{"success":true,"data":{"pressRelease":{"id":"179598","rtpr_id":"nBw1jy7Hba-20261026","ticker":"MED","exchange":"NYSE","all_tickers":["MED"],"title":"Medifast Announces Third Quarter 2026 Financial Results","author":"Business Wire","published_at":"2026-10-26T12:05:00.197Z","article_body":"Medifast Announces Third Quarter 2026 Financial Results\n\nMedifast\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.medifastinc.com%2F&esheet=54627837&newsitemid=20261026870184&lan=en-US&anchor=Medifast&index=1&md5=dc53e28aceb81e8e192d8be7f3092875)\n(NYSE: MED), the metabolic health and wellness company known for its\nscience-backed comprehensive metabolic health system, Trilivy™, today\nreported results for the third quarter ended September 30, 2026.\n\nThird Quarter 2026\n\n\n * Revenue: $72.0 million, with revenue per active earning coach of $7,064\n\n * Independent active earning coaches of 10,200\n\n * Net loss of $17.5 million (non-GAAP adjusted net loss of $2.1 million)\n\n * Loss per diluted share (\"EPS\") of $1.57 (non-GAAP adjusted loss per diluted\nshare of $0.19)\n\n * Cash, Cash Equivalents, and Investment Securities of $172.5 million with no\ndebt\n\nNick Johnson, Medifast's Chief Executive Officer, commented, “The third\nquarter was about execution. With Trilivy now live, Reset Fuelings in our\ncoaches’ hands, and our new compensation plan and Coach Hub launched, the\nmajor pieces of our 3.0 strategy are now in market. Revenue came in line with\nour guidance, and coach productivity improved year-over-year for the fourth\nconsecutive quarter. Those are the kinds of indicators that have historically\ncome before coach growth and revenue growth.\n\n“With our launches complete and most of our Catalyst cost program executed,\nour focus has shifted to delivering returns on our foundational work. Coaches\nare embracing the new brand, our new compensation plan, our comprehensive\nmetabolic health system--supported by the new Reset Fueling product line, and\ntheir conversations with clients are increasingly focused on metabolic health\nmarkers like visceral fat, lean mass and protecting and building healthy\nmuscle. With enthusiasm high in the Field, we believe we are on track to\ndeliver profitability in the fourth quarter.”\n\nDr. Wayne Scott Andersen, Founder of the Mission, Independent Trilivy Coach,\nand New York Times best-selling author commented, \"More than twenty years ago,\nI left my critical care practice to build and invest in Medifast because I\nknew the answer was not treating symptoms downstream. It was moving upstream\nand creating health. Today my conviction is stronger than it has ever been.\nThe world is facing an unprecedented metabolic health crisis, and medication\nalone will not solve it. Lasting health requires lasting habits, and that is\nexactly what we were built to deliver. With nutritionally optimized products\ncontinually enhanced by research-backed ingredients that target metabolic\nhealth, and the proven power of coaching and our community, no one is better\npositioned to lead the way. A new generation of highly trained Field leaders,\nfocused on helping others create lasting health, is now investing in this\nmission with the same belief and commitment that started our movement. We have\nalready impacted more than three million lives and counting. Our greatest\nimpact is still to come.”\n\nThird Quarter 2026 Results\n\nThird quarter 2026 revenue decreased 19.4% to $72.0 million from $89.4 million\nfor the third quarter of 2025, primarily driven by a decrease in the number of\nactive earning coaches. The total number of active earning coaches decreased\n47.7% to 10,200 compared to 19,500 for the third quarter of 2025, primarily\ndriven by continued pressure with client acquisition reflecting broader\nchallenges in the operating environment, including rapid adoption of GLP-1\nmedications for weight loss. While the company is actively executing on\nmetabolic health, it expects the number of active earning coaches to continue\nto decline through the end of 2026. The average revenue per active earning\ncoach was $7,064, compared to $4,585 for the third quarter last year, an\nincrease of 54.1% which was driven by the decrease in the number of active\nearning coaches, facilitated in part by our focus on efficient and more\nproductive coach network structures.\n\nDuring the second quarter of 2026, the company began execution on a cost\nsavings project (“Catalyst”) with the majority of its execution taking\nplace this quarter. One of the key initiatives under Catalyst was a\nrestructuring action (“Catalyst Restructuring”) intended to simplify the\nbusiness and reduce costs by reducing the size and reassessing the geographic\nlocations of the company’s distribution network, streamlining the\ncompany’s internal use software, and aligning organization resources with\ncurrent revenue levels.\n\nGross profit decreased 19.5% to $50.0 million from $62.2 million for the third\nquarter of 2025. The decrease in gross profit was due to lower sales volumes\nand Catalyst Restructuring charges, partially offset by costs to reformulate\nthe Essential product line in the prior comparable period. The company's gross\nprofit margin was 69.5% for both the current and prior year comparable period,\nprimarily due to 230 basis points attributable to Catalyst Restructuring\ncharges, substantially offset by 220 basis points of costs to reformulate the\nEssential line in the prior period. Non-GAAP adjusted gross profit, which\nexcludes expenses in connection with the Catalyst Restructuring, decreased\n16.9% to $51.7 million and non-GAAP adjusted gross profit margin increased 220\nbasis points year-over-year to 71.7%.\n\nSelling, general, and administrative expenses (“SG&A”) increased 4.8%\nto $69.4 million compared to $66.2 million for the third quarter of 2025. The\nincrease in SG&A was primarily due to a $13.8 million increase for\nCatalyst Restructuring charges, partially offset by a $6.6 million decrease in\ncoach compensation on lower volume and fewer active earning coaches and a $1.4\nmillion decrease in IT consulting spend. As a percentage of revenue, SG&A\nincreased 22 percentage points year-over-year to 96.3% of revenue, as compared\nto 74.1% for the third quarter of 2025. The increase in SG&A as a\npercentage of revenue was primarily due to approximately 19 percentage points\nof Catalyst Restructuring costs, and 3 percentage points related to our\nTrilivy Convention for which no convention was held in the comparable year-ago\nperiod. Non-GAAP adjusted SG&A, which excludes expenses related to\nCatalyst Restructuring, decreased 16.0% to $55.6 million and non-GAAP adjusted\nSG&A as a percentage of revenue increased 310 basis points year-over-year\nto 77.2%.