Content Detail

• Content META

  Title	LifeMD Reports Third Quarter 2024 Results
  ID	3975316
  External ID	210500001
  Author
  Published Date	Nov. 7, 2024, 3:05 p.m.
  Summary	LifeMD Reports Third Quarter 2024 Results LifeMD, Inc. LifeMD, Inc. Thu, Nov 7, 2024, 1:05 PM 22 min read In This Article: LFMD +1.38% LFMDP -0.46% Total revenues increased 38% year-over-year to $53.4
  Tags	None
  URL	No URL
  Sentiment	Negative: 0.01367    Neutral: 0.03877    Positive: 0.94756
  Relevance	0.01544

• Content Details

  Content ID	2252796
  Key	9d71881d-fbbd-4bcd-89ad-1db3daca6f08
  Content	LifeMD Reports Third Quarter 2024 Results LifeMD, Inc. LifeMD, Inc. Thu, Nov 7, 2024, 1:05 PM 22 min read In This Article: LFMD +1.38% LFMDP -0.46% Total revenues increased 38% year-over-year to $53.4 million with telehealth revenue up 65% Record gross margin of 90.6%, up 300 basis points from the year-ago period Adjusted EBITDA increased 33% to $3.7 million Telehealth adjusted EBITDA of $2.5 million, a 200% sequential increase versus the second quarter Cash of $37.6 million as of September 30, 2024 Generated $6.2 million of cash flow from operations in the third quarter and positive net cash flow in each of the last four quarters Conference call begins at 4:30 p.m. Eastern time today NEW YORK, Nov. 07, 2024 (GLOBE NEWSWIRE) -- LifeMD, Inc. (Nasdaq: LFMD), a leading provider of virtual primary care services, today reported financial results for the three and nine months ended September 30, 2024. Management Commentary “LifeMD’s core telehealth business had another very strong quarter, led by outperformance in both our Rex ® MD and virtual primary care verticals. We not only are very pleased with our tremendous growth rate, but also with the exponential increase in sequential profitability of our telehealth business,” said Justin Schreiber, Chairman and CEO of LifeMD. “As we pursue our vision to become the leading provider of direct-to-consumer virtual healthcare services, we continue to make significant investments in our technology platform, affiliated medical group and differentiated products that help patients live healthier and happier lives. In the third quarter, we launched in-home laboratory services, a safe and efficacious non-GLP-1 weight management therapy, and our men’s hormonal therapy offering under our Rex MD brand. We also made progress with our 6S Framework wellness program, including the launch of a 50-state nutrition counseling program. I am particularly excited about the recent opening of our national, vertically integrated pharmacy, which will be accretive in 2025 and enables LifeMD to become a fully integrated, end-to-end provider of virtual healthcare services. These advancements continue to underscore our commitment to virtual healthcare market leadership across a range of categories and capabilities.” “LifeMD had a strong quarter with top- and bottom-line growth led by our core telehealth business. Not only did this business achieve 65% year-over-year growth on a standalone basis and patient subscriber base grew to approximately 269,000 at quarter-end, but telehealth adjusted EBITDA increased 200% sequentially to $2.5 million. Although WorkSimpli’s financial results continued to be pressured, the business returned to sequential subscriber growth and is still forecasted to reach peak monthly profitability by year-end,” commented Marc Benathen, Chief Financial Officer of LifeMD. “Cash flow continued to increase and remained exceptionally strong. For the third quarter, LifeMD generated over $6 million of operating cash flow and bolstered its cash balance by approximately $2 million to $37.6 million as of September 30 th . Our strong unit economics, consistent cash flow generation and strengthened balance sheet continue to support our ability to optimize our corporate investment needs.” Story Continues Third Quarter Financial Highlights All comparisons are with the third quarter of 2023. Total revenues increased 38% to $53.4 million with telehealth revenue