LifeMD Stock Plummets After Q3 Earnings: Here's Why

Core Viewpoint - LifeMD Inc. reported disappointing third-quarter earnings, missing analyst estimates on both revenue and earnings per share, leading to a significant drop in stock price and a lowered revenue outlook for the fiscal year [1][4]. Financial Performance - The company reported an adjusted quarterly loss of $0.07 per share, missing the analyst estimate of a loss of $0.05 per share [2]. - Quarterly revenue was $60.17 million, falling short of the analyst consensus estimate of $62.06 million [2]. - Total revenue increased by 13% year-over-year to $60.2 million, with adjusted EBITDA rising by 20% to $5.1 million [5]. Business Segments - Telehealth revenue grew by 18% to $47.3 million, while telehealth adjusted EBITDA increased by 30% to $2.9 million [5]. Outlook - LifeMD expects fourth-quarter revenue to be between $45 million and $46 million, significantly lower than the analyst estimate of $63.07 million [4]. - The fiscal 2025 revenue outlook was revised down from a range of $268 million to $275 million to a new range of $192 million to $193 million, compared to the previous estimate of $253.07 million [4]. Market Context - The CEO noted challenges in the weight management market due to competition from low-price compounded GLP-1 providers, but emphasized the company's ongoing strength [3].