\n\nThe company's loss from operations for the period was $19.4 million compared\nto $4.1 million in the prior year comparable period. As a percentage of\nrevenue, loss from operations was 26.9% for the third quarter of 2026 compared\nto 4.6% in the prior-year comparable period due to the factors described above\nimpacting gross profit and SG&A expenses. Non-GAAP adjusted loss from\noperations improved by 3.2% to $4.0 million. Non-GAAP adjusted loss from\noperations as a percentage of revenue was 5.5%, a change of 90 basis points\nfrom 4.6% in the year-ago period.\n\nOther income increased $0.1 million to $1.5 million compared to $1.4 million\nfor the third quarter of 2025. Other income is primarily comprised of interest\nincome on cash, cash equivalents, and investments in both periods.\n\nIncome tax benefit for the period was $0.3 million, an effective rate of 1.8%,\nas compared to $0.4 million for the third quarter of 2025, an effective rate\nof 14.9%. Due to the existence of a full valuation allowance against its\ndeferred tax assets recorded as of December 31, 2025, the company calculated\nincome tax expense for the current period based on actual results for the\nquarter. The company’s income tax provision for the period reflects discrete\nitems, primarily a $0.4 million change in unrecognized tax benefits due to\nfinalization of a state tax examination, partially offset by $0.1 million of\nstate income taxes. Due to the existence of a full valuation allowance against\ndeferred tax assets, the non-GAAP adjustments do not impact the income tax\nbenefit for the period.\n\nIn the third quarter of 2026, the company's net loss was $17.5 million, or\n$1.57 per share, based on approximately 11.2 million shares of common stock\noutstanding compared to $2.3 million, or $0.21 per share, based on\napproximately 11.0 million shares of common stock outstanding in the prior\nyear comparable period. Non-GAAP adjusted net loss was $2.1 million, or $0.19\nper diluted share.\n\nIn the third quarter of 2026, the company's adjusted EBITDA, which excludes\nstock-based compensation and Catalyst charges, was $0.4 million, compared to\n$0.3 million in the prior year comparable period. The company's adjusted\nEBITDA excluding interest income was $1.9 million, compared to $1.7 million in\nthe prior year comparable period.\n\nCapital Allocation and Balance Sheet\n\nThe company’s balance sheet remains strong with cash, cash equivalents and\ninvestment securities of $172.5 million and no debt as of September 30, 2026,\ncompared to $167.3 million in cash, cash equivalents and investment securities\nand no debt at December 31, 2025.\n\nOutlook\n\nThe company expects fourth quarter 2026 revenue to be in the range of $55\nmillion to $75 million and fourth quarter 2026 income per share to be in the\nrange of $0.00 to $0.25. The company expects full year 2026 revenue to be in\nthe range of $280 million to $300 million and full year 2026 loss per share to\nrange from $1.80 to $2.05. For the full year 2026, on a non-GAAP basis, we\nexpect loss per share between $0.45 and $0.70. We are expecting fourth quarter\nAdjusted EBITDA excluding interest income to range from $2 million to $6\nmillion. For the full year 2026, we are expecting Adjusted EBITDA excluding\ninterest income to range from $10 million to $14 million.\n\nConference Call Information\n\nThe conference call is scheduled for today, Monday, October 26, 2026 at 8:30\na.m. ET. The call will be broadcast live over the Internet, hosted on the\nInvestor Relations section of Medifast’s website at www.MedifastInc.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.medifastinc.com%2F&esheet=54627837&newsitemid=20261026870184&lan=en-US&anchor=www.MedifastInc.com&index=2&md5=4d662c831267b497c5f090b0abb3d215)\nor directly at\nhttps://viavid.webcasts.com/starthere.jsp?ei=1777297&tp_key=e45ccefd73\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Furldefense.com%2Fv3%2F__https%3A%2Fviavid.webcasts.com%2Fstarthere.jsp%3Fei%3D1777297%26tp_key%3De45ccefd73__%3B%21%21BJC1RqioiA%219FfBBnE1P3DymFlx4CsjDnYs8CG30OnFge_GceVVE8xjkoDCOFXTzcpE2WW_Ca-VnOywjOdcjq4yYsqPZqr3jR8%24&esheet=54627837&newsitemid=20261026870184&lan=en-US&anchor=https%3A%2F%2Fviavid.webcasts.com%2Fstarthere.jsp%3Fei%3D1777297%26amp%3Btp_key%3De45ccefd73&index=3&md5=2a881ecc60bbed682c1d1e4a9374b7d2)\nand will be archived online and available through January 26, 2027. In\naddition, listeners may dial (201) 389-0879 to join via telephone.\n\nA telephonic playback will be available from 12:30 p.m. ET, October 26, 2026,\nthrough November 2, 2026. Participants can dial (412) 317-6671 and enter\npasscode 13762848 to hear the playback.\n\nAbout Medifast(®):\n\nMedifast (NYSE: MED) is the metabolic health and wellness company known for\nits science-backed comprehensive metabolic health system, Trilivy™. Designed\nto help address the challenges of metabolic dysfunction, the company’s\nholistic approach integrates science-backed plans and products, personal 1:1\ncoaching, a supportive community, and behavioral science support to develop\nhealthy habits.\n\nDriven to improve metabolic health through advanced science and comprehensive\nbehavioral support, Medifast has introduced Metabolic Synchronization®, a\nbreakthrough science that targets metabolic dysfunction through a\ncomprehensive system focused on fat loss, lean mass preservation, and\nlong-term health. Trilivy's comprehensive three-part metabolic health system\nis designed to help people reset their metabolism, refine their health, and\nrenew their lives. By integrating science, coaching, and healthy habits into a\nsingle approach, Trilivy helps people look, feel, and live better.\n\nBacked by more than 45 years of clinical heritage, Medifast continues to\nadvance its mission of lifelong transformation through metabolic science and\nhuman connection™. For more information, visit Trilivyhealth.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.trilivyhealth.com%2Fus%2Fen%2F&esheet=54627837&newsitemid=20261026870184&lan=en-US&anchor=Trilivyhealth.com&index=4&md5=c6852cae9e4037d5c7e10553e055c918)\nand Medifastinc.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fmedifastinc.com%2F&esheet=54627837&newsitemid=20261026870184&lan=en-US&anchor=Medifastinc.com&index=5&md5=34f05df1826621c85b1284ff3d9e430e)\n.