In this video, I will be going over Teladoc's (NYSE: TDOC) Q3 earnings report and trying to understand why the stock is down on a great print. You can find the video down below, but here are some of the highlights.
Earnings summary
The company reported earnings per share of -$0.53, beating estimates of -$0.65, and revenue of $522 million, up 81% year of year, beating estimates of $516.6 million.
- Total visits came in at 3.9 million, growing 37% year over year (YOY) and beating guidance by 10%.
- 70% of bookings were multiproduct sales, compared to 50% last year.
- Organic revenue grew 32% YOY, with domestic revenue up 89% YOY to $483 million and international revenue up 17% YOY to $39 million.
- Access fee revenue was $451 million, up 99% YOY, and visit fee revenue was $60 million, up 17.4% YOY.
- Per member per month (PMPM) was $2.57, up 117% YOY and 4.1% quarter over quarter.
- Gross profit margin (according to generally accepted accounting principles or GAAP) remained flat at 67.1%.
As for guidance for Q4 and FY21,
- For Q4, the company expects revenue of $539 million and net loss per share of $0.69, beating expectations by 8.6% at the midpoint.
- For FY21, the company expects total revenue to be in the range of $2.015 billion to $2.025 billion.
- It expects visits to be between 14.5 million and 14.7 million, up 6% at the midpoint from previous guidance.
The long-term thesis is still intact, and a broken stock does not equal a broken company.
For the full insights, do watch the video below, and consider subscribing.
*Stock prices used were the closing prices of Oct. 27, 2021. The video was published on Oct. 28, 2021.
