Teladoc Health Reports Second Quarter 2025 Results
NEW YORK, July 29, 2025 (GLOBE NEWSWIRE) -- Teladoc Health, Inc. (NYSE: TDOC), the global leader in virtual care, today reported financial results for the three months ended June 30, 2025 ("Second Quarter 2025"). Unless otherwise noted, percentage and other changes are relative to the three months ended June 30, 2024 ("Second Quarter 2024").
Highlights
Second Quarter 2025 revenue of $631.9 million, down 2% year-over-year
Second Quarter 2025 net loss of $32.7 million, or $0.19 per share
Second Quarter 2025 adjusted EBITDA of $69.3 million, down 23% year-over-year
Integrated Care segment revenue of $391.5 million, up 4% year-over-year, and adjusted EBITDA margin of 14.7%
BetterHelp segment revenue of $240.4 million, down 9% year-over-year, and adjusted EBITDA margin of 4.9%
Paid $550.6 million using cash on hand to retire convertible senior notes due in Second Quarter 2025
On July 17, 2025, we entered into a credit agreement providing for a five-year, $300.0 million senior secured revolving credit facility to preserve and enhance our financial and operational flexibility
"I'm pleased with our performance in the second quarter, with consolidated revenue and adjusted EBITDA both at the higher end of our guidance ranges. This reflects continued disciplined execution and builds on our solid results from the first quarter. We continue to work with focus and urgency to advance our strategic priorities, invest in products and capabilities, and deliver solid financial performance," said Chuck Divita, Chief Executive Officer of Teladoc Health.
"We believe virtual care can be a performance multiplier to help address key challenges in an evolving healthcare landscape. We intend to build on our leadership position by delivering and orchestrating care across patients, providers, platforms, and partners, enhancing the patient experience, improving clinical outcomes, and driving greater value for our clients," Divita added.
Key Financial Data
($ in thousands, except per share data, unaudited)
Three Months Ended
Six Months Ended
June 30,
June 30,
2025
2024
Change
2025
2024
Change
Revenue
$
631,900
$
642,444
(2
)%
$
1,261,269
$
1,288,575
(2
)%
Net loss
$
(32,660
)
$
(837,671
)
96
%
$
(125,672
)
$
(919,560
)
86
%
Net loss per share
$
(0.19
)
$
(4.92
)
96
%
$
(0.72
)
$
(5.44
)
87
%
Adjusted EBITDA (1)
$
69,311
$
89,481
(23
)%
$
127,404
$
152,621
(17
)%
See note (1) in the Notes section that follows.
Second Quarter 2025
Revenue decreased 2% to $631.9 million from $642.4 million in Second Quarter 2024. Access fees revenue decreased 6% to $523.7 million and other revenue increased 31% to $108.2 million. U.S. revenue decreased 4% to $519.7 million and International revenue increased 10% to $112.2 million.
Integrated Care segment revenue increased 4% to $391.5 million in Second Quarter 2025 and BetterHelp segment revenue decreased 9% to $240.4 million.
Net loss totaled $32.7 million, or $0.19 per share, for Second Quarter 2025, compared to $837.7 million, or $4.92 per share, for Second Quarter 2024. Results for Second Quarter 2025 included stock-based compensation expense of $22.3 million, or $0.13 per share pre-tax, and amortization of intangibles of $88.7 million, or $0.50 per share pre-tax. Net loss for Second Quarter 2025 also included $5.7 million, or $0.03 per share pre-tax, of restructuring costs related to severance costs and costs associated with office space reduction. These items were partially offset by a tax benefit of $9.7 million or $0.06 per share, related to this quarter's acquisition.
Results for Second Quarter 2024 included a non-cash goodwill impairment charge of $790.0 million, or $4.64 per share pre-tax, stock-based compensation expense of $42.1 million, or $0.25 per share pre-tax, amortization of intangibles of $94.9 million, or $0.56 per share pre-tax, and $1.5 million, or $0.01 per share pre-tax, of restructuring costs primarily related to severance payments.
Adjusted EBITDA(1) decreased 23% to $69.3 million, compared to $89.5 million for Second Quarter 2024. Integrated Care segment adjusted EBITDA decreased 10% to $57.5 million in Second Quarter 2025 and BetterHelp segment adjusted EBITDA decreased 53% to $11.9 million in Second Quarter 2025.
Six Months Ended June 30, 2025
Revenue decreased 2% to $1,261.3 million from $1,288.6 million in the first six months of 2024. Access fees revenue decreased 6% to $1,049.4 million and other revenue increased 23% to $211.8 million. U.S. revenue decreased 4% to $1,044.7 million and International revenue increased 8% to $216.6 million.
