Press Release: Omada Health Reports Fourth Quarter and Full-Year 2025 Results

Dow Jones
Mar 06

Revenue up 58% in Fourth Quarter, 53% for Year; Member Growth of 55% for Year

Achieves Positive Net Income in Fourth Quarter; Significantly Narrows Net Loss for Full Year

Delivers Positive Adjusted EBITDA for Full Year

SAN FRANCISCO, March 05, 2026 (GLOBE NEWSWIRE) -- Omada Health, Inc. (Nasdaq: OMDA), the virtual between-visit healthcare provider, today reported financial results for the fourth quarter and full year ended December 31, 2025.

2025 Fourth Quarter and Full-Year Highlights

Highlights are for the fourth quarter and full year 2025, except where otherwise noted.

Total members

   -- 886,000 at year end, up 55% year over year 

Revenue

   -- $76 million in the fourth quarter, up 58% year over year 
 
   -- $260 million for the full year, up 53% compared with 2024 

GLP-1 Leadership

   -- Omada has now supported more than 150,000 members on GLP-1s, compared 
      with more than 50,000 at the end of 2024 
 
   -- Published research demonstrating the effectiveness of Omada's programs, 
      including data showing members in our GLP-1 Care Track, compared with 
      published real-world evidence, achieved greater average weight loss and 
      largely maintained weight, on average, one year after discontinuing GLP-1 
      therapy 
 
   -- Announced plans in November to launch a new prescribing offering that 
      will combine Omada's evidence-based behavior change program with 
      medication management for anti-obesity medications, including GLP-1s 
 
   -- Today, announced GLP-1 Flex Care, a new option that gives employers a 
      structured way to connect eligible employees with clinical evaluation, 
      prescribing, and ongoing medical oversight for GLP--1s--alongside Omada's 
      lifestyle and behavioral support--without taking on employer financial 
      coverage for GLP-1s, providing another flexible pathway to balance access, 
      affordability, and durable outcomes across diverse GLP--1 coverage 
      strategies 

Program Innovation

   -- During 2025, launched OmadaSpark and Meal Map, AI-powered tools that 
      support members with wellness education alongside our human coaches 
 
   -- In February of 2026, announced Omada for Cholesterol to address a highly 
      prevalent, often under--treated condition that frequently co--exists with 
      diabetes, hypertension, and obesity, further strengthening its 
      multi--condition platform capabilities and expanding the scope of Omada's 
      cardiometabolic care 

"Our 2025 performance reflects a pivotal year for Omada, marked by strong growth, important profitability milestones, and continued momentum across our business," said Sean Duffy, co--founder and CEO of Omada Health. "We demonstrated GLP--1 companion support innovation, advanced our member--facing AI capabilities, and introduced meaningful program expansions--all designed to support our members in achieving durable health improvements and serving as a foundation for progress toward our long--term mission to bend the curve of chronic disease."

Other Fourth Quarter and Full Year 2025 Financial Highlights

   -- Gross margin of 71% in the fourth quarter, up from 67% in Q4 2024, and 
      gross margin of 66% for the year compared with 61% in 2024 
 
   -- Non-GAAP gross margin of 73% in the fourth quarter, up from 69% in Q4 
      2024, and non-GAAP gross margin of 68% for the year compared with 63% in 
      2024 
 
   -- Net income of $5 million in the fourth quarter, compared with a net loss 
      of $8 million in Q4 2024, and a net loss of $13 million for the year 
      compared with a net loss of $47 million in 2024 
 
   -- Adjusted EBITDA of $8 million in the fourth quarter, compared with an 
      adjusted EBITDA loss of $4 million in Q4 2024, and adjusted EBITDA of $6 
      million for the year compared with an adjusted EBITDA loss of $29 million 
      in 2024 
 
   -- Cash and cash equivalents of $222 million 

Please see the Non-GAAP Financial Measures section below and reconciliations of GAAP to non-GAAP measures at the end of this press release.