\n\nMED-F\n\nForward Looking Statements\n\nPlease Note: This release contains “forward-looking statements” within the\nmeaning of the Private Securities Litigation Reform Act of 1995, Section 27A\nof the Securities Act of 1933, as amended, and Section 21E of the Securities\nExchange Act of 1934, as amended. These forward-looking statements generally\ncan be identified by use of phrases or terminology such as “intend,”\n“anticipate,” “expect” or other similar words or the negative of such\nterminology. Similarly, descriptions of Medifast’s objectives, strategies,\nplans, goals, outlook or targets contained herein are also considered\nforward-looking statements. These statements are based on the current\nexpectations of the management of Medifast and are subject to certain events,\nrisks, uncertainties and other factors. Some of these factors include, among\nothers, Medifast's inability to maintain and grow the network of independent\ncoaches; industry competition and new weight loss products, including weight\nloss medications such as GLP-1s, or services; Medifast’s health or\nadvertising related claims by clients; Medifast's inability to continue to\ndevelop new products; effectiveness of Medifast's advertising and marketing\nprograms, including use of social media by coaches; effectiveness of the\ncompany's strategic pivot towards metabolic health; the departure of one or\nmore key personnel; Medifast's inability to protect against online security\nrisks and cyberattacks; competitors use of artificial intelligence to make\ntheir offer more competitive; risks associated with Medifast's\ndirect-to-consumer business model; disruptions in Medifast's supply chain;\nproduct liability claims; Medifast's planned growth into domestic markets\nincluding through its collaboration with LifeMD, Inc.; adverse publicity\nassociated with Medifast's products; the impact of existing and future laws\nand regulations on Medifast’s business; fluctuations of Medifast's common\nstock market price; increases in litigation; actions of activist investors;\nthe consequences of other geopolitical events, overall economic and market\nconditions and the resulting impact on consumer sentiment and spending\npatterns; and Medifast's ability to prevent or detect a failure of internal\ncontrol over financial reporting. Although Medifast believes that the\nexpectations, statements and assumptions reflected in these forward-looking\nstatements are reasonable, it cautions readers to always consider all of the\nrisk factors and any other cautionary statements carefully in evaluating each\nforward-looking statement in this release, as well as those set forth in its\nAnnual Report on Form 10-K for the fiscal year ended December 31, 2025, and\nother filings filed with the United States Securities and Exchange Commission,\nincluding its quarterly reports on Form 10-Q and current reports on Form 8-K.\nAll of the forward-looking statements contained herein speak only as of the\ndate of this release.\n MEDIFAST, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) \n (U.S. dollars in thousands, except per share amounts) \n   \n   Three months ended   Nine months ended \n \nSeptember 30, \nSeptember 30, \n     2026       2025       2026       2025   \n                 \n Revenue $ 72,048     $ 89,409     $ 224,476     $ 310,692   \n Cost of sales   22,008       27,250       69,284       87,645   \n Gross profit   50,040       62,159       155,192       223,047   \n                 \n Selling, general, and administrative   69,398       66,240       182,172       229,457   \n                 \n Loss from operations   (19,358 )     (4,081 )     (26,980 )     (6,410 ) \n                 \n Other income               \n Interest income   1,508       1,426       4,233       4,096   \n Other income (expense)   15       (2 )     (21 )     3,057   \n     1,523       1,424       4,212       7,153   \n                 \n Income (loss) before provision for income taxes   (17,835 )     (2,657 )     (22,768 )     743   \n                 \n Benefit for income taxes   (324 )     (396 )     (35 )     1,296   \n                 \n Net loss $ (17,511 )   $ (2,261 )   $ (22,733 )   $ (553 ) \n                 \n Loss per share - basic $ (1.57 )   $ (0.21 )   $ (2.05 )   $ (0.05 ) \n                 \n Loss per share - diluted $ (1.57 )   $ (0.21 )   $ (2.05 )   $ (0.05 ) \n                 \n Weighted average shares outstanding               \n Basic   11,181       10,991       11,108       10,977   \n Diluted   11,181       10,991       11,108       10,977   \n\n MEDIFAST, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) \n (U.S. dollars in thousands, except par value) \n   \n   September 30,   December 31, \n \n2026 \n2025 \n         \n ASSETS       \n Current Assets       \n Cash and cash equivalents $ 58,372     $ 89,303 \n Inventories, net   21,202       20,228 \n Investments   114,162       77,970 \n Income taxes, prepaid   4,171       5,116 \n Prepaid expenses and other current assets   4,028       9,066 \n Total current assets   201,935       201,683 \n         \n Property, plant and equipment, net of accumulated depreciation   13,245       31,230 \n Right-of-use assets   19,498       7,232 \n Other assets   5,085       7,828 \n         \n TOTAL ASSETS $ 239,763     $ 247,973 \n         \n LIABILITIES AND STOCKHOLDERS' EQUITY \n Current Liabilities       \n Accounts payable and accrued expenses $ 38,801     $ 38,359 \n Current lease obligations   3,075       4,603 \n Total current liabilities   41,876       42,962 \n         \n Lease obligations, net of current lease obligations   17,610       6,091 \n Total liabilities   59,486       49,053 \n         \n Stockholders' Equity       \n Common stock, par value $.001 per share: 20,000 shares authorized;       \n 11,183 and 10,991 issued and outstanding       \n at September 30, 2026 and December 31, 2025, respectively   11       11 \n Additional paid-in capital   45,145       40,406 \n Accumulated other comprehensive income   (417 )     234 \n Retained earnings   135,538       158,269 \n Total stockholders' equity   180,277       198,920 \n         \n TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 239,763     $ 247,973 \n\n\nNon-GAAP Financial Measures\n\nIn an effort to provide investors with additional information regarding our\nresults as determined by Generally Accepted Accounting Principles (\"GAAP\"), we\ndisclose various non-GAAP financial measures in this quarterly earnings press\nrelease, our quarterly report on Form 10-Q, and other public disclosures. The\nfollowing GAAP financial measures have been presented on an as-adjusted basis:\ncost of sales, selling, general and administrative expenses, income (loss)\nfrom operations, net income (loss), and diluted earnings (loss) per share.\nAs-adjusted cost of sales, selling general and administrative expenses, income\n(loss) from operations, net income (loss), and diluted earnings (loss) per\nshare exclude the impact of certain amounts related to our Catalyst\nRestructuring efforts and have not been calculated in accordance with GAAP. We\ndisclose Adjusted EBITDA, a non-GAAP measure, as a performance measure which\nexcludes recurring items that we do not believe are indicative of our core\noperating performance: interest income, income tax expense, depreciation and\namortization, and stock-based compensation expense, as well as charges related\nto Catalyst Restructuring in the current period. We disclose Adjusted EBITDA\nexcluding interest income, a non-GAAP measure, as a performance measure which\nincludes the previously noted adjustments to arrive at Adjusted EBITDA with\nthe exception of interest income, as our current cash, cash equivalents and\ninvestment securities balance makes interest income a notable performance data\npoint. A reconciliation of each of these non-GAAP financial measures to its\nmost comparable GAAP financial measure is included below. These non-GAAP\nfinancial measures are not intended to replace GAAP financial measures.