American Well (AMWL) investor relations material

Executive summary

• Q2 2026 revenue was $52.0 million, at the top end of guidance, down 26.6%-27% year-over-year; subscription revenue was $25.7 million, and AMG visit revenue was $24.4 million.

• Net loss for Q2 2026 was $9.6 million, a 51%-53% improvement year-over-year; adjusted EBITDA loss narrowed to $1.15-$1.2 million from $4.7 million in Q2 2025.

• Strategic transformation actions, including headcount reductions and lease abandonment, contributed to cost reductions and improved margins.

• Achieved a major milestone with the Defense Health Agency's intent to award a sole source contract, strengthening government partnerships.

• Transformation to a focused, AI-powered care infrastructure is complete, with a clear path to profitability.

Financial highlights

• Gross profit was $27.6 million with a 53% gross margin, down 310 basis points year-over-year but up 200 basis points sequentially.

• Operating expenses were $37.1 million, down 38% year-over-year and 18% sequentially; operating loss improved 53% year-over-year to $9.6 million.

• Cash and cash equivalents at June 30, 2026, were $195.9-$196 million, with no debt.

• Net cash provided by operating activities was $9.7 million for the first half of 2026.

• $7.0 million gain recognized from divestiture; $3.4 million impairment charge from headquarters lease abandonment.

Outlook and guidance

• Q3 2026 revenue expected between $46 million-$48 million; Adjusted EBITDA loss projected at -$5 million to -$3 million.

• Full year 2026 revenue guidance raised to $200 million-$205 million; Adjusted EBITDA loss guidance improved to -$9 million to -$7 million.

• AMG visits expected at the high end of 1.32 million-1.37 million range.

• Positive cash flow from operations projected for Q4 2026; confident in achieving adjusted EBITDA and cash flow breakeven.