up 65%. Telehealth active subscribers increased 30% to approximately 269,000 at quarter-end. WorkSimpli active subscribers decreased 6% to approximately 161,000 at quarter-end but grew sequentially by approximately 2,000 subscribers. Gross margin expanded to 90.6%, up from 87.6%. GAAP net loss was $5.9 million or $0.14 per share, compared with $6.9 million or $0.20 per share. Adjusted EBITDA was $3.7 million compared with $2.8 million (see definition below of this non-GAAP financial measure and reconciliation to GAAP). The telehealth business achieved adjusted EBITDA profitability of $2.5 million compared with a loss of $2.3 million (see definition below of this non-GAAP financial measure and reconciliation to GAAP). Adjusted diluted EPS was $0.09 compared with $0.08 (see definition below of this non-GAAP financial measure and reconciliation to GAAP). Cash and cash equivalents were $37.6 million as of September 30, 2024. Third Quarter Key Performance Metrics ($ in 000s) Three Months Ended Sept 30, Y-o-Y Key Performance Metrics 2024 2023 % Growth Revenue Telehealth $ 40,276 $ 24,343 65% WorkSimpli $ 13,118 $ 14,271 -8% Total Revenue $ 53,393 $ 38,614 38% Active Subscribers Telehealth Active Subscribers 268,739 206,536 30% WorkSimpli Active Subscribers 160,864 170,388 -6% Total Active Subscribers 429,603 376,924 14% Financial Guidance For the fourth quarter of 2024, the Company expects: Total revenues in the range of $57 million to $58 million, with telehealth revenue in the range of $43 million to $44 million and WorkSimpli revenue of approximately $14 million. Adjusted EBITDA in the range of $6.5 million to $7.0 million, with telehealth adjusted EBITDA in the range of $4.0 million to $4.5 million. For the full year 2024, the Company expects: Total revenues of at least $205 million, unchanged from previous guidance, with telehealth revenue guidance increased to a range of $151 million to $152 million, from $150 million previously, and WorkSimpli revenue guidance decreased to $54 million, from $55 million previously. Adjusted EBITDA narrowed to a range of $13 million to $14 million, from $13 million to $15 million previously, with telehealth adjusted EBITDA guidance increased to a range of $6 million to $7 million, from $3 million to $4 million previously. Conference Call LifeMD’s management will host a conference call today at 4:30 p.m. Eastern time to discuss the Company’s financial results and outlook, and answer questions. Details for the call are as follows: Toll-free dial-in number: 800-717-1738 International dial-in number: 646-307-1865 Conference ID: 73461 A live and archived webcast will be available in the Investors section of the Company’s website at ir.lifemd.com . About LifeMD LifeMD ® is a leading provider of virtual primary care. LifeMD offers telemedicine, access to laboratory and pharmacy services, and specialized treatment across more than 200 conditions, including primary care, men’s and women's health, weight management, and hormone therapy. The Company leverages a vertically integrated, proprietary digital care platform, a 50-state affiliated medical group, a 22,500-square-foot affiliated pharmacy, and a U.S.-based patient care center to increase access to high-quality and affordable care. For more information, please visit LifeMD.com . Cautionary Note Regarding Forward Looking Statements This news release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended; Section 21E of the Securities Exchange Act of 1934, as amended; and the safe harbor provision of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements contained in this news release may be identified by the use of words such as: “believe,” “expect,” “anticipate,” “project,” “should,” “plan,” “will,” “may,” “intend,” “estimate,” predict,” “continue,” and “potential,” or, in each case, their negative or other variations or comparable terminology referencing future periods. Examples of forward-looking statements include, but are not limited to, statements regarding