\n\nWe use these non-GAAP financial measures internally to evaluate and manage the\ncompany’s operations because we believe they provide useful supplemental\ninformation regarding the company’s on-going economic performance. We have\nchosen to provide this information to investors to enable them to perform more\nmeaningful comparisons of operating results and as a means to emphasize the\nresults of on-going operations.\n\nThe following tables reconcile the non-GAAP financial measures included in\nthis release for the three months ended September 30, 2026 (in thousands):\n MEDIFAST, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED NON-GAAP (UNAUDITED) \n (U.S. dollars in thousands, except per share amounts) \n   \n   Three Months Ended September 30, 2026 \n   GAAP   Restructuring and related charges (Catalyst Restructuring)   Non-GAAP \n Cost of sales $ 22,008     $ (1,638 )   $ 20,370   \n Gross profit   50,040       1,638       51,678   \n Selling, general, and administrative   69,398       (13,768 )     55,630   \n Income (loss) from operations   (19,358 )     15,406       (3,952 ) \n Other income   1,523       —       1,523   \n Benefit for income taxes   (324 )     —       (324 ) \n Net income (loss)   (17,511 )     15,406       (2,105 ) \n Diluted earnings (loss) per share (1)   (1.57 )     1.38       (0.19 ) \n (1) The weighted-average diluted shares outstanding used in the calculation of \n these non-GAAP financial measures are the same as the weighted-average shares \n outstanding used in the calculation of the reported per share amounts. \n\n   Three Months Ended Three Months Ended \n \nSeptember 30, 2026 \nSeptember 30, 2025 \n Reconciliation from Net income to Adjusted EBITDA and Adjusted EBITDA     \n excluding interest income: \n Net loss $ (17,511 ) $ (2,261 ) \n Interest income   (1,508 )   (1,426 ) \n Benefit for income taxes   (324 )   (396 ) \n Depreciation and amortization expense   4,276     3,452   \n EBITDA   (15,067 )   (631 ) \n Stock-based compensation expense   1,850     910   \n Restructuring and related charges (Catalyst Restructuring), excluding   13,579     —   \n depreciation and stock compensation \n Adjusted EBITDA   362     279   \n Interest income   1,508     1,426   \n Adjusted EBITDA excluding interest income $ 1,870   $ 1,705   \n\n\n \n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20261026870184/en/\n(https://www.businesswire.com/news/home/20261026870184/en/)\n\nInvestor Contact: \n\nMedifast, Inc.\n\nMatt Daryman\n\nInvestorRelations@medifastinc.com \n(mailto:InvestorRelations@medifastinc.com) \n1-800-763-9953\n\n\nCopyright Business Wire 2026","article_body_html":"","raw_payload":{"data":{"id":"nBw1jy7Hba-20261026","title":"Medifast Announces Third Quarter 2026 Financial Results","author":"Business Wire","ticker":"MED","created":"2026-10-26T12:05:00.197Z","tickers":["MED"],"exchange":"NYSE","article_body":"Medifast Announces Third Quarter 2026 Financial Results\n\nMedifast\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.medifastinc.com%2F&esheet=54627837&newsitemid=20261026870184&lan=en-US&anchor=Medifast&index=1&md5=dc53e28aceb81e8e192d8be7f3092875)\n(NYSE: MED), the metabolic health and wellness company known for its\nscience-backed comprehensive metabolic health system, Trilivy™, today\nreported results for the third quarter ended September 30, 2026.\n\nThird Quarter 2026\n\n\n * Revenue: $72.0 million, with revenue per active earning coach of $7,064\n\n * Independent active earning coaches of 10,200\n\n * Net loss of $17.5 million (non-GAAP adjusted net loss of $2.1 million)\n\n * Loss per diluted share (\"EPS\") of $1.57 (non-GAAP adjusted loss per diluted\nshare of $0.19)\n\n * Cash, Cash Equivalents, and Investment Securities of $172.5 million with no\ndebt\n\nNick Johnson, Medifast's Chief Executive Officer, commented, “The third\nquarter was about execution. With Trilivy now live, Reset Fuelings in our\ncoaches’ hands, and our new compensation plan and Coach Hub launched, the\nmajor pieces of our 3.0 strategy are now in market. Revenue came in line with\nour guidance, and coach productivity improved year-over-year for the fourth\nconsecutive quarter. Those are the kinds of indicators that have historically\ncome before coach growth and revenue growth.\n\n“With our launches complete and most of our Catalyst cost program executed,\nour focus has shifted to delivering returns on our foundational work. Coaches\nare embracing the new brand, our new compensation plan, our comprehensive\nmetabolic health system--supported by the new Reset Fueling product line, and\ntheir conversations with clients are increasingly focused on metabolic health\nmarkers like visceral fat, lean mass and protecting and building healthy\nmuscle. With enthusiasm high in the Field, we believe we are on track to\ndeliver profitability in the fourth quarter.”\n\nDr. Wayne Scott Andersen, Founder of the Mission, Independent Trilivy Coach,\nand New York Times best-selling author commented, \"More than twenty years ago,\nI left my critical care practice to build and invest in Medifast because I\nknew the answer was not treating symptoms downstream. It was moving upstream\nand creating health. Today my conviction is stronger than it has ever been.\nThe world is facing an unprecedented metabolic health crisis, and medication\nalone will not solve it. Lasting health requires lasting habits, and that is\nexactly what we were built to deliver. With nutritionally optimized products\ncontinually enhanced by research-backed ingredients that target metabolic\nhealth, and the proven power of coaching and our community, no one is better\npositioned to lead the way. A new generation of highly trained Field leaders,\nfocused on helping others create lasting health, is now investing in this\nmission with the same belief and commitment that started our movement. We have\nalready impacted more than three million lives and counting. Our greatest\nimpact is still to come.”