Teladoc Health, Inc. · NYSE:TDOC
Teladoc Health — Q3 2023 Earnings Presentation
13 slides from Teladoc Health's earnings presentation, Oct 24, 2023
Slide 1: 3Q-23 Quarterly Results
3Q-23 Quarterly Results Teladoc. HEALTH
Slide 2: Cautionary Note
Cautionary Note • This presentation contains, and our officers may make, “forward-looking” statements that are based on our management’s beliefs and assumptions and on information currently available to management. These forward-looking statements include, without limitation, information concerning
Slide 3: Financial Highlights
Financial Highlights 3Q Net loss per share of 3Q Revenue of $660M, ($0.35) 3Q Adj EBITDA(1) of $88.8M +8% y/y includes amortization of intangibles of 73% y/y ($0.42) and stock-based compensation expense of ($0.32) per share. FY23 Revenue outlook range FY23 Net loss per share FY23 Adj. EBITDA outlook
Slide 4: 3Q-23 Consolidated Results: Revenue & Adj. EBITDA
3Q-23 Consolidated Results: Revenue & Adj. EBITDA Revenue ($ millions) Adj. EBITDA ($ millions)(1) $700 $660 $100 $611 $88.8 $90 $600 $80 $500 $70 $60 $400 $51.2 $50 $300 $40 $200 $30 $20 $100 $10 $0 $0 3Q-22 3Q-23 3Q-22 3Q-23 (1) See reconciliation of GAAP to non-GAAP measures included in the appen
Slide 5: 3Q-23: Segment Results
3Q-23: Segment(1) Results Integrated Care Segment Revenue ($ millions) BetterHelp Segment Revenue ($ millions) $400 $350 $350 $374 $300 $357 $350 $360 $300 $343 $250 $279 $292 $286 $265 $277 $250 $200 $200 $150 $150 $100 $100 $50 $50 $0 $0 3Q-22 4Q-22 1Q-23 2Q-23 3Q-23 3Q-22 4Q-22 1Q-23 2Q-23 3Q-23
Slide 6: 3Q-23 Revenue: U.S. & International
3Q-23 Revenue: U.S. & International U.S. Revenue ($ millions) International Revenue ($ millions) $600 $569 $100 $534 $91 $90 $500 $77 $80 $70 $400 $60 $300 $50 $40 $200 $30 $20 $100 $10 $0 $0 3Q-22 3Q-23 3Q-22 3Q-23
Slide 7: 3Q-23: Quarterly Key Operating Metrics
3Q-23: Quarterly Key Operating Metrics U.S. Integrated Care Members(1) (millions) BetterHelp Paying Users(2) (thousands) 100m 500k 80m 90.2 400k 450 467 476 459 81.9 83.3 84.9 85.9 437 60m 300k 40m 200k 20m 100k 0m 0k 3Q-22 4Q-22 1Q-23 2Q-23 3Q-23 3Q-22 4Q-22 1Q-23 2Q-23 3Q-23 Average Revenue per Mo
Slide 8: Quarterly Trend: Adj. Gross Margin %, Adj. EBITDA, & Adj. EBITDA Margin
Quarterly Trend: Adj. Gross Margin %, Adj. EBITDA, & Adj. EBITDA Margin Gross Margin & Adj. Gross Margin % (1) Adj. EBITDA (1)(2) & Adj. EBITDA Margin % 75% $100 14.8% 16% 71.8% 70.4% 70.8% 69.6% 69.8% $90 13.4% 14% 70% $80 11.1% 12% 68.3% 68.6% 68.6% $70 67.8% 67.5% 65% 10% $60 8.4% 8.4% $50 8% $94
Slide 9: Balance Sheet Highlights and Cash Flow
Balance Sheet Highlights and Cash Flow • Cash and Cash Equivalents (as of September 30, 2023): $1.03B • Convertible & LT Debt on Balance Sheet (as of September 30, 2023): $1.54B • Operating Cash Flow (3Q23): $105.6M • Capital Expenditures + Capitalized Software Development Costs (3Q23): $37.6M
Slide 10: Outlook: 4Q-23 and FY-23
Outlook: 4Q-23 and FY-23 Y/Y % Y/Y % Prior FY-23 4Q-23 FY-23 Growth Growth Guidance Revenue ($M) $658 - $683 3% to 7% $2,600 - $2,625 8% to 9% $2,600 - $2,675 Net Loss per Share ($0.33) - ($0.23) NM ($1.50) - ($1.40) NM ($1.60) - ($1.25) Adj. EBITDA ($M) $107 - $117 14% to 24% $320 - $330 30% to 34%
Slide 11: Appendix
Appendix © Teladoc Health, Inc. All rights reserved. 11
Slide 12: Reconciliation of EBITDA & Adj. EBITDA to Net Loss
Reconciliation of EBITDA & Adj. EBITDA to Net Loss Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Net loss ($73,476) ($3,810,071) ($69,228) ($65,177) ($57,073) Add: Goodwill impairment — 3,772,811 — — — Other (income) expense, net 1,571 (1,749) (4,907) 207 1,792 Interest income (4,803) (6,482) (8,911) (11,
Slide 13: Reconciliation of GAAP Gross Profit to Adj. Gross Profit & Adj. Gross Margin
Reconciliation of GAAP Gross Profit to Adj. Gross Profit & Adj. Gross Margin Q3 2022 Q4 2022 Q1 2023 Q2 2023 Q3 2023 Revenue $611,402 $637,709 $629,244 $652,406 $ 660,238 Cost of revenue (exclusive of depreciation and amortization, which is shown separately below) (185,619) (188,873) (190,107) (190,