our financial outlook and guidance, short and long-term business performance and operations, future revenues and earnings, regulatory developments, legal events or outcomes, ability to comply with complex and evolving regulations, market conditions and trends, new or expanded products and offerings, growth strategies, underlying assumptions, and the effects of any of the foregoing on our future results of operations or financial condition. Forward-looking statements are not historical facts and are not assurances of future performance. Rather, these statements are based on our current expectations, beliefs, and assumptions regarding future plans and strategies, projections, anticipated and unanticipated events and trends, the economy, and other future conditions, including the impact of any of the aforementioned on our future business. As forward-looking statements relate to the future, they are subject to inherent risk, uncertainties, and changes in circumstances and assumptions that are difficult to predict, including some of which are out of our control. Consequently, our actual results, performance, and financial condition may differ materially from those indicated in the forward-looking statements. These risks and uncertainties include, but are not limited to, “Risk Factors” identified in our filings with the Securities and Exchange Commission, including, but not limited to, our most recently filed Annual Report on Form 10-K, Quarterly Reports on Form 10-Q, and any amendments thereto. Even if our actual results, performance, or financial condition are consistent with forward-looking statements contained in such filings, they may not be indicative of our actual results, performance, or financial condition in subsequent periods. Any forward-looking statement made in the news release is based on information currently available to us as of the date on which this release is made. We undertake no obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise, except as may be required under applicable law or regulation. Investor Contact LifeMD, Inc. Marc Benathen, Chief Financial Officer marc@lifemd.com Media Contact Jessica Friedeman, Chief Marketing Officer press@lifemd.com Tables to Follow LIFEMD, INC. CONDENSED CONSOLIDATED BALANCE SHEETS September 30, 2024 December 31, 2023 (Unaudited) ASSETS Current Assets Cash $ 37,587,253 $ 33,146,725 Accounts receivable, net 6,049,501 5,277,250 Product deposit 136,755 485,850 Inventory, net 2,645,443 2,759,932 Other current assets 2,238,005 934,510 Total Current Assets 48,656,957 42,604,267 Non-current Assets Equipment, net 1,420,052 476,303 Right of use assets 6,750,256 594,897 Capitalized software, net 13,457,432 11,795,979 Intangible assets, net 2,275,225 3,009,263 Total Non-current Assets 23,902,965 15,876,442 Total Assets $ 72,559,922 $ 58,480,709 LIABILITIES, MEZZANINE EQUITY AND STOCKHOLDERS' EQUITY (DEFICIT) Current Liabilities Accounts payable $ 15,867,469 $ 11,084,855 Accrued expenses 21,013,174 13,937,494 Notes payable, net - 327,597 Current operating lease liabilities 403,319 603,180 Current portion of long-term debt 5,277,778 - Deferred revenue 16,390,541 8,828,598 Total Current Liabilities 58,952,281 34,781,724 Long-term Liabilities Long-term debt, net 12,951,280 17,927,727 Noncurrent operating lease liabilities 6,511,425 73,849 Contingent consideration 100,000 131,250 Total Liabilities 78,514,986 52,914,550 Commitments and Contingencies Mezzanine Equity Preferred Stock, $0.0001 par value; 5,000,000 shares authorized Series B Convertible Preferred Stock, $0.0001 par value; 5,000 shares authorized, zero shares issued and outstanding, liquidation value, $0 per share as of September 30, 2024 and December 31, 2023 - - Stockholders’ Equity (Deficit) Series A Preferred Stock, $0.0001 par value; 1,610,000 shares authorized, 1,400,000 shares issued and outstanding, liquidation value approximately $25.55 per share as of September 30, 2024 and December 31, 2023 140 140 Common Stock, $0.01 par value; 100,000,000 