\n\nThird Quarter 2026 Results\n\nThird quarter 2026 revenue decreased 19.4% to $72.0 million from $89.4 million\nfor the third quarter of 2025, primarily driven by a decrease in the number of\nactive earning coaches. The total number of active earning coaches decreased\n47.7% to 10,200 compared to 19,500 for the third quarter of 2025, primarily\ndriven by continued pressure with client acquisition reflecting broader\nchallenges in the operating environment, including rapid adoption of GLP-1\nmedications for weight loss. While the company is actively executing on\nmetabolic health, it expects the number of active earning coaches to continue\nto decline through the end of 2026. The average revenue per active earning\ncoach was $7,064, compared to $4,585 for the third quarter last year, an\nincrease of 54.1% which was driven by the decrease in the number of active\nearning coaches, facilitated in part by our focus on efficient and more\nproductive coach network structures.\n\nDuring the second quarter of 2026, the company began execution on a cost\nsavings project (“Catalyst”) with the majority of its execution taking\nplace this quarter. One of the key initiatives under Catalyst was a\nrestructuring action (“Catalyst Restructuring”) intended to simplify the\nbusiness and reduce costs by reducing the size and reassessing the geographic\nlocations of the company’s distribution network, streamlining the\ncompany’s internal use software, and aligning organization resources with\ncurrent revenue levels.\n\nGross profit decreased 19.5% to $50.0 million from $62.2 million for the third\nquarter of 2025. The decrease in gross profit was due to lower sales volumes\nand Catalyst Restructuring charges, partially offset by costs to reformulate\nthe Essential product line in the prior comparable period. The company's gross\nprofit margin was 69.5% for both the current and prior year comparable period,\nprimarily due to 230 basis points attributable to Catalyst Restructuring\ncharges, substantially offset by 220 basis points of costs to reformulate the\nEssential line in the prior period. Non-GAAP adjusted gross profit, which\nexcludes expenses in connection with the Catalyst Restructuring, decreased\n16.9% to $51.7 million and non-GAAP adjusted gross profit margin increased 220\nbasis points year-over-year to 71.7%.\n\nSelling, general, and administrative expenses (“SG&A”) increased 4.8%\nto $69.4 million compared to $66.2 million for the third quarter of 2025. The\nincrease in SG&A was primarily due to a $13.8 million increase for\nCatalyst Restructuring charges, partially offset by a $6.6 million decrease in\ncoach compensation on lower volume and fewer active earning coaches and a $1.4\nmillion decrease in IT consulting spend. As a percentage of revenue, SG&A\nincreased 22 percentage points year-over-year to 96.3% of revenue, as compared\nto 74.1% for the third quarter of 2025. The increase in SG&A as a\npercentage of revenue was primarily due to approximately 19 percentage points\nof Catalyst Restructuring costs, and 3 percentage points related to our\nTrilivy Convention for which no convention was held in the comparable year-ago\nperiod. Non-GAAP adjusted SG&A, which excludes expenses related to\nCatalyst Restructuring, decreased 16.0% to $55.6 million and non-GAAP adjusted\nSG&A as a percentage of revenue increased 310 basis points year-over-year\nto 77.2%.\n\nThe company's loss from operations for the period was $19.4 million compared\nto $4.1 million in the prior year comparable period. As a percentage of\nrevenue, loss from operations was 26.9% for the third quarter of 2026 compared\nto 4.6% in the prior-year comparable period due to the factors described above\nimpacting gross profit and SG&A expenses. Non-GAAP adjusted loss from\noperations improved by 3.2% to $4.0 million. Non-GAAP adjusted loss from\noperations as a percentage of revenue was 5.5%, a change of 90 basis points\nfrom 4.6% in the year-ago period.\n\nOther income increased $0.1 million to $1.5 million compared to $1.4 million\nfor the third quarter of 2025. Other income is primarily comprised of interest\nincome on cash, cash equivalents, and investments in both periods.\n\nIncome tax benefit for the period was $0.3 million, an effective rate of 1.8%,\nas compared to $0.4 million for the third quarter of 2025, an effective rate\nof 14.9%. Due to the existence of a full valuation allowance against its\ndeferred tax assets recorded as of December 31, 2025, the company calculated\nincome tax expense for the current period based on actual results for the\nquarter. The company’s income tax provision for the period reflects discrete\nitems, primarily a $0.4 million change in unrecognized tax benefits due to\nfinalization of a state tax examination, partially offset by $0.1 million of\nstate income taxes. Due to the existence of a full valuation allowance against\ndeferred tax assets, the non-GAAP adjustments do not impact the income tax\nbenefit for the period.\n\nIn the third quarter of 2026, the company's net loss was $17.5 million, or\n$1.57 per share, based on approximately 11.2 million shares of common stock\noutstanding compared to $2.3 million, or $0.21 per share, based on\napproximately 11.0 million shares of common stock outstanding in the prior\nyear comparable period. Non-GAAP adjusted net loss was $2.1 million, or $0.19\nper diluted share.\n\nIn the third quarter of 2026, the company's adjusted EBITDA, which excludes\nstock-based compensation and Catalyst charges, was $0.4 million, compared to\n$0.3 million in the prior year comparable period. The company's adjusted\nEBITDA excluding interest income was $1.9 million, compared to $1.7 million in\nthe prior year comparable period.\n\nCapital Allocation and Balance Sheet\n\nThe company’s balance sheet remains strong with cash, cash equivalents and\ninvestment securities of $172.5 million and no debt as of September 30, 2026,\ncompared to $167.3 million in cash, cash equivalents and investment securities\nand no debt at December 31, 2025.\n\nOutlook\n\nThe company expects fourth quarter 2026 revenue to be in the range of $55\nmillion to $75 million and fourth quarter 2026 income per share to be in the\nrange of $0.00 to $0.25. The company expects full year 2026 revenue to be in\nthe range of $280 million to $300 million and full year 2026 loss per share to\nrange from $1.80 to $2.05. For the full year 2026, on a non-GAAP basis, we\nexpect loss per share between $0.45 and $0.70. We are expecting fourth quarter\nAdjusted EBITDA excluding interest income to range from $2 million to $6\nmillion. For the full year 2026, we are expecting Adjusted EBITDA excluding\ninterest income to range from $10 million to $14 million.\n\nConference Call Information\n\nThe conference call is scheduled for today, Monday, October 26, 2026 at 8:30\na.m. ET. The call will be broadcast live over the Internet, hosted on the\nInvestor Relations section of Medifast’s website at www.MedifastInc.