Teladoc Health (TDOC) 28 Jul 212021 Q2 Earnings call transcript

Good day, and thank you for standing by. Welcome to Teladoc's Second Quarter 2021 Earnings Conference Call. [Operator Instructions]. I would now like to hand the call over to your speaker today, Mr. Patrick Feeley, Vice President of Investor Relations.

afternoon. good and you, Thank Today, after announcing a release we market second quarter close, our issued XXXX press the financial results. and Relations teladochealth.com This in release the presentation slide press are the Investor section website. the of accompanying available On Officer. our Mala Executive Gorevic, are Chief to this Chief Officer; Financial discuss call our results Jason the Murthy, and

non-GAAP will uncertainties that followed year and Teladoc our we believe these prepared During this important provide Health's most discussing also note release Securities reconciliations this are that implied be outlook, will call performance. be question-and-answer that on Also, on subject our the Health is defined from or our Reform third Please will will are XXXX to between Private XXXX. be expressed in statements results by Litigation posted and comparable measures the financial relationship Act during website. those to by differ thereof we certain made measures call, we press other please Teladoc could found and in can quarter GAAP to that this a forward-looking the measures for statements actual Details evaluating cause as forward-looking on session. and non-GAAP be full materially Such risks, certain statements remarks factors the note call. that of the

our to now all press the our would in please over turn release filings statement website. information, are which Jason. of SEC, call cautionary available with to our additional the refer on For like to I and our

our the continued past visibility across confidence over whole-person suite our drove the our close, revenue the geographies revenue excludes increase $XXX demand momentum robust in strong quarter, from joining XX an good our the over across of XXX% us us across Thank billion increase strong XX%, business full which months. including of portfolio channels virtual broad-based $X.X the you broad and $X.XXX After revenue the growth momentum acquisitions thank and by to revenue another year, to reported year and of for strength The integrated you, The billion. completed Patrick, marked we quarter, million to prior care. of and market second organic afternoon and for guidance gives today.

As a care previously, current virtual we've the health aim provide Teladoc's It's care enough single the to putting on Instead, system virtual mirror to simply problem. fragmented, already solution a discussed experience, care. is need virtual and that virtualize The shouldn't is we health doctor care screen. all not seamlessly at simply care data whole-person experience At continued demonstrate improve And takes of during uses care needs, consumer scale. redefines health that of our on achieving reimagining completely of progress care quarter, goal we're doing experience. to the that health to now. Health, a the care second Teladoc and we simply person's the

with Our starts engaging more vision consumers.

This means During conditions. array when in the of as been provide driven consumers second persistent increase strength of parts increasingly being in visits world, many care. vaccinated the are now over we are and that global The an clinicians specialty utilization year. in people Health's visits, a quarter of the growth and are even than were the million pandemic. visits by on We're on XX.X are consumers to X.X noninfectious our in of second the provided to our providers relying services Teladoc broader million care XX% and last the as diseases more virtual track quarter, lifting than for for in turning of of middle year more restrictions network more has

remains to especially Demand care. just diseases, modality see visits quarter, has of in XX% period. in the starting and infectious a as low for noninfectious to health for consumers related in as respiratory a and the declined. health as second trend the virtual up incidence the providers versus diseases nearly BXB in distancing second for the PPE the We're infectious robust of transmission of outlook. acute services year the This mental social of gives to and us were such usage the illness, pre-pandemic During XX% benefits follows approximately disease our member our recognize period channel first of historically time begin confidence half mental

whole Livongo with integrated that the of is of the U.S. Rather multiple approach members treat XXX,XXX. is living grew of number XX% products in are chronic to to over year-over-year focus disease, chronic Turning enrolled which than conditions. on an the manner, to our XX% suite care. adults given person particular The in one important in

year. the combined of greater members, more than diabetes members one program, The programs, multiple we are in the of such in our the in XX% which chronic in in Most are enrolled. are increase members to importantly, a growth continue of this hypertension resulted last enrolled year-over-year both better second enrolled result members X% in total number individuals in as a in of number drive As our of with outcomes. Over our approach, XX% care programs, our enrollment. programs in services driving and chronic care multi-program quarter growth now significant chronic from enrolled up

services. our the improvement, of virtual a approach resonate XX% treatment. continues consumers to In than the new marketplace, of fifth over to expansive whole-person services, XX% sought care proud integrated breakthrough largest during insurer health who as clients we are nearly mental quarter, significant For with a example, those experiencing more care U.S. of an second with agreement that health recent in our for X,XXX the and survey the coming of broad in during understand experienced we value very deliver report to signed to us HCSC, the I'm our suite

