Amwell Raises FY Guidance After Q2 Revenue Beat, Cost Cuts Narrow Loss
AMWL has more than doubled off its 52-week low of $3.71.
Summary
Amwell's Q2 revenue fell 27% to $52M, but aggressive cost cuts narrowed the net loss to $9.6M and turned operating cash flow positive. The company raised the low end of its full-year revenue guidance to $200M and lifted adjusted EBITDA expectations significantly, now projecting a loss of only $7M-$9M versus the prior $12M-$16M. Subscription revenue neared half of total sales, reflecting a business model shift that improved gross margins to 53%. This follows the recent auditor change and board reshuffling, but the improved cash position of $195.9M and reiterated goal of positive operating cash flow by Q4 2026 signal stabilization. The guidance raise and margin improvement are material positives for a company with a $174M market cap.
At the time of this announcement, AMWL was trading at $11.75 on NYSE in the Technology sector, with a market capitalization of approximately $174.1M. The 52-week trading range was $3.71 to $13.45. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Reuters.