Financial Outlook

For the year ending December 31, 2026, Omada expects:

   -- Revenue in the range of $312 million to $322 million, with the midpoint 
      representing 22% growth compared with 2025 
 
   -- Adjusted EBITDA in the range of $7 million to $15 million 

We have not provided an outlook for net loss (GAAP) or a reconciliation of expected adjusted EBITDA to net loss (GAAP) because net loss (GAAP) on a forward-looking basis is not available without unreasonable effort due to the potential variability and complexity of the items that are excluded from adjusted EBITDA, such as loss on debt extinguishment; provision for income taxes; depreciation and amortization; share-based compensation; change in fair value of warrant liabilities; amortization of intangible assets; and loss on disposal of property and equipment.

Conference Call

Omada Health will host a conference call at 1:30 p.m. PT/4:30 p.m. ET today, March 5, 2026, during which management will discuss fourth quarter and full-year 2025 results.

A live audio webcast of the call will be available online at https://investors.omadahealth.com. A replay will be available shortly after the conclusion of the call at the same link and will remain accessible for approximately 12 months.

Those participating via conference call can pre-register using the following link:

https://register-conf.media-server.com/register/BI58c6d7a71730445093f7ea7c02d33e97

About Omada Health

Omada Health (Nasdaq: OMDA) is reverse engineering the way healthcare is delivered in America, putting the space between doctor visits--where health is won or lost--at the center of care. Today's healthcare system poorly serves chronic conditions that require ongoing support outside of the exam room, like obesity, diabetes, hypertension, cholesterol, and musculoskeletal conditions. Omada's virtual-first model combines human-led care teams, connected devices, and AI-enabled technology to deliver personalized care at scale, including support for GLP-1 therapy. Omada has served more than two million members since launch across 2,000+ employers, health plans, pharmacy benefit managers, and health systems. Learn more at omadahealth.com.

Cautionary Note Regarding Forward-Looking Statements

This press release contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. In some cases, forward-looking statements can be identified by words such as: "anticipate," "intend," "plan," "believe," "project," "estimate," "expect," "may," "should," "will" and similar references to future periods. Examples of forward-looking statements contained in this press release include, but are not limited to, statements we make regarding our GLP-1 leadership, plans to launch a new prescribing offering and the benefits of the offering, program innovation and related capabilities, ability to deliver measurable results, business trends, growth prospects and future financial and operating results, and our financial outlook.

Forward-looking statements are neither historical facts nor assurances of future performance. Instead, they are based only on our current beliefs, expectations and assumptions regarding the future of our business, future plans and strategies, projections, anticipated events and trends, macroeconomic and industry conditions and other factors. Because forward-looking statements relate to the future, they are subject to inherent uncertainties, risks and changes in circumstances that are difficult to predict and many of which are outside of our control. Our actual results and financial condition may differ materially from those indicated in the forward-looking statements. Important factors that could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements include, but are not limited to, the following: our limited operating history and ability to manage our growth effectively; our history of net losses and ability to maintain profitability; the ability of our programs to achieve and maintain market acceptance; changes in the healthcare industry and competition; the growth and success of our customers and channel partners; the number of individuals covered by our programs and the number of our programs covered by our customers; the level of member engagement in our programs; our ability to maintain and grow customer and channel partner relationships; concentration of a substantial portion of our sales among a limited number of customers and channel partners; our ability to attract new customers and channel partners and increase member enrollment from existing and new customers and channel partners; our ability to increase the size of our organization; our dependence on a limited number of third-party suppliers; the impact of seasonality on our financial results; our ability to achieve widespread brand awareness and the impact of any negative media coverage; our ability to develop and release new programs and services; cybersecurity threats; our dependence on the interoperability of our programs and connected devices with third-party devices, operating systems and applications; changes in laws or regulations or the implementation of existing laws and regulations; compliance with privacy and security laws and regulations; our and our affiliated professional entities' compliance with healthcare regulatory laws; any modification in U.S. Food and Drug Administration enforcement policies; our dependence on our relationships with affiliated professional entities; and other risk factors identified in our filings with the Securities and Exchange Commission (the "SEC"), including our Annual Report on Form 10-K for the year ended December 31, 2025, which is being filed at or around the date hereof.