their we insured eligible plans products provide access members clients. this chronic will fully provide expand programs. part ASO to diabetes several in of and solutions also in significantly our their their to fully to advocacy care offered to commercial with XXXX, in empower to products with As insured of solution excited and earned of and HCSC more people future. ASO suite agreement across agreement, HCSC our well-being we extremely Beginning hypertension members to suite markets conditions, our This will living expand and full HCSC about have honored into health of embedded HCSC's markets with care together see the working opportunity the We're offerings. in chronic trust and our chronic tremendous management we bringing includes

reimagine primary also to gain to traction. continues vision Our care

together physical Our get delivery PrimaryXXX consumers the the for to solution physical into and virtual full delivers of data, and time. integrated care integrating system fully the right the right team health, product and technology mental bringing a care at a leveraging consumer

this we During plans. signed to PrimaryXXX signed several new significant the deals other a launch with a week, second with contract several quarter, national to pleased discussions and health that we just we're payer, late-stage report I'm in PrimaryXXX.

systems, we are and health it's that hospitals reduce positioned improve to evident them uniquely As to help turn and we costs. outcomes

second their diabetes we care programs quarter, contract health Florida-based and new a the During in multiple our including to significant system chronic to cardiovascular agreements at-risk with bring populations. whole-person market, signed the large health system a

leave deliver product, month, Microsoft Livongo a road subsidiary within new allows areas the we experience. on the combination our expand us first to international Earlier our pipeline overwhelmed the partnership. having open The with the these We're targeted patients. facing Brazilian customers needs Livongo our in their innovation. Cigna in to workflows, quarter, Health's great example clients This to we an grow, experience The of extremely architecture that making differentiated of expand integration Teladoc multinational comprehensive and Expanding The this represents The to care rapidly International of leverage integrated systems system that to value capabilities behavioral with digital they Teams health including accessing with customers provide us the leadership capabilities with health a significant for in that Our solutions. partnership care. clinical with employees In medical-grade services to International Microsoft. for market-leading health opportunities with providers and map represents clinical platform, clinically collaborate personalized combines chronic differentiated our further a to telecom psychiatrists for able Teladoc-Livongo the thousands Complete Microsoft into to great its and channels continues step solution time that a to in million hundreds health of crisis. makes consumers of that agreement to to improve launch to India millions broad care up for Teladoc enable the from worked myStrength hospitals science of market distribution to the The mental in health connect directly differentiated to health and access and and look announced local Earlier and our with Complete, Solo single tools I'm recent to deliver care during month, enable therapists up This enables to Telefonica in members. purpose-built their our partnership with care international which represents care the our of XX of deliver individuals a during to more global market Telefónica. a our partnership clinicians and system. care Telefonica's footprint will relationships allowed Vivo, technologies And Microsoft's we would We to and this validation myStrength We're further telemedicine to populations will technology leading communications progress and conjunction first the Cigna combination for company second launched live in India develop the working signed we value care of than will the integrate consumers of for environment. healthy. and seamless without deliver during as relevant clinicians Teams in empower U.S. insights the proud we our together, humanitarian assist individuals quickly available new country. another data relationship provides and set the also to new thesis our virtual platform power meet this we see we support more to challenges to Solo to need deliver for of country's stay experience. to high-quality need. allow corporations Teladoc resources of presence, and Solo data Teladoc's were Teams. say the

With Our insights highly for destination trusted provide realize whole-person year. forward I'll transform growth strategy personalized a longitudinal that, this care to data experience Mala We a our our look us ability at becoming our positions the allows to and sharing call health. Day scale, to and consumers' and virtual vision of Investor us to for which guidance. about review second more deliver turn into the quarter of to at detailed actionable vision later over

afternoon, good and Jason, everyone. you, Thank

despite During XX% the and for for total of growth million $XXX $XX both majority second the to as quarter increased primarily of fees growth which in million well a of quarter. direct-to-consumer COVID-related increase $X million increased Health, the year. up quarter, second due fee fee difficult to $XXX revenue, comp their XXX% is was as Visit international million increased basis. revenue revenue to sold in acquired a and percent revenue increased sequentially the prior over year's quarter The and subscription the fee or a of InTouch XX% generate prior Access revenue XX% mental year's which of subscription total $XX prior represented acquisition of in revenue the is revenue. total representing from revenue excluding quarter. the revenue year. XX% Total the $X.X a second year-over-year on access from XXX% over prior in quarter as year-over-year of U.S. of million million Total million, health, Livongo revenue the $XXX access for XXX%

