Livongo (NSDQ:LVGO) shares gained in pre-market trading today after the digital health company posted second-quarter results that beat the consensus forecast on Wall Street, in its first earnings print since its public flotation in July.
Mountain View, Calif.-based Livongo said losses widened 129.3% to -$14.3 million, or 76¢ per share, on sales growth of 155.8% to $40.9 million for the three months ended June 30, compared with Q2 2018.
Adjusted to exclude one-time items, losses per share were -46¢, 2¢ ahead of The Street, where analysts were looking for revenues of $39.7 million.
“Our impressive second-quarter results reflect the growing appeal of our applied health signals platform,” CEO Zane Burke said in prepared remarks. “Livongo delivers a novel, consumer-first experience that our members don’t just like, but love. This leads to clinical outcomes for our members at scale, lower costs for our clients, and a compelling return on investment.”
Livongo said it expects to report adjusted earnings before interest, taxes, debt & amortization of -$41 million to -$39 million on sales of $159 million to $162 million this year. Third-quarter adjusted EBITDA are pegged at -$13 million to -$12 million on sales of $$42 million to $43 million, the company said.
“We are pleased with our second-quarter performance,” added CFO Lee Shapiro. “Our rapid growth in sales, which includes impressive acceptance of our hypertension offering, along with our per-participant-per-month subscription model and improving margins gives us strong confidence in our future.”
Livongo shares, which closed up 2.2% at $30.89 apiece yesterday, recovered from an early -1.2% slip to $30.51 this morning and were up 1.8% at $21.45 each in pre-market trading.
In July Livongo raised $355 million with its initial public offering after a last-minute upsizing.
