10-Q · May 5, 2026
American Well reported Q1 2026 results showing revenue of $54.9 million, down from $66.8 million in the prior year, while EPS loss improved to -$0.66 from -$1.19. The company is focusing on operational improvements,…
Earnings analysis · 10-Q
AMWL earnings analysis
Filed August 4, 2026 · Our reading of the company's report
The latest report
Amwell delivered Q2 revenue of $52.048 million and a diluted loss per share of $0.59, with revenue down 27% year over year but the net loss narrowing 51% to $9.625 million. Cost actions materially improved operating…
Read full summary
Amwell delivered Q2 revenue of $52.048 million and a diluted loss per share of $0.59, with revenue down 27% year over year but the net loss narrowing 51% to $9.625 million. Cost actions materially improved operating margin to negative 18.4% from negative 28.7% a year ago and produced $9.734 million of first-half operating cash flow. Liquidity is substantial at $195.946 million of cash and no debt, but the outlook remains constrained by subscription-revenue timing, declining utilization, customer concentration, and the need to extend the Defense Health Agency relationship beyond Q3 2026.
Gross and operating margin
How much of each revenue dollar the business keeps.
One point per quarterly or annual filing. Both margins are shares of that report's revenue.
From revenue to operating profit
Where each $100 of revenue went in this report.
Cost of sales, operating expenses, and what remained. Figures are rounded to whole dollars.
How we read each report
Our analysis across the last few reports.
Our model's reading of each filing, not the share price or the market's reaction. Annual and quarterly reports each occupy one position.
Reported figures
- Earnings per share
- $-0.59
- Segment
- Single reportable segment: total revenue $52.048 million; platform subscription $25.708 million, visits $24.426 million, and other revenue $1.914 million.
What stood out
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GAAP losses narrowed sharply
Q2 net loss narrowed 51% year over year to $9.625 million from $19.531 million, while diluted loss per share improved to $0.59 from $1.24. Sequentially, EPS improved from a $0.66 loss in Q1 2026.
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Operating-margin improvement continued
Operating loss improved to $9.556 million from $20.379 million a year earlier, lifting operating margin to negative 18.4% from negative 28.7%; it also improved from negative 31.8% in Q1 2026.
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Sequential gross-margin expansion
Gross margin was 52.9%, up from 51.0% in Q1 2026, as cost of revenue fell 21% year over year to $24.486 million. Gross margin remained below 56.1% a year ago.
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Operating cash flow turned positive
First-half operating cash flow swung to positive $9.734 million from negative $29.832 million. After $5.630 million of capitalized software and $0.013 million of equipment purchases, six-month free cash flow was approximately positive $4.091 million.
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Strong net-cash liquidity position
Cash and cash equivalents increased $13.618 million year to date to $195.946 million, and the company reported no debt at June 30, 2026.
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Visits and adjusted EBITDA improved
Visit revenue grew 7% year over year to $24.426 million, partly offsetting subscription revenue's $14.752 million decline; adjusted EBITDA loss improved to $1.150 million from $4.674 million.
What to watch
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Revenue contraction remains material
Revenue fell 27% year over year to $52.048 million from $70.898 million and declined from $55 million in Q1 2026. Subscription revenue decreased $14.752 million to $25.708 million, driven by timing of strategic-customer revenue recognition.
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Customer concentration intensified
Customer concentration increased: one client represented 65% of accounts receivable at June 30, 2026, versus 53% at December 31, 2025. Two clients represented 38% and 17% of Q2 revenue.
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DHA renewal and utilization risk
Management cites the continuation of the Defense Health Agency relationship beyond Q3 2026 on comparable terms as a forward-looking risk. Platform visits also fell to 1.9 million in the first half from 2.5 million a year earlier, due to customer churn and summer seasonality.
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Profitability and restructuring execution risk
Management expects operating losses in future periods despite a first-half operating loss of $26.980 million. The company also recorded a $3.424 million impairment after abandoning its corporate headquarters and has $3.597 million of remaining transformation costs to pay.
Management's outlook
The 10-Q provides no quantitative revenue or EPS outlook. Management states it expects operating losses in future periods and believes its $195.9 million of cash and cash equivalents will fund working-capital and capital-expenditure needs for at least the next 12 months.
Earlier filings 4
10-K · February 12, 2026
Amwell positions itself as a B2B hybrid care platform powering digital care for payers and health systems (approximately 50 health plans representing more than 90 million covered lives and ~80 health systems) and…
10-Q · May 1, 2025
Revenue improved to $66,833 (in thousands) in Q1 2025 from $59,522 (in thousands) a year earlier, while gross margin expanded to ~52.8% and operating loss narrowed materially. EPS (net loss per share) improved to…
10-K · February 12, 2025
Amwell positions itself as a B2B hybrid-care platform provider focused on migrating clients to its Amwell Converge™ platform and expanding clinical services (AMG) and device (Carepoint) offerings. Platform adoption…
This is our reading of a public filing, not the filing itself. Analysis can contain errors; check the source document for full context.