Teladoc Health Inc. (NYSE: TDOC) stock plummeted 5.05% in pre-market trading on Friday, as the company's widening losses overshadowed its in-line earnings performance for the full year 2024.
The virtual healthcare provider reported a net loss of $1.0 billion for the year, a staggering 354% increase from the previous year. Earnings per share deteriorated to a loss of $5.87, compared to a loss of $1.34 in 2023. Despite the mounting losses, Teladoc's revenue of $2.57 billion was in line with analyst estimates, though it declined 1.3% year-over-year.
The Integrated Care segment remained the primary revenue driver, contributing $1.53 billion (59% of total revenue). However, Teladoc's sales and marketing costs also ballooned to $910.8 million, accounting for a significant 32% of total expenses. Looking ahead, the company's revenue growth is projected to remain flat over the next three years, lagging behind the 9.6% growth forecast for the overall healthcare services industry in the US.