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Talkspace Inc. (TALK) has submitted its 10-K filing for the fiscal year ended December 31, 2024.
The filing reports a revenue increase to $187.6 million from $150.0 million in the previous year, driven by a 53.8% increase in Payor revenue. The growth in Payor revenue was attributed to a higher number of completed sessions.
Cost of revenues rose to $101.8 million from $75.7 million, primarily due to increased hours worked by therapists. Gross profit increased to $85.8 million, although gross margin decreased to 45.8% from 49.6% due to a revenue mix shift towards Payor.
Operating expenses decreased by 7.4% to $90.3 million, reflecting efforts to achieve greater operational efficiency. Research and development expenses decreased significantly due to reduced employee-related costs.
Net income for the year was $1.1 million, a turnaround from a net loss of $19.2 million in the previous year. Financial income, net, increased due to higher interest income.
The company repurchased and retired 3,911,259 shares of its common stock for $11.0 million under a share repurchase program, with $29.0 million remaining available for future repurchases.
Talkspace reported having approximately 179.4 million eligible lives through its Payor and DTE customers as of December 31, 2024, compared to 131.0 million in the previous year.
The company continues to focus on expanding its network of therapists and enhancing its platform to meet growing demand for virtual behavioral healthcare services.
This content was summarized by generative artificial intelligence using public filings retrieved from SEC.gov. The original data was derived from the Talkspace Inc. annual 10-K report dated March 12, 2025. To report an error, please email earnings@qz.com.