Medifast (MED) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue was $76.4 million, down 27.6% year-over-year, with a net loss of $3.1 million or $0.28 per diluted share, as active earning coaches declined 48.7% to 11,700, but revenue per coach rose 41% to $6,529.

• Coach productivity increased for the third consecutive quarter, signaling early turnaround signs despite ongoing industry challenges and the impact of GLP-1 medications.

• The company rebranded from OPTAVIA to Trilivy, launched new metabolic health products, and introduced a new coach compensation plan and standardized training.

• Initiatives included the launch of the Medifast Metabolic Health Institute, Catalyst cost-saving program, and MetaVantage Technology Reset Fuelings.

• The company remains debt-free with $169.8 million in cash and investments as of June 30, 2026.

Financial highlights

• Q2 2026 revenue was $76.4 million, gross profit was $53.4 million (gross margin 69.9%), and SG&A expense fell 25.7% to $57.7 million.

• Net loss was $3.1 million ($0.28 per diluted share), compared to net income of $2.5 million ($0.22 per share) a year ago.

• Loss from operations was $4.3 million (5.7% of revenue), up from a 1.0% loss margin a year ago.

• Cash, cash equivalents, and investment securities totaled $169.8 million at June 30, 2026, with no debt.

• Working capital was $160.5 million as of June 30, 2026.

Outlook and guidance

• Q3 2026 revenue expected between $60 million and $80 million; loss per share forecasted at $0.15 to $0.65, excluding one-time Catalyst costs.

• Full-year 2026 revenue guidance is $270 million–$300 million; loss per share $0.25–$1.75.

• Profitability is targeted for Q4 2026, with improvements expected to continue into 2027.

• Management expects the number of active earning coaches to continue declining in 2026 as the company transitions to a metabolic health focus.

• Working capital projected to exceed $145 million at year-end 2026.