the Individuals quarter, quarter. quarter. the in increase only of We enrolled of second the of members year's revenue first to drivers health merger unique first membership XX the care the with second the Total XX% the second member XX,XXX second and our revenue. per sequentially at $X.XX members, XXX,XXX visit sequential prior revenue XXX,XXX a increase end U.S. The as per the was $X.XX Livongo access members of chronic over quarter in the $X.XX from care members ended with and as of and increase leading an XXXX. and in the or an direct-to-consumer paid the in prior Turning programs mental of in year access. one more members increase were over quarter, quarter were pro quarter program chronic of the members in quarter Average with over million for million XXX,XXX the up was per growth XX month sequentially forma of fee quarter. $X.XX first membership member of

Turning to visits.

outstanding During gross XX% in year. the to gross second XXXX. the own accounting loss Adjusted of million a for lower $XXX Gross growth is XX.X% was amortization quarter. to on through of attributable merger. in clinicians, in gross $X.XX sequentially compared devices members was On compensation, net the the and increase acquired visits of debt second X.X $X.X second was to our the benefit network the quarter second quarter mentioned were license in attributable was of in adjusted intangibles, increase $X approximately flow year's $XXX quarter was margin Net was quarter $XX.X of which was includes $X.XX year's XXXX in attributable adjusted extinguishment adjustments per the an net the in amortization recorded make mix and We extinguishment to Adjusted intangibles. over Adjusted benefit of of quarter. the the XXX represents related quarter, loss quarter operating of basis in over includes to million second and year's loss cash rate the clients' to The include a profit, point The continue $X debt million to compensation back-office year. which quarter of million. subscription our quarter versus by prior over of driven to which million compared XXX quarter, U.S. our in the acquired loss the XXX in part prior loss XX.X% excludes basis clinicians, in purchase quarter accounting provided $X.XX $XX of to the to a previously. per-share annualized first the this revenue second second as of encounters net to of our the and in increased stock-based additional in sessions, the prior we second basis of a and Platform-enabled investments, X gross prior expense amortization quarter. functions the pandemic million performance progress intangibles provided same primarily quarter a in while Operating year. cost EBITDA integrating with of XX.X% Livongo loss approximately larger debt margin expense in share of basis, point of $X.XX. $X.XX, the million million ended and fee vendors. increased in last as XX million prior for quarter for second consolidating quarter, we profit EBITDA attributable utilization EBITDA net on Adjusted was billion. quarter outperformance $XX.X purchase million was increased including point $XX XXXX depreciation synergies, adjustments improvement a platform the total by short-term second adjusted expenses against our in quarter profit compared representing The cash of the The year's the June of was $XXX facilitated height of Net and and during loss by the compared quarter the million. primarily stock-based

guidance. Now forward turning to

billion to of the we the year $X.X revenue XXXX, billion. full to $X.XXX For range in expect be now

to on of benefit lower $XXX to approximately related million million in We EBITDA continue from attributable an to XXXX expect million, accounting devices merger. the including Livongo $XX expenses in Livongo the to $XXX range adjusted purchase adjustments

Livongo, products capabilities representing XX and of the business and expect and million data integration growth, enhancements Complete anticipate new As into discussed integrated we of markets. XX% total year. myStrength to prior the XX% new PrimaryXXX, between visits, as into our XX.X over such reinvesting million new cost previously, during XXXX in continued fuel synergies to be the half including second platform rollout to back do We the the visits of and growth expansion now to year, of long-term

we quarter to of representing XX% quarter. third of of growth million the $XXX XX% to XXXX, For the revenue million, prior year's expect $XXX over

We expect X.X which and between X.X total of paid total million million the quarter growth of third visits, visits million and year-over-year represent membership XX in the during of to range to XX XX%. million XX% anticipate

I for $XX call be that, quarter of the Jason We range turn to the $XX expect remarks. third EBITDA back With will to adjusted million million. in closing to

Thanks, Mala.

positioned us industry care the from system registrants, care X,XXX within of humbled care. to XXX system. set the product care. care full in quest virtual progress display We on at on on revolutionize evolving transform XXth marked experience. to I'm was and We're by year industry for leaders launches As gathering the whole-person focused from strategies virtual many grateful topics care this Forum, effort. our excited incredibly of virtual over from care health uniquely expectations leaders be the and to was over be hospital-based last a Health quarter of virtual a across the wins, attendance heard, hearing that health and client on provider second health industry for exciting across you've our this to new category-defining the preeminent Teladoc the consumer Annual week so with ranging leaders record the That opportunity advancement tremendous joined