Integrated Care segment revenue increased 4% to $781.0 million in the first six months of 2025 and BetterHelp segment revenue decreased 10% to $480.3 million.
Net loss totaled $125.7 million, or $0.72 per share, for the first six months of 2025, compared to $919.6 million, or $5.44 per share, for the first six months of 2024. Results for the first six months of 2025 included a non-cash goodwill impairment charge of $59.1 million, or $0.34 per share pre-tax, stock-based compensation expense of $47.5 million, or $0.27 per share pre-tax, and amortization of intangibles of $173.0 million, or $0.99 per share pre-tax. Net loss for the first six months of 2025 also included $10.0 million, or $0.06 per share pre-tax, of restructuring costs related to severance costs and costs associated with office space reduction. These items were partially offset by a discrete tax benefit of $20.1 million, or $0.11 per share, related to the completion of a research and development tax credit study and a tax benefit of $11.1 million, or $0.06 per share, related to the current year's acquisitions.
The non-cash goodwill impairment charge recorded in the first six months of 2025 was the result of the fair value of the Integrated Care segment being less than its carrying value at the time of the acquisition of Catapult Health, LLC.
Results for the first six months of 2024 included a non-cash goodwill impairment charge of $790.0 million, or $4.68 per share pre-tax, stock-based compensation expense of $84.4 million, or $0.50 per share pre-tax, amortization of intangibles of $189.9 million, or $1.12 per share pre-tax, and $11.2 million, or $0.07 per share pre-tax, of restructuring costs primarily related to severance payments.
Adjusted EBITDA(1) decreased 17% to $127.4 million, compared to $152.6 million for the first six months of 2024. Integrated Care segment adjusted EBITDA decreased 3% to $107.8 million in the first six months of 2025 and BetterHelp segment adjusted EBITDA decreased 52% to $19.6 million in the first six months of 2025.
Capex and Cash Flow
Cash flow from operations was $91.4 million in Second Quarter 2025, compared to $88.7 million in Second Quarter 2024, and was $107.4 million in the first six months of 2025, compared to $97.6 million in the first six months of 2024. Capital expenditures and capitalized software development costs (together, "Capex") were $30.2 million in Second Quarter 2025, compared to $27.7 million in Second Quarter 2024, and were $61.8 million for the first six months of 2025, compared to $63.3 million for the first six months of 2024. Free cash flow was $61.2 million in Second Quarter 2025, compared to $60.9 million in Second Quarter 2024, and was $45.5 million for the first six months of 2025, compared to $34.3 million for the first six months of 2024.
Revolving Credit Facility
On July 17, 2025, we entered into a credit agreement providing for a five-year, $300.0 million senior secured revolving credit facility, subject to customary borrowing conditions. We entered into the revolving credit facility to preserve and enhance our financial and operational flexibility, and we do not currently anticipate borrowing any amounts under the facility. Our capital allocation priorities remain unchanged and include: (i) maintaining a strong balance sheet and an appropriate net leverage profile; (ii) investing in the business to support our strategy through both organic and inorganic initiatives; and (iii) evaluating share repurchases as a potential use of excess cash.
Financial Outlook
The outlook provided below is based on current market conditions and expectations and what we know today.
For the full year of 2025, we expect:
Full Year 2025 Outlook Range
Revenue
$2,501 - $2,548 million
Adjusted EBITDA
$263 - $294 million
Net loss per share
($1.35) - ($1.00)
Free Cash Flow
$170 - $200 million
U.S. Integrated Care Members (2)
101 - 103 million
Integrated Care
Revenue growth percentage (year-over-year)
1.75% - 3.25%
Adjusted EBITDA margin
14.50% - 15.25%
BetterHelp
Revenue growth percentage (year-over-year)
(9.20%) - (6.80%)
Adjusted EBITDA margin
4.00% - 5.50%
For the third quarter of 2025, we expect:
3Q 2025 Outlook Range
Revenue
$614 - $636 million
Adjusted EBITDA
$56 - $70 million
Net loss per share
($0.35) - ($0.20)
U.S. Integrated Care Members (2)
101.5 - 102.5 million
Integrated Care
Revenue growth percentage (year-over-year)
(0.50%) - 2.25%
Adjusted EBITDA margin
14.00% - 15.50%
BetterHelp
Revenue growth percentage (year-over-year)
(9.75%) - (5.00%)
Adjusted EBITDA margin
1.00% - 3.75%
See note (2) in the Notes section that follows.
