LifeMD(US:LFMD)2025-05-06 20:45Telehealth Performance - Telehealth revenue increased by 70% for the three months ended March 31, 2025, compared to the same period in 2024, with approximately 86% of total revenue coming from recurring subscriptions[133]. - Telehealth revenue accounted for 79.85% of total revenue, increasing to approximately $52.5 million, while WorkSimpli revenue remained consistent at approximately $13.2 million, representing 20.15% of total revenue[144]. - LifeMD's telehealth platform integrates a 50-state medical group and a nationwide pharmacy network, enhancing patient care delivery[130]. Patient Engagement - LifeMD currently serves approximately 291,000 active patient subscribers and has helped over 1,191,000 customers since inception[130]. - The GLP-1 Weight Management Program has grown to approximately 85,000 patient subscribers as of March 31, 2025, following its launch in April 2023[137]. - Rex MD has served more than 638,000 customers and patients to date, focusing on men's health needs[142]. Financial Performance - Total revenue for the three months ended March 31, 2025, was approximately $65.7 million, an increase of 49% compared to $44.1 million for the same period in 2024, driven by a 70% increase in telehealth revenue[144]. - Gross profit increased by approximately 44% to $57.1 million, with gross profit as a percentage of revenues decreasing to approximately 86.84% from 89.58% year-over-year[146]. - Operating income for the three months ended March 31, 2025, was approximately $2.5 million, a significant improvement from a loss of $6.2 million in the same period in 2024[144]. - Net income for the three months ended March 31, 2025, was approximately $1.9 million, compared to a net loss of $6.6 million for the same period in 2024[144]. Expenses and Cash Flow - Total expenses for the three months ended March 31, 2025, were approximately $54.5 million, an increase of 19% compared to $45.7 million for the same period in 2024[147]. - Net cash provided by operating activities was approximately $3.1 million for the three months ended March 31, 2025, down from $5.2 million in the same period in 2024[151]. - The Company has the ability to curtail expenses if necessary, contributing to its positive cash flow outlook[158]. Capital and Investments - The Company utilized approximately $2.9 million in investing activities, primarily for capitalized software costs of approximately $2.7 million[152]. - As of March 31, 2025, there was $19.0 million outstanding under the Avenue Facility, which provides a total credit facility of up to $40 million[156]. - The Company has $53.3 million available under the At Market Issuance Sales Agreement, part of the $150.0 million available under the 2024 Shelf[158]. - The Company received $10 million from Medifast to support collaboration, with $5 million paid at closing on December 12, 2023, and the remaining $5 million paid in installments[158]. - The Company issued 1,224,425 shares in a private placement to Medifast's subsidiary at a price of $8.1671 per share, raising approximately $10 million[159]. Future Outlook - The Company expects to have sufficient cash over the next 12 months due to continued revenue strengthening, reduced losses, and improved operational efficiencies[158]. - The Company anticipates an improvement in its cash burn rate and positive operating cash flows during the three months ended March 31, 2025[158]. - The overall market value of the telehealth industry is expected to drive interest in the Company, evidenced by the collaboration with Medifast[158]. Strategic Initiatives - The company plans to expand insurance acceptance to over 60 million Medicare beneficiaries nationwide by the end of Q2 2025[132]. - The company executed integration with LillyDirect's pharmacy provider to streamline access to obesity treatment for eligible patients[141]. - LifeMD's mission is to empower healthier lives by increasing access to high-quality virtual and in-home healthcare[131]. Accounting and Compliance - The Company is evaluating the impact of recent accounting standards updates on its consolidated financial statements[163][164].