Omada Health Reports Third Quarter 2025 Results

Revenue of $68 million, up 49%; 53%Member Growth
Significant Reduction in Net Loss and First Quarter of Positive Adjusted EBITDA
Announces New GLP-1 Prescribing Offering

SAN FRANCISCO, Nov. 06, 2025 (GLOBE NEWSWIRE) -- Omada Health, Inc. (Nasdaq: OMDA), the virtual between-visit healthcare provider, today reported financial results for the third quarter ended September 30, 2025.

2025 Third Quarter Highlights

Total members of 831,000, up 53% compared with the third quarter of 2024Revenue of $68 million, up 49% compared with the third quarter of 2024Prescribing offering: announced plans to launch a new prescribing offering that will combine Omada’s evidence-based behavior change program with medication management for anti-obesity medications (AOMs), including GLP-1s; the offering will tailor support before, during, and after treatment–designed to help improve member health outcomes and the value of AOM spendClinical differentiation: published 30th peer-reviewed manuscript, which demonstrated significant cost savings from Omada’s Joint & Muscle Health program, and released data showing that members in the analysis largely maintained their weight one year after discontinuing GLP-1 therapy — an outcome that challenges widespread assumptions of inevitable post-medication weight gainOmada Meal Map: launched Meal Map, an AI-powered nutrition experience that focuses on nutrient quality rather than calorie counting, building on OmadaSpark, the AI-driven nutrition education tool introduced earlier this year

“Our third quarter results demonstrate the strength of Omada’s multi-product platform in a moment of intense national focus on obesity-related chronic disease,” said Sean Duffy, Co-founder and CEO of Omada Health. “We also took important steps to deepen our innovation in GLP-1 care options and advance our AI capabilities, both aimed at delivering meaningful and sustainable outcomes for our members and cost savings for customers.”

Other Third Quarter 2025 Financial Highlights

Gross margin of 66%, up from 63% in the third quarter of 2024Non-GAAP gross margin of 68%, up from 65% in the third quarter of 2024Net loss of $3 million, compared with a net loss of $9 million in the third quarter of 2024Adjusted EBITDA of $2 million compared with an adjusted EBITDA loss of $5 million in the third quarter of 2024Cash and cash equivalents of $199 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, 2025, Omada expects:

Revenue in the range of $251.5 million to $254.5 million, up from a prior range of $235 million to $241 millionAdjusted EBITDA in a range of a $2 million loss to breakeven, up from a prior range of a $9 million to $5 million loss

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 interest expense and income; 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, November 6, 2025, during which management will discuss third quarter 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/BI5d4433a45b724c1b8ea8701cdda592ab.

About Omada Health

Omada Health (Nasdaq: OMDA) is a virtual between-visit healthcare provider that addresses cardiometabolic conditions including diabetes, hypertension, prediabetes, and obesity, as well as musculoskeletal issues. Through specialized care tracks, Omada also supports members taking GLP-1s and other anti-obesity medications. Our unique approach of Compassionate Intelligence combines human-led care teams, connected devices, and AI-powered technology to deliver personalized care at scale.

With more than a decade of experience and data, and 30 peer-reviewed publications that showcase its clinical and economic results, Omada has served over one million members since launch across more than 2,000 customers, including health plans, health systems, and employers ranging in size from small businesses to Fortune 500s. Its evidence-based approach and commitment to bending the curve of chronic disease has earned the company multiple healthcare accreditations and recognition in the industry.