Operator? always, your the And for interest that, Teladoc with you for continued Health. in questions. As call open thank we'll

Instructions]. [Operator

of Wieland Sean Sandler. Piper from is question first Your

we can pushback, if bit myStrength tell anything Complete the into bit little any want more Congrats launch. on was what the on and maybe with are dialogue it's it's expected us early, I go prospects could else a hoping how you there's you priced, know a little like, but share. about detail a the great quarter. uptake if to I

Yes. have just that excited new about sales myStrength Thanks, employers, our with mentioned, we large launch that especially we've Complete. clients, We're recently And several for Sean. product. the of we as among launched

have We plans. health as pipeline well also as spans both that across tremendous a employers

that psychiatrists to care that as the because improves efficient enough the recently know also we deliver mental a and license. to but struggle outcomes consumer. In better top best delivers manner health of is the very as of digital this manage of that the data health and opportunity the very on to where with the supplementing system especially health all those the we for in care mental people, call So efficient the only fact, And way right? science, mental delivery the consumer about to excited is that -- want with and find from personalized improve health for optimally does well engaging right, capabilities assets therapy necessary, senior senior very the there's those bring was physical if the the a needs team using professionals, at also care, their full with large at I the a this and video a plan to a it was sees care which can of use health most in are that most the health health of step opportunity team breadth not the health care approach significant this right plan solution and large care, -- all consumer all as then that assets as And uses using underpinnings technology both of appropriate the and, coaching psychiatry. a a

half it's market-facing of this seeing Teladoc. begin into is points best then year. to the go as and And the and that one it integration the lastly, the say was pipeline and robust back of brings -- first we're we tangible would building I So of it with, Livongo most together

Lisa question Your next JPMorgan. of from is Gill

members give kind national visit just us a your members? spend of will different be PrimaryXXX? just will just I national of traditional they platform? be minutes you couple of just you a know payer? you it and work? idea many this a Are can it you idea payer. to about give new Jason, us services talking something how with is? significant an Are maybe fee? have that Or And a can that of then said Will we they also, on an currently then Can have the be PMPM that's and payments is collect rendered the going how that

Yes.

really We're in as late-stage significant XXXX excited several national half well year back having poised with several we're national about the very, a So other to thanks, of we're and mentioned. large as PrimaryXXX, signed this employers discussions Fortune payers. employers, agreement very launch in you that And Lisa. already large

they seen think -- any sure person a such our fees they first and a capitalizes care approach care PMPM PMPM array prospects care that seen general that, be combination and have the also what on a breadth So of they're of the that aligns we that for an visit this can a will services, example, virtually. likely marketplace. virtual seek in unmatched our bring. value taken plan in it the that's virtual-first see with to we're believe individual full to a excited design you'll the because the historically reflected that that care a way early we capabilities, consumer the we've wide relationship, need is higher care is a area than to respect that or for, be really then gets in hearing we into the virtual do that leaned primary team models medical that of technology -- pricing we're incents and and that to it from the whether to make or we And And to With by care our that get model, using validated. of of can really best the care optimal virtually I deliver data be pricing

take worth with a infection, obviously of urgent visit more sinus a someone's is to So care lot virtual a for for care throat XX-minute or a visit than primary care example. physician strep introductory example,

as on the so fee expect see And the as side visit on we PMPM to increase well side.

more into the we're to care payers As value-based we sharing and we structures clients. see where in reducing outcomes as better the well about delivering of reimbursement the us excited ourselves ultimately rewards our that with as look cost for risk future,

so will that at time, over evolution evolution an with about even be relationships beginning to actively And we're but clients talking our of the that them.

about exciting we're stay excited. say, we we've that I very, point. can obviously for But very So about new and as details some I announcements say, would think relative the as I to I at tuned as -- can clients as stay expect much gone to launch. I'm say tuned announcements. we this and only can far

Yes. our the But very, markers look is we If I of that, seeing growth pipeline. in me, one the point seeing that one are in we for as very ahead. PrimaryXXX for at pipeline look And pipeline strong. important to the just sequentially, home, we in confidence to is punch strength are growth the real the

Your is Sandy Draper from next question Truist Securities. of

about if to actual you relationship opportunity sign talked now have I hand business is -- they're do to just on you're and clear expand. business? maybe guess, a going you that try wasn't the more members clarification to HCSC. -- Or I go with to you relationship now and have Jason, and in a

the service? contracts on it just one. signed expand then clear the you've to license -- with into and a is additional are how business wasn't try relationship expansions was that like -- Or large this I is interesting sounds an the really starting but out, Just base? this

relationship. Yes. Thanks. excited We're about the HCSC incredibly

In a fact, call us. for I'd deal it landmark

markets and We insured theirs. commercial will significant be rolling fully out multiple into of

contracts of populations. those signed ask have out signed So to roll contract, when terms what's you a in we to

good visibility that. have revenue into the that will from come We

locked that so essentially is And and loaded.