All forward-looking statements in this press release are based only on information currently available to us and speak only as of the date on which they are made. We undertake no obligation to publicly update any forward-looking statement, whether written or oral, that may be made from time to time, whether as a result of new information, future developments or otherwise, except as required under applicable law.

Investor Relations Contact:

Allan Kells

ir@omadahealth.com

Media Contact:

Rose Ramseth

press@omadahealth.com

 
Omada Health, Inc. 
Consolidated Balance Sheets 
 
(in thousands, except share and per-share amounts) 
(unaudited) 
 
 
                                                 As of December 31, 
                                              ------------------------ 
                                                 2025        2024 
                                                           -------- 
Assets 
Current assets 
  Cash and cash equivalents                   $ 222,036   $  76,392 
  Accounts receivable, net(1)                    34,585      23,417 
  Inventory                                       4,486       3,296 
  Deferred commissions, current                   3,539       3,017 
  Prepaid expenses and other current 
   assets(2)                                      8,288       6,937 
--------------------------------------------   --------    -------- 
      Total current assets                      272,934     113,059 
Property and equipment, net                       7,942       5,625 
Operating lease right-of-use asset                    -         447 
Deferred commissions, non-current                 8,711       9,214 
Intangible assets, net                            2,414       4,263 
Goodwill                                         13,240      13,240 
Other assets                                        165       5,044 
--------------------------------------------   --------    -------- 
      Total assets                            $ 305,406   $ 150,892 
                                               ========    ======== 
 
Liabilities, redeemable convertible 
preferred stock and stockholders' equity 
(deficit) 
Current liabilities 
  Accounts payable(3)                         $  10,276   $   4,168 
  Accrued expenses and other current 
   liabilities(4)                                40,392      29,840 
  Operating lease liability, current                  -         415 
  Deferred revenue(5)                            25,058      19,530 
--------------------------------------------   --------    -------- 
      Total current liabilities                  75,726      53,953 
Long term debt                                        -      29,771 
Warrant liabilities, non-current                      -       2,252 
Other liabilities, non-current                        -         285 
--------------------------------------------   --------    -------- 
      Total liabilities                          75,726      86,261 
                                               --------    -------- 
Commitments and contingencies 
  Redeemable convertible preferred stock, 
   $0.001 par value per share; no shares and 
   120,689 shares authorized as of December 
   31, 2025 and December 31, 2024, 
   respectively; no shares and 118,219 
   shares issued and outstanding as of 
   December 31, 2025 and December 31, 2024, 
   respectively; aggregate liquidation 
   preference of $0 and $455,588 as of 
   December 31, 2025 and December 31, 2024, 
   net of issuance costs                              -     449,034 
Stockholders' equity (deficit) 
  Common stock, $0.001 par value per share; 
   750,000 and 181,500 shares authorized as 
   of December 31, 2025 and December 31, 
   2024, respectively; 58,429 and 8,157 
   shares issued and outstanding as of 
   December 31, 2025 and December 31, 2024, 
   respectively                                      58           8 
  Additional paid-in capital                    686,366      59,555 
  Accumulated deficit                          (456,744)   (443,966) 
--------------------------------------------   --------    -------- 
      Total stockholders' equity (deficit)      229,680    (384,403) 
--------------------------------------------   --------    -------- 
  Total liabilities, redeemable convertible 
   preferred stock and stockholders' equity 
   (deficit)                                  $ 305,406   $ 150,892 
============================================   ========    ======== 
 

(1) Includes amounts from a related party of $22.8 million and $13.2 million as of December 31, 2025 and December 31, 2024, respectively.

(2) Includes amounts from a related party of $0.3 million and $0.1 million as of December 31, 2025 and December 31, 2024, respectively.

(3) Includes amounts from a related party of $1.0 million and $0 as of December 31, 2025 and December 31, 2024, respectively.

(4) Includes amounts from a related party of $4.9 million and $2.2 million as of December 31, 2025 and December 31, 2024, respectively.