As a trusted partner in the healthcare ecosystem, Omada delivers measurable results that help improve health outcomes while containing healthcare costs. For more information, visit 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 plans to launch a new prescribing offering and the benefits of the offering, innovation in GLP-1 care options and advancement of AI 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 achieve or 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 Quarterly Report on Form 10-Q for the quarter ended September 30, 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
[email protected]

Media Contact:
Rose Ramseth
[email protected]

Omada Health, Inc.Consolidated Balance Sheets (in thousands, except share and per-share amounts)(unaudited)

September 30, 2025 December 31, 2024Assets Current assets Cash and cash equivalents$198,627 $76,392 Accounts receivable, net (1) 41,446 23,417 Inventory 3,148 3,296 Deferred commissions, current 3,228 3,017 Prepaid expenses and other current assets 8,449 6,937 Total current assets 254,898 113,059 Property and equipment, net 7,537 5,625 Operating lease right-of-use asset - 447 Deferred commissions, non-current 8,742 9,214 Intangible assets, net 2,853 4,263 Goodwill 13,240 13,240 Other assets 199 5,044 Total assets$287,469 $150,892 Liabilities, redeemable convertible preferred stock and stockholders’ equity (deficit) Current liabilities Accounts payable$5,344 $4,168 Accrued expenses and other current liabilities (2) 37,622 29,840 Operating lease liability, current - 415 Deferred revenue (3) 27,157 19,530 Total current liabilities 70,123 53,953 Long term debt - 29,771 Warrant liabilities, non-current - 2,252 Other liabilities, non-current - 285 Total liabilities 70,123 86,261 Commitments and contingencies Redeemable convertible preferred stock, $0.001 par value per share; no shares and 120,689 shares authorized as of September 30, 2025 and December 31, 2024, respectively; no shares and 118,219 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively, 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 September 30, 2025 and December 31, 2024, respectively; 57,887 and 8,157 shares issued and outstanding as of September 30, 2025 and December 31, 2024, respectively 58 8 Additional paid-in capital 679,191 59,555 Accumulated deficit (461,903) (443,966)Total stockholders’ equity (deficit) 217,346 (384,403)Total liabilities, redeemable convertible preferred stock and stockholders’ equity (deficit)$287,469 $150,892

(1) Includes amounts from a related party of $29.3 million and $13.2 million as of September 30, 2025 and December 31, 2024, respectively.
(2) Includes amounts from a related party of $5.2 million and $2.2 million as of September 30, 2025 and December 31, 2024, respectively.
(3) Includes amounts from a related party of $20.3 million and $13.2 million as of September 30, 2025 and December 31, 2024, respectively.

Omada Health, Inc.Condensed Consolidated Statements of Operations and Comprehensive Loss (in thousands, except per-share data)(unaudited)

Three Months Ended September 30, Nine Months Ended September 30,2025 2024 2025 2024Revenue Services (1)$62,936 $42,096 $169,392 $112,351 Hardware (2) 5,094 3,419 14,972 9,471 Total revenue 68,030 45,515 184,364 121,822 Cost of revenue Services (3) 12,654 10,631 38,071 31,686 Hardware 10,305 6,322 29,016 19,392 Total cost of revenue 22,959 16,953 67,087 51,078 Gross profit 45,071 28,562 117,277 70,744 Operating expenses Research and development (4) 10,301 8,850 29,131 26,733 Sales and marketing (5) 22,943 17,577 65,431 49,964 General and administrative (6) 14,340 10,659 37,968 30,601 Total operating expenses 47,584 37,086 132,530 107,298 Operating loss (2,513) (8,524) (15,253) (36,554)Other income (expense), net Interest expense (353) (1,147) (2,521) (3,409)Interest income 2,009 17 3,414 631 Loss on debt extinguishment (2,109) - (2,109) - Change in fair value of warrant liabilities (212) 428 (1,468) 445 Total other expense, net (665) (702) (2,684) (2,333)Loss before provision for income taxes (3,178) (9,226) (17,937) (38,887)Provision for income taxes - - - - Net loss and comprehensive loss$(3,178) $(9,226) $(17,937) $(38,887) Net loss per share - basic and diluted$(0.06) $(1.18) $(0.61) $(5.09) Weighted-average shares outstanding - basic and diluted 57,658 7,788 29,421 7,644

