TDOC · Teladoc Health, Inc.

Teladoc Health's first quarter 2026 results reflect a company in transition, with consolidated revenue declining 2% year-over-year to $613.8 million. The top-line performance was driven by diverging segment dynamics: the Integrated Care segment demonstrated resilience with 2% revenue growth and an improved adjusted EBITDA margin of 14.2%, while the BetterHelp segment faced headwinds, posting a 9% revenue decline and a compressed adjusted EBITDA margin of 0.9%. Management highlighted progress in scaling insurance acceptance within BetterHelp, though the segment's paying user base contracted 9% year-over-year to 0.361 million users. GAAP net loss narrowed significantly to $63.8 million, or $0.36 per share, compared to $93.0 million in the prior year period; however, the current quarter included $12.0 million in restructuring costs, primarily related to severance. The prior year comparability was impacted by a substantial $59.1 million non-cash goodwill impairment charge. Cash generation softened, with operating cash flow decreasing to $9.5 million and free cash flow turning to an outflow of $26.3 million, influenced by $35.8 million in capital expenditures and capitalized software development. Looking forward, management reaffirmed the midpoint of its full-year 2026 outlook, projecting revenue between $2.48 billion and $2.58 billion and adjusted EBITDA of $267 million to $306 million, signaling confidence in the Integrated Care segment's stability while navigating challenges in the direct-to-consumer mental health market.