(5) Includes amounts from a related party of $18.8 million and $13.2 million as of December 31, 2025 and December 31, 2024, respectively.

 
Omada Health, Inc. 
Consolidated Statements of Operations and Comprehensive 
 Loss 
 
(in thousands, except per-share data) 
(unaudited) 
 
 
                      Three Months Ended        Year Ended 
                         December 31,          December 31, 
                      ------------------  ---------------------- 
                        2025      2024      2025       2024 
                       ------    ------    -------    ------- 
Revenue 
  Services(1)         $71,651   $45,438   $241,043   $157,789 
  Hardware(2)           4,195     2,540     19,167     12,011 
--------------------   ------    ------    -------    ------- 
    Total revenue      75,846    47,978    260,210    169,800 
                       ------    ------    -------    ------- 
Cost of revenue 
  Services(3)          13,768    10,834     51,839     42,520 
  Hardware              8,416     5,011     37,432     24,403 
--------------------   ------    ------    -------    ------- 
    Total cost of 
     revenue           22,184    15,845     89,271     66,923 
--------------------   ------    ------    -------    ------- 
      Gross profit     53,662    32,133    170,939    102,877 
Operating expenses 
  Research and 
   development(4)      11,552     9,190     40,683     35,923 
  Sales and 
   marketing(5)        24,613    18,089     90,044     68,053 
  General and 
   administrative(6)   14,216    11,954     52,184     42,555 
--------------------   ------    ------    -------    ------- 
    Total operating 
     expenses          50,381    39,233    182,911    146,531 
--------------------   ------    ------    -------    ------- 
    Operating income 
     (loss)             3,281    (7,100)   (11,972)   (43,654) 
Other income 
(expense), net 
  Interest expense        (13)   (1,097)    (2,534)    (4,506) 
  Interest income       1,891       174      5,305        805 
  Loss on debt 
   extinguishment           -         -     (2,109)         - 
  Change in fair 
   value of warrant 
   liabilities              -      (227)    (1,468)       218 
--------------------   ------    ------    -------    ------- 
    Total other 
     expense, net       1,878    (1,150)      (806)    (3,483) 
--------------------   ------    ------    -------    ------- 
    Income (loss) 
     before 
     provision for 
     income taxes       5,159    (8,250)   (12,778)   (47,137) 
  Provision for 
  income taxes              -         -          -          - 
                       ------    ------    -------    ------- 
Net income (loss) 
 and comprehensive 
 income (loss)        $ 5,159   $(8,250)  $(12,778)  $(47,137) 
====================   ======    ======    =======    ======= 
 
Net income (loss) 
per share 
    Basic             $  0.09   $ (1.04)  $  (0.35)  $  (6.11) 
====================   ======    ======    =======    ======= 
    Diluted           $  0.08   $ (1.04)  $  (0.35)  $  (6.11) 
                       ======    ======    =======    ======= 
 
Weighted-average 
shares outstanding 
    Basic              58,056     7,951     36,639      7,721 
====================   ======    ======    =======    ======= 
    Diluted            63,930     7,951     36,639      7,721 
====================   ======    ======    =======    ======= 
 

(1) Includes amounts from a related party of $49.5 million and $25.9 million for the three months ended December 31, 2025 and 2024, respectively and $157.7 million and $88.0 million for the year ended December 31, 2025 and 2024, respectively.

(2) Includes amounts from a related party of $3.1 million and $1.8 million for the three months ended December 31, 2025 and 2024, respectively and $12.1 million and $6.5 million for the year ended December 31, 2025 and 2024, respectively.

(3) Includes amounts from a related party of $1.2 million and $0.9 million for the three months ended December 31, 2025 and 2024, respectively and $5.0 million and $3.4 million for the year ended December 31, 2025 and 2024, respectively.

(4) Includes amounts from a related party of $0.6 million and $0.4 million for the three months ended December 31, 2025 and 2024, respectively and $2.2 million and $1.7 million for the year ended December 31, 2025 and 2024, respectively.

(5) Includes amounts from a related party of $6.8 million and $4.2 million for the three months ended December 31, 2025 and 2024, respectively and $26.1 million and $15.2 million for the year ended December 31, 2025 and 2024, respectively.

