# OTRKQ earnings call intelligence

LOPJLB CallCard / temporal rollup · freemium · [stock page](https://www.lopjlb.com/stock/OTRKQ) · [Earnings tab](https://www.lopjlb.com/stock/OTRKQ?tab=earnings)

Updated: 2026-08-08T07:39:03

Quarters analyzed: 8

## Cross-quarter narrative

Across the eight CallCards, Ontrak’s financial picture has shifted from modest growth to pronounced pressure. Revenue fell from $3 M in Q2 2023 to a $2.6 M low in Q3 2024, with guidance tightening and Q4 2024 still vague. Gross margins slipped from the low‑70s percent range to the low‑60s, reflecting mix shifts toward lower‑priced Engage members and scaling costs. Cash burn remains a recurring concern; operating cash flow has been negative each quarter, depleting cash reserves from $6.4 M to $4.1 M while the company leans on equity raises, senior notes, demand notes and warrant exercises. Enrollment dynamics are mixed: early quarters saw declines, but Q1 2025 reported a near‑doubling of members to 3,165, suggesting a rebound. The pipeline stays robust, with 26‑plus prospects covering tens of millions of lives and several late‑stage deals promising multi‑million revenue. Regulatory headwinds persist, notably Medicaid redetermination disenrollment and state‑approval delays, though Florida approval for a Community Care Plan marked a new win. Milestones such as WholeHealth+, AI‑driven engagement tools, and Sentara expansions have moved from delivery to ongoing rollout, underscoring operational progress amid financial strain.

## Latest CallCard · Q1

Ontrak Q1 revenue fell 25% YoY to $2M after losing a customer, but enrollment nearly doubled to 3,165 members; pipeline conversion could double run-rate revenue in 2025; cash $4.1M with $10M financing committed.','tone': {'mgmt': 0.3, 'mgmt_rationale': 'CEO highlights momentum, enrollment growth, pi

**Guidance:** vague

**Tone:** mgmt 0 · Q&A pressure 0 · divergence 0

## Quarter one-liners

- **2025 Q1:** Ontrak Q1 revenue fell 25% YoY to $2M after losing a customer, but enrollment nearly doubled to 3,165 members; pipeline conversion could double run-rate revenue in 2025; cash $4.1M with $10M financing committed.','tone': {'mgmt': 0.3, 'mgmt_rationale': 'CEO highlights momentum, enrollment growth, pi
- **2024 Q4:** Ontrak Health reports Q4 revenue decline but highlights strong sales pipeline with 6 late-stage prospects, new Medicare Advantage launch, and path to double revenue in 2025 despite cash burn and margin pressure.','tone': {'mgmt': 0.7, 'mgmt_rationale': 'Management emphasizes strong pipeline momentum
- **2024 Q3:** Ontrak Health Q3 revenue fell 31% YoY to $2.6M but management highlights pipeline momentum with new customer expansions, four late-stage prospects representing $9-12M additional annual revenue, and Q4 guidance of $2.9-3.2M.
- **2024 Q2:** Ontrak Health announced a new Northeast health‑plan contract that could double its outreach pool, reported Q2 revenue down 17%, and expects Q4 revenue to start ramping while maintaining its $2.4‑$2.8 M Q3 guidance.
- **2024 Q1:** Ontrak Q1 revenue $2.7M (+6% YoY) with new Community Care Plan Medicaid win in Florida; pipeline includes 2 near-term deals; cash $6.4M with $15M credit facility; Q2 guidance $2.4-2.8M. Net enrollment fell 237 members; gross margin 63.6%.
- **2023 Q4:** Ontrak highlighted its AI‑driven advanced engagement system rollout, secured Florida state approval for a new Medicaid plan, expanded with Sentara, but faced Q4 revenue dip from Medicaid disenrollment and higher cash burn, while raising new capital and offering only a vague Q1 outlook.
- **2023 Q3:** Ontrak Q3 2023 shows strong enrollment growth, improved clinical outcomes and margins, new Medicaid contract pending state approval, a robust pipeline and reaffirmed $12‑$14M revenue guidance despite negative cash flow.
- **2023 Q2:** Ontrak Q2 revenue $3M down 24% YoY but up 17% QoQ; gross margin 72.8%; new Medicaid contract signed covering all adult members; pipeline building with BAA, LOI, NDAs; reaffirmed $12-14M revenue guidance for current customers; cash burn ~$1.7M/month.','tone':{'mgmt':0.3,'mgmt_rationale':'Prepared rem

## Theme arcs

- **Revenue trajectory** (deteriorating): YoY revenue fell from $3 M in 2023 Q2 to $2.6 M in 2024 Q3 with guidance remaining vague.
- **Gross margin** (deteriorating): Margins dropped from ~73% in 2023 Q3 to 62% in 2024 Q3 as product mix shifted.
- **Cash burn & liquidity** (deteriorating): Operating cash flow negative each quarter; cash fell to $4.1 M while reliance on notes and warrants grew.
- **Enrollment dynamics** (improving): After periods of member loss, enrollment rose to 3,165 in 2025 Q1, nearly double prior levels.
- **Pipeline strength** (improving): Consistently strong with 26‑plus prospects covering ~15‑20 M lives and multiple late‑stage contracts.
- **Regulatory environment** (new): Florida Agency approval for Community Care Plan achieved; other state approvals remain pending.

## Fear persistence

- **Medicaid disenrollment/redetermination** [recurring]: Repeatedly cited as reducing net enrollment and revenue.
- **Cash burn & liquidity pressure** [recurring]: Negative operating cash flow each quarter, reliance on notes and warrants.
- **Regulatory approvals/state clearance** [recurring]: State approval required for Medicaid contracts; Florida approval achieved, others pending.
- **Revenue decline & margin compression** [recurring]: Consistent revenue drops and shrinking gross margins.
- **Customer concentration & loss** [recurring]: Loss of a major customer drove steep revenue declines in 2024 Q3 and 2025 Q1.
- **Pricing pressure/mix shift** [new]: 2024 Q3 highlighted lower‑priced Engage mix reducing revenue per member.

## Guidance path

2023 Q2:vague → 2023 Q3:maintained → 2023 Q4:vague → 2024 Q1:maintained → 2024 Q2:maintained → 2024 Q3:vague → 2024 Q4:vague → 2025 Q1:vague

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Research context only. Not personalized investment advice.

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