Teladoc Health (TDOC) posted wider-than-expected losses Tuesday — a trend expected to continue this year — leading TDOC stock to crash.
During the second quarter, Teladoc lost 86 cents per share. Analysts polled by FactSet only expected the telemedicine giant to report a 53-cent per-share loss. Losses more than doubled year over year from 34 cents in the second quarter of 2020.
While the company continues to see losses in future quarters, it was bullish on its second-quarter performance. Sales grew 109% year over year to $503.1 million. That was ahead of TDOC stock analysts’ projection for $501 million.
“We have solid momentum heading into the second half as the market embraces the unified care experience that only Teladoc Health has the breadth and scale to achieve,” Chief Executive Jason Gorevic said in a written statement.
In after-hours trading on the stock market today, TDOC stock tumbled 7.8% near 139.30.
TDOC Stock Crashes On Wide Losses
Teladoc offers a platform for telemedicine, including virtual doctors’ office visits. The technology hit its stride in the middle of the Covid pandemic as patients stayed home to avoid infection. During the most recent quarter, access fees revenue surged 138% to $434 million. U.S. revenue led the way, growing 161%.
Meanwhile, visit fee revenue rose 1% in the U.S., helping outplay a 63% international dive. Overall, visit fee revenue climbed 1% to $59.3 million.
For the year, Teladoc expects $2 billion to $2.03 billion in sales, above TDOC stock projections for $2.01 billion. But guidance for losses of $3.35-$3.60 per share were broader than forecasts for a per-share loss of $2.84.
Follow Allison Gatlin on Twitter at @IBD_AGatlin.
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