Ontrak, Inc. ( (OTRK) ) has released its Q4 earnings. Here is a breakdown of the information Ontrak, Inc. presented to its investors.
Ontrak, Inc. is a value-based behavioral healthcare company that leverages AI and technology to engage individuals with unmet health needs, aiming to improve clinical outcomes and reduce healthcare costs. In its latest earnings report, Ontrak announced a fourth-quarter revenue of $3.1 million, marking an 11% decline from the previous year, and a full-year revenue of $10.8 million, down 15% year-over-year. Despite the revenue decline, the company reported a reduced operating loss and improved adjusted EBITDA for both the quarter and the full year.
Key financial metrics revealed a fourth-quarter operating loss of $4.4 million, a 16% improvement from the previous year, and an adjusted EBITDA loss of $2.8 million, showing a 20% year-over-year improvement. For the full year, the operating loss was $17.8 million, while the adjusted EBITDA loss was $12.8 million, reflecting a 13% improvement. The company also highlighted strategic partnerships, including a new collaboration with Intermountain Health and a contract extension with Sentara Health Plans.
Ontrak’s strategic initiatives included the launch of its WholeHealth+ solution with Intermountain Health and the expansion of its Engage solution with Sentara Health Plans. These partnerships are expected to enhance member engagement and expand Ontrak’s reach in the healthcare market. However, the company faced a significant setback with the loss of a major customer, which accounted for a substantial portion of its revenue.
Looking ahead, Ontrak’s management remains optimistic about the company’s growth prospects, driven by new customer acquisitions and the expansion of existing relationships. The company anticipates revenue between $2.0 million and $2.3 million for the first quarter of 2025, as it continues to focus on leveraging its unique platform to deliver value to healthcare payors and improve member health outcomes.