(1) Includes amounts from a related party of $41.8 million and $23.5 million for the three months ended September 30, 2025 and 2024, respectively and $108.2 million and $62.1 million for the nine months ended September 30, 2025 and 2024, respectively.(2) Includes amounts from a related party of $3.0 million and $1.7 million for the three months ended September 30, 2025 and 2024, respectively and $9.0 million and $4.7 million for the nine months ended September 30, 2025 and 2024, respectively.(3) Includes amounts from a related party of $1.4 million and $0.8 million for the three months ended September 30, 2025 and 2024, respectively and $3.8 million and $2.5 million for the nine months ended September 30, 2025 and 2024, respectively.(4) Includes amounts from a related party of $0.6 million and $0.5 million for the three months ended September 30, 2025 and 2024, respectively and $1.6 million and $1.3 million for the nine months ended September 30, 2025 and 2024, respectively.(5) Includes amounts from a related party of $7.1 million and $3.8 million for the three months ended September 30, 2025 and 2024, respectively and $19.3 million and $11.0 million for the nine months ended September 30, 2025 and 2024, respectively.(6) Includes amounts from a related party of $0.4 million and $0.3 million for the three months ended September 30, 2025 and 2024, respectively and $1.1 million and $0.8 million for the nine months ended September 30, 2025 and 2024, respectively.

Omada Health, Inc.Share-based Compensation Summary (in thousands)(unaudited)

Three Months Ended September 30, Nine Months Ended September 30, 2025 2024 2025 2024Services cost of revenue$33 $57 $104 $162Research and development 611 458 1,634 1,255Sales and marketing 1,049 614 2,663 1,981General and administrative 1,843 1,031 4,809 3,710Total share-based compensation expense$3,536 $2,160 $9,210 $7,108

Omada Health, Inc.Consolidated Statements of Cash Flows (in thousands)(unaudited)

Nine Months Ended September 30, 2025 2024Operating activities Net loss$(17,937) $(38,887)Adjustments to reconcile net loss to net cash used in operating activities Depreciation and amortization 4,044 3,525 Share-based compensation 9,210 7,108 Loss on debt extinguishment 2,109 - Loss on disposal of property and equipment 2 2 Amortization of debt issuance costs 285 291 Non-cash operating lease expense 447 541 Change in fair value of warrants 1,468 (445)Provision for credit losses (1) 1,485 751 Amortization of deferred commissions 2,467 1,901 Changes in operating assets and liabilities - - Accounts receivable (2) (19,514) (9,676)Inventory 148 1,845 Prepaid expenses and other current assets (1,570) (656)Deferred commissions (2,319) (4,872)Other non-current assets 181 331 Accounts payable 1,373 1,488 Operating lease liabilities (415) (581)Accrued expenses and other current liabilities (3) 7,782 1,682 Deferred revenue (4) 7,627 7,825 Other non-current liabilities - 135 Net cash used in operating activities (3,127) (27,692) Investing activities Purchases of property and equipment (1,123) (412)Capitalized internal-use software costs (3,363) (2,482)Net cash used in investing activities (4,486) (2,894) Financing activities Proceeds from exercise of stock options 5,993 2,045 Payment of deferred offering costs (4,284) (3,367)Repayment of debt 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 129,848 (1,322) Net increase (decrease) in cash and cash equivalents 122,235 (31,908)Cash and cash equivalents at beginning of period 76,392 115,643 Cash and cash equivalents at end of period$198,627 $83,735