(6) Includes amounts from a related party of $0.4 million and $0.3 million for the three months ended December 31, 2025 and 2024, respectively and $1.5 million and $1.1 million for the year ended December 31, 2025 and 2024, respectively.

 
Omada Health, Inc. 
Share-based Compensation Summary 
 
(in thousands) 
(unaudited) 
 
 
                             Three Months Ended      Year Ended 
                                December 31,         December 31, 
                           ----------------------  --------------- 
                               2025        2024     2025     2024 
                                         --------           ------ 
Services cost of revenue    $        65  $     57  $   169  $  219 
Research and development            594       458    2,228   1,713 
Sales and marketing               1,255       621    3,918   2,602 
General and 
 administrative                   1,831     1,176    6,640   4,886 
                               --------   -------   ------   ----- 
Total share-based 
 compensation expense       $     3,745  $  2,312  $12,955  $9,420 
                               ========   =======   ======   ===== 
 
 
Omada Health, Inc. 
Consolidated Statements of Cash Flows 
 
(in thousands) 
(unaudited) 
 
 
                    Three Months Ended         Year Ended 
                        December 31,          December 31, 
                    -------------------  ---------------------- 
                      2025       2024      2025       2024 
                                ------               ------- 
Operating 
activities 
Net income (loss)   $  5,159   $(8,250)  $(12,778)  $(47,137) 
Adjustments to 
reconcile net loss 
to net cash 
provided by (used 
in) operating 
activities 
   Depreciation 
    and 
    amortization       1,447     1,278      5,491      4,803 
   Share-based 
    compensation       3,745     2,312     12,955      9,420 
   Loss on debt 
    extinguishment         -         -      2,109          - 
   Loss on 
    disposal of 
    property and 
    equipment              6         -          8          2 
   Amortization of 
    debt issuance 
    costs                  -        98        285        389 
   Non-cash 
    operating 
    lease expense          -       187        447        728 
   Change in fair 
    value of 
    warrants               -       227      1,468       (218) 
   Provision for 
    credit 
    losses(1)           (296)    1,009      1,189      1,760 
   Amortization of 
    deferred 
    commissions          872       742      3,339      2,643 
Changes in 
operating assets 
and liabilities 
   Accounts 
    receivable(2)      7,157       871    (12,357)    (8,805) 
   Inventory          (1,338)   (1,527)    (1,190)       318 
   Prepaid 
    expenses and 
    other current 
    assets(3)            161    (1,197)    (1,409)    (1,853) 
   Deferred 
    commissions       (1,191)   (1,550)    (3,510)    (6,422) 
   Other 
    non-current 
    assets                70        78        251        409 
   Accounts 
    payable(4)         4,916    (1,089)     6,289        399 
   Operating lease 
    liabilities            -      (202)      (415)      (783) 
   Accrued 
    expenses and 
    other current 
    liabilities(5)     2,770     3,661     10,552      5,343 
   Deferred 
    revenue(6)        (2,099)   (3,180)     5,528      4,645 
   Other 
    non-current 
    liabilities            -        45          -        180 
------------------   -------    ------    -------    ------- 
      Net cash 
       provided by 
       (used in) 
       operating 
       activities     21,379    (6,487)    18,252    (34,179) 
                     -------    ------    -------    ------- 
 
Investing 
activities 
Purchases of 
 property and 
 equipment              (199)     (184)    (1,322)      (596) 
Capitalized 
 internal-use 
 software costs       (1,147)     (785)    (4,510)    (3,267) 
------------------   -------    ------    -------    ------- 
      Net cash 
       used in 
       investing 
       activities     (1,346)     (969)    (5,832)    (3,863) 
                     -------    ------    -------    ------- 
 