shares authorized, 41,909,572 and 38,358,641 shares issued, 41,806,532 and 38,255,601 outstanding as of September 30, 2024 and December 31, 2023, respectively 419,096 383,586 Additional paid-in capital 227,394,727 217,550,583 Accumulated deficit (235,370,384 ) (214,265,236 ) Treasury stock, 103,040 shares, at cost, as of September 30, 2024 and December 31, 2023 (163,701 ) (163,701 ) Total LifeMD, Inc. Stockholders’ (Deficit) Equity (7,720,122 ) 3,505,372 Non-controlling interest 1,765,058 2,060,787 Total Stockholders’ (Deficit) Equity (5,955,064 ) 5,566,159 Total Liabilities, Mezzanine Equity and Stockholders’ Equity (Deficit) $ 72,559,922 $ 58,480,709 LIFEMD, INC. CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (Unaudited) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Revenues Telehealth revenue, net $ 40,275,546 $ 24,342,789 $ 108,549,257 $ 66,896,719 WorkSimpli revenue, net 13,117,611 14,271,122 39,650,009 40,790,439 Total revenues, net 53,393,157 38,613,911 148,199,266 107,687,158 Cost of revenues Cost of telehealth revenue 4,300,877 4,479,760 13,049,315 12,525,887 Cost of WorkSimpli revenue 712,664 301,746 1,589,318 1,019,018 Total cost of revenues 5,013,541 4,781,506 14,638,633 13,544,905 Gross profit 48,379,616 33,832,405 133,560,633 94,142,253 Expenses Selling and marketing expenses 26,611,672 19,776,797 77,164,480 56,062,345 General and administrative expenses 18,925,844 13,398,387 52,752,961 36,120,723 Customer service expenses 2,804,210 2,106,252 7,385,669 5,573,734 Other operating expenses 2,112,169 1,622,137 6,318,791 4,640,690 Development costs 2,611,833 1,498,213 7,101,655 4,062,498 Total expenses 53,065,728 38,401,786 150,723,556 106,459,990 Operating loss (4,686,112 ) (4,569,381 ) (17,162,923 ) (12,317,737 ) Other expenses Interest expense, net (558,597 ) (713,766 ) (1,567,743 ) (1,973,901 ) Loss on debt extinguishment - - - (325,198 ) Net loss before income taxes (5,244,709 ) (5,283,147 ) (18,730,666 ) (14,616,836 ) Income tax expense (232,523 ) - (232,523 ) - Net loss (5,477,232 ) (5,283,147 ) (18,963,189 ) (14,616,836 ) Net (loss) income attributable to noncontrolling interests (345,767 ) 839,288 (187,729 ) 2,247,055 Net loss attributable to LifeMD, Inc. (5,131,465 ) (6,122,435 ) (18,775,460 ) (16,863,891 ) Preferred stock dividends (776,563 ) (776,563 ) (2,329,688 ) (2,329,688 ) Net loss attributable to LifeMD, Inc. common stockholders $ (5,908,028 ) $ (6,898,998 ) $ (21,105,148 ) $ (19,193,579 ) Basic loss per share attributable to LifeMD, Inc. common stockholders $ (0.14 ) $ (0.20 ) $ (0.52 ) $ (0.58 ) Diluted loss per share attributable to LifeMD, Inc. common stockholders $ (0.14 ) $ (0.20 ) $ (0.52 ) $ (0.58 ) Weighted average number of common shares outstanding: Basic 42,020,965 34,472,904 40,857,344 32,959,665 Diluted 42,020,965 34,472,904 40,857,344 32,959,665 LIFEMD, INC. CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Unaudited) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 CASH FLOWS FROM OPERATING ACTIVITIES Net loss $ (5,477,232 ) $ (5,283,147 ) $ (18,963,189 ) $ (14,616,836 ) Adjustments to reconcile net loss to net cash provided by operating activities: Amortization of debt discount 100,443 79,653 301,331 233,495 Amortization of capitalized software 2,159,781 1,439,049 5,884,893 3,787,716 Amortization of intangibles 245,804 245,968 737,836 725,496 Accretion of consideration payable - 34,265 13,644 148,481 Depreciation of fixed assets 151,332 49,852 321,698 146,286 Loss on debt extinguishment - - - 325,198 Operating lease payments 137,641 191,645 529,038 562,073 Stock issued for legal settlement - 532,000 - 532,000 Stock compensation expense 2,394,235 3,318,253 9,129,841 8,843,736 Changes in Assets and Liabilities Accounts receivable (381,559 ) (750,039 ) (772,251 ) (1,583,832 ) Product deposit (20,621 ) 150,347 349,095 42,497 Inventory (584,724 ) (92,344 ) 114,489 (87,283 ) Other current assets (716,585 ) (631,765 ) (1,303,495 ) (616,938 ) Operating lease liabilities (111,892 ) (201,667 ) (446,682 ) (589,744 ) Deferred revenue 1,228,882 571,144 7,561,943 691,848 Accounts payable 815,740 44,011 4,782,614 (469,403 ) Accrued expenses 6,261,674 1,378,992 7,704,036 5,611,131 Other operating activity - - - (579,319 ) Net cash provided by operating activities 6,202,919 1,076,217 15,944,841 3,106,602 CASH FLOWS FROM INVESTING ACTIVITIES Cash paid for capitalized software costs (3,043,634 ) (2,373,443 ) (7,546,346 ) (6,273,295 ) Purchase of equipment (447,802 ) (30,263 ) (1,265,447 ) (94,482 ) Purchase of intangible assets (1,862 ) - (3,798 ) (148,868 ) Net cash used in investing activities (3,493,298 ) (2,403,706 ) (8,815,591 ) (6,516,645 ) CASH FLOWS FROM FINANCING ACTIVITIES Proceeds from long-term debt, net - 4,993,885 - 19,466,887 Proceeds from notes payable - 347,691 - 2,347,691 Sale of common stock under ATM, net - 899,567 - 899,567 Repayment of notes payable, net of prepayment penalty (13,020 ) (657,002 ) (327,597 ) (5,043,916) Cash proceeds from exercise of options - - 107,813 - Preferred stock dividends (776,563 ) (776,563 ) (2,329,688 ) (2,329,688 ) Contingent consideration payment for ResumeBuild - (62,500 ) (31,250 ) (187,500 ) Net payments for membership interest of WorkSimpli - - - (305,625 ) Distributions to non-controlling interest (36,000 ) (36,000 ) (108,000 ) (108,000 ) Net cash (used in) provided by financing activities (825,583 ) 4,709,078 (2,688,722 ) 14,739,416 Net increase in cash 1,884,038 3,381,589 4,440,528 11,329,373 Cash at beginning of period 35,703,215 11,906,741 33,146,725 3,958,957 Cash at end of period $ 37,587,253 $ 15,288,330 $ 37,587,253 $ 15,288,330 Cash paid for interest Cash paid during the period for interest $ 630,342 $ 717,054 $ 1,913,049 $ 1,485,242 Non-cash investing and financing activities: Cashless exercise of options $ - $ 579 $ 5,127 $ 744 Cashless exercise of warrants $ - $ - $ 16,305 $ - Stock issued for noncontingent consideration payments $ - $ 642,000 $ 642,000 $ 1,926,000 Series B Preferred Stock conversion $ - $ 5,072,814 $ - 5,072,814 Warrants issued for debt instruments $ - $ (215,243 ) $ - $ 873,100 Right of use asset $ 4,353,166 $ 62,053 $ 6,684,397 $ 155,168 Right of use lease liability $ 4,353,166 $ 62,053 $ 6,684,397 $ 155,168 About the Use of Non-GAAP Financial Measures: To supplement our financial information presented in accordance with GAAP, we use adjusted EBITDA and adjusted EPS as non-GAAP financial measures to clarify and enhance an understanding of past performance. Additionally, we report telehealth adjusted EBITDA as a non-GAAP financial measure to clarify the financial performance of our core telehealth business excluding WorkSimpli. We believe that the presentation of these financial measures enhances an investor’s understanding of our financial performance. We further believe that these financial measures are useful financial metrics to assess our operating performance from period-to-period by excluding certain items that we believe are not representative of our core business. We use certain financial measures for business planning purposes and in measuring our performance relative to that of our competitors. Adjusted EBITDA is defined as income (loss) attributable to common shareholders before interest, taxes, depreciation, amortization, accretion, financing transaction expense, non-controlling interests, foreign currency translation, inventory and reserve adjustments on discontinued products, extraordinary litigation costs, loss on debt extinguishment, dividends, insurance acceptance and Sarbanes-Oxley readiness, acquisition costs, severance expenses and stock-based compensation expense. We have provided below a reconciliation of adjusted EBITDA to net loss attributable to common shareholders, its most directly comparable GAAP financial measure. Adjusted EPS is defined as the diluted net loss attributable to LifeMD, Inc common shareholders before interest, taxes, depreciation, amortization, accretion, financing transaction expense, non-controlling interests, foreign