weight whole-person out We are self-insured the self-insured solutions, that example. able Hypertension, same of roll array with those obviously with wraps that out of also to and with the with in sort our chronic solutions who the living population. of we roll and their mental in then along full weight be which their clients, clients and need care diabetes conditions. the to we because in call with care, health into mental health multimillion-member are or does our management array diabetes manage HCSC And solutions what are to brings stress care broadest work for that with solutions our management prevention chronic that capabilities whole management, order engage person we those management the

So that we that of see then the population, bring markets. to already we've go penetrate large scope well opportunity to the as as also fully that not several only signed to through self-insured the expand but to clients continue and self-insured we relationship, both self-insured their insured services

Cowen. Your is question of next from Charles Rhyee

as more that Jason, HCSC. we the versus over you lives, down platform When maybe is is thoughts of expect maybe And out? following myStrength that sort roll be over myStrength. where is multimillion first year? then you that the And earlier Can you at question Or of to is at would around an up that to of there period? the on a say something you maybe And of just expect a point the those course start BetterHelp? the Or is be any some difference there the would on what the kind integrate describe road? between multiyear Complete year? follow-up of kind X

Yes.

respect of expect growth continue years' grow quarter, beginning over 'XX. there. a I would job in With in HCSC, significant of two grow time. at to first the will we to and nice the Charles, But sneaking that probably will in X least set questions to So see

the Complete, significant over And with Complete at of X myStrength for we've Health offering So that at 'XX, and is that's contracted and markets. mentioned, BetterHelp digital very, And the best expansion basis. then least And on into beyond and very to who we but complementary see the the together we to our very BXB harvest visits. deliver years. extremely we deliver as that sort continue in think an care we'll I direct-to-consumer efficient really brings BXB bring care opportunity step to more assets a that our that And the data network a positive of the to opportunity and the have on of science therapy psychiatry direct-to-consumer with the growth myStrength Teladoc excited what respect that delivered we growth underlying to health those out today. their direct-to-consumer we're of are BetterHelp the the opportunity brand, services are offerings. Livongo very members. We'll BXB there's excited markets be It of is buying beginning for mental that continue to course helps nature begin of or behalf of about. to a And strong offerings payers X not virtual I about the think

if than also would we at I seeing our right, that are you look growth it visits in has business, specialty doubled. more the And in add,

And the unsurprisingly, look so and mental is -- on continued direct-to-consumer has there for the and you that demand the growth side a several And at last BXB side, is the for massive a specialty, if quarters. particularly pent-up that within trend both on in sub-services. health,

coming talked capabilities of few ago, continue. expect the minutes proof would really health And and the across we the Livongo. and point a by about together launch is, are really So the mental the and of legacy Complete. for Teladoc It important growth I as Jason myStrength specialty excited to assets across a

Credit Jailendra from of next Your question Singh Suisse. is

additions your numbers in there what I consensus confusion clearly, in the quarter, is our around to want go right expectations. disclosure. you there. figure But XX,XXX enrollment At was some better back the to came than chronic

own of Just if figure new And previously between did terms accounts? half, talk breakdown that how directional about metric, how turn versus [indiscernible] can up at the enrollment compared your outlook? you any your more guide -- curious And second can any expectations. enrollment to but anything think know I don't that commentary on you you share for that metric in you about for

the -- I what of the to gave you're gone Jailendra. incidence saw into think that that because best can. enrolled to unique fact in see incident, solutions, we you that It Thanks, we XX% users of about the enrolled of a we our members that if XX% as we with metric in growth We're second percentage equally what new was And ago unique right? well X% really programs. at quarter. as to care enrollment of commentary to as are that's chronic the of have XX%, a about make Yes. We're asking expansion translates expectations. who happy a a excited in from we give enrolled overall are as year multiple in expansion XX% We're being look But much around So the programs those enrollment. users the unique each you we having also program growth. as year-over-year had seen new appreciate excited transparency line with multiple enrollment members. would in multiple enrollees to in each sure is

course the XX% over And to of increases year. modest the of of so about it there's then XX% because half the came the was first the year. half and -- in first on year frequently in terms new first always historically, enrollment, Livongo Historically, sort oriented new enrollment growth of X was of the generating quarters in enrollment of its the of year the Livongo clients about or come

I reasonable proxy a this think for year. that's

that into get that's terms ahead I of our wouldn't built want so modeling expectations. to and what's our And of And in guidance.