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=http%3A%2F%2Fwww.medifastinc.com%2F&esheet=54627837&newsitemid=20261026870184&lan=en-US&anchor=www.MedifastInc.com&index=2&md5=4d662c831267b497c5f090b0abb3d215)\nor directly at\nhttps://viavid.webcasts.com/starthere.jsp?ei=1777297&tp_key=e45ccefd73\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Furldefense.com%2Fv3%2F__https%3A%2Fviavid.webcasts.com%2Fstarthere.jsp%3Fei%3D1777297%26tp_key%3De45ccefd73__%3B%21%21BJC1RqioiA%219FfBBnE1P3DymFlx4CsjDnYs8CG30OnFge_GceVVE8xjkoDCOFXTzcpE2WW_Ca-VnOywjOdcjq4yYsqPZqr3jR8%24&esheet=54627837&newsitemid=20261026870184&lan=en-US&anchor=https%3A%2F%2Fviavid.webcasts.com%2Fstarthere.jsp%3Fei%3D1777297%26amp%3Btp_key%3De45ccefd73&index=3&md5=2a881ecc60bbed682c1d1e4a9374b7d2)\nand will be archived online and available through January 26, 2027. In\naddition, listeners may dial (201) 389-0879 to join via telephone.\n\nA telephonic playback will be available from 12:30 p.m. ET, October 26, 2026,\nthrough November 2, 2026. Participants can dial (412) 317-6671 and enter\npasscode 13762848 to hear the playback.\n\nAbout Medifast(®):\n\nMedifast (NYSE: MED) is the metabolic health and wellness company known for\nits science-backed comprehensive metabolic health system, Trilivy™. Designed\nto help address the challenges of metabolic dysfunction, the company’s\nholistic approach integrates science-backed plans and products, personal 1:1\ncoaching, a supportive community, and behavioral science support to develop\nhealthy habits.\n\nDriven to improve metabolic health through advanced science and comprehensive\nbehavioral support, Medifast has introduced Metabolic Synchronization®, a\nbreakthrough science that targets metabolic dysfunction through a\ncomprehensive system focused on fat loss, lean mass preservation, and\nlong-term health. Trilivy's comprehensive three-part metabolic health system\nis designed to help people reset their metabolism, refine their health, and\nrenew their lives. By integrating science, coaching, and healthy habits into a\nsingle approach, Trilivy helps people look, feel, and live better.\n\nBacked by more than 45 years of clinical heritage, Medifast continues to\nadvance its mission of lifelong transformation through metabolic science and\nhuman connection™. For more information, visit Trilivyhealth.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fwww.trilivyhealth.com%2Fus%2Fen%2F&esheet=54627837&newsitemid=20261026870184&lan=en-US&anchor=Trilivyhealth.com&index=4&md5=c6852cae9e4037d5c7e10553e055c918)\nand Medifastinc.com\n(https://cts.businesswire.com/ct/CT?id=smartlink&url=https%3A%2F%2Fmedifastinc.com%2F&esheet=54627837&newsitemid=20261026870184&lan=en-US&anchor=Medifastinc.com&index=5&md5=34f05df1826621c85b1284ff3d9e430e)\n.\n\nMED-F\n\nForward Looking Statements\n\nPlease Note: This release contains “forward-looking statements” within the\nmeaning of the Private Securities Litigation Reform Act of 1995, Section 27A\nof the Securities Act of 1933, as amended, and Section 21E of the Securities\nExchange Act of 1934, as amended. These forward-looking statements generally\ncan be identified by use of phrases or terminology such as “intend,”\n“anticipate,” “expect” or other similar words or the negative of such\nterminology. Similarly, descriptions of Medifast’s objectives, strategies,\nplans, goals, outlook or targets contained herein are also considered\nforward-looking statements. These statements are based on the current\nexpectations of the management of Medifast and are subject to certain events,\nrisks, uncertainties and other factors. Some of these factors include, among\nothers, Medifast's inability to maintain and grow the network of independent\ncoaches; industry competition and new weight loss products, including weight\nloss medications such as GLP-1s, or services; Medifast’s health or\nadvertising related claims by clients; Medifast's inability to continue to\ndevelop new products; effectiveness of Medifast's advertising and marketing\nprograms, including use of social media by coaches; effectiveness of the\ncompany's strategic pivot towards metabolic health; the departure of one or\nmore key personnel; Medifast's inability to protect against online security\nrisks and cyberattacks; competitors use of artificial intelligence to make\ntheir offer more competitive; risks associated with Medifast's\ndirect-to-consumer business model; disruptions in Medifast's supply chain;\nproduct liability claims; Medifast's planned growth into domestic markets\nincluding through its collaboration with LifeMD, Inc.; adverse publicity\nassociated with Medifast's products; the impact of existing and future laws\nand regulations on Medifast’s business; fluctuations of Medifast's common\nstock market price; increases in litigation; actions of activist investors;\nthe consequences of other geopolitical events, overall economic and market\nconditions and the resulting impact on consumer sentiment and spending\npatterns; and Medifast's ability to prevent or detect a failure of internal\ncontrol over financial reporting. Although Medifast believes that the\nexpectations, statements and assumptions reflected in these forward-looking\nstatements are reasonable, it cautions readers to always consider all of the\nrisk factors and any other cautionary statements carefully in evaluating each\nforward-looking statement in this release, as well as those set forth in its\nAnnual Report on Form 10-K for the fiscal year ended December 31, 2025, and\nother filings filed with the United States Securities and Exchange Commission,\nincluding its quarterly reports on Form 10-Q and current reports on Form 8-K.\nAll of the forward-looking statements contained herein speak only as of the\ndate of this release.\n MEDIFAST, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) \n (U.S. dollars in thousands, except per share amounts) \n   \n   Three months ended   Nine months ended \n \nSeptember 30, \nSeptember 30, \n     2026       2025       2026       2025   \n                 \n Revenue $ 72,048     $ 89,409     $ 224,476     $ 310,692   \n Cost of sales   22,008       27,250       69,284       87,645   \n Gross profit   50,040       62,159       155,192       223,047   \n                 \n Selling, general, and administrative   69,398       66,240       182,172       229,457   \n                 \n Loss from operations   (19,358 )     (4,081 )     (26,980 )     (6,410 ) \n                 \n Other income               \n Interest income   1,508       1,426       4,233       4,096   \n Other income (expense)   15       (2 )     (21 )     3,057   \n     1,523       1,424       4,212       7,153   \n                 \n Income (loss) before provision for income taxes   (17,835 )     (2,657 )     (22,768 )     743   \n                 \n Benefit for income taxes   (324 )     (396 )     (35 )     1,296   \n                 \n Net loss $ (17,511 )   $ (2,261 )   $ (22,733 )   $ (553 ) \n                 \n Loss per share - basic $ (1.57 )   $ (0.21 )   $ (2.05 )   $ (0.05 ) \n                 \n Loss per share - diluted $ (1.57 )   $ (0.21 )   $ (2.05 )   $ (0.05 ) \n                 \n Weighted average shares outstanding               \n Basic   11,181       10,991       11,108       10,977   \n Diluted   11,181       10,991       11,108       10,977   \n\n MEDIFAST, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED BALANCE SHEETS (UNAUDITED) \n (U.S. dollars in thousands, except par value) \n   \n   September 30,   December 31, \n \n2026 \n2025 \n         \n ASSETS       \n Current Assets       \n Cash and cash equivalents $ 58,372     $ 89,303 \n Inventories, net   21,202       20,228 \n Investments   114,162       77,970 \n Income taxes, prepaid   4,171       5,116 \n Prepaid expenses and other current assets   4,028       9,066 \n Total current assets   201,935       201,683 \n         \n Property, plant and equipment, net of accumulated depreciation   13,245       31,230 \n Right-of-use assets   19,498       7,232 \n Other assets   5,085       7,828 \n         \n TOTAL ASSETS $ 239,763     $ 247,973 \n         \n LIABILITIES AND STOCKHOLDERS' EQUITY \n Current Liabilities       \n Accounts payable and accrued expenses $ 38,801     $ 38,359 \n Current lease obligations   3,075       4,603 \n Total current liabilities   41,876       42,962 \n         \n Lease obligations, net of current lease obligations   17,610       6,091 \n Total liabilities   59,486       49,053 \n         \n Stockholders' Equity       \n Common stock, par value $.001 per share: 20,000 shares authorized;       \n 11,183 and 10,991 issued and outstanding       \n at September 30, 2026 and December 31, 2025, respectively   11       11 \n Additional paid-in capital   45,145       40,406 \n Accumulated other comprehensive income   (417 )     234 \n Retained earnings   135,538       158,269 \n Total stockholders' equity   180,277       198,920 \n         \n TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY $ 239,763     $ 247,973 \n\n\nNon-GAAP Financial Measures\n\nIn an effort to provide investors with additional information regarding our\nresults as determined by Generally Accepted Accounting Principles (\"GAAP\"), we\ndisclose various non-GAAP financial measures in this quarterly earnings press\nrelease, our quarterly report on Form 10-Q, and other public disclosures. The\nfollowing GAAP financial measures have been presented on an as-adjusted basis:\ncost of sales, selling, general and administrative expenses, income (loss)\nfrom operations, net income (loss), and diluted earnings (loss) per share.\nAs-adjusted cost of sales, selling general and administrative expenses, income\n(loss) from operations, net income (loss), and diluted earnings (loss) per\nshare exclude the impact of certain amounts related to our Catalyst\nRestructuring efforts and have not been calculated in accordance with GAAP. We\ndisclose Adjusted EBITDA, a non-GAAP measure, as a performance measure which\nexcludes recurring items that we do not believe are indicative of our core\noperating performance: interest income, income tax expense, depreciation and\namortization, and stock-based compensation expense, as well as charges related\nto Catalyst Restructuring in the current period. We disclose Adjusted EBITDA\nexcluding interest income, a non-GAAP measure, as a performance measure which\nincludes the previously noted adjustments to arrive at Adjusted EBITDA with\nthe exception of interest income, as our current cash, cash equivalents and\ninvestment securities balance makes interest income a notable performance data\npoint. A reconciliation of each of these non-GAAP financial measures to its\nmost comparable GAAP financial measure is included below. These non-GAAP\nfinancial measures are not intended to replace GAAP financial measures.\n\nWe use these non-GAAP financial measures internally to evaluate and manage the\ncompany’s operations because we believe they provide useful supplemental\ninformation regarding the company’s on-going economic performance. We have\nchosen to provide this information to investors to enable them to perform more\nmeaningful comparisons of operating results and as a means to emphasize the\nresults of on-going operations.\n\nThe following tables reconcile the non-GAAP financial measures included in\nthis release for the three months ended September 30, 2026 (in thousands):\n MEDIFAST, INC. AND SUBSIDIARIES \n CONDENSED CONSOLIDATED NON-GAAP (UNAUDITED) \n (U.S. dollars in thousands, except per share amounts) \n   \n   Three Months Ended September 30, 2026 \n   GAAP   Restructuring and related charges (Catalyst Restructuring)   Non-GAAP \n Cost of sales $ 22,008     $ (1,638 )   $ 20,370   \n Gross profit   50,040       1,638       51,678   \n Selling, general, and administrative   69,398       (13,768 )     55,630   \n Income (loss) from operations   (19,358 )     15,406       (3,952 ) \n Other income   1,523       —       1,523   \n Benefit for income taxes   (324 )     —       (324 ) \n Net income (loss)   (17,511 )     15,406       (2,105 ) \n Diluted earnings (loss) per share (1)   (1.57 )     1.38       (0.19 ) \n (1) The weighted-average diluted shares outstanding used in the calculation of \n these non-GAAP financial measures are the same as the weighted-average shares \n outstanding used in the calculation of the reported per share amounts. \n\n   Three Months Ended Three Months Ended \n \nSeptember 30, 2026 \nSeptember 30, 2025 \n Reconciliation from Net income to Adjusted EBITDA and Adjusted EBITDA     \n excluding interest income: \n Net loss $ (17,511 ) $ (2,261 ) \n Interest income   (1,508 )   (1,426 ) \n Benefit for income taxes   (324 )   (396 ) \n Depreciation and amortization expense   4,276     3,452   \n EBITDA   (15,067 )   (631 ) \n Stock-based compensation expense   1,850     910   \n Restructuring and related charges (Catalyst Restructuring), excluding   13,579     —   \n depreciation and stock compensation \n Adjusted EBITDA   362     279   \n Interest income   1,508     1,426   \n Adjusted EBITDA excluding interest income $ 1,870   $ 1,705   \n\n\n \n\n\n\nView source version on businesswire.com:\nhttps://www.businesswire.com/news/home/20261026870184/en/\n(https://www.businesswire.com/news/home/20261026870184/en/)\n\nInvestor Contact: \n\nMedifast, Inc.