currency translation, inventory and reserve adjustments on discontinued products, extraordinary litigation costs, loss on debt extinguishment, dividends, insurance acceptance and Sarbanes-Oxley readiness, acquisition costs, severance expenses and stock-based compensation expense. We have provided below a reconciliation of adjusted EPS to Diluted loss per share attributable to LifeMD, Inc common shareholders, its most directly comparable GAAP financial measure. Telehealth adjusted EBITDA is defined as adjusted EBITDA for the telehealth business excluding WorkSimpli. We have provided below a reconciliation of telehealth adjusted EBITDA to net loss attributable to common shareholders solely related to the Company’s core telehealth business excluding WorkSimpli, LifeMD’s majority owned subsidiary. WorkSimpli does not have any overlap of revenues nor expenses with LifeMD’s telehealth business. We believe the above financial measures are commonly used by investors to evaluate our performance and that of our competitors. However, our use of the terms adjusted EBITDA and adjusted EPS may vary from that of others in our industry. Telehealth adjusted EBITDA is specifically relevant to LifeMD to provide shareholders a comparable measure of profitability for our core telehealth business without the impact of our majority owned, but separately managed non-core subsidiary, WorkSimpli. Adjusted EBITDA, telehealth adjusted EBITDA and adjusted EPS should not be considered as an alternative to net loss before taxes, net loss per share, operating loss or any other performance measures derived in accordance with GAAP as measures of performance. Reconciliation of Consolidated GAAP Net Loss to Consolidated Adjusted EBITDA (in whole numbers, unaudited) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Net loss attributable to common shareholders $ (5,908,028 ) $ (6,898,998 ) $ (21,105,148 ) $ (19,193,579 ) Interest expense (excluding amortization of debt discount) 458,154 594,229 1,266,412 1,233,415 Depreciation, amortization and accretion expense 2,556,917 1,769,134 6,958,071 4,807,979 Amortization of debt discount 100,443 79,653 301,331 233,495 Loss on debt extinguishment - - - 325,198 Financing transactions expense - 305,424 323,372 735,501 Litigation costs (a) 644,170 420,404 1,322,501 1,426,330 Inventory and reserve adjustments on discontinued products 85,000 - 651,142 232,630 Severance costs 621,391 7,692 1,142,068 7,692 Acquisitions expenses - 86,942 - 127,138 Insurance acceptance readiness 391,803 8,094 1,361,637 66,634 Sarbanes Oxley readiness 203,342 48,576 386,470 48,576 Accrued interest on Series B Convertible Preferred Stock - 39,884 - 506,991 Foreign exchange loss 429,695 272,899 908,416 796,619 Taxes 1,258,553 70,378 1,261,553 70,378 Dividends 799,929 1,813,130 2,920,102 3,971,890 Stock-based compensation expense 2,394,235 3,318,253 9,129,841 8,843,736 Net loss attributable to noncontrolling interests (345,767 ) 839,288 (187,729 ) 2,247,055 Adjusted EBITDA $ 3,689,838 $ 2,774,982 $ 6,640,039 $ 6,487,678 (a) For the three and nine months ended September 30, 2024, the Company included litigation costs related to a class action complaint alleging, inter alia, unauthorized disclosure of certain information of class members to third parties (the Marden v. LifeMD, Inc. case), as disclosed in the Company’s Form 10-Q for the third quarter ended September 30, 2024 and a heavily negotiated executive separation agreement. For the three and nine months ended September 30, 2023, the Company included litigation costs related to a purported breach of an investment bank engagement concerning potential debt financing (the William Blair LLC v. LifeMD, Inc. case) and a purported breach of a consulting services agreement for strategic and corporate development services (the Harborside Advisors LLC v. LifeMD, Inc. case), as disclosed in the Company’s Form 10-K for the fiscal year ended December 31, 2023 and filed on March 11, 2024. Reconciliation of GAAP Diluted Loss per