(1) Includes changes in related party balances of $0.5 million and $0.1 million for the nine months ended September 30, 2025 and 2024, respectively.
(2) Includes changes in related party balances of $15.6 million and $6.5 million for the nine months ended September 30, 2025 and 2024, respectively.
(3) Includes changes in related party balances of $3.0 million and $0.8 million for the nine months ended September 30, 2025 and 2024, respectively.
(4) Includes changes in related party balances of $7.1 million and $5.7 million for the nine months ended September 30, 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, 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 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 September 30, Nine Months Ended September 30, 2025 2024 2025 2024 (in thousands, except percentages)GAAP net loss and comprehensive loss$(3,178) $(9,226) $(17,937) $(38,887)Add: Interest expense 353 1,147 2,521 3,409 Interest income (2,009) (17) (3,414) (631)Change in fair value of warrant liabilities 212 (428) 1,468 (445)Loss on debt extinguishment 2,109 — 2,109 — Provision for income taxes — — — — Share-based compensation expense 3,536 2,160 9,210 7,108 Amortization of intangible assets 439 502 1,411 1,506 Depreciation and amortization(1) 920 727 2,633 2,019 Loss on disposal of property and equipment 1 — 3 1 Adjusted EBITDA$2,383 $(5,135) $(1,996) $(25,920)GAAP net loss and comprehensive loss margin (as a percentage of revenue) (4.7)% (20.3)% (9.7)% (31.9)%Adjusted EBITDA margin (as a percentage of revenue) 3.5% (11.3)% (1.1)% (21.3)%

(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 September 30, Nine Months Ended September 30, 2025 2024 2025 2024 (in thousands, except percentages)GAAP gross profit$45,071 $28,562 $117,277 $70,744 Add: Share-based compensation expense 33 57 104 162 Amortization of intangible assets 439 439 1,317 1,317 Depreciation and amortization(1) 839 623 2,366 1,723 Non-GAAP gross profit 46,382 29,681 121,064 73,946 GAAP gross margin (as a percentage of revenue) 66.3% 62.8% 63.6% 58.1%Non-GAAP gross margin (as a percentage of revenue) 68.2% 65.2% 65.7% 60.7%

GAAP Research and development expense$10,301 $8,850 $29,131 $26,733 Less: Share-based compensation expense 611 458 1,634 1,255 Depreciation and amortization (1) 23 23 61 64 Non-GAAP research and development expense$9,667 $8,369 $27,436 $25,414 Non-GAAP research and development expense (as a % of revenue) 14% 18% 15% 21% GAAP Sales and marketing expense$22,943 $17,577 $65,431 $49,964 Less: Share-based compensation expense 1,049 614 2,663 1,981 Amortization of intangible assets — 63 94 189 Depreciation and amortization (1) 31 32 87 90 Non-GAAP sales and marketing expense$21,863 $16,868 $62,587 $47,704 Non-GAAP sales and marketing expense (as a % of revenue) 32% 37% 34% 39% GAAP General and administrative expense$14,340 $10,659 $37,968 $30,601 Less: Share-based compensation expense 1,843 1,031 4,809 3,710 Depreciation and amortization (1) 27 49 119 142 Loss on disposal of property and equipment 1 1 3 2 Non-GAAP general and administrative expense$12,469 $9,578 $33,037 $26,747 Non-GAAP general and administrative expense (as a % of revenue) 18% 21% 18% 22% GAAP operating expense$47,584 $37,086 $132,530 $107,298 Less: Share-based compensation expense 3,503 2,103 9,106 6,946 Amortization of intangible assets — 63 94 189 Depreciation and amortization (1) 81 104 267 296 Loss on disposal of property and equipment 1 — 3 1 Non-GAAP operating expense$43,999 $34,816 $123,060 $99,866 GAAP operating expense (as a % of revenue) 69.9% 81.5% 71.9% 88.1%Non-GAAP operating expense (as a % of revenue) 64.7% 76.5% 66.7% 82.0%

Omada Health, Inc. Reconciliation of GAAP Net Cash Provided by Operating Activities to Free Cash Flow (in thousands) (unaudited) Nine Months Ended September 30, 2025 2024Net cash used in operating activities$(3,127) $(27,692)Purchases of property and equipment (1,123) (412)Capitalized internal-use software development costs (3,363) (2,482)Free Cash Flow$(7,613) $(30,586)Other cash flow components: Net cash used in investing activities$(4,486) $(2,894)Net cash used in (provided by) financing activities$129,848 $(1,322)

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