NYSE$MED

Medifast Inc · Q2 2024 earnings

Q2 2024 earnings · · Investor relations

Briefing

Reported a decrease in revenue due to lower active earning OPTAVIA Coaches and reduced Coach productivity, while strategically transforming the business for long-term growth.

Medifast reported a revenue of $168.6 million for Q2 2024, a 43.1% decrease compared to Q2 2023. The company experienced a net loss of $8.2 million, or $0.75 per diluted share, but a non-GAAP adjusted net income of $10.1 million, or $0.92 per diluted share. The results reflect strategic transformation efforts, including a focus on new customer acquisition and a broader health and wellness offer.

  • Revenue decreased by 43.1% to $168.6 million compared to the second quarter of 2023.
  • The number of active earning OPTAVIA Coaches decreased by 36.2% to 33,900.
  • The company reported a net loss of $8.2 million, or $0.75 per diluted share.
  • Cash, cash equivalents, and investment securities totaled $163.5 million with no debt.

Headline financials

Total Revenue

$169M

Previous: $296M-43.1%
EPS

-$0.75

Previous: $2.77-127.1%
Independent active earning coaches

33.9K

Previous: 53.1K-36.2%
Average revenue per active earning coach

$4.97K

Previous: $5.58K-10.9%
Capital Expenditures

-$3.78M

Previous: -$3.86M+2.1%
Free Cash Flow

-$11.9M

Previous: $26.4M-145.2%
Net Income

-$8.15M

Previous: $30.3M-126.9%
Operating Income

-$7.88M

Previous: $38.7M-120.3%
Gross Profit

$123M

Previous: $211M-41.4%
Stock-Based Comp

$2.45M

Previous: $2.51M-2.4%

Revenue & EPS history

Medifast · Revenue · Quarterly

$169M

Q2 2024-43.1%vs Q2 2023
Beat estimate in 14 of 15 quarters(93%)
ActualEstimate

Forward guidance

The company expects third quarter 2024 revenue to be in the range of $125 million to $145 million and third quarter 2024 diluted loss per share in the range of $0.05 to $0.70. The EPS range excludes the costs related to the initiation of the LifeMD collaboration and any gains or losses from changes in the market price of the company’s LifeMD common stock investment, which the company is unable to estimate.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2024

Historical avgQ2 2024

+0.2%

Avg return

Earnings day

+0.5%

Avg return

5 days after

+0.4%

Avg return

30 days after

51%

33 / 65 earnings

Positive

+31.6%

Q4 2017

Best reaction

-29.9%

Q3 2019

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026+0.2%+19.7%+16.7%
Q4 2025-0.8%-1.9%-7.4%
Q3 2025+0.8%+0.4%-8.6%
Q1 2025-0.6%+5.3%+10.8%
Q4 2024-11.4%-8.4%-11.1%
Q3 2024+9.8%+3.1%+6.2%
Q2 2024-5.6%-9.0%-11.8%
Q1 2024-18.3%-20.8%-25.4%
Q4 2023-19.2%-18.5%-28.7%
Q3 2023-1.5%-6.5%+3.3%
Q2 2023-9.5%-4.9%-18.5%
Q1 2023-3.8%-0.7%-14.1%
Q4 2022-10.8%-4.6%-15.3%
Q3 2022-3.2%-1.6%+9.0%
Q2 2022-15.2%-21.9%-31.9%
Q1 2022+5.4%+1.8%-2.0%
Q4 2021-5.6%+1.7%-6.4%
Q3 2021+3.7%+4.7%-7.1%
Q2 2021-8.7%-14.1%-17.4%
Q1 2021+7.8%+18.9%+35.3%
Q4 2020-3.9%-0.8%-14.7%
Q3 2020+12.9%+23.5%+45.4%
Q2 2020-5.7%-5.0%-8.0%
Q1 2020+18.5%+30.1%+46.7%
Q4 2019-9.7%-13.4%-31.5%
Q3 2019-29.9%-24.8%-14.7%
Q2 2019-7.6%-7.8%-10.5%
Q1 2019-2.1%+3.6%-12.1%
Q4 2018+0.9%-0.7%+0.3%
Q3 2018-28.3%-25.3%-32.4%
Q2 2018+25.8%+17.4%+35.0%
Q1 2018+22.3%+19.3%+50.0%
Q4 2017+31.6%+32.5%+44.0%
Q3 2017+14.7%+13.1%+16.6%
Q2 2017+18.6%+20.7%+31.7%
Q1 2017+3.4%+3.8%-6.1%
Q4 2016-3.7%-4.4%-1.4%
Q3 2016-5.0%-4.5%-4.7%
Q2 2016-0.2%+0.8%+5.9%
Q1 2016+0.8%
Q4 2015-5.6%
Q3 2015+6.9%
Q2 2015-9.2%
Q1 2015+5.3%
Q4 2014-3.1%
Q3 2014+2.5%
Q2 2014-9.5%
Q1 2014-8.5%
Q4 2013+3.4%
Q3 2013+0.5%
Q2 2013-4.3%
Q1 2013-3.8%
Q4 2012-5.4%
Q3 2012+10.4%
Q2 2012+28.5%
Q1 2011+8.9%
Q1 2012+3.2%
Q4 2011+0.9%
Q4 2009+0.9%
Q3 2010+1.9%
Q3 2011+1.9%
Q4 2010+4.3%
Q2 2010+4.3%
Q2 2011+4.3%
Q1 2010+10.1%

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