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LifeMD Inc. (LFMD-6.33%) has submitted its Form 10-K filing for the fiscal year ended December 31, 2024.
The filing details LifeMD's operations as a direct-to-patient telehealth company, highlighting its proprietary technology platform and network of affiliated providers. The company offers virtual healthcare services and prescription medications, primarily on a subscription basis.
LifeMD reported total revenue of $212.4 million for 2024, a 39% increase from the previous year. This growth was primarily driven by a 61% increase in telehealth revenue, which accounted for 75% of total revenue.
Gross profit for the year was $188.4 million, representing 89% of total revenue. The company attributed the increase in gross profit to higher sales volume and improved pricing for its telehealth services.
Operating expenses rose by 38% to $204.5 million, with significant increases in selling and marketing expenses, general and administrative expenses, and customer service expenses.
LifeMD reported a net loss of $18.7 million for 2024, compared to a net loss of $17.8 million in 2023. The company attributed the loss to increased investment in sales and marketing initiatives and operational infrastructure.
The company ended the year with $35.0 million in cash and cash equivalents, and a working capital deficit of $11.5 million.
LifeMD's liquidity strategy includes maintaining positive cash flows, leveraging its $53.3 million availability under the ATM Sales Agreement, and focusing on operational efficiencies.
The filing also discusses regulatory risks related to telehealth services, data privacy, and potential changes in healthcare laws that could impact LifeMD's operations.
LifeMD's management identified material weaknesses in its internal control over financial reporting, primarily related to IT general controls and business process controls. The company is implementing remediation measures to address these issues.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the LifeMD Inc. annual 10-K report dated March 11, 2025. To report an error, please email earnings@qz.com.