Issue 079

Welcome back to E&O’s Selling to Employers, the enrollment-focused digital health newsletter from Exits & Outcomes — for paying subscribers only. This newsletter digs into digital health companies that sell to self-insured employers, fully insured plans, and other payers. It’s digital health as an employee benefit.

 E&O: Employers

In this issue of E&O: Employers… Wow… minutes after I sent the newsletter today, Omada Health filed its S-1 to go public. So, here’s a very quick rundown of the numbers that caught my eye on first read. Let’s get to it…

• Read on below!

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Breaking news: Omada Health files its S-1

Apologies for the second newsletter today, but moments ago digital health pioneer Omada Health publicly filed its S-1. Here’s a rundown of the metrics that caught my eye following a quick read of the document: Revenue: Omada posted annual revenue of $169.8 million for 2024. That is up 38 percent over 2023’s annual revenue of $122.8 million. Q1 2025 revenue is $55 million up 57 percent from Q1 2024’s $35.1 million.

Net losses and accumulated deficit: Omadaposted netlosses of $47.1 million in 2024 and $67.5 million in 2023 — so there’s been improvement. Net losses of $19.0 million in Q1 2024 vs $9.4 million in Q1 2025 also shows improvement. Accumulated deficit stood at $396.8 million at the end of 2023 and at $444.0 million at the end of 2024, so that’s trending in the wrong direction. At the end of Q1 2025 the company’s accumulated deficit hit $453.4 million.

Net dollar retention rate: Omada calculates this as total billings generated in a particular period divided by total billings generated in the prior period. Its net dollar retention rate was 110 percent in 2023 and 128 percent in 2024.

Current member count: Omada said it currently has over 679,000 total members enrolled in one or more programs. As it previously announced, it has enrolled over one million members since launch. It estimates that 20 million people have benefits coverage for one or more of its programs.

Historical active members: At the end of each year, Omada had this many active enrollees:

• 2022: 299,000
• 2023: 391,000
• 2024: 572,000
• 2025 (Q1): 679,000

Stickiness: In 2024, more than 55 percent of Omada members still engaged with its cardiometabolic programs at least once per month after a year in the program, and over 50 percent still engaged monthly after two years.

Customer count: As of March 31, 2025, Omada says it has more than 2,000 customers. This image below is focused on the percentage of covered lives attributable to each of its four main customer segments, which is likely a good proxy for how much of its revenue comes from each:

Multi-program customers: As of December 31, 2024, approximately 31 percent of Omada’s customers offered more than one of its program.

Headcount: At the end of Q1 2025 Omada had 849 full-time employees, including health coaches, other Care Team members, sales and marketing, research and development, and general and administrative. Omada named only a few of its customers: “Representative customers include Costco, Intermountain Health, Honda, Louisiana Office of Group Benefits, and the State of Alaska. Our channel partner strategy also includes health plans, such as Cigna Healthcare, and two of the largest PBMs in the U.S., including Express Scripts by Evernorth.”

Cigna payments to Omada: Cigna appears to be the biggest channel partner that Omada has. Omada disclosed that Cigna-owned entities in aggregate made payments to Omada in these amounts over the years, which is obviously a significant percentage of Omada’s overall annual revenue: 2022: $39.2 million 2023: $63.3 million 2024: $89.9 million 2025 so far: $42.8 million

Enrollment tactics: Omada has long had a focus on enrollment tactics. Here’s an interesting set of numbers focused on its enrollment campaigns: “In the year ended December 31, 2024, we supported our customers and channel partners by sending approximately 98 million emails across approximately 4,900 outreach campaigns to drive awareness and enrollment. In 2024, customers and channel partners who enabled us to launch email outreach campaigns saw average enrollments equal to 14% of the total eligible population we emailed. However, where we were able to deliver more tailored outreach for relevant conditions, we saw some higher rates. For example, when customers and channel partners enabled email outreach tailored for the subset of people living with diabetes, they saw an 8% increase in average enrollment rate in the same period.”

Read the full S-1 here and then hit reply to this newsletter and let me know what else I should dig into….

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