Omada Health Inc(OMDA) - 2025 Q3 - Quarterly Results

Financial Performance - Revenue for Q3 2025 was $68 million, representing a 49% increase compared to Q3 2024[1] - Total revenue for Q3 2025 reached $68,030,000, a 49.5% increase from $45,515,000 in Q3 2024[18] - Services revenue was $62,936,000, up 49.5% from $42,096,000 year-over-year[18] - Gross profit for Q3 2025 was $45,071,000, compared to $28,562,000 in Q3 2024, reflecting a gross margin improvement[18] - Net loss reduced to $3 million, down from $9 million in Q3 2024[5] - Net loss for the nine months ended September 30, 2025, was $(17,937,000), an improvement from $(38,887,000) in the same period of 2024[23] - Adjusted EBITDA was $2 million, compared to an adjusted EBITDA loss of $5 million in Q3 2024[5] - Adjusted EBITDA for Q3 2025 was $2,383,000, compared to $(5,135,000) in Q3 2024, indicating a positive shift[32] - Free cash flow for the nine months ended September 30, 2025, was $(7,613,000), an improvement from $(30,586,000) in the same period of 2024[35] Membership Growth - Total members reached 831,000, marking a 53% growth year-over-year[4] - Total members enrolled in virtual care programs increased, driving services revenue growth[30] Cash and Cash Equivalents - Cash and cash equivalents totaled $199 million as of September 30, 2025[5] - Cash and cash equivalents at the end of Q3 2025 were $198,627,000, up from $83,735,000 at the end of Q3 2024[23] Operating Expenses - Operating loss narrowed to $(2,513,000) in Q3 2025 from $(8,524,000) in Q3 2024[18] - Share-based compensation expense for the nine months ended September 30, 2025, was $9,210,000, compared to $7,108,000 in 2024[22] - GAAP sales and marketing expenses for Q3 2025 were $22,943,000, compared to $17,577,000 in Q3 2024, a 30% increase[34] - Non-GAAP operating expenses for the nine months ended September 30, 2025, were $123,060,000, compared to $99,866,000 in the same period of 2024, reflecting a 23% increase[34] Research and Development - Research and development expenses on a GAAP basis for Q3 2025 were $10,301,000, up from $8,850,000 in Q3 2024, marking a 16% increase[34] - Non-GAAP research and development expense as a percentage of revenue decreased to 14% in Q3 2025 from 18% in Q3 2024[34] Product and Service Innovations - The company announced a new GLP-1 prescribing offering aimed at enhancing member health outcomes[4] - Launched the Omada Meal Map, an AI-powered nutrition experience focusing on nutrient quality[4] - Published a 30th peer-reviewed manuscript demonstrating significant cost savings from the Joint & Muscle Health program[4] Revenue Guidance - Revenue guidance for 2025 is projected between $251.5 million and $254.5 million, an increase from the previous range of $235 million to $241 million[5] Cash Flow - The company reported a significant increase in operating cash flow, with net cash used in operating activities decreasing to $(3,127,000) from $(27,692,000) year-over-year[23] - Net cash provided by financing activities in the nine months ended September 30, 2025, was $129,848,000, compared to $(1,322,000) in 2024[35]