\n\nMatt Daryman\n\nInvestorRelations@medifastinc.com \n(mailto:InvestorRelations@medifastinc.com) \n1-800-763-9953\n\n\nCopyright Business Wire 2026"},"type":"article","timestamp":"2026-10-26T12:05:00.25546997Z","server_sent_at_ms":1793016300255},"received_at":"2026-10-26T12:05:00.379Z","source_url":"https://www.businesswire.com/news/home/20261026870184/en/"},"analysis":{"id":"167477","press_release_id":"179598","analysis_json":{"industry":{"label":"Personal Care Products","sector":"Consumer Staples"},"redFlags":["active earning coaches declined 47.7% YoY and are expected to keep declining through end of 2026","GLP-1 medication adoption cited as a structural headwind to the coaching/direct-selling model","GAAP net loss widened to $17.5M; restructuring charges flattered non-GAAP comparisons","very wide Q4 revenue guidance range ($55M-$75M) signals low visibility","full valuation allowance against deferred tax assets"],"eventType":"earnings","narrative":"Medifast reported Q3 2026 revenue of $72.0 million, down 19.4% year-over-year, with a GAAP net loss of $17.5 million ($1.57 per share) versus a $2.3 million loss a year ago.\n\nActive earning coaches fell 47.7% to 10,200 on continued client-acquisition pressure from GLP-1 medication adoption, though revenue per coach rose 54.1% to $7,064 and non-GAAP adjusted loss narrowed to $2.1 million ($0.19 per share).\n\nThe Catalyst Restructuring drove $15.4 million of charges, inflating GAAP losses while adjusted SG&A fell 16.0%; the balance sheet holds $172.5 million in cash and investments with no debt.\n\nManagement guided Q4 revenue of $55-75 million with income per share of $0.00-$0.25 and said it is on track to deliver profitability in the fourth quarter.","sentiment":"mixed","agentHooks":{"shouldPost":true,"suggestedAngle":"GLP-1 disruption keeps shrinking Medifast's coach base, but a smaller, more productive network plus Catalyst cost cuts have the company guiding to Q4 profitability -- watch whether the turnaround holds."},"keyFigures":{"revenue":72048000,"guidance":"Q4 2026 revenue $55M-$75M and income per share $0.00-$0.25; FY2026 revenue $280M-$300M, GAAP loss per share $1.80-$2.05, non-GAAP loss per share $0.45-$0.70; FY2026 Adjusted EBITDA ex-interest income $10M-$14M","revenueYoy":"-19.4%","customDimensions":{"debt":0,"gross_margin":"69.5%","adjusted_ebitda":362000,"cash_and_investments":172500000,"adjusted_gross_margin":"71.7%","active_earning_coaches":10200,"active_earning_coaches_yoy":"-47.7%","adjusted_ebitda_ex_interest":1870000,"catalyst_restructuring_charges":15406000,"revenue_per_active_earning_coach":7064}},"quotedText":"Revenue came in line with our guidance, and coach productivity improved year-over-year for the fourth consecutive quarter.","namedEntities":{"people":[{"name":"Nick Johnson","role":"CEO"},{"name":"Dr. Wayne Scott Andersen","role":"Founder of the Mission and Independent Trilivy Coach"},{"name":"Matt Daryman","role":"Investor Contact"}],"products":["Trilivy","Reset Fuelings","Coach Hub","Metabolic Synchronization","Essential product line","GLP-1 medications (competitor category)"],"companies":[{"name":"Medifast, Inc.","ticker":"MED"},{"name":"LifeMD, Inc.","relationship":"partner"}],"dollarAmounts":[{"amount":"$72.0 million","context":"Q3 2026 revenue"},{"amount":"$17.5 million","context":"Q3 2026 GAAP net loss"},{"amount":"$2.1 million","context":"Q3 2026 non-GAAP adjusted net loss"},{"amount":"$172.5 million","context":"cash, cash equivalents and investment securities"},{"amount":"$13.8 million","context":"increase in SG&A from Catalyst Restructuring charges"},{"amount":"$50.0 million","context":"Q3 2026 gross profit"},{"amount":"$55 million to $75 million","context":"Q4 2026 revenue guidance range"}]},"materialImpact":{"score":4,"reasoning":"GAAP net loss widened sharply to $17.5M on a 19.4% revenue decline driven by a 47.7% collapse in active earning coaches amid GLP-1 pressure, but non-GAAP adjusted losses narrowed, coach productivity rose 54%, and management guided to Q4 profitability."},"tickerRelevance":{"others":[],"primary":"MED"},"globalImportance":32,"audienceRelevance":45,"eventTypeSecondary":["restructuring","guidance_update"],"importanceComponents":{"tickerTier":"small-cap","eventGravity":"earnings with sharp coach-base decline and turnaround guidance","revenueDecline":"-19.4% YoY","retailFavoriteBoost":"former meme/retail favorite with cash-rich balance sheet"}},"event_type":"earnings","event_type_secondary":["restructuring","guidance_update"],"sentiment":"mixed","material_impact_score":4,"narrative":"Medifast reported Q3 2026 revenue of $72.0 million, down 19.4% year-over-year, with a GAAP net loss of $17.5 million ($1.57 per share) versus a $2.3 million loss a year ago.\n\nActive earning coaches fell 47.7% to 10,200 on continued client-acquisition pressure from GLP-1 medication adoption, though revenue per coach rose 54.1% to $7,064 and non-GAAP adjusted loss narrowed to $2.1 million ($0.19 per share).\n\nThe Catalyst Restructuring drove $15.4 million of charges, inflating GAAP losses while adjusted SG&A fell 16.0%; the balance sheet holds $172.5 million in cash and investments with no debt.\n\nManagement guided Q4 revenue of $55-75 million with income per share of $0.00-$0.25 and said it is on track to deliver profitability in the fourth quarter.","key_figures":{"revenue":72048000,"guidance":"Q4 2026 revenue $55M-$75M and income per share $0.00-$0.25; FY2026 revenue $280M-$300M, GAAP loss per share $1.80-$2.05, non-GAAP loss per share $0.45-$0.70; FY2026 Adjusted EBITDA ex-interest income $10M-$14M","revenueYoy":"-19.4%","customDimensions":{"debt":0,"gross_margin":"69.5%","adjusted_ebitda":362000,"cash_and_investments":172500000,"adjusted_gross_margin":"71.7%","active_earning_coaches":10200,"active_earning_coaches_yoy":"-47.7%","adjusted_ebitda_ex_interest":1870000,"catalyst_restructuring_charges":15406000,"revenue_per_active_earning_coach":7064}},"named_entities":{"people":[{"name":"Nick Johnson","role":"CEO"},{"name":"Dr. Wayne Scott Andersen","role":"Founder of the Mission and Independent Trilivy Coach"},{"name":"Matt Daryman","role":"Investor Contact"}],"products":["Trilivy","Reset Fuelings","Coach Hub","Metabolic Synchronization","Essential product line","GLP-1 medications (competitor category)"],"companies":[{"name":"Medifast, Inc.","ticker":"MED"},{"name":"LifeMD, Inc.","relationship":"partner"}],"dollarAmounts":[{"amount":"$72.0 million","context":"Q3 2026 revenue"},{"amount":"$17.5 million","context":"Q3 2026 GAAP net loss"},{"amount":"$2.1 million","context":"Q3 2026 non-GAAP adjusted net loss"},{"amount":"$172.5 million","context":"cash, cash equivalents and investment securities"},{"amount":"$13.8 million","context":"increase in SG&A from Catalyst Restructuring charges"},{"amount":"$50.0 million","context":"Q3 2026 gross profit"},{"amount":"$55 million to $75 million","context":"Q4 2026 revenue guidance range"}]},"model_name":"glm-5.3-flashx","prompt_hash":"sha256:5c812bd9e28b810d","schema_hash":"sha256:05005c02d9cffac9","created_at":"2026-10-26T12:05:09.315Z","global_importance":32,"audience_relevance":45,"importance_components":{"tickerTier":"small-cap","eventGravity":"earnings with sharp coach-base decline and turnaround guidance","revenueDecline":"-19.4% YoY","retailFavoriteBoost":"former meme/retail favorite with cash-rich balance sheet"}},"durationMs":8703,"modelName":"glm-5.3-flashx"}}