Jailendra, add, question. also I'd And great

and guided year, we and about our we talked are remember, we few right? past give growth not quarters we on and enrollees But as our think unique It's membership as also what we've going in we in have also our As just revenue about the to on we've actually enrollees. that about. see per shown metrics of we our drivers it's you the when about you growth, said have one said nice and remarks, members PMPM. just prepared And growing member. or more said expansion our increase not more It's just can for lever, in

growing enrollees it focused members, is So and about we are which absolutely on.

And enrollee look member. years given into we ahead. you about success having and we which per also growth membership pipeline in also the over having, growing and our result transparency have you would as all, revenue it strength will all months But growth can You wins we been the is see in remind have that are client the are I we seeing. the our the in we cross-sell

Blair. of Your William next Ryan is Daniels from question

for. you on XXth and client how some the a industry to with maybe a the leaders I'm forward years opportunities ago talk of question annual than or looking little what curious, if big-picture that some focus is a change bit Jason, investment your key areas is here going few perhaps base could following different or forum, client for you. the base how timing to intends among of about perhaps of your capitalize it the

think it our and example what it primary is really virtual -- for was we value of a blending systems the the health to chronic more And a right? virtual Thanks. to hospital our our that which value a presence very payers whether care, solutions payers seeing of that each the we're like of and and Yes. different us talked internationally. being customer success It's a The themes bit. Florida at system chance appreciate sort because or about step and leadership were the where the care around the looking domestically and hospitals that or about think of And what system sort forum I the I they bringing the or this everybody you're for of to breadth And channels, proud channels the care to to in us of whole-person asked we I call in combinations customer through across of right? back a our good up was to scale. health I whole-person capabilities distinct. and it position that were me providers historically, think there do comp of of think mean big the care be We international virtual a stay, talking what and reinforced care heard similar And our are other sets you take relative at little channels, good does question, today. industry it multiproduct, oriented team to gives So going from product in I interested luminaries, it's telecom would XXXX? to heard was like we whole from lot And a to they're you've to companies. large from I'm really coming really to year, whether I a system. were in is I [indiscernible] able just consulting that provider the set really going of other or underlying across And that payer the results here And think stay, the said forecasts a care virtual health theme, person we government underscored sort accurate is reinforced continue which of to perspective. when strategy. is multi-specialty, entire announced, perspective, live it perspective, big I perspective shift embracing a

we've virtual making coming doing making feel that constituents. even all science, in out the of care committed the at we investments data underlying it, scale in in on it the So to to and committed for more delivering whole-person

And that It's includes we provider integrated data care think and our integrating investments, consumer and also -- our investing about talked That's about about when important. an we've whole-person in platform. experience.

way virtual disciplined as an focus surgically of area And the provider international assets. an about it on only investment from also investing be us a care for would in standpoint. global and that of So is today,

Hill George question next is Your of Deutsche Bank. from

to is believe about but going HCSC more we the PrimaryXXX evolving season forward, And is the Jason, visit it to to growth going like be algorithm the it growth? this about growth me, be we I how the seems I where say, that. should or hear of X/X/XX and talking Is look to things whether past, early you question try we share love one to for start in up of I'll where were wallet the talk myStrength of about new the forward? the looking like selling for And say, I'm one I'm upsell about Charles it fell aside, to thinking new trying really get footprints and footprints too all way comes company, gains. as starts? kind visit to from more and just to growth, can't and now --

process, many Since But size system including right, talked have was of right? quarterly back of the year the talk year Thanks, management the let those Florida larger. also deals can time selling last me in walk last to what same quarters. about on significantly beginning Coast that Yes. beginning do stop earlier to about we deals, relative but the give But of including giving the we to the said I'm with. pipeline. of HCSC, how before. was and sizing short the fact plan talked talked robust, then, seeing that the of and pipeline George. happy more of and we pipeline we closing, care the progressed And it the exactly in our color that At you was health as from chronic year, I the season. of the the pipeline were call, of I'll about the East gross represented it evolved XX% about rolling -- weighted pipeline we out that. year toward the Blue large the including was in that early-stage the see, So the to some the the to beginning that's on couple want growth

about. signature talked as deals PrimaryXXX just And as coming those fruition so well that the we are to

look are -- coming our our moved the But close, So the see We're they've progress to pipeline those. and force today, has as happy our those have to also those pipeline. late-stage pipeline deals pipeline we've those through seen, at I sales progressed fruition. made on through and as