Financing 
activities 
Proceeds from 
 exercise of stock 
 options               3,375     1,284      9,368      3,329 
Payment of 
 deferred offering 
 costs                     1    (1,171)    (4,283)    (4,538) 
Repayment of 
 Midcap term 
 facility 
 principal                 -         -    (30,963)         - 
Payment of debt 
 extinguishment 
 costs                     -         -     (1,430)         - 
Proceeds from 
 initial public 
 offering, net of 
 underwriting 
 discounts and 
 commissions               -         -    160,532          - 
------------------   -------    ------    -------    ------- 
      Net cash 
       provided by 
       (used in) 
       financing 
       activities      3,376       113    133,224     (1,209) 
                     -------    ------    -------    ------- 
 
Net increase 
 (decrease) in 
 cash and cash 
 equivalents          23,409    (7,343)   145,644    (39,251) 
Cash and cash 
 equivalents at 
 beginning of 
 period              198,627    83,735     76,392    115,643 
------------------   -------    ------    -------    ------- 
Cash and cash 
 equivalents at 
 end of period      $222,036   $76,392   $222,036   $ 76,392 
==================   =======    ======    =======    ======= 
 

(1) Includes changes in related party balances of $0.5 million and $0.2 million for the three months and year ended December 31, 2025 and 2024, respectively.

(2) Includes changes in related party balances of $9.1 million and $5.3 million for the three months and year ended December 31, 2025 and 2024, respectively.

(3) Includes changes in related party balances of $0.2 million and $0.1 million for the three months and year ended December 31, 2025 and 2024, respectively.

(4) Includes changes in related party balances of $1.0 million and $0 million for the three months and year ended December 31, 2025 and 2024, respectively.

(5) Includes changes in related party balances of $2.7 million and $0.7 million for the three months and year ended December 31, 2025 and 2024, respectively.

(6) Includes changes in related party balances of $5.7 million and $3.9 million for the three months and year ended December 31, 2025 and 2024, respectively.

Non-GAAP Financial Measures

We use certain financial measures not calculated in accordance with accounting principles generally accepted in the United States ("GAAP") to supplement the financial information in our consolidated financial statements, which are presented in accordance with GAAP. These non-GAAP financial measures include non-GAAP gross profit, non-GAAP gross margin, non-GAAP research and development expense, non-GAAP sales and marketing expense, non-GAAP general and administrative expense, non-GAAP operating expenses, non-GAAP operating expenses (as a % of revenue), adjusted EBITDA, adjusted EBITDA margin, and free cash flow.

We define non-GAAP gross profit and non-GAAP gross margin as gross profit and gross margin, excluding share-based compensation expense, amortization of intangible assets, and depreciation and amortization.

We define non-GAAP general and administrative expenses as total general and administrative expenses reported on our consolidated statements of operations, excluding share-based compensation expense, amortization of intangible assets, depreciation and amortization, and loss on disposal of property and equipment. We define non-GAAP research and development expenses as total research and development expenses reported on our consolidated statements of operations, excluding share-based compensation expense, amortization of intangible assets, depreciation and amortization, and loss on disposal of property and equipment. We define non-GAAP sales and marketing expenses as total sales and marketing expenses reported on our consolidated statements of operations, excluding share-based compensation expense, amortization of intangible assets, depreciation and amortization, and loss on disposal of property and equipment. We define non-GAAP operating expenses as total operating expenses reported on our consolidated statements of operations, excluding share-based compensation expense, amortization of intangible assets, depreciation and amortization, and loss on disposal of property and equipment. We define non-GAAP operating expenses margin as non-GAAP operating expenses divided by GAAP total revenue reported on our consolidated statements of operations.

We define adjusted EBITDA as net loss and comprehensive loss reported on our consolidated statements of operations, excluding the impact of interest expense, interest income, change in fair value of warrant liabilities, loss on debt extinguishment, provision for income taxes, share-based compensation expense, amortization of intangible assets, depreciation and amortization, and loss on disposal of property and equipment.

Free cash flow is net cash used in operating activities less purchases of property and equipment and capitalized internal-use software costs.

