company and acquired Cleared Technologies, an allergy telehealth platform, on January 18, 2022[22](index=22&type=chunk)[23](index=23&type=chunk) - Management has determined that conditions raise **substantial doubt about the Company's ability to continue as a going concern**, citing an accumulated deficit of approximately $170 million and significant losses[40](index=40&type=chunk)[41](index=41&type=chunk)[42](index=42&type=chunk) - A **goodwill impairment charge of $2.7 million** was recorded during Q2 2022 related to a decline in the estimated fair value of the recently acquired Cleared business[67](index=67&type=chunk)[87](index=87&type=chunk)[91](index=91&type=chunk) - The company is involved in several legal matters, including breach of contract lawsuits filed by Harborside Advisors LLC, GoGoMeds, and William Blair LLC[135](index=135&type=chunk)[137](index=137&type=chunk)[138](index=138&type=chunk) [Management's Discussion and Analysis of Financial Condition and Results of Operations](index=27&type=section&id=ITEM%202.%20Management's%20Discussion%20and%20Analysis%20of%20Financial%20Condition%20and%20Results%20of%20Operations) Management discusses Q2 2022 revenue growth, rising operating losses, and significant liquidity challenges [Business Overview and Strategy](index=28&type=section&id=Business%20Overview%20and%20Strategy) The company operates a direct-to-patient telehealth model focused on building recurring revenue through its brand portfolio - The company's business model is **direct-to-patient telehealth**, aiming to provide a more convenient and cost-effective alternative to traditional healthcare[157](index=157&type=chunk) - The brand portfolio includes ShapiroMD, RexMD, LifeMD Primary Care, NavaMD, and Cleared, addressing various health markets[163](index=163&type=chunk)[165](index=165&type=chunk)[166](index=166&type=chunk) - **Recurring subscription revenue constitutes approximately 90% of total revenue**, with over 600,000 customers and patients served to date[159](index=159&type=chunk) [Results of Operations](index=31&type=section&id=Results%20of%20Operations) Q2 2022 results show a 37% revenue increase and improved gross margin, offset by higher operating expenses Revenue Comparison (Q2 2022 vs Q2 2021) | Segment | Q2 2022 Revenue | Q2 2021 Revenue | % Change | | :--- | :--- | :--- | :--- | | Telehealth | $22,267,963 | $15,799,610 | +41% | | WorkSimpli | $8,190,535 | $6,514,001 | +26% | | **Total** | **$30,458,498** | **$22,313,611** | **+37%** | - **Gross profit as a percentage of revenues increased to 85%** in Q2 2022 from 82% in Q2 2021, attributed to improved pricing and a favorable product mix[177](index=177&type=chunk) - The **21% increase in operating expenses** was primarily due to a $2.7M goodwill impairment charge, a $2.7M increase in G&A expenses, and higher other operating costs[179](index=179&type=chunk)[180](index=180&type=chunk) [Liquidity and Capital Resources](index=34&type=section&id=Liquidity%20and%20Capital%20Resources) The company faces a significant liquidity deficit and substantial doubt about its going concern status - **Working capital decreased by $29.5 million**, resulting in a deficit of $7.4 million as of June 30, 2022[186](index=186&type=chunk) - Management has determined that conditions raise **substantial doubt about the Company's ability to continue as a going concern**[194](index=194&type=chunk) - Mitigation strategies include strengthening revenues, improving efficiencies, curtailing expenses, and utilizing available financing facilities like a **$59.5 million ATM Sales Agreement**[195](index=195&type=chunk) [Quantitative and Qualitative Disclosures about Market Risk](index=38&type=section&id=ITEM%203.%20Quantitative%20and%20Qualitative%20Disclosures%20about%20Market%20Risk) As a smaller reporting company, this disclosure is not required - As a smaller reporting company, LifeMD is **not required to provide** quantitative and qualitative disclosures about market risk[215](index=215&type=chunk) [Controls and Procedures](index=38&type=section&id=ITEM%204.%20Controls%20and%20Procedures) Disclosure controls were deemed ineffective as of June 30, 2022, due to material weaknesses in internal control - The company's disclosure controls and procedures were **deemed not effective** as of the end of the period[217](index=217&type=chunk) - The ineffectiveness was due to **material weaknesses**, including inadequate segregation of duties and insufficient written policies[218](index=218&type=chunk) - **Remediation actions are underway**, including adding qualified personnel and redesigning accounting processes[218](index=218&type=chunk)[219](index=219&type=chunk) [PART II. OTHER INFORMATION](index=39&type=section&id=PART%20II.%20OTHER%20INFORMATION) [Legal Proceedings](index=39&type=section&id=ITEM%201.%20Legal%20Proceedings) The company is involved in routine litigation, with details referenced in the financial statement notes - Details regarding material legal proceedings are described in **Note 9, "Commitments and Contingencies"** of the financial statements[221](index=221&type=chunk) [Risk Factors](index=39&type=section&id=ITEM%201A.%20Risk%20Factors) The primary risk factor is the substantial doubt about the company's ability to continue as a going concern - A key risk factor is the **substantial doubt about the company's ability to continue as a going concern**[223](index=223&type=chunk) - As of June 30, 2022, the company had an **accumulated deficit of $170 million** and a **working capital deficit of $7.4 million**[223](index=223&type=chunk) - The company will need to raise additional capital, which may not be available on favorable terms and could cause **significant dilution to existing stockholders**[223](index=223&type=chunk) [Unregistered Sales of Equity Securities and Use of Proceeds](index=39&type=section&id=ITEM%202.%20Unregistered%20Sales%20of%20Equity%20Securities%20and%20Use%20of%20Proceeds) The company issued 90,400 shares of common stock from option exercises under a registration exemption in Q2 2022 - In Q2 2022, the company issued **90,400 shares of common stock** upon the exercise of stock options, resulting in gross proceeds of $90,400[224](index=224&type=chunk) - The transactions were **exempt from registration** under the Securities Act of 1933[225](index=225&type=chunk) [Defaults Upon Senior Securities](index=39&type=section&id=ITEM%203.%20Defaults%20Upon%20Senior%20Securities) No defaults upon senior securities were reported during the period - There were **no defaults upon senior securities** during the period[226](index=226&type=chunk) [Mine Safety Disclosures](index=39&type=section&id=ITEM%204.%20Mine%20Safety%20Disclosures) This item is not applicable to the company's operations - This item is **not applicable** to the company[227](index=227&type=chunk) [Other Information](index=39&type=section&id=ITEM%205.%20Other%20Information) No other information was reported for this period - **No other information** was reported under this item[228](index=228&type=chunk) [Exhibits](index=40&type=section&id=ITEM%206.%20Exhibits) This section lists all exhibits filed with the Form 10-Q, including certifications and XBRL data - Exhibits filed include the company's Amended and Restated 2020 Equity and Incentive Plan, CEO and CFO certifications, and Inline XBRL documents[229](index=229&type=chunk)