Earnings Conference Call
The Second Quarter 2025 earnings conference call and webcast will be held Tuesday, July 29, 2025 at 4:30 p.m. E.T. The conference call can be accessed by dialing 1-833-470-1428 for U.S. participants and using the access code #606269. For international participants, please visit the following link for global dial-in numbers: https://www.netroadshow.com/conferencing/global-numbers?confId=85796. A live audio webcast will also be available online at http://ir.teladoc.com/news-and-events/events-and-presentations/. A replay of the call will be available via webcast for on-demand listening shortly after the completion of the call, at the same web link, and will remain available for approximately 90 days.
About Teladoc Health
Teladoc Health (NYSE:TDOC) is the global leader in virtual care. The company is delivering and orchestrating care across patients, care providers, platforms, and partners, transforming virtual care into a catalyst for how better health happens. Through our relationships with health plans, employers, providers, health systems and consumers, we are enabling more access, driving better outcomes, extending provider capacity and lowering costs. Learn more at teladochealth.com.
Cautionary Note Regarding Forward-Looking Statements
This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements can be identified by words such as: "anticipate," "intend," "plan," "believe," "project," "estimate," "expect," "may," "should," "will" and similar references to future periods. Examples of forward-looking statements include, among others, the information under the caption "Financial Outlook" and statements we make regarding future financial or operating results, future numbers of members, BetterHelp paying users or clients, litigation outcomes, regulatory developments, market developments, new products and growth strategies, and the effects of any of the foregoing on our future results of operations or financial condition.
Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, the economy and other future conditions. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, among others, the following: (i) changes in laws and regulations applicable to our business model; (ii) changes in market conditions and receptivity to our services and offerings, including our ability to effectively compete; (iii) results of litigation or regulatory actions; (iv) the loss of one or more key clients or the loss of a significant number of members or BetterHelp paying users; (v) changes in valuations or useful lives of our assets; (vi) changes to our abilities to recruit and retain qualified providers into our network; (vii) the impact of and risk related to impairment losses with respect to goodwill or other assets; (viii) the success of our operational review of the company to achieve a more balanced approach to growth and margin; and (ix) imposed and threatened tariffs by the United States and its trading partners, and any resulting disruptions or inefficiencies in our supply chain. For a detailed discussion of the risk factors that could affect our actual results, please refer to the risk factors identified in our SEC reports, including, but not limited to, our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q, as filed with the SEC.
Any forward-looking statement made by us in this press release is based only on information currently available to us and speaks only as of the date on which it is made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise.
TELADOC HEALTH, INC.CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS(In thousands, except share and per share data, unaudited)
Three Months EndedJune 30,
Six Months EndedJune 30,
2025
2024
2025
2024
Revenue
$
631,900
$
642,444
$
1,261,269
$
1,288,575
Costs and expenses:
Cost of revenue (exclusive of depreciation and amortization, which are shown separately below)
190,537
188,059
387,366
382,597
Advertising and marketing
167,547
170,270
335,732
353,599
Sales
49,951
50,438
98,644
104,802
Technology and development
68,784
76,751
138,742
158,139
General and administrative
108,114
109,552
220,888
221,249
Goodwill impairment
—
790,000
59,138
790,000
Acquisition, integration, and transformation costs
2,658
457
4,846
830
Restructuring costs
5,692
1,500
10,039
11,173
Amortization of intangible assets
88,664
94,862
172,968
189,919
Depreciation of property and equipment
4,338
1,703
7,902
4,537
Total costs and expenses
686,285
1,483,592
1,436,265
2,216,845
Loss from operations
(54,385
)
(841,148
)
(174,996
)
(928,270
)
Interest income
(10,064
)
(13,572
)
(22,738
)
(27,514
)
Interest expense
4,473
5,648
10,238
11,297
Other expense (income), net
(8,371
)
563
(10,806
)
933
Loss before provision for income taxes
(40,423
)
(833,787
)
(151,690
)
(912,986
)
Provision for income taxes
(7,763
)
3,884
(26,018
)
6,574
Net loss
$
(32,660
)
$
(837,671
)
$
(125,672
)
$
(919,560
)
Net loss per share, basic and diluted
$
(0.19
)
$
(4.92
)
$
(0.72
)
$
(5.44
)
Weighted-average shares used to compute basic and diluted net loss per share
175,917,380
170,229,583
175,040,625
168,980,165
Stock-based Compensation Summary
Compensation expense for stock-based awards was classified as follows (in thousands, unaudited):
Three Months EndedJune 30,
Six Months EndedJune 30,
2025
2024
2025
2024
Cost of revenue (exclusive of depreciation and amortization, which are shown separately)
$
506
$
1,313
$
1,079
$
2,707
Advertising and marketing
1,302
3,378
2,805
7,167
Sales