We believe these non-GAAP financial measures, when taken collectively with GAAP financial information, are useful to investors and others because they allow for additional information with respect to financial measures used by management in its financial and operational decision-making. However, there are a number of limitations related to the use of non-GAAP financial measures. Our presentation of non-GAAP financial measures may not be comparable to similar measures used by other companies. We encourage investors to carefully consider our results under GAAP, as well as our supplemental non-GAAP information and the reconciliation between these presentations, to more fully understand our business. Please see the tables included at the end of this release for the reconciliation of GAAP to non-GAAP results.

Key Metric

Total Members: A member is a person who is enrolled in one of our virtual care programs and that generated a billing event in the preceding 12 months. We believe growth in the number of members is a key indicator of the performance of our business for both investors and management as we monitor the performance of our business, as members primarily drive services revenue. The number of members depends, in part, on our ability to successfully market our services to new customers and channel partners, our ability to sell additional programs to existing customers and channel partners, and our ability to promote awareness of our programs among covered individuals and to encourage their enrollment.

Reconciliation of GAAP to Non-GAAP Financial Measures

The following tables reconcile to the specific items excluded from GAAP metrics in the calculation of non-GAAP metrics for the periods shown below:

 
Omada Health, Inc. 
Reconciliation of GAAP to Non-GAAP Financial Measures 
 - Adjusted EBITDA 
 
(in thousands) 
(unaudited) 
 
 
                         Three Months Ended             Year Ended 
                            December 31,               December 31, 
                      ------------------------  -------------------------- 
                        2025         2024         2025          2024 
                                    ------                     ------- 
 
                               (in thousands, except percentages) 
GAAP net income 
 (loss) and 
 comprehensive 
 income (loss)        $ 5,159      $(8,250)     $(12,778)     $(47,137) 
Add: 
    Interest expense       13        1,097         2,534         4,506 
    Interest income    (1,891)        (174)       (5,305)         (805) 
    Change in fair 
     value of 
     warrant 
     liabilities           --          227         1,468          (218) 
    Loss on debt 
    extinguishment         --           --         2,109            -- 
    Provision for 
    income taxes           --           --            --            -- 
    Share-based 
     compensation 
     expense            3,745        2,312        12,955         9,420 
    Amortization of 
     intangible 
     assets               440          501         1,851         2,007 
    Depreciation and 
     amortization(1)    1,007          777         3,640         2,796 
    Loss on disposal 
     of property and 
     equipment              5           --             8             2 
                       ------       ------       -------       ------- 
Adjusted EBITDA       $ 8,478      $(3,510)     $  6,482      $(29,429) 
====================   ======       ======       =======       ======= 
GAAP net income 
 (loss) and 
 comprehensive 
 income (loss) 
 margin (as a 
 percentage of 
 revenue)                 6.8%       (17.2)%        (4.9)%       (27.8)% 
Adjusted EBITDA 
 margin (as a 
 percentage of 
 revenue)                11.2%        (7.3)%         2.5%        (17.3)% 
 

(1) Depreciation and amortization includes depreciation of property and equipment and amortization of capitalized internal-use software costs

 
Omada Health, Inc. 
Reconciliation of GAAP to Non-GAAP Financial Measures 
 
(in thousands) 
(unaudited) 
 
 
                         Three Months Ended             Year Ended 
                            December 31,               December 31, 
                      ------------------------  -------------------------- 
                        2025         2024         2025          2024 
                                    ------                     ------- 
 
                               (in thousands, except percentages) 
GAAP gross profit     $53,662      $32,133      $170,939      $102,877 
Add: 
    Share-based 
     compensation 
     expense               65           57           169           219 
    Amortization of 
     intangible 
     assets               440          438         1,755         1,755 
    Depreciation and 
     amortization(1)      927          683         3,294         2,406 
                       ------       ------       -------       ------- 
Non-GAAP gross 
 profit                55,094       33,311       176,157       107,257 
====================   ======       ======       =======       ======= 
GAAP gross margin 
 (as a percentage of 
 revenue)                70.8%        67.0%         65.7%         60.6% 
Non-GAAP gross 
 margin (as a 
 percentage of 
 revenue)                72.6%        69.4%         67.7%         63.2% 
 

(1) Depreciation and amortization includes depreciation of property and equipment and amortization of capitalized internal-use software costs

