LifeMD Cuts 2026 Profit Outlook After GLP-1 Shift

The Tip Desk · August 5, 2026 · 4 min read

Second-quarter revenue was $47.3 million and the company now sees full-year adjusted EBITDA of negative $6.0 million to breakeven.

LifeMD, Inc. (LFMD), a virtual primary care and pharmacy company, revised its 2026 outlook after completing most of the shift from compounded to branded GLP-1 weight-loss drugs. The company now expects full-year revenue of $205.5 million to $212.5 million, down from prior guidance of $220 million to $230 million, and adjusted EBITDA of negative $6.0 million to breakeven, versus a prior range of $12 million to $17 million. The new profit range includes $2 million to $3 million of net launch costs for XYOSTED in 2026.

Second-quarter revenue of $47.3 million fell 4% from $49.0 million a year earlier and sat inside the company’s $47 million to $50 million range. LifeMD said the year-over-year decline reflected the continued move from compounded to branded GLP-1 therapies and lower upfront revenue from pricing and mix decisions. Sequentially, revenue declined from $50.2 million in the first quarter, when results had exceeded a $48 million to $49 million range.

Adjusted EBITDA swung to a loss of approximately $3.5 million from positive adjusted EBITDA of approximately $3.9 million a year earlier. The company attributed the year-over-year flip to elevated customer acquisition costs earlier in the quarter and lower upfront cash collection associated with a $39 introductory offer, and said monthly performance improved as the quarter progressed. The loss improved approximately 21% sequentially from a $4.5 million loss in the first quarter. GAAP net loss from continuing operations attributable to common stockholders was $7.9 million, or $0.16 a share, compared with $3.8 million, or $0.09 a share, a year earlier.

Gross profit was $42.0 million, essentially unchanged from the year-ago period despite lower revenue. Gross margin expanded to approximately 89% from 86% a year earlier, up about 280 basis points, on lower shipping and fulfillment costs and continued scaling of the in-house pharmacy. That followed a first-quarter margin of 88%.

Selling and marketing expenses rose 27% year-over-year to $28.0 million but declined $1.8 million from the first quarter, consistent with a planned step-down in patient acquisition spend. General and administrative expenses declined 5% to $13.6 million, led by lower employee expenses and legal and professional services fees.

Active subscribers increased 20% year-over-year to approximately 356,000 at quarter end, after a first-quarter year-over-year increase of approximately 26% to over 365,000. Weight Management Program subscribers were approximately 108,000, up from just under 100,000 at the end of the first quarter. About 84% of revenue came from recurring subscriptions.

The company said approximately 95% of all new weight management patients now begin treatment with branded GLP-1 therapies and that it is effectively at the end of its transition away from compounded GLP-1 medications. Following a pricing change in weight management, the share of new patients selecting multi-month packages increased from approximately 25% year to date before the change to approximately 85% after it. Chairman and CEO Justin Schreiber said the near-term impact on profitability was greater than anticipated and that the decisions made during the quarter were already driving a shift toward what the company believes will be higher-lifetime-value subscribers.

LifeMD launched an exclusive telehealth co-marketing collaboration with Halozyme’s Antares Pharma for XYOSTED, the only FDA-approved once-weekly subcutaneous testosterone auto-injector. Women’s Health operating trends continued to improve, with lower customer acquisition costs and new pharmacy products launching in the second half.

Cash totaled $25.1 million as of June 30, 2026, with no debt and an undrawn $30 million revolving credit facility, down from $34.5 million at the end of the first quarter. Chief Financial Officer Atul Kavthekar said the company amended the revolving credit facility and that, as more patients choose longer-duration plans and marketing spend declines in the second half, it expects cash to build through year-end.

For the third quarter of 2026, LifeMD expects revenue of $48 million to $51 million and adjusted EBITDA of negative $1 million to positive $2 million, returning to positive adjusted EBITDA as cost savings take hold. Fourth-quarter guidance of $60 million to $64 million of revenue and $3 million to $6 million of adjusted EBITDA implies an annualized exit run rate of approximately $250 million of revenue and, before estimated XYOSTED launch costs, approximately $22 million of continuing adjusted EBITDA.