Omada Bends Its Own Curve: A Record Quarter, a CEO Handoff, and a Platform That Outgrew Its GLP-1 Ticket
Q2 delivers records across revenue, gross margin, and EBITDA — and as Sean Duffy hands CEO to Wei-Li Shao, the keyword mix confirms a deliberate shift from GLP-1 pure play to broad cardiometabolic platform.
OMDA · Earnings Call · 2026-08-06
The handoff at the summit
Omada Health delivered its strongest quarter ever on the same day its co-founder gave up the CEO seat. Sean Duffy, who built the company over 15 years, passes the baton to President Wei-Li Shao on January 1, 2027 — a succession timed to coincide with a record print: $88M revenue (+43% YoY), 73% GAAP gross margin (up ~700bps YoY), $5M GAAP net income, $11M adjusted EBITDA, and 1.1M total members (+45% YoY, a brand-new disclosure).The market has clearly voted: OMDA is up ~109% over the past 90 trading days, within 4% of its 90-day high of $24.99 set just four days after the print — though still ~11% below the October 2025 peak of $26.78. That rally reverses a brutal stretch from late 2025, when the stock fell 55% over 17 weeks from that peak, around the time the Trump-Rx GLP-1 price announcement reset expectations. The recovery is a re-rating of the benefit cycle: management raised full-year revenue guidance to $334-340M (from $322-330M) and adjusted EBITDA to $21-27M (from $14-20M), roughly 4x 2025's result, while telling investors the September 10 Investor Day will lay out a new long-term framework. The fundamentals block (Q1 2026, from the May 10-Q) already telegraphed the trajectory, with revenue compounding from $41M in Q2 2024 to $78M in the filed Q1 print: steady compounding that the Q2 call confirms levelled past $88M.after founding Omada over 15 years ago, I'm ready to pass the leadership baton. On January 1, 2027, Omada's President, Wei-Li Shao, will become the Chief Executive Officer.
A platform that outgrew its ticket
The keyword history tells the story of a deliberate identity shift. In the last two quarters, "obesity" and "GLP-1 Care Track" have been the two biggest decliners in Omada's keyword universe, while "Cholesterol," "Optum," "cardiometabolic," "Lilly," and "GLP-1 Flex Care" surged. The mix is the message: GLP-1s for obesity have become the gateway to a broader cardiometabolic conversation, not the product itself. Diabetes and Hypertension — Omada's higher-priced, longer-duration programs — grew fastest in Q2. “our Diabetes and Hypertension books being the two fastest growing books on a year-over-year basis in the second quarter, both over 50%” — Steve Cook, Chief Financial Officer (CFO) · 2026-08-06 Steve Cook adds precision: GLP-1 members were 150K of 887K (<17%) at end-2025, and that ratio held into Q2 — so the non-GLP-1 cohort remains the growth engine. This is consistent, not novel; Wei-Li made the same point a year earlier. “GLP-1 Care Track volume still is a minority of our total new member as well as total member number” — Wei-Li Shao, President · 2025-11-06 What is genuinely new this quarter is the breadth of distribution. The HCSC expansion adds 1.5M fully-insured covered lives across three more states, embedded at the benefit level — no downstream sales cycle. “with the fully insured book of business, the Omada programs, in this case, Prevention and Hypertension, are fully embedded in the benefit. There's no downstream sales cycle that's required for employers.” — Wei-Li Shao, President and CEO · 2026-08-06 The new standalone Cholesterol track launched with a large retailer (an existing multi-condition customer), and the first closed prescribing customer will launch in 2027. Analysts on the call are clearly still worried about GLP-1 coverage decisions — whether employers expand or drop coverage. Wei-Li's answer is a hedge in both directions: “whether you are an employer that is currently covering GLP-1s or will come in the 2027 year, we have a host of prescribing plus wraparound GLP-1 support lifestyle services” — Wei-Li Shao, President and CEO · 2026-08-06. And the longer tenure datapoint — members staying ~10% longer in active treatment — is the durability proof the model needs.Unit economics look durable — which is the whole point
The most important disclosure may be the new revenue-per-member datapoint. Trailing twelve-month revenue per total member was $284 in Q2, vs. $279 a year ago — essentially flat, which management frames as durability rather than stagnation. This matches exactly what Steve Cook told investors back in May. “We do expect that to be relatively flat for the rest of this year, in line with Q1” — Steven Cook, CFO · 2026-05-07Underneath, the economics are improving: cost to serve is down more than 10% YoY per member, email enrollment conversion is up ~20% YoY, non-GAAP opex fell from 68% of revenue to 62%, and adjusted EBITDA margin hit ~12%. GAAP net income has whipsawed between +$5M in Q4 2025, a seasonal -$3M dip in Q1 2026, and back to +$5M in Q2 — the "structural profitability" Steve Cook keeps pointing at. Two profitable quarters bracket a Q1 dip management attributes to enrollment-period cost timing. One telling contrast: this quarter's global transcript tape is saturated with "IEEPA refund" / tariff-refund noise across industrials and consumer names (CAT, GWW, BALL, and dozens more). Omada is entirely clean of that story — its narrative is pure demand for chronic-care intervention, which is precisely why the unit economics matter more than any single macro tailwind. The risk to watch is simply whether the newer PBM channels — the second-year partner and Optum Rx, which the company still expects to contribute materially beginning Q1 2027 — convert their "encouraging signs" into the pipeline management expects to close in H2. If the September Investor Day confirms a sustainable above-70% gross margin, this handoff may be remembered less as a change of guard and more as the moment Omada bent its own curve.we believe the most representative measurement of our unit economics is trailing 12-month revenue set against that same 12-month member base. On that basis, trailing 12-month revenue per total member was $284 in Q2, compared with $279 in Q2 of last year.