Share Attributable to Common Shareholders to Adjusted EPS (unaudited) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Diluted loss per share attributable to LifeMD, Inc. common shareholders $ (0.14 ) $ (0.20 ) $ (0.52 ) $ (0.58 ) Adjustments to Reconcile GAAP Diluted Loss Per Share to Adjusted EPS Interest expense (excluding amortization of debt discount) 0.01 0.02 0.03 0.04 Depreciation, amortization and accretion expense 0.06 0.05 0.17 0.15 Amortization of debt discount - - 0.01 0.01 Loss on debt extinguishment - - - 0.01 Financing transactions expense - 0.01 0.01 0.02 Litigation costs 0.02 0.01 0.03 0.04 Inventory and reserve adjustments on discontinued products - - 0.02 0.01 Severance costs 0.01 - 0.03 - Acquisitions expenses - - - - Insurance acceptance readiness 0.01 - 0.03 - Sarbanes Oxley readiness - - 0.01 - Accrued interest on Series B Convertible Preferred Stock - - - 0.02 Foreign exchange (gain) loss 0.01 0.01 0.02 0.02 Taxes 0.03 - 0.03 - Dividends 0.02 0.05 0.07 0.12 Stock-based compensation expense 0.06 0.10 0.22 0.27 Net loss attributable to noncontrolling interests - 0.03 - 0.07 Adjusted EPS $ 0.09 $ 0.08 $ 0.16 $ 0.20 Reconciliation of Telehealth GAAP Net Loss to Telehealth Adjusted EBITDA (in whole numbers, unaudited) Three Months Ended September 30, Nine Months Ended September 30, 2024 2023 2024 2023 Net loss attributable to common shareholders $ (4,612,049 ) $ (10,044,756 ) $ (20,401,514 ) $ (27,731,584 ) Interest expense (excluding amortization of debt discount) 456,151 593,013 1,263,120 1,229,576 Depreciation, amortization and accretion expense 1,707,151 1,150,718 4,555,921 3,176,361 Amortization of debt discount 100,443 79,653 301,331 233,495 Loss on debt extinguishment - - - 325,198 Financing transactions expense - 305,424 323,372 735,501 Litigation costs (a) 644,170 420,404 1,322,501 1,426,330 Inventory and reserve adjustments on discontinued products 85,000 - 651,142 232,630 Severance costs 621,391 7,692 1,142,068 7,692 Acquisitions expenses - 86,942 - 127,138 Insurance acceptance readiness 391,803 8,094 1,361,637 66,634 Sarbanes Oxley readiness 203,342 48,576 386,470 48,576 Accrued interest on Series B Convertible Preferred Stock - 39,884 - 506,991 Foreign exchange (gain) loss - - - - Taxes - - - - Dividends 812,562 812,563 2,437,687 2,437,688 Stock-based compensation expense 2,394,235 3,318,253 9,129,841 8,843,736 Net loss attributable to noncontrolling interests (345,767 ) 839,288 (187,729 ) 2,247,055 Telehealth Adjusted EBITDA $ 2,458,433 $ (2,334,252 ) $ 2,285,847 $ (6,086,983 ) (a) For the three and nine months ended September 30, 2024, the Company included litigation costs related to a class action complaint alleging, inter alia, unauthorized disclosure of certain information of class members to third parties (the Marden v. LifeMD, Inc. case), as disclosed in the Company’s Form 10-Q for the third quarter ended September 30, 2024 and a heavily negotiated executive separation agreement. For the three and nine months ended September 30, 2023, the Company included litigation costs related to a purported breach of an investment bank engagement concerning potential debt financing (the William Blair LLC v. LifeMD, Inc. case) and a purported breach of a consulting services agreement for strategic and corporate development services (the Harborside Advisors LLC v. LifeMD, Inc. case), as disclosed in the Company’s Form 10-K for the fiscal year ended December 31, 2023 and filed on March 11, 2024. View Comments Terms and Privacy Policy Privacy Dashboard Recommended Stories
  Content Reference URL	None

• Publisher

  None

• Data Source

  Data Source Name	Yahoo Finance News
  Data Source Type	news
  Data Source URL	https://finance.yahoo.com/
  Description	Yahoo! Finance is a media property that is part of the Yahoo! network. It provides financial news, data and commentary including stock quotes, press releases, financial reports, and original content. It also offers some online tools for personal finance management.
  Weight	10