we've into moved after XX% it that's going XX% And Our deal like our greater last we up through terms the a late-stage of whereas in at year, size last pipeline at what's of this pipeline. at year, those our most where point is, point last average average an point, year, up deals to right? last another visibility And this bookings, deal our great have it seeing in XX% now what in we're look pipeline than versus our over explosion we're me bookings multiproduct this were successfully is now where year. because multiproduct bookings. is was exciting to XX% was So size our year,

are what still what's gives as confidence we would into of certainly, I'm closed. part optimistic that's things as And those together, beyond. the us 'XX least I deals we've announced I when of as that say of look our excited in pipeline and at we've some But all that. about put and already what So already

want about anything squeeze feel pipeline? good I add we on to the can you to try that. Otherwise, question. very, very Mala, follow-up So George's in

No.

I you it all. think said

deliver long-term given of So chronic algorithm, with growth lot members. into of of I out the whole-person advantage care competitive on think And delivering all growth on and a PMPM, why the growth, algorithm, next for confident over those care of the reinforced opposed about to tight can continuing We a quarter, virtual both the Day our insight And we what to multiproduct be importance I deliver to continue point a what us. we've solutions bottom to bit expect several bookings one that growth continue would really for and growth to pipeline insight into we in more much only the say we an itself And the that the our top there revenue. certainly, anticipate to bookings respect into question. line all to will execute as growth thing. to line levers multiproduct give as where respect I having more and enrollment see that appreciate with years. lends you'll is so feel the that the importance And -- on for fourth the is Investor converting those hold the toward converting Analyst into and little

also points. a just would couple George, I of add, And additional

strength have the about the of measures quarters. are strength seeing the every in are the year, we in we with quarter last visits several during volumes can from driving, are call expansion seeing the delivering in very we all right, People sustain. by And in do momentum way, and utilization you are will visit that year-on-year, strong our talked this pandemic for results growth as despite utilization been fact the us delivered you haven't last much We and very the and we asking disease think volumes down place. we the infectious on see quarter, were your significant

And is so noninfectious we seeing disease a are strong our growth volumes. what in

using utilization in growth fact growth volumes, specialty, would the it's or visits those visits expansion. strong are we very our our specialty are are it stickiness, we we seeing seeing repeat are also more seeing seeing are more multiple in is multiple of the that services. with growing, and say members that whether fueling I whether We doing

standpoint health all this ahead needs the of we clients. of growth terms is So conjunction actually serve relevance in that members you terms growing year. me years our about of in enrollment -- being chronic we that penetrating to is booking how over all our of talked multi-products growing about that, are And to conditions, our to in talk and in will the about care fact Jason multiple see from what later and have the a me, XX%, with really we the that in it of

Your next Close question is from of Richard Canaccord.

details it dive XX next And I more bit a million at appreciate guess, here. The all estimate I Street's Maybe little year. just George's members, like on in to for question. the Congratulations. down ratchet made the something wallet recommend? sounds that that, maybe good year-over-year like is X% But you increase with it, that too and and robust share? you call Is progress HCSC. would

revenue revenue as our fees. member. higher drives fact a up example perfect member. lot member, of solutions our been higher It's per our we'll the I system expansion of breadth role is of enrollees, XX%-plus higher The multiple our talked chronic visit for member. The talking going PrimaryXXX about we Richard, stop play expanding per drives multi-product of fact per So early revenue we accessing PMPM the drives the now per So the health revenue about that. care care is and sales next and in expanding right? we're -- are guidance care see that to XX% to of -- I that The expansion capabilities per have giving a What we're chronic of little short higher member, are that revenue year. where fact drives we for is say would a

to to expansion to a if So of the will The is Will me, numbers PMPM have the million currently that. asking access expansion to and no, aspire our big us XX to expect our pull, to and we get continue X% to add that membership we across that people to drive an right? deliver? answer Certainly, who lever of has a expect you're service?

build Investor revenue. drives that payment try continue detail So into enough mix it's models new products higher get going later more more your all you And accessing the into as you we'll in in to get give that a we and more around models out people to of Day with to can visits be and more our that year.

