Ontrak, Inc. (OTRK) has experienced an increase of 41.47% in the aftermarket because the company announced third-quarter results. However, the last trading session concluded at $9.67 with a decline of 2.13%.
Third Quarter 2021 Results
OTRK reported third-quarter 2021 financial results on 4th November 2021. Revenue was $18.6 million in the third quarter of 2021, down 23% from the same time in 2020. Moreover, the operating loss for the third quarter of 2021 came out to be $5.5 million, representing a 29% operating loss margin. Not only this, but the adjusted EBITDA was $1.7 million, more than $0.8 million in the same quarter of 2020. At the conclusion of Q3 2021, the company had 9,395 enrolled members, including 861 Ontrak-A members and 3,807 Ontrak-CI members.
On August 18, 2021, the Company got a notice from its second-largest customer that the Ontrak program will be terminated after December 31, 2021. It happened because of the customer’s corporate strategic shift, and not because of the program’s performance or profitability. OTRK has invoiced this client $42 million of the originally planned 3-year $90 million contract since its commencement in July 2020. Lastly, the revenue of $82-$86 million in 2021, was based on current expectations from existing health plan clients in terms of outreach pool, budget considerations, and growth timetable.
Chief Medical Officer
OTRK named Dr. Robert Accordino as the Chief Medical Officer on 9th September 2021. The reputation of r. Accordino in the healthcare field speaks volumes about his abilities and influence. He has presented over 80 conference, grand rounds, and seminar presentations and has participated in clinical research which has led to over 40 peer-reviewed publications, book chapters, and articles. He was just named one of Modern Healthcare’s Top 25 Emerging Leaders.
The hiring of Dr. Accordino is the third in a series of new senior leadership appointments that will help to improve our management team. Dr. Accordino will be in charge of Ontrak’s operational processes, provider network, and care group training in his role as Chief Medical Officer. Lastly, he’ll also lead the tumor trials of our innovative care pathways, products, and capabilities, utilizing the groundbreaking Treatment Effect Study to help consumers and members.
Chief Information Officer
OTRK reported on 12th August 2021 that Arik Hill is the new Chief Information Officer. Arik led the growth of digital systems and tools that collateralized AI and cutting-edge technologies for real worth care, public health, and the exchange of advanced analytics with critical stakeholders as Chief Information Officer. The company is excited to welcome Arik to the Ontrak leadership team at a time when OTRK is investing heavily in the technical infrastructure needed to support the expanded care pathways, new product roadmap, market-leading engagement capabilities, and integration of solutions with key partners. Last but not least, Arik will be in charge of technological architecture, engineering, data management, data science, and analytics in his new position.