Teladoc, a major player in the telehealth industry, has presented a weaker-than-expected forecast for 2024, citing increased competition in the crowded digital health market. In the fourth quarter of 2023, Teladoc reported $661 million in revenue, a 4% increase from the same period in the previous year. Despite growth in access fees and international revenue, the company's U.S. revenue only grew by 2%. Teladoc's virtual mental health business, BetterHelp, experienced flat growth due to lower marketing yield. The integrated care segment, targeting health plans, employers, and health systems, saw an 8% increase in revenue to $384 million.
Despite exceeding Wall Street expectations in terms of net loss, with a loss of $29 million in Q4, Teladoc provided a cautious outlook for 2024, projecting slower revenue growth and lower-than-expected earnings per share (EPS). The company expects first-quarter revenue to be between $630 million and $645 million, falling short of analysts' projections. For the full year of 2024, Teladoc anticipates revenue between $2.635 billion and $2.735 billion, slightly below analysts' expectations of $2.77 billion. The company also forecasts an EPS loss between $1.10 and 80 cents, beating analysts’ expectations of $1.23. Teladoc envisions integrated care membership reaching between 90 million to 92 million members.
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