From The Motley Fool · Motley Fool Transcribing · · 2m
Medifast Q3 2026 Earnings Call: Revenue Drop as Metabolic Health Transition Begins
Medifast reports 19.4% revenue decline in Q3 2026 as it shifts from weight management to metabolic health business model.
In brief
Medifast reports 19.4% revenue decline in Q3 2026 as it shifts from weight management to metabolic health business model. Medifast's Q3 revenue fell 19.4% to $72 million as it transitions to metabolic health business model with 10,200 active coaches. Originally reported by The Motley Fool.
Q3 Revenue Decline
Revenue fell 19.4% to $72 million, down from $89.7 million in Q3 2025.
Active Earning Coaches
10,200 active earning coaches, a 47.7% decrease from 19,500 in Q3 2025.
Average Revenue Per Coach
Average revenue per coach grew 54.1% to $7,064.
Net Loss
Reported net loss of $17.5 million, or $1.57 per diluted share.
Adjusted Net Loss
Adjusted net loss of $2.1 million, or $0.19 per diluted share.
Catalyst Restructuring Charges
$15.4 million in restructuring charges, including $1.6 million in cost of sales and $13.8 million in SG&A.
Cash and Investments
Cash and investment securities at $172.5 million with debt-free balance sheet.
Gross Profit
Gross profit of $50 million with 69.5% margin.
Adjusted Gross Margin
Adjusted gross margin of 71.7%, up 220 basis points.
SG&A Expense
SG&A expense increased 4.8% to $69.4 million.
Adjusted SG&A
Adjusted SG&A of $55.6 million, 77.2% of revenue.
Q4 Revenue Guidance
Q4 revenue guidance: $55 million to $75 million.
Q4 Earnings Guidance
Q4 earnings guidance: $0.00 to $0.25 per share.
Full Year Revenue Guidance
Full year revenue guidance: $280 million to $300 million.
Full Year Loss Guidance
Full year loss guidance: $1.80 to $2.05 per share.
Adjusted EBITDA
Adjusted EBITDA of $1.9 million, up 9.7% from $1.7 million.
Product Adoption
95% of active earning coaches offered Trilivy Reset line by end of Sept.
Clinical Performance
14% reduction in visceral fat while retaining 98% of lean mass over 16 weeks.
Market Opportunity
90% of U.S. adults metabolically unhealthy, $12 trillion metabolic health market.
Q4 Profitability Target
Targeting return to profitability in Q4 2026.
What it means
Medifast's Q3 revenue fell 19.4% to $72 million as it transitions to metabolic health business model with 10,200 active coaches.
