Teladoc Health reports $1B net loss in 2024
New York-based virtual care company Teladoc Health reported its 2024 full-year revenue and Q4 2024 financial results, noting a 1% decrease year-over-year in 2024 revenue at $2.569 billion, compared to $2.6 billion in 2023.
The company reported a 3% decrease in Q4 2024 revenue at $640 million from Q4 2023 revenue of $660.5 million.
Teladoc’s net loss was $1 billion in 2024, compared to $220 million in 2023. The company lost $48.4 million in the fourth quarter of last year, compared to $28.89 million in Q4 2023.
Adjusted EBITDA for 2024 was $310.7 million, down 5% year-over-year from $328.1 million in 2023. For Q4 2024, adjusted EBITDA decreased 35% to $74.8 million, compared to $114.4 million in the fourth quarter of 2023.
Operating cash flow in 2024 was $293.7 million, decreased from $350 million in 2023, and free cash flow last year was $169.6 million, down from $192.7 million the previous year.
Revenue in the company’s Integrated Care segment increased 2% to $390.7 million in Q4 2024, and BetterHelp revenue decreased 10% to $249.8 million during Q4 compared to the previous year.
Full-year revenue for Integrated Care increased 4% to $1.5 billion, and BetterHelp decreased 8% to $1.04 billion compared to the previous year.
“In BetterHelp, while we were pleased with the sequential improvement in key metrics in the fourth quarter, the operating environment continues to be challenging and we remain focused on actions to stabilize results consistent with our overall virtual mental health strategy,” Chuck Divita, CEO of Teladoc Health, said in a statement.
“As we look forward in 2025, execution will continue to be a top priority as we advance efforts to unlock growth opportunities and position the company for long-term success. We will also remain focused on our cost structure, building on the significant improvements achieved in 2024 over the prior year. I believe we are setting a stronger foundation to drive our business going forward and we have a committed team operating with speed and urgency.”
THE LARGER TREND
After releasing its full-year and Q4 2024 earnings, the company’s stock [NYSE: TDOC] fell about 15%. It is currently trading at around $9.42 per share.
Divita joined the telehealth company in June of last year after its previous CEO of 15 years, Jason Gorevic, stepped down following the company’s stock plummeting 22% due to missed fourth-quarter earnings estimates and projected decreased 2024 revenue.
Earlier this year, the company announced it acquired virtual preventative care company Catapult Health in an all-cash deal worth $65 million.
The deal included an additional $5 million in contingent earnout consideration, meaning Teladoc agreed to pay additional cash or provide equity interests to Catapult should certain events occur after the sale.
Catapult Health works with employers and health plans to offer its platform VirtualCheckup, which includes at-home diagnostic testing and virtual visits with a healthcare provider.
Last year, the company announced exclusively through MobiHealthNews that it partnered with pediatric virtual behavioral health company Brightline to extend its mental healthcare options for children, adolescents and their families through Teladoc’s platform.