LifeMD, Inc. (NASDAQ:LFMD) Q1 2022 Earnings Conference Call May 13, 2022 8:00 AM ET Company Participants Justin Schreiber - Chairman & Chief Executive Officer Marc Benathen - Chief Financial Officer Conference Call Participants David Larsen - BTIG Marc Wiesenberger - B. Riley Securities Operator Good afternoon. Thank you for joining us today to discuss the results for LifeMD's First Quarter ended March 31, 2022. Joining the call today are Justin Schreiber, Chairman and Chief Executive Officer; and Marc Bena ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q ☒ QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Quarterly Period Ended March 31, 2022 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the Transition Period from _________ to _________ Commission file number: 001-39785 LIFEMD, INC. (Exact name of registrant as specified in its charter) | Delaware | 76-0238453 | | --- | --- | | (S ...

LifeMD! Corporate Presentation March 2022 Important Cautions Regarding Forward-Looking Statements This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended; Section 21E of the Securities Exchange Act of 1934, as amended; and the safe harbor provision of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements contained in this presentation may be identified by the use of words such as: "believe," "expect," " ...

LifeMD, Inc. (NASDAQ:LFMD) Q4 2021 Earnings Conference Call March 7, 2022 4:30 PM ET Company Participants Justin Schreiber - President and Chief Executive Officer Marc Benathen - Chief Financial Officer Conference Call Participants David Larsen - BTIG Marc Wiesenberger - B. Riley Securities Disclaimer*: This transcript is designed to be used alongside the freely available audio recording on this page. Timestamps within the transcript are designed to help you navigate the audio should the corresponding text ...

UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 FORM 10-K (Mark One) ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the year ended December 31, 2021 or ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________________________ to __________________________ Commission file number 001-39785 LIFEMD, INC. (Exact name of registrant as specified in its charter) State or Oth ...

LifeMD! Corporate Presentation January 2022 Important Cautions Regarding Forward-Looking Statements This presentation includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended; Section 21E of the Securities Exchange Act of 1934, as amended; and the safe harbor provision of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements contained in this presentation may be identified by the use of words such as: "believe," "expect," ...