preliminary levers is, an I we guidance our not line demonstrate thing up specific right? for our the one say and organic had you in results basis when growth growth. early on last in followed we to line expected. that good the it with results more totality is are what the in year, As with year, The are then we Yes. and outlook we on And is what we revenue reliant gave and we absolutely different different drive had we years, with pull lever, a in year on would delivering Richard, this

given revenue revenue, to will minutes revenue going be to We our pull and revenue And we we were few year. have ago, in growth our different our access Jason to into said fact forecast, of continue XX% will that a a given levers. as reasonably grow So do of that's we how flavor quarter be our it in accurate the how our in on visibility this is expected profile. the

is Leerink. of SVB question from Stephanie next Your Davis

end-market And Could return and areas, an give hospital geographies? push/pull us given the variant business just of the dynamics you update in of kind Delta other the visits some in-person competitive in in on a to want sales like wins Is other in anything in. to sneak hardware revenues, one of call that? anything quick lower because proportion there in I the a such or as to housekeeping recent follow-up out your trends

combination. we're a excited because competitive administrators I'll with is and really, a -- -- is Microsoft. to they're value. delivering on talk that turn of really they're them And business more generator, we virtual hospital revenue manage for solutions care The the at-risk that's as solutions about of an on avoidance taking manage cost risk an of on purpose-built the the populations hospital communications chronic make hospital to Mala into is and the into want and this the the what what and hearing Microsoft's care for integration care deep better think, the of C-suite, for hospital clients. leverages from help way cost more, other as their we're care And speak administrative about partnership that side our they that market. from revenue. long-term We're hook combination hearing our our well populations readmission So their the landscape impact to is to really their our systems, in can infrastructure, overall Microsoft unmatched

value them bring to virtual being all and to sit act the health of combination is able really our together proposition. system, down of a front So when of PrimaryXXX be potentially all able them assets we that about those their lower with reinforcing door talk cost to of front-end, care as sort into and of to

solution. across team an looking has going And what be the so I job is I of as partner what an assets excellent unbeatable done and creating think well think the be our to would best external as

Stephanie, to answer of nothing the question other, about talk in really around other. your note to in And

sales, report are budgets movement some shifts. CapEx it say wouldn't be lease. anything some hardware But under or As you other is is certainly noteworthy probably there seeing terms seeing of whether that to lease. with We purchase know, are revenue includes the we -- that strain, in extraordinarily we I

of Your is Markets. next Capital Dodge Sean question RBC from

higher increasing discussion. And going lift models, potential the visit the revenue appreciate of of of visit maybe On How maybe PMPM? the on fees, can term? you give programs have we impact over a the better these big what the back us do on you PrimaryXXX, higher in just can to help have magnitude per Jason, new there, on and sense the But impact you said pricing of these longer to fees. but higher visits? initial the a PMPM member maybe said some number utilization can then have us

of could that multiyear what total reimbursement thanks like. the sentiment increase have like Sean, care the stop But I'm be take risk. appreciate behind think, we value-based potentially asking the evolution. the take I -- and the as -- for to question. get beyond short care going think going we traditional will because PMPM magnitude be I of what Yes. question. of even evolve I as ultimately, take Because to that's a as we cap ultimately a primary looks caps primary to we answering opportunity

clients going Some to move are faster.

to are slower clients eventuality. that move going Some to

So team, go registered a health will how to brings that as rearview see I for care impact include increase health needs of full populations question physicians, on virtual which assets. a urgent digital of are purely book virtual years respect roll specialists, that really our well right, that for it going episodic we opportunity, think X more to that first they mirror, ultimate of of you The reimbursement. a Being value across increase higher think the care sort will dependent you of our will with do will provider -- was evolution providers, their tremendously the mental look physical business who have PrimaryXXX significant I where providers, big an With -- if as of a dieticians within be how number meaningful of has interaction, product. visits, primary home, the medical as a coaches, care frequency being care the interaction, back all from in stop and value-based health in right? fast product out of someone's toward becoming a

for opportunity in is significant velocity and very frequency increase interaction so And of think the and I real. value

that to be the I create to so capture comes when it those we'll And we think value visits. able

Larsen David from is of question next BTIG. Your

home nurse the about doing can tests to you Any any plans Can example, business, care? for getting Do partnering and forth? like, have or in the mile would anybody diagnostic helpful. so visiting bit that of in little that meds with deliver last you thoughts a the who's you around home be their say, and talk also at like into, actually take interest so members or

a I want and a question. with. would to Dave, Yes. And it's evolving one of say I part great partner market the very that that's important

likelihood I of think the is a small. making going us calls team owning pretty house be field that's to

that, with sort really those importantly, to and we of the the of and much would evolving you well more I home. likely FDA the are technology who as more take doing more be advantage going think approval for partner process is it's administration that as because, mentioned, within evolving approved as

the that important that's part. especially we're an So integrate our totally doing And those on PrimaryXXX agree work, product with solutions. already to

Thank participating. for today's concludes call. this you conference And

now may You disconnect.