 
GAAP Research and 
 development expense     $11,552      $ 9,190      $ 40,683      $ 35,923 
Less: 
Share-based 
 compensation expense        594          458         2,228         1,713 
Depreciation and 
 amortization(1)              27           19            88            83 
-----------------------   ------       ------       -------       ------- 
Non-GAAP research and 
 development expense     $10,931      $ 8,713      $ 38,367      $ 34,127 
=======================   ======       ======       =======       ======= 
   Non-GAAP research 
    and development 
    expense (as a % of 
    revenue)                  14%          18%           15%           20% 
 
GAAP Sales and 
 marketing expense       $24,613      $18,089      $ 90,044      $ 68,053 
Less: 
Share-based 
 compensation expense      1,255          621         3,918         2,602 
Amortization of 
 intangible assets            --           63            94           252 
Depreciation and 
 amortization(1)              34           28           121           118 
-----------------------   ------       ------       -------       ------- 
Non-GAAP sales and 
 marketing expense       $23,324      $17,377      $ 85,911      $ 65,081 
=======================   ======       ======       =======       ======= 
   Non-GAAP sales and 
    marketing expense 
    (as a % of 
    revenue)                  31%          36%           33%           38% 
 
GAAP General and 
 administrative 
 expense                 $14,216      $11,954      $ 52,184      $ 42,555 
Less: 
Share-based 
 compensation expense      1,831        1,176         6,640         4,886 
Depreciation and 
 amortization(1)              19           47           138           189 
Loss on disposal of 
 property and 
 equipment                     5           --             8             2 
-----------------------   ------       ------       -------       ------- 
Non-GAAP general and 
 administrative 
 expense                 $12,361      $10,731      $ 45,398      $ 37,478 
=======================   ======       ======       =======       ======= 
   Non-GAAP general and 
    administrative 
    expense (as a % of 
    revenue)                  16%          22%           17%           22% 
 
GAAP operating expense   $50,381      $39,233      $182,911      $146,531 
Less: 
Share-based 
 compensation expense      3,680        2,255        12,786         9,201 
Amortization of 
 intangible assets            --           63            94           252 
Depreciation and 
 amortization(1)              80           94           347           390 
Loss on disposal of 
 property and 
 equipment                     5           --             8             2 
-----------------------   ------       ------       -------       ------- 
Non-GAAP operating 
 expense                 $46,616      $36,821      $169,676      $136,686 
=======================   ======       ======       =======       ======= 
GAAP operating expense 
 (as a % of revenue)        66.4%        81.8%         70.3%         86.3% 
   Non-GAAP operating 
    expense (as a % of 
    revenue)                61.5%        76.7%         65.2%         80.5% 
 

(1) Depreciation and amortization includes depreciation of property and equipment and amortization of capitalized internal-use software costs

 
Omada Health, Inc. 
Reconciliation of GAAP Net Cash Provided by Operating 
 Activities to Free Cash Flow 
 
(in thousands) 
(unaudited) 
                 Three Months Ended        Year Ended 
                    December 31,          December 31, 
                 ------------------  ---------------------- 
                   2025      2024      2025       2024 
                            ------               ------- 
Net cash 
 provided by 
 (used in) 
 operating 
 activities      $21,379   $(6,487)  $ 18,252   $(34,179) 
Purchases of 
 property and 
 equipment          (199)     (184)    (1,322)      (596) 
Capitalized 
 internal-use 
 software 
 development 
 costs            (1,147)     (785)    (4,510)    (3,267) 
---------------   ------    ------    -------    ------- 
Free Cash Flow   $20,033   $(7,456)  $ 12,420   $(38,042) 
---------------   ------    ------    -------    ------- 
Other cash flow 
components: 
Net cash used 
 in investing 
 activities      $(1,346)  $  (969)  $ (5,832)  $ (3,863) 
Net cash 
 provided by 
 (used in) 
 financing 
 activities      $ 3,376   $   113   $133,224   $ (1,209) 
 

(END) Dow Jones Newswires

March 05, 2026 16:03 ET (21:03 GMT)

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