LifeMD, Inc. Q1 FY2026 earnings call

• Q1 was a strong start with revenue ahead of guidance and largest quarterly net addition of telehealth subscribers. - Weight management remains largest opportunity, entering next phase of GLP-1 adoption. - Women's health program has exceeded expectations with growth in subscribers, retention, and plans to introduce new pharmacy products. - RexMD evolving beyond ED into other personalized pharmacy products. - Deploying AI aggressively for clinical decision support, provider capacity expansion, and workflow improvement. - Pharmacy scaling, insurance and Medicare infrastructure expanding, strong momentum with pharmaceutical partners

Weight management: Signups increased ~120% sequentially from Q4, ended the quarter with just under 100,000 patients. Women's health: Subscriber count grew more than 7x from Q4 base, customer acquisition costs attractive, on therapy retention tracking north of 80%. RexMD and Men's Health: Approximately 215,000 active patients with growth across ED, sleep, and hair loss, sleep currently fastest growing. ED personalized medications grew >40% vs Q4. Pharmacy, insurance, and partnerships: Affiliated pharmacy processes ~20,000 prescriptions per month, licensed in all 50 states. Insurance and Medicare infrastructure ended quarter with ~112 million covered lives, expect to reach ~230 million by end of May. Revenue for Q1 was 50.2 million, active subscribers grew ~26% YOY to over 365,000, gross margin expanded ~420 basis points to 88%

• Reaffirm full year 2026 guidance of $220 million to $230 million in revenue and $12 million to $17 million in adjusted EBITDA. - Expect annualized run rate revenue above $250 million and adjusted EBITDA above $25 million by 4th quarter 2026. - Q2 expected revenue between $47 million to $50 million and adjusted EBITDA between negative $2 million to positive $1 million as efficiencies and cost savings realized

Q: David Larson with BTIG asked about relationship with Novo and Lilly, incremental marketing spend.

A: Relationship with Novo and Lilly evolving, limited to say more under NDA; elevated marketing spend in Q1 was productive, using various channels.

Q: Ryan Mayers with Lake Street Capital asked about insurance covered lives, conversion rates, retention, year-over-year revenue.

A: Seeing improvement in retention rates for insurance patients, CAC reduced by as much as 50%, year-over-year revenue decline due to shift from compounded GLP-1 to branded drugs.

Q: Sarah James with Cantor Fitzgerald asked about second quarter to third quarter EBITDA ramp, CMS Bridge Program.

A: Insurance business ramping up in second half, made technical improvements, planning to expand to 147 additional plans; excited about CMS Bridge Program but details still being worked out.

Q: Stephen Maleket with Zero Securities asked about Foundeo uptake, 2Q revenue guidance.

A: Can't comment on specific traction of therapies on platform, 2Q revenue softness due to transformation to quality revenue with lower pricing for some services.

Q: Steve Deckard with KeyBank asked about weight management subscriber cadence, self-insured employers.

A: Weight management subscriber cadence expected to be strong, self-insured employer opportunity with significant interest and pipeline of partnerships.

Q: Yi Chen with HC Rain Bright asked about FDA proposal, prescriber documentation.

A: FDA proposal